Deregulation Bill
Debate between Lord Wallace of Saltaire and Baroness Thornton(9 years, 9 months ago)
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Baroness Thornton
My Lords, as we know, with this Bill we move from waste to education to farms to taxis and now to schools and nurseries. Amendment 20 would enable nursery schools to become full members of trusts and Amendment 21 would ensure that co-operative schools could establish an industrial provident society, should it be desirable, so bringing co-operative schools into line with other kinds of co-operative organisations.
By way of background, I should say that the first co-operative trust school was established just over five years ago. Few would have anticipated the extent of their growth: there are now around 700 co-operative trust schools and that figure is expected to rise to 1,000 by the end of 2015. In other words, more than 250,000 pupils in England now attend co-operative schools. The values of co-operative schools are drawn from the global statement on co-operative identity, which is recognised by the United Nations and forms the basis of co-operative law throughout the world. The co-operative values of self-help, self-responsibility, equality, equity and solidarity, together with the ethical values of honesty, openness, social responsibility and caring for others, have been seen by governing bodies to resonate powerfully with their schools.
Moving to a co-operative model provides a framework in which everybody with a stake in the school’s success—parents, teachers, support staff, local community organisations and pupils—have the opportunity to be involved in running it. There is a growing recognition that working co-operatively helps to avoid duplication and distraction, allows school leaders better to focus on the effective leadership of teaching and learning and raises standards. The value of this kind of collaboration and partnership working between schools was recently examined by the Education Select Committee, whose report highlighted the benefits that collaboration between schools brings, in particular where it is on the basis of mutual benefit.
Examples of these trusts can be seen in Cornwall, where over 100 schools have become co-operatives and are part of 13 trusts. Most of these are geographically based clusters, enabling small village primary schools to be part of a learning community with a secondary school that most of their young people will move to. In Leeds, a significant proportion of the city’s schools are already in co-operative trusts and others are in the consultation process.
The remarkable growth in co-operative schools has happened despite, not as a result of, current government policy. This demonstrates that the models developed under the pathfinder scheme programme following the 2006 Act under the last Labour Administration are enormously attractive to schools.
The reason why these amendments have been put down and I proposed them in Committee is that there is scope within the Bill’s intention—to,
“Make provision for the reduction of burdens resulting from legislation for businesses or other organisations or for individuals”—
to correct two specific burdens on the development of co-operative schools and co-operative school trusts. The first amendment concerns nursery schools. Many co-operative networks and co-operative trusts are based on strong geographically based clusters. They have an all-through vision of education, raising achievement by supporting young people throughout their journey through the education system. Yet the 2006 Act excludes nursery schools from becoming parts of trusts. The amendment would correct this and, in effect, amend the 2006 Act.
Nursery schools are in many ways the most co-operative part of the sector, in relation to both their engagement with parents and carers and their pedagogy, as is reflected in the early years foundation stage. Enabling nursery schools to become full members of trusts or, indeed, academies would provide a vehicle for that parental and family engagement in early years to enthuse the trust to further develop the all-through vision of education essential for sustainable changes in achievement.
The second amendment seeks to amend the School Organisation (Requirements as to Foundations) (England) Regulations 2007 to ensure that schools are able to establish themselves as an industrial provident society, should it be desirable. Despite an all-party commitment to co-operatives and mutuals in the public sector, co-operative schools have had to work around existing legislation, as no provision is made in the relevant education Acts for schools to be established formally as co-operative societies as defined in the 2014 consolidation Act. The new clause seeks to amend this, ensuring that any future legislation provides a level playing field and a more understandable legal framework for co-operative schools—in other words, using the co-operative legislation that exists.
There is a question of the Government’s commitment to co-operatives, mutuals and social enterprises in this area. In a real way, they are disadvantaged because they cannot use the legal form that exists for co-operatives. This issue was first raised in the Commons during the first part of the discussion about the Bill. The amendments were withdrawn then on the basis that there would be discussions with the Department for Education. While Michael Gove was the Secretary of State, he was personally supportive of the proposals but said that the department lacked the expertise and resources to adopt the changes. Since his departure, there has been what you might call a decided lack of enthusiasm about the issue in the department. We are told that the department would like to work with co-operative schools to help with these proposals, but that has yet to happen. I am not hopeful that the Government will accept the amendments now, but I would like to see some sign that progress can be made in this important matter. I beg to move.
Lord Wallace of Saltaire
My Lords, the Government have been, and continue to be, supportive of the broad aims of partnership, collaboration and co-operation in education, as in other fields. I have been a long-standing supporter of the Co-operative movement and I was sorry to see its decline in the north of England over the last 30 or 40 years, just as I am glad to see that in many ways it is now reviving. I am a member and a regular user of the excellent Co-op shop in Saltaire and I was on the point of considering moving to the Co-operative Bank before its recent sad problems.
We all recognise that mutuals are model forms of enterprise that we need to extend across a whole range of fields. As I deal with elderly relatives, I think that we all need to work much more actively to develop mutual models for care homes. As far as schools are concerned, we know that partnerships between schools can be a powerful tool in raising standards and improving educational achievements for all pupils and we place great value on that.
The academies programme continues to deliver examples of schools working together in multi-academy trusts, which help to ensure success for everybody in those partnerships. These trusts pull together schools across both phases of education to work effectively as a family of schools. There are currently 260 multi-academy trusts which have both primary and secondary provision, so it is not simply primary schools working with primary schools and secondary schools working with secondary schools. We are promoting collaboration across the sector and we see the benefits across the educational landscape.
Baroness Thornton
Why does adding provident societies to the sort of business forms that schools can have in legislation make anything more complex? It is not a complex question. It is a simple question; it is straightforward. We are just asking that co-operative schools can have the legal form that co-operatives have. That is all.
Lord Wallace of Saltaire
My Lords, we have been open to discussion and we are still open to continuing discussion on what precise forms are needed, but we want to be persuaded of the educational advantages of the changes that have been proposed and we would want to be assured of the advantages for schools before we were to support these very specific amendments. In line with the Government’s undertaking given in the other House to investigate the proposals—
Baroness Thornton
Would the Minister like to tell me exactly where in the legislation creating academies it says that companies limited by guarantee bring better educational results?
Lord Wallace of Saltaire
My Lords, I take the point that the legislation does not specifically say that. I was in the process of saying that we are open to discussion. We offered to investigate the proposals further and my noble friend the Parliamentary Under-Secretary of State for Schools met interested parties to discuss their concerns last year. He also wrote to the noble Baroness in November last year, inviting her to provide evidence about the problems that these amendments would address and to meet to discuss the issue further. We regret that that meeting has not been held and we are still open to further discussions, but, in consequence, the position has not changed and he remains unconvinced of the educational benefits of the noble Baroness’s case.
The Government are determined to continue to remove the barriers and obstacles that prevent schools delivering the best education possible for their pupils and to promote flexible and collaborative ways of working such as the amendments are intended to promote. So far, more than 700 co-operative schools have been established and, as the noble Baroness said, there will be 1,000 by the end of 2015. We firmly believe that there are sufficient alternative options already available without needing to introduce these additional legislative changes, but we are open to continuing discussions about the obstacles that the noble Baroness and others clearly think still exist. In the mean time, and in openness to further discussions, I urge the noble Baroness to withdraw her amendment.
Baroness Thornton
I thank the Minister. I know that he is sympathetic. Indeed, we shop at the same Co-operative store in Saltaire—and a very good shop it is, too. I have been a member of the Co-operative society in Bradford since I was 16 years old. I am grateful for the offer of further discussions and my Co-operative colleagues from the Commons and this House will certainly take the noble Lord up on that offer, because there are issues to do with equity, a fair playing field and recognition of different business types. I think that we would all agree that plurality in those issues is important. In the mean time, I beg leave to withdraw the amendment.
Deregulation Bill
Debate between Lord Wallace of Saltaire and Baroness Thornton(10 years ago)
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Lord Wallace of Saltaire
Writing common sense into law is one of the most difficult things that we all spend our time on, however.
Baroness Thornton
I was not particularly surprised at the Minister’s response on the CQC. Given that we know that the CQC cannot answer the Opposition’s questions about this, why would we be surprised to hear that the CQC said that it is fine? The Department of Health has said that it has to say that it is fine. We now know that it is being told what to do by the department, which is worrying. As for the questions I asked, which are those that need to be asked in order to test this legislation, the Minister cannot tell me that those questions have been asked and what the answers were, and we therefore need to pursue that further.
Lord Wallace of Saltaire
My Lords, we are all very conscious that we are talking about a range of regulatory bodies which, as has already been said, have different relationships with Governments. Some are entirely independent, some are agencies of departments, and that is part of the universe with which we need to deal. I have already offered to discuss this between Committee and Report and I recognise, as I have already said, the concerns which have been expressed in this debate.
Deregulation Bill
Debate between Lord Wallace of Saltaire and Baroness Thornton(10 years ago)
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Baroness Thornton (Lab)
My Lords, I thank noble Lords for giving me time to get here from the Chamber, where we had an excellent three-hour debate on violence against women. I am now very pleased to join the deliberations in Committee.
Amendment 69B concerns co-operative schools. We believe that there is scope within the Deregulation Bill’s intention to,
“make provision for the reduction of burdens resulting from legislation for businesses or other organisations or for individuals”,
to correct two specific burdens on the development of co-operative schools and co-operative school trusts. Amendment 69B would insert a new clause to ensure that co-operative schools are able to establish an industrial provident society, should it be desirable, to bring them into line with other types of co-operative organisations.
The background to this is that the first Co-operative Trust school was established just over five years ago. Few would have anticipated the extent of their growth. There are now 700 co-operative trust schools, and that number is expected to increase to 1,000 by the end of 2015. More than a 250,000 pupils in England now attend co-operative schools. The values of these schools are drawn from the global Statement on the Co-operative Identity, which is recognised by the United Nations and forms the basis of co-operative law throughout the world. The co-operative values of self-help, self-responsibility, equality, equity and solidarity, together with the ethical values of honesty, openness, social responsibility and caring for others have been seen by the governing bodies to resonate powerfully within their schools, including with staff and pupils.
In fact, moving to a co-operative model provides a framework in which everybody with a stake in the school’s success—parents, teachers, support staff, local community organisations and pupils—have the opportunity to be involved in running it. There is a growing recognition that working co-operatively brings clarity, allows school leaders to concentrate more on the effective leadership of teaching and learning, and raises standards. The value of this kind of collaboration and partnership working between schools was recently highlighted by the Education Select Committee, which highlighted in its report the benefits that collaboration between schools brings, particularly where it is on the basis of mutual benefit.
Examples of these trusts can be seen in Cornwall, where more than 100 schools have become co-operatives and are part of 13 trusts. Most of these are geographically based clusters, enabling small village primary schools to be part of a learning community with a secondary school that most of their young people will move on to. In Leeds, a significant proportion of the city’s schools are already in co-operative trusts, and others are in consultation. The remarkable growth in co-operative schools has happened despite, not as a result of, the current Government’s policy. This demonstrates that the models developed under the pathfinder scheme programme following the 2006 Act under the previous Labour Administration are enormously attractive to schools.
The case for the changes proposed in the amendment was first made by my honourable friend Meg Munn MP within a 10-minute rule Bill, the Co-operative Schools Bill, in 2013. The proposals then formed part of an amendment tabled in Committee on this Bill in the Commons when it was debated on 27 February 2014. After the debate, my honourable friends on the Labour Front Bench withdrew their amendment on the basis that the Government had indicated that they were willing to work with the Co-operative Party to adopt the changes into the Bill as government amendments. My honourable friend Meg Munn, with the Co-operative Party and co-operative schools experts, then sought to work with the department over the next few months. While the then Secretary of State Michael Gove MP was personally supportive of the proposals, he indicated that the department lacked the expertise and resources to adopt the changes. I understand that in meetings, the noble Lord, Lord Nash, has, however, expressed very limited support for co-operative schools. Subsequent to the Government’s reshuffle, we were told that the department and new Ministers would not seek to adopt our proposed changes.
I raised this issue in a meeting with the Minister before we started discussing the Bill, and again at Second Reading. The Government need to explain their opposition to these proposals because they are in line with government policies, first, on co-operatives and mutuals; secondly, on schools and their freedom to operate; and, thirdly, on deregulation and creating fair circumstances in which organisations and individuals —in this case schools—can operate. It is a complete mystery why the Government refuse either to accept these amendments or to bring forward amendments of their own. I beg to move.
Lord Wallace of Saltaire
My Lords, I was slightly shocked to discover, when I asked for a list of how many co-operative schools there were in West Yorkshire, that there are nine in Leeds, eight in Wakefield but only one in Bradford.
Lord Wallace of Saltaire
I look forward to talking to the noble Baroness about what else Bradford claims, but I am sorry to hear that we are a little behind in this respect. As the noble Baroness said, few would have anticipated the rise of co-operative schools. Indeed, there has been considerable development of them.
The Government are not persuaded that this amendment is needed. We understand the argument that has been made for co-operative schools forming a part of developments under the current school models, which include maintained co-operative schools and co-operative academies. They should do so without weakening school accountability or adding complexity to an already complex system. Some co-operative schools are very impressive but others are rather less impressive. They do not stand out in any particular way.
In line with the Government’s earlier undertaking, given in the other House, to investigate the proposals further, my noble friend the Parliamentary Under-Secretary of State for Education met interested parties earlier this year, as the noble Baroness said, to discuss their concerns but was not entirely persuaded of the merits of their case. The Government are determined to continue to remove the barriers and obstacles that prevent schools delivering the best education possible for their pupils.
The department recognises the general aim behind this amendment. We welcome further discussions and assurances on how these changes can be achieved without changing primary legislation or adding to the complexity of the system. Officials have been engaged with representatives from the Co-operative Party for some time now, and we are yet to see any compelling evidence of clear educational benefits that these changes would introduce.
Baroness Thornton
This amendment is about allowing co-operative schools to have the business form that makes them co-operatives. Given that the Government allow other schools to have the business form that allows them to operate in different ways, such as companies or charities, with religious freedoms and all that, why is this discrimination in place against the co-operative form of doing business?
Lord Wallace of Saltaire
My Lords, the fact that there are now some 700 co-operative schools suggests that they are not suffering from systemic disadvantages in this respect. I was interested to hear from the noble Baroness that the expansion is continuing. If there are strong arguments to make that the current structure is discriminatory, I look forward to hearing them and perhaps we can continue this discussion, but at the moment I hope the noble Baroness has been sufficiently persuaded by my response to withdraw her amendment.
Baroness Thornton
Of course I will withdraw the amendment, and I thank the Minister for the offer to continue these discussions because that is exactly what we need to do. I will bring my co-operative school experts with me because I think the Minister will be persuaded by what they have to say about this. This is an issue that needs to be solved one way or the other. I beg leave to withdraw the amendment.
Baroness Thornton
My Lords, I shall take the opportunity of this amendment to ask two other questions. What was the problem that the Government felt needed to be remedied with these provisions? Is it to reduce administrative costs to schools? I should also like to ask the Minister about reports and the dissemination of information by electronic means, particularly websites, which is included in this part of the Bill. What do the Government think will happen to streamlining the information that is available to parents from schools in areas where there is a digital divide? For example, in Bradford, there are lots of people who are not online and would not be able to receive those reports.
Term times is one of the really difficult problems that I know my Government struggled with, but I would like to know whether the Minister has consulted organisations in the education sector, including teachers, trade unions and head teachers’ representatives, to see what they feel about this.
Lord Wallace of Saltaire
My Lords, I am conscious that the issue of school term times and summer holidays is particularly acute, especially for the leisure sector. I have heard a lot of people say that it is absurd that we still have long summer holidays because people went out to help with the harvest. When I was a teenager, that is precisely what I used to do during my summer holiday. I worked on a farm for four to six weeks. When I went back to visit the farm 25 years later, almost all the jobs that I had done had been mechanised. That is part of what has happened. Farmers do not need the labour, and they did not need that much labour then.
I am also conscious that the speech that Mr Gove made about reducing the length of summer holidays has rung a number of alarm bells. This clause does not give the department the power to reduce summer holidays, and the department has no plans to reduce summer holidays. It is very much intended to push down to the local level where the length of holidays should be agreed. Schools’ term dates are already determined locally, but in many cases an individual school’s flexibility is constrained by the fact that Section 32 of the Education Act 2002 places responsibility for determining term dates on the local authority. This measure will enable all schools to vary term dates to help pupils, rather than simply following tradition, where there is a compelling need to do so.
Deregulation Bill
Debate between Lord Wallace of Saltaire and Baroness Thornton(10 years, 1 month ago)
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Baroness Thornton (Lab)
My Lords, I agree with the noble Lord, Lord Deben: it rather looks as if the Government put a call-out to each department to offer up two or three regulations for abolition, without much thought about the priority and importance that they might have. I support the stand part debate on Clause 2. Indeed, I put my name to the intention to oppose it, introduced by the noble Lord, Lord Rooker, and supported by the noble Lord, Lord Sharkey. It seems hard to find anyone who supports the inclusion of this clause in the Bill, with the obvious exception of the noble Lord, Lord Curry, and Oliver Letwin.
As noble Lords have said, Clause 2 would remove the power of employment tribunals to issue wider recommendations to employers found to have unlawfully discriminated. I was party to passing that legislation in the Equality Act 2010. Indeed, on my side of the House, the Government of the time would have liked to have had some sanctions attached to this. However, there was a process of negotiation which the Conservative and Liberal Democrat parties agreed to. I make the point to the Committee that this is why we had that recommendation; it had all-party support from all parts of the House at the time.
The EHRC has said:
“We consider that the power to make wider recommendations is an effective way of preventing unlawful discrimination from occurring and helping employers to comply with their duties to treat their employees fairly. The case for … abolition has not been made. Clause 2 of the Deregulation Bill should therefore be removed”.
The Minister needs to explain to the Committee what is wrong with these recommendations. What is his message to the people who went through all the stress and trouble of going to an employment tribunal to right an injustice, as outlined by the noble Lord, Lord Sharkey, and other noble Lords, won there and then find that the employer is not being encouraged to do anything about those of their work colleagues suffering the same wrong? Does the Minister think that they should all go to the tribunal? What does he think should happen?
Finally, regarding the business perceptions referred to by the noble Lord, Lord Curry—it is the second or third time that he has mentioned them in these debates—I have to cite three cases. In Stone v Ramsay Health Care, the tribunal said that there was a “thorough and abject failure” by the employer,
“to have protected the claimant from pregnancy and maternity discrimination”.
It recommended training for senior managers and HR on pregnancy and maternity rights. In Crisp v Iceland Foods, the HR manager’s awareness of mental disability was “no less than woeful”, according to the tribunal. It recommended that those with HR responsibilities and area level managers be trained on disability discrimination rights. In Austin v Samuel Grant (North East) Ltd, the managing director had a long history of sending racist and sexist e-mails and the human resources manager had failed to deal properly with that issue. The tribunal recommended that the employer updated its policies on discrimination and that the directors and managers received diversity training. I cannot quite see what the overwhelming burden on industry is through those recommendations.
Lord Wallace of Saltaire
My Lords, this has been a useful and serious debate. I listened carefully to what the noble Lord, Lord Rooker, said, as he always does his homework extremely seriously—although the suggestion that you could find even a cigarette paper between the approaches which Oliver Letwin and I take to the Bill is one that I find quite remarkable. As a coalition Government, we are absolutely solid and arm in arm.
The noble Lord raised a number of serious questions. First, on the GEO inquiry, the 26 companies were of course under no obligation to reply; those that had the most interest replied. The GEO had taken the need to collect evidence seriously by contacting every employer at that time but there is also a question about the burden on industry and companies that one provides by pushing harder on those issues. Secondly, he raised the question of equal pay audits and how those are compared. As I think the noble Lord may know, an equal pay audit ordered by an employment tribunal is a precise and mandatory requirement, with sanctions for non-compliance, to advance equal pay in the small number of organisations where a breach of equal pay has been found. It is also directly a transparency measure, as it has to be published. By contrast, as has been stated in this debate, wider recommendations in other discrimination cases are effectively discretionary for employers and cannot be imposed.
On the question of how much evidence we have on all this, these wider recommendations have been handed down in fewer than 2% of all successful tribunal discrimination cases since 2010.
On the Red Tape Challenge, I say to the noble Lord, Lord Sharkey, that the presumption is that if the legislation does not serve a useful purpose then it should be removed. The fact that it is not terribly useful but confuses people as it stands is not a reason for leaving it on the statute book.
The noble Lord, Lord Ouseley, in a very helpful and powerful speech, raised the Howard case, which we are all well aware is one of the most difficult cases in this area. I should point out that the wider recommendation was intended for use in those cases where the complainant has left the relevant employer. In this case, as it happens, Miss Howard was still a Metropolitan Police employee, which would mean that the tribunal would still be able to make recommendations that benefited both her and her colleagues in the continuing workforce. Of course, even if Miss Howard had left the Metropolitan Police when the case was brought, it would remain open to the tribunal to express the same criticisms as observations in a non-statutory context.
What the Government are proposing will not result in any reduction in either the rights of complainants or the effective powers of tribunals, nor does it reduce the rights of other employees in the businesses concerned as the wider recommendation cannot be enforced on their behalf. Nevertheless, under the Red Tape Challenge the Government are committed to removing legislation that does not serve any clearly defined purpose, particularly where it none the less creates a perception of burden and unfairness. It is not just a question of those who, as the noble Lord, Lord Rooker, powerfully put it, have broken the law; we are concerned about the perceptions of unduly onerous legislative demands.
The power to make these wider comments, a somewhat anomalous one in a claimant-based adversarial system, came into effect four years ago. It has proved problematic. It is rarely used—we are aware of around 40 cases, as has been said, where they have been made—and trade organisations have told the Government that the power has led to additional cost, and that it is confusing.
Most of the wider recommendations made by tribunals are generic. Of the 40 or so that we are aware of, over 90% concern training for management or the updating of company diversity policies. However, as I have said, tribunals do not have the power to enforce such recommendations. Post-tribunal action is largely taken voluntarily by employers that have lost a discrimination case. Unless it was a one-off incident, business sense would drive changes in workplace practices to avoid a similar case being brought against them in future.
Perhaps I can give a few numbers in the areas that the noble Lord, Lord Rooker, raised. In 2012-13, the Government Equalities Office partnered the British Chamber of Commerce in events across the country, explaining the Act to small businesses. Around 300 businesses attended the events, and a follow-up booklet, Business is Good for Equality, was more widely distributed by regional chambers to their members, which altogether employ around 5 million people. Some 300 businesses attended the 10 short sessions to learn first hand about their obligations under equality law; that is more than seven times the number of employers that have received a wider recommendation in the four years since 2010. I hope that that provides some more detail of the sort that the noble Lord was asking for.
I know that concerns have been expressed that this repeal will reduce protections against discrimination in the workplace. That is not the Government’s intention and it will not be a result of this reform. Tribunals will continue to have the power to make recommendations and observations on their behalf. The question is: has this power done its job? I would say that for the employer, the wider workforce and the business in general, the answer is that it has not. There is instead a very small and unenforceable benefit balanced against the larger cost and the problem of uncertainty for business. I therefore urge that this clause remain part of the Bill.
Ethnic Minorities: Ministers’ Statements
Debate between Lord Wallace of Saltaire and Baroness Thornton(10 years, 9 months ago)
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Lord Wallace of Saltaire
My Lords, I think the noble Lord is referring to the EU balance of competences review, particularly the free movement of persons report. In view of the considerable uncertainty about the impact of the free movement of persons this January, it was felt that we should postpone that paper until the third semester, this coming summer, to make sure that we had accurate figures.
Baroness Thornton (Lab)
My Lords, the Question of the noble Lord, Lord Avebury, concerns all democratic parties, and how we ensure that racists and extremists are pushed back into the political margins where they belong. Are HMG committed to ensuring that all their Ministers have a self-denying ordinance not to pander to the racists by echoing their messages for short-term gain? Secondly, how will HMG ensure that our laws to combat racism and xenophobia are reflected in the language that their Ministers and MPs use?
Lord Wallace of Saltaire
My Lords, the Ministerial Code is entirely clear on the way in which Ministers should behave. I am not aware of many other occasions on which such language has been used. Ministers are extremely careful about references to particular communities, migrants or others. We all understand how very delicate this area is.