Employment Rights Bill

Lord Lucas Excerpts

Report stage
Monday 21st July 2025 Lords Chamber

[Lord Sharpe of Epsom (Con)]

My Lords, I rise to speak to Amendments 135 to 143, all in my name and that of my noble friend Lord Hunt of Wirral. When this power first appeared in the Bill, the Minister in the other place, Mr Justin Madders, admitted that the Government had not even decided whether they were intending to use it. First, they said there would be no consultation, then they changed their minds. That is not a serious way to make laws; it is confused and confusing, especially for, as ever, SMEs, which are, as we have discussed many times during the passage of the Bill, in a state of uncertainty about the basic rules governing their own workplace.

If the membership threshold was reduced to 2%, as the Government appear to envisage, in a company that employs 250 employees, it would require only five members in the bargaining unit to request a ballot. That would mean that a union could gain bargaining authority over workplace conditions, pay and leave arrangements for the entire bargaining unit based on the explicit support of a tiny number of employees. This raises questions about whether such an arrangement adequately reflects workforce preferences, particularly for employees who may value direct engagement. That potentially creates a situation in which unions may submit many speculative requests for recognition, with little depth of membership in a proposed bargaining unit. The process comes at a cost to the employer of both managing and arranging access and facilities, and to the Central Arbitration Committee for supervising these potentially speculative ballots.

I really think this speaks for itself; there is not a huge amount to say in addition, although I would note that the noble Lord, Lord Hendy, talked earlier about workplace democracy. Whatever it is, it is not this, so I beg to move.

[Lord Lucas (Con)]

My Lords, I have Amendment 144 in this group. We discussed the same amendment in Committee. If we do not have a number, it means that, essentially, one employee could trigger union recognition. Surely that is not something we should impose on small businesses.

[Baroness Lawlor (Con)]

My Lords, this set of amendments is a proportionate response to the Bill’s Schedule 6 to ensure that we have clarity in the Bill for all parties about the threshold to be met in respect of a union seeking recognition to conduct collective bargaining on behalf of a group of workers making a request for recognition. As matters stand, employers, unions and employees know that the threshold for recognition is 10%. This is established under Schedule A1 of the Trade Union and Labour Relations (Consolidation) Act 1992, on trade union recognition for the union or unions seeking recognition to be entitled to conduct the collective bargaining on behalf of a group of workers.

The 10% threshold is set out in paragraph 36 and reinforced throughout Schedule A1 in the subsequent paragraphs that my noble friend’s amendments seek to reinstate. That includes paragraphs 45 and 51 on competing applications, paragraphs 86 to 88, and paragraph 14 on applications. As your Lordships know, this Bill substitutes the words “the required percentage”, including for paragraph 45 on the validity of applications. We know that the required percentage may be 2%, but it has become almost a euphemism for whatever a Minister may decide post consultation and impose via statutory instrument in whatever circumstances we may imagine. It may be that the union masterminding the Birmingham bin chaos, which finds its members fleeing to another union, wants the Government to get a 1% or 0.5% figure in the instrument—or else it would withhold its support from the Labour Party.