Employment Rights Bill

Lord Leigh of Hurley Excerpts

Report stage
Monday 21st July 2025 Lords Chamber

[Baroness Lawlor (Con)]

My Lords, I support my noble friend’s amendments. There are good reasons to exempt small businesses, which make up the backbone of our productive economy, from the measures in Clauses 55 and 56, both for the statement of trade union rights and for trade union access.

We know, as we discussed in Committee, how rapidly trade union membership is falling, and that it has fallen particularly in the private sector. We know that, although it has gone up in the public sector, it still represents a much smaller proportion of trade union members than in 1995, when statistics began. Small and medium-sized businesses account for 99.8% of our productive economy. If we impose additional compliance costs on 1.16 million micro businesses of up to 10 employees and on 4 million sole traders, we are saddling them with the kind of compliance costs to which noble Lords have already referred.

I wholeheartedly support my noble friend’s amendments to exempt the majority of small, tiny and medium-sized enterprises from the compliance costs of furnishing a letter and the costs—indirect, perhaps—of access arrangements for trade unions, when there may be no trade unionists in the workforce of these small, entrepreneurial businesses.

[Lord Leigh of Hurley (Con)]

My Lords, I rise briefly to mark that this is the moment—21 July, at 8.59 pm—when the Labour Government are going to put such unreasonable demands on small businesses that they will all come together and say, “This Government are not our friend. This Government are distracting us from growth, from employing more people and from productivity”. Just as small businesses are getting over Making Tax Digital, Covid and tariffs, this legislation will do irreparable harm. I wanted to make that point because I assure noble Lords that there will be future reference to this very moment.

[Baroness O'Grady of Upper Holloway (Lab)]

My Lords, I too will be brief. I thought it might be helpful to inject a bit of balance into the debate. Noble Lords might recall that in Committee I spoke of how often there are positive voluntary agreements between employers and unions about access, because everybody recognises that in a modern, civilised society, workers should have the right to speak to a trade union. It is their choice whether to join, but it ought to be seen as a basic right to be able to meet a union at the workplace. In my experience, very often you go in and have a cup of tea and you get a chance to meet the workers, who will make up their own minds about whether they want to join.