Statutory Shared Parental Pay (General) Regulations 2014

Debate between Lord Young of Norwood Green and Baroness Brinton

Monday 10th November 2014 Grand Committee

[Baroness Brinton (LD)]

My Lords, the legislation in the Children and Families Bill went through extremely smoothly. In fact, I think it was one of the smoothest things I have seen in the four and a half years since I came into the House because all sides welcomed the introduction of parental leave. Just looking at noble Lords around the Grand Committee, I do not remember any amendments at all during the passage of the Bill, which was very encouraging. I am principally glad—I am delighted that my noble friend outlined this at the start—that the interpretation of “family” in Regulation 3 gives a clear picture that it comes in all shapes and sizes, including same-sex partnerships. The issue about the family unit is a difficult one but I hope this also covers the point made by the noble Baroness, Lady Turner, that a family is not always at the same address. Recognition of that about the family unit is most important and is a major step forward for government. Let us hope that employers are as encouraging. I am delighted to see that adopters have the same entitlement to leave. It is even more essential when a child may have had a distressing start to their life to be able to have that relationship with both of their new parents.

I have two questions, which are not so much about the regulations but about their application. The first relates to Regulation 17, which modifies the eight-week regulation where a child is born early. I have a nagging worry that employers might use these regulations to be less than compassionate to a partner where the mother and the baby might still be in hospital. If the baby is in a neonatal intensive care unit, could the employer say, “Well no, the mother is using the leave and therefore you can’t”? It is quite possible these days for a baby to be in a neonatal intensive care unit for more than the eight weeks covered by the early period after birth. The second question refers to the following regulation, on change of circumstances. Can the Minister provide some reassurance that there will be monitoring of employers saying that it is not convenient to change arrangements at fairly short notice? If this becomes a default reason for refusing change, it will be defeating the object of the regulations.

Part 5, on taking shared parental leave, includes a regulation looking at protection from detriment. There is some concern over the right to return after shared leave in Regulation 41 that the job the partner can go back to is broadly in sympathy with the job that the mother can return to. I think it would be wrong for a partner to have a less robust facility to go back to their prior job. It would be reassuring to hear that that is the case.

Will there be codes of practice for employers on how they can liaise with each other when dealing with this arrangement between a mother and a partner trying to break down the leave between themselves, particularly in relation to statutory maternal/paternal pay?

On a positive note, I know of at least one young couple who have delayed starting their family until this comes into place because the partner works for a very open-minded organisation and he would like to test it on extended parental leave at a fairly early date.

Finally, we need some really good evidence of how this is being used to encourage employers and prospective parents that this is something that will really change the nature of a child’s first year’s relationship with both their parents.

[Lord Young of Norwood Green (Lab)]

My Lords, I thank the Minister for his comprehensive reply. I do not know whether this is his first time in this Room. If it is—I think it must be—I offer him a warm welcome. My only complaint is that the progress made under the previous Government was given rather short shrift, if the Minister does not mind me saying so, so I will give a little historical background. The Labour Government transformed rights for women and families in order to help them balance earning a living and caring for their family. Over 13 years, Labour extended paid maternity leave to nine months and the right to take maternity leave to 12 months and gave new entitlements to paternity leave and pay for fathers.

The Labour Government also introduced the right to request flexible working. In 2009, this was extended to parents with children up to the age of 16. We introduced a right to request flexible working to people with caring responsibilities for disabled or elderly relatives and to parents with disabled children up to the age of 18. We ought to remember that David Cameron and the Conservatives voted against the introduction of paternity of leave, the extension of maternity leave and the right to request flexible working. I always welcome a Government having a Damascene moment, and I am glad that the Government are on board, as they nowadays are, with the minimum wage.

We support today’s regulations to reform the work-life balance for families. We think they are positive and comprehensive legislation. As I worked my way through them, I admit that they started to make my cerebral cortex ache with the various circumstances that might apply. The Government have tried comprehensively to account for more or less every circumstance that one could think of. Shared parental leave is a step towards levelling the playing field for fathers, and that is to be welcomed. The Minister talked about facilitating a cultural shift. That is an ambitious project and it takes time, but I think it is the right thing to say. I do not say that in a derogatory way. That is what we are trying to do. The Minister drew out some points, including the importance of maintaining links with work. Today, both fathers and mothers, but principally women, want to continue careers. I also welcome the fact that we now have a situation where both parents can be at home, using that curtailment. There is flexibility.

I also recognise that this is a challenge for employers and that they will need adequate notice. The noble Baroness, Lady Brinton, made a valid point about the need for a code of practice or guidance, given that there will be different employers.

Returning to the point about facilitating a cultural shift, we would be interested in hearing from the Minister what the Government will do to promote shared parental leave, because we will have to promote it. We know from the data available for the first two years of additional parental leave that only an estimated 1% of eligible fathers took it, so a cultural shift takes time.

The Government estimated in their impact assessment that between 2% and 8% of fathers would take up shared parental leave. However, experts claimed that that figure was optimistic. As I said, only 1% of fathers have taken additional parental leave, which shows that even the lower end of the Government’s estimate looks optimistic. That takes us back to what positive steps the Government are taking to promote this.

Enterprise and Regulatory Reform Bill

Debate between Lord Young of Norwood Green and Baroness Brinton

Tuesday 26th February 2013 Lords Chamber

[Baroness Brinton]

My Lords, I support many of the points made by the noble Baroness, Lady Turner. Indeed, I made some of them in Committee. One of my particular concerns was the issue of diversity and ensuring that lay members were able to inform a judge of their experience of employment practice and diversity than may be apparent to a judge sitting on his or her own.

I welcome the government amendments. In particular, it is extremely helpful to have spelt out the equality of employer and employee representatives, whether it is two or four. I am grateful for that.

I have a question based partly on the noble Viscount’s comments and on the concern of the noble Baroness, Lady Turner, about what the government guidelines will be for when a judge may not sit on their own. I reiterate my support for the government amendments—they go some way—but we still need some clarification.

[Lord Young of Norwood Green]

My Lords, I thank the Minister for addressing the specific concerns that we raised in Committee. I wish to put that on record. Obviously, I share some of the concerns of my noble friend Lady Turner, which were echoed in part by the noble Baroness, Lady Brinton, who, in her usual forensic way, rightly drew to our attention not only the question of diversity but the guidance that should be issued. I, too, will be interested to hear the Minister’s response on those aspects.

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[Baroness Brinton]

My Lords, I rise briefly to say that the noble Lord, Lord Lea of Crondall, has exposed a problem with the practical arrangements that have come up through the 10% trigger. I, too, studied the Warwick Business School research, which makes a valuable point—which perhaps the CBI missed—about the combination of having documentation available and also having pre-meetings so that employees can get together to discuss issues and to be well informed. This is a particular problem for very large companies on split sites. I would be grateful if the Minister would explain the response that there might be in order to overcome this problem. Even if it is not helpful to enact it in legislation, perhaps the Government might encourage the members of the CBI to relax the trigger or make the facility such that it is not such a barrier, because clearly this is an issue.

[Lord Young of Norwood Green]

My Lords, I will be brief because my noble friends Lord Lea and Lord Monks covered the territory very well. I was glad to see that they received some support from the noble Baroness, Lady Brinton. I doubt that the Minister will rush to fully embrace the suggestion that the 10% trigger should be changed. However, one thing that the previous Government did and that this Government have maintained is employee engagement. Many statistics demonstrate that the more companies engage with their employees, the more they will improve their productivity. That was demonstrated in 2007-08 when companies were in serious trouble and there was a very positive response from trade unions. Therefore, there is a justification for the proposal made by my noble friend Lord Lea and supported by my noble friend Lord Monks, and I await with interest the Minister’s response.

Enterprise and Regulatory Reform Bill

Debate between Lord Young of Norwood Green and Baroness Brinton

Thursday 31st January 2013 Grand Committee

[Lord Young of Norwood Green]

These amendments, which relate to collecting societies, are sensible measures. Clearly, the bodies should act in the public interest and it would be outrageous if they did not have rights holders on their governing bodies. I am sure that the Government will say that this is detail for secondary legislation and they may be right, but for what it is worth we support the noble Baroness.

[Baroness Brinton]

My Lords, Amendments 56A and 56B would require the Government to ensure that regulations governing collecting societies required them to have user representation on their governing bodies if they wanted to grant extended collective licences. This is born of frustration with the operation of some collecting societies, which in effect already grant extended collective licences—the CLA, for example.

As has been mentioned, the societies are in a monopoly position. Universities negotiate licences with the CLA for the use of books, journals, magazines and so on. They have no alternative. If they do not like the terms of the licence that they are being offered, the only thing that they can do about it, once negotiation has been exhausted, is to go to the Copyright Tribunal, a very expensive and time-consuming process. If collecting societies are to get extensive new rights to offer licences for works which have not been produced by their members, they should also have new duties to act in the interests of their stakeholders and users and ensure that the public interest is also served.

It is important to bear in mind that a large volume of the work we are talking about here will never have been produced with financial returns in mind. It would be wrong for collecting societies representing these works to seek to maximise the commercial return on this kind of material. They should balance the interests of their members, the majority of whom will want financial return for their work with the interests of the producers of the unrepresented work which may not be financial at all.

These amendments are obviously intended to probe the Government and I will be interested to hear the Minister’s views.

Enterprise and Regulatory Reform Bill

Debate between Lord Young of Norwood Green and Baroness Brinton

Wednesday 5th December 2012 Grand Committee

[Baroness Brinton]

My Lords, the terms under which ACAS is strengthened are very important, but first I want to reiterate a point I made at Second Reading and to which the noble Baroness, Lady Donaghy, has already referred: it is important to ensure that resources are available right from the start, not just post fees starting to trickle in. When I was a senior county councillor some years ago, I recall that we always believed in the principle of good housekeeping. If the funding of this is based on reducing the costs involved in employment tribunals over the longer run, there is clearly a cash flow problem in business terms before any savings can be made. It is vital that ACAS is staffed and resourced appropriately, so that it is able to pick up the ball and run with it.

I turn to the point made by the noble Lord, Lord Morris. I believe that ACAS is in exactly the right position. One of the great strengths of this Bill is that it recognises that going to mediation before the long wait—I have been involved in EATs both as an employer and as an employee in the past—is the better course. It can sometimes take up to two years for a case to be heard, and that is not good for either side. Early mediation is a good way of resolving this. My knowledge of ACAS over the years leads me to believe that it is in a perfect position to do this.

While I have sympathy with the amendment, I am not sure that it needs to be written into the Bill, but I would hope that the Secretary of State would automatically want to review something like this to ensure that it is actually providing the resources that are needed.

[Lord Young of Norwood Green]

My Lords, I support the amendment. I am still trying to get my head around the vision of the noble Lord, Lord Marland, as a recruiting sergeant, and I look forward to seeing him at the next factory gates recruitment session. More seriously, this is an appropriate amendment given the background against which the further involvement of ACAS is taking place. Let us be clear on the principle of what the Government are doing. We are at one with the principle of involving ACAS in mediation and conciliation. There is no argument against that. But, as a number of my noble friends have said, if the Government want the ends, they have to will the means. That is the real concern behind the amendment.

As my noble friend Lord Monks said, it is being introduced against the backdrop of a number of other changes being made to workers’ rights, such as the extension of unfair dismissal to two years and the introduction of fees. A lot is going on in this area. We are not opposed to the principle, but we are concerned about whether there will be enough resources. Although the noble Baroness, Lady Brinton, talked about a review, we are actually talking about the anticipation of an impact assessment. We agree about the need for a review, but that will take place in another amendment. I would be interested if the Minister could tell us what the effect of introducing conciliation right across the board will be. Has the situation already been assessed?

It could be said that to a certain extent this is a probing amendment, but we regard it as a serious one. Our concern is that if you want the involvement of ACAS and if it is going to function in a way that will enable it to carry out a conciliation and mediation role, we all need to be assured that the service has the necessary means to do it.

I look forward to hearing from the Minister as to whether the Government have assessed the impact of this issue, including on other areas such as fees. What do they see as the necessary resource requirements of ACAS in its new situation?

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[Baroness Brinton]

My Lords, I want to make it clear that I do not consider Clause 12 to be “Beecroft-lite”, whether that term is acceptable or not to my noble friend. I hope that there might be some information from the Minister to confirm that, but that was certainly not how I read it.

I want to raise a particular question and I apologise for not having given notice of it; I am more than happy to receive a written answer. I understand that an offer of a settlement agreement could not be used as evidence in an unfair dismissal claim but could be used as evidence in a discrimination claim. It is not unheard of at tribunals to hear both at the same time; therefore, which would take priority?

[Lord Young of Norwood Green]

My Lords, I want to respond to a couple of points that have been made. I am happy to delete “Beecroft-lite”, if that is causing the noble Lord, Lord Deben, to break out in a rash. The plain fact is that as a result of the introduction of this clause, an employee can be called to a meeting without advance notice of the topic or a formal grievance between the employer and employee, and be presented with a proposal for them to leave their employment for a small payment and after signing a confidential settlement agreement.

I hesitate even more to dispute or cross swords with the noble Lord, Lord Phillips, because in some ways I do not feel qualified to do so. However, it is quite relevant that you should be accompanied by someone if you are going to be called to such a meeting. Perhaps we do not have the wording absolutely right and we will take that into account, but I am merely describing the situation that the amendment was intended to react to, and I apologise if it is not exactly right. However, I agree with my noble friend Lord Monks that this fundamentally changes the nature of employment. As my noble friend Lady Donaghy said, if we really want to give employers some helpful advice on employment relationships, this is not the route that we should going down or the advice we should be giving them. It represents all the negatives.

I am fascinated that termination of employment is the most important thing to focus on as the answer to our current employment problems. When the Chartered Management Institute tells me that only one in five managers receives any training at all these days, I consider that to be a far more important area for us to focus on. I do not make any apologies for the amendment, even though it may not be precisely right. The clause fundamentally changes the nature of the employment situation. In answer to the noble Lord, Lord Brooke, on whether the amendment is unbalanced, we do not think it is. The clause as currently drafted is unbalanced because the employer has the right to call you in without any prior notice and for no apparent reason, and suggest that your employment should be terminated. If only employers could get their contracts of employment, their training and their appraisal procedures right. From my experience of dealing with employers, that is the sort of advice that we should be giving them.

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[Lord Young of Norwood Green]

I will be very brief. I think my noble friend Lady Turner has expressed our concerns quite clearly. I await with interest the Government’s assurances that they want to get this right. As it stands, we will obviously be returning to this clause on Report.

[Baroness Brinton]

I am sorry, I am trying to stand up but I am not very fast. I want to add to the comments made by the noble Baroness, Lady Turner of Camden, about matters other than straight salary. The pension pot is one of them, but there are others that need to be taken into account, and I wonder if this has been overlooked or if it is intentional. If it is intentional, I would have real concerns, particularly about some of the pension issues.