Armed Forces (Flexible Working) Bill [HL]

Lord Stirrup Excerpts

2nd reading (Hansard): House of Lords
Tuesday 11th July 2017 Lords Chamber

[Lord Stirrup (CB)]

My Lords, I too welcome the intention behind this Bill. As the Minister has explained, the Armed Forces are currently losing talented and experienced personnel who might be retained if they were able to secure some temporary flexibility in their conditions of employment. This is perhaps particularly, although not exclusively, true for female personnel. Although such flexibility might not by itself lead to a dramatic growth in the overall numbers of women in the military, it might allow the services to retain more of those who are highly capable, who could then go on to increase the percentage of females in the most senior ranks. This would be very welcome.

However, while supporting the Bill in principle, like other noble Lords and noble and gallant Lords, I am concerned that the proposed changes should not detract from the UK’s overall military capability and effectiveness. We must remember the purpose of employing people within the military: it is not to produce goods or services for consumers on an everyday basis, but to deliver targeted military effect when and where the Government require it. The day-to-day outputs of military formations are very often in preparation for their real purpose, not an end in themselves.

I also wonder about the title of the Bill. In response to one of the questions raised by the noble Lord, Lord Touhig, do we not already have a degree of flexible working in the military—people producing a full output but with varying start and finish times, and even through working from home? Is this Bill not rather about flexible terms of employment? That would certainly make the variations in rates of pay and so on more easily understood by a wider audience.

However, although I have stressed the crucial need to maintain military capability and military effectiveness, this does not in my view mean that the nature of military life and its processes should not change. The Armed Forces that I left some six or seven years past looked and felt in many ways very different from the organisation that I joined half a century ago. Yet I defy anyone to say that its 21st century personnel, in Iraq and Afghanistan for example, have not displayed at least the same level of professionalism, commitment and courage as their distinguished predecessors.

Accepted norms change over time, and no military can allow itself to become too far removed from the society that it serves and from which it springs. Yet militaries are, and have to be, different. These two axioms lead to the requirement for a difficult balancing act, setting individual needs and aspirations on the one hand against operational demands and duties on the other. The question we must address in considering the Bill is whether that balance has been appropriately struck—and the answer is that we do not know.

The Bill is simply enabling legislation. It sets out the desired ends, but says virtually nothing about the ways and means. These will be the subject of secondary legislation and military regulations, but it is they that will enable us to reach an informed judgment about the balance to which I have referred. Without knowledge of the detail, the Bill falls into the, “Trust me, I’m a doctor” category. Let me give some examples of the issues that need to be addressed.

What percentage of people will be allowed to move on to flexible terms of employment? In the very helpful briefing arranged by the Minister, we were told that the services expect the take-up to be small—perhaps 0.5% to 1% of the force—based upon experience elsewhere. But no other military has operated such a system fully, and certainly not long enough to judge how take-up might change as people become accustomed to the idea. The figure of 1% seems small given the very large proportion of people who cite the strict current conditions of service as the principal reason for their leaving the military.

It is true that a reduction in salary is likely to act as a deterrent to many, but that still leaves us uncertain of the final take-up. It is therefore important that the Armed Forces conduct an analysis to determine what part of their establishment—how many and where—could be subject to flexible terms without undermining operational capability. This would at least establish a clear limit beyond which we should not go. Can the Minister tell the House whether such work has been undertaken, and if so what are the results?

We also need to consider the broad conditions that should govern the application for a move to flexible terms of employment. I understand that the current intention is not to require people to specify the reasons behind any application, since it might involve personal issues that they would rather remain private—I understand that.

On the other hand, if the availability of such opportunities is limited—owing to operational pressures, for example—how are the services to judge between competing demands? How are those involved in the appeal process to judge the merits of a case if they do not know all the relevant details? Ought we not at least to be specifying the reasons that would be considered a valid basis for applying for a period of flexibility, or perhaps setting out the motivations that would not form such a basis?

Flexibility is very much to be welcomed, but it often leads to increased complexity. If a particular job is currently being done for five, or perhaps more, days a week, what happens if the incumbent is suddenly working for only three days out of every seven? I assume that there will still be work that needs doing, else one must conclude that the organisation was overmanned in the first place. How is this burden to be met? Perhaps in some cases it can be addressed through the increased use of reservists, but probably not in all. What other measures will be required to deal with the challenge?

Whatever mechanisms and procedures are put in place, they will surely lead to increased pressures on the personnel management staffs. A great number of posts within the military simply could not be occupied on a part-time basis: crews of Royal Navy warships, the personnel of combat units in the Army and the members of front-line squadrons in the Royal Air Force, to name just three instances. That means that, in many cases, someone moving to flexible terms of employment will need to be posted elsewhere—perhaps to a job with a current incumbent who has been in post for only a short time and who will have to be moved on. All this will require careful handling.

I understand that the services are currently examining the implications for their personnel management processes and organisations, but as yet have reached no definite conclusions. I should be grateful if the Minister could keep the House informed once they do. There may be consequences for staff numbers and there will undoubtedly be issues for the joint personnel administration system.

In passing, I question one of the assertions that has been made regarding the financial consequences of the proposed arrangements. It has been said that any savings resulting from the reduced pay bill when personnel move to part-time arrangements would accrue to the budget of the appropriate service, which could then use it to pay for backfilling arrangements or on some other expenditure of its choice. This seems to me to be wishful thinking. The more likely outcome, particularly given the pressures on the defence budget, is that the central staffs will reduce the service’s overall budget allocation by a commensurate amount. It is true that if they did not act in such a fashion, an opportunity cost would fall somewhere—the central staffs, after all, do not get to keep any of the money. But I would discourage the idea that the Bill will somehow automatically lead to increased financial flexibility for the individual services.

Other noble and noble and gallant Lords have raised further important issues, and I could add to them. I will not at this point, but instead reiterate what is perhaps the central theme in this debate. For us to judge the appropriateness of the Bill’s proposals, we need to know much more than we do presently. The devil is in the detail, and in this case the Prince of Hades is hiding in undecided, and certainly unseen, secondary legislation and regulation. We therefore need to see and discuss this detail before reaching a firm conclusion on the Bill. I accept that a list of detailed technical amendments to existing regulations will not serve this purpose, but some explanation of and debate about how the new system would work in practice is in my view necessary before the Bill should be allowed to pass on from your Lordships’ House.

I have asked many questions and sounded several notes of caution. I have done so not because I resist the legislation but because I want us all to be able to give it our enthusiastic backing. As I said, I support the Bill in principle. I hope that the Minister will be able to come back with proposals for further consultation that will allow me to do so in practice.