Seafarers’ Wages Bill [Lords]

Debate between Luke Pollard and Mark Harper

Monday 19th December 2022 Commons Chamber

[Mr Harper]

We think the definition in the Bill at the moment will capture the vast majority of the services we wish to capture. We think that defining that in the way that we have makes it more difficult for people to avoid than it would be if we were very specific about types of vessels, for example. I am conscious that a number of people wish to speak in this debate, so I will make a bit of progress before taking any further interventions.

We said from the start that where new laws were needed, we would create them, that where legal loopholes—which the hon. Gentleman referred to—were cynically exploited, we would close them, and that we would strengthen employment rights. That is why the Bill is important. Operators of regular services to the UK will be required to pay their crew a decent wage if they want to access our ports, and it will remove the incentive for other, unprincipled firms to drag down pay for seafarers with close ties to the UK.

Under the existing national minimum wage legislation, not all seafarers who regularly call at UK ports are currently entitled to the UK national minimum wage. It cannot be right that seafarers who frequently work in the UK and in our territorial waters are not entitled to the same as other workers simply because they work on an international, rather than a domestic, service. The Bill will fix that particular issue. I recognise that there are other issues that people wish to deal with, but the Bill deals with that. It does not amend the National Minimum Wage Act 1998, but it makes provision for seafarers on services in scope of the Bill to be paid at least a rate equivalent to the national minimum wage.

Since March, we have consulted extensively with the industry to make sure the measures we are discussing are workable. Those discussions have been productive and are continuing. As was just alluded to, the legislation will apply to international passenger or freight services that call at UK ports on at least 120 occasions in a year, which equates to 72 hours on average. Harbour authorities will be empowered to request declarations from operators of services to confirm that they pay their seafarers no less a rate than that equivalent to the national minimum wage. If they do not provide that declaration when requested, harbour authorities will have the power to impose a surcharge, or may be directed by the Secretary of State to do so. It will not be a profit-making exercise for harbour authorities. They may only use the money raised from the surcharge for the discharge of their functions or for provision of shore-based seafarer welfare facilities.

We hope the surcharge is never required. The point of it is to be a disincentive to operators paying low wages. It will be set at such a rate that it does not make financial sense for operators to underpay staff. If they do not pay the surcharge when it is levied, harbour authorities will be empowered to deny access to the port. That will not be an onerous responsibility for harbour authorities; beyond accepting the declarations, they will not be responsible for checking the details of seafarers’ pay. The enforcement role will be carried out by the Maritime and Coastguard Agency, which will undertake inspections and investigations and, if necessary, prosecute offending operators.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

I am curious about denying access to ports. What consideration has the Secretary of State given to granting powers to detain a ship in port? Denying an operator access to a port may simply mean that it moves to a different port of the United Kingdom; detaining a ship would mean much greater risk for the operator, which will surely mean greater compliance.

[Mr Harper]

We judge that the risk of operators moving to or operating out of a different port is relatively small. The routes on which they operate are the profitable ones, so ceasing to operate on them would not make business sense. We think that denying access to a port is a proportionate response to the problem, so we have settled on that measure as the appropriate solution.

We will draw up regulations and guidance setting out further details of how the legislation will work. They will be subject to consultation to ensure that our measures are practical and effective and that people cannot avoid them. Feedback from the industry has been crucial throughout the process. Ferry operators told us that inclusions or exclusions based on type of service would create market distortion and ambiguity, so the only specific exclusion in the Bill is for

“a service that is for the purpose of leisure or recreation, or…a service provided by a fishing vessel.”

--- Later in debate ---

[Mr Harper]

The hon. Gentleman makes a very good point that illustrates why I will have legal powers to enforce whether a port levies the surcharge: to deal with any issues where there is a conflict. He makes a perfectly fair point, and we have thought about how to deal with it.

Our analysis shows that the arrangement that we have set out will capture the vast majority of ferries to the UK, but without including services such as deep-sea container services or cruises. Those services will remain out of the Bill’s scope, because they do not call at UK ports frequently enough that the seafarers working on board could be said to have sufficiently close ties to the UK.

We will continue to engage with industry throughout the passage of the Bill. We intend to consult on regulations and supporting guidance, which will include setting the framework within which harbour authorities will set their tariffs for surcharges and the method of calculating the national minimum wage equivalent rate.

It is important to remember that the Bill is just one part of a wider plan to protect seafarers’ welfare. It will not solve all the issues brought to light by P&O Ferries’ actions, but it is an important step. That is why we continue to discuss seafarer protections and welfare with a range of close European partners, including discussions about the creation of minimum wage equivalent corridors to encourage the payment of fair wages on entire routes. To continue to improve the protection of working conditions for seafarers, we are developing the voluntary seafarers’ charter.

[Luke Pollard]

There has been a race to the bottom, with P&O Ferries creating a toxic culture, but not all ferry companies are doing the same. Brittany Ferries operates out of Plymouth; it provides a significant lifeline route between Plymouth, Roscoff and Santander that is vital for our exports of agriculture and fisheries products. Does the Secretary of State agree that it is not about P&O Ferries alone? There are examples of good practice among UK ferry operators; it could well be improved, but it is good practice. The race to the bottom that P&O Ferries started is not one in which all UK and French ferry operators want to participate.

[Mr Harper]

The hon. Gentleman raises a very good point. The point of the Bill and the nine-point plan is to ensure that ferry operators that want to operate in a responsible way are not forced out of business or forced to drop their standards by unscrupulous operators. He also makes the point that services to Plymouth are incredibly important; speaking as a south-west Member of Parliament myself, I want to make sure that they can continue.

Parliamentary Constituencies (Amendment) Bill

Debate between Luke Pollard and Mark Harper

2nd reading: House of Commons
Friday 1st December 2017 Commons Chamber

[Mr Harper]

My hon. Friend is right, but I do not want to dilate too much on the other place as I am still pursuing the first argument that the hon. Member for Manchester, Gorton made in favour of his Bill.

The second part of the hon. Gentleman’s first argument, which dealt with trust in politics, was about the size of constituencies. He was talking about their geographical size. We obviously represent physical parts of the country, but it is the people in those constituencies that we represent, not the spaces. My hon. Friend the Member for Telford (Lucy Allan) agreed with his proposition that we should have seats of broadly equal numbers of constituents, because it is only then that the weight of those constituents’ views can be broadly the same across the country. That proposition was espoused by the Chartists many years ago.

We obviously do not want exact electoral equality between constituencies, because we have to take into account other important factors, which I will say more about in a moment, but we need to have broad equality. When we brought forward the original legislation, we set a range of +/-5%, which means that the number of constituents could vary by 10%. I want to give the hon. Member for Manchester, Gorton some credit here. The former Member Pat Glass brought forward a similar Bill almost a year ago—this is a sort of anniversary of Labour’s attempt to go backwards in terms of sensible boundaries—and she set a range of +/-10%, which would have given a 20% variance. I welcome the fact that the hon. Gentleman thought that that was too big and has reduced the range to +/-7.5%, giving a 15% variance. That is of course welcome; when someone moves in your direction, it would be churlish not to give him credit for doing so.

We need to stick fairly rigidly to broad equality, but boundary commissions can take into account a number of other factors. My constituency neighbour across the water, the hon. Member for Stroud (Dr Drew), seemed to suggest that boundary commissions could not take into account any of those considerations. He talked about those things being swept away completely. It is worth going back to the legislation, which makes it clear that they have to stick to the rule about broad equality but can take into account special geographical considerations, local government boundaries, boundaries of existing constituencies, any local ties and any inconveniences attached to them. They can take all those factors into account.

Obviously, we are not talking today about the specific proposals brought forward by the boundary commissions, but I have taken a cursory look at the changes that they have made. It is clear from the evidence they have taken, and the changes they made between their initial proposals and their subsequent proposals, that many local people made clear representations about the factors I have just set out. The boundary commissioners listened to those concerns and made significant changes as a result.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

Notwithstanding what the right hon. Gentleman has just said, does he acknowledge that the boundary commission is still proposing a “Devonwall” seat, which ignores the strong identities of Devon and Cornwall and matches them together, and which would be truly unpopular?

[Mr Harper]

I am familiar with that issue. The hon. Gentleman might not be aware that when we were originally taking the legislation through, that issue was raised with me by colleagues from both Devon and Cornwall. Indeed, I think this was the issue that prompted my right hon. Friend the former Member of Parliament for Witney and Prime Minister to make his unfortunate comment about the width of the River Tamar, which got him into a bit of hot water with colleagues from both Devon and Cornwall and which I think he may have come to regret. We had a debate about the issue, and I recognise that my views were not entirely popular, but it was about ensuring that areas were properly represented. One solution put forward by the then Members in Cornwall constituencies was to have less representation in this House. As the Minister responsible, I did not think that that was very sensible. I think that people should be represented properly.

The hon. Member for Birmingham, Perry Barr and others have spoken about local government boundaries. It is worth remembering that we are not proposing to move constituents anywhere. If there are changes to parliamentary boundaries, the constituents do not move. The councils that they get their local services from do not move. The only inconvenience in this process is that, heaven forfend, Members of Parliament might have to talk to an extra local government chief executive. Most of my constituency is coterminous with the Forest of Dean District Council, and I liaise with the officers and elected councillors of that council, but one of my wards is in the borough of Tewkesbury, which I share with my hon. Friend the Member for Tewkesbury (Mr Robertson). That one ward contains just under 4,000 constituents, who are important to me, as are all my constituents. It means that I have to spend time dealing with another set of councillors and local government officers, but I do not find that to be enormously troublesome, and it causes my constituents no inconvenience at all. I suspect that they spend absolutely no moments in the day thinking about it.