“Chapter 4A

Munira Wilson Excerpts

Tuesday 11th March 2025 Commons Chamber

[Justin Madders]

Yes, but the hon. Member forgets the fact that we are removing the waiting days. With the provisions on the lower earnings limit going, 1.3 million people will be accessing statutory sick pay. We think that that is the right balance and that it will leave people in a much better position. Of course, it is something that we will always continue to review.

Moving on to umbrella companies, we are aware of non-compliance in this market, where umbrella companies can be responsible for denying employment rights to those who work through them. New clause 36 will allow for the regulation of umbrella companies and for enforcement by the Employment Agency Standards Inspectorate, and subsequently the Fair Work Agency. The specific requirements on umbrella companies will be set out in the relevant regulations, which set out the minimum standards of conduct for employment agencies and employment businesses. We will consult before amending these regulations, and we are committed to working with the sector to ensure that future regulation works effectively for umbrella companies. The amendment marks an important step towards ensuring non-compliant umbrella companies are no longer able to deny workers the rights they are owed.

The Government are moving a range of amendments in relation to part 3 of the Bill, which covers the adult social care negotiating body and the school support staff negotiating body. On the SSSNB, the Government are moving two technical amendments to correct incorrect cross-references. The body is an important part of delivering both the Government’s “Plan to Make Work Pay” and our opportunity mission. The Government will today commit to consult in the summer on whether agency workers should be brought into scope of the SSSNB in future legislation to support those missions.

[Munira Wilson (Twickenham) (LD)]

Could the Minister clarify for the House whether the provisions on the school support staff negotiating body will provide a ceiling as well as a floor on pay, or will it just be a floor? There are certainly a number of school and academy leaders who say they want to pay above what the Government might recommend for support staff and that this may limit them from doing so.

[Justin Madders]

That was debated in detail in Committee. My understanding is that there will be a floor, but there will not be a ceiling. If I am wrong about that, I will come back to that. We absolutely think that a floor is needed given some of the issues with low pay in this country.

Amendments to the adult social care negotiating body provisions will remove clause 42, thereby removing the power to make stand-alone enforcement provision in respect of the agreements reached by negotiating body. Enforcement of pay terms under agreements will instead be in the remit of the new Fair Work Agency under schedule 4.