Universal Credit and Personal Independence Payment Bill

Debate between Nadia Whittome and Neil Duncan-Jordan
Nadia Whittome Portrait Nadia Whittome (Nottingham East) (Lab)
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I rise to support my new clause 10, as well as a number of other amendments tabled by my right hon. and hon. Friends, including new clause 8, new clause 11 and amendment 38.

I welcome the concessions that the Government have made to the Bill, which I will be supporting. I pay tribute to the disabled and chronically ill people whose tireless campaigning led to those concessions—I have been proud to stand with them. However, the changes do not alleviate all my concerns about the Bill. One in three disabled people are already in poverty. The Bill, even after the Government’s amendments, would take around £3,000 a year from the disabled people of the future, at a time when the extra cost of being disabled is set to rise by 12% in the next five years.

The Government’s analysis states that the measures in the Bill will lift 50,000 people out of poverty. However, analysis from the Joseph Rowntree Foundation and the New Economics Foundation shows that they would actually push 50,000 disabled people into poverty. We know that benefit cuts and loss of payments help to trap women experiencing domestic abuse, make children grow up in poverty and even cost lives, like that of my constituent Philippa Day, who died from a deliberate overdose after her benefits were wrongly cut.

This is particularly pertinent to those with fluctuating conditions, who risk losing LCWRA status during periods of temporary improvement. That is why amendment 38 is so vital, as it would ensure that they are protected. Even with the Government’s concessions, not a single disabled people’s organisation supports this Bill. It is at the request of the disabled people’s organisations forum in England that I have tabled new clause 10, which would require the Government to publish a human rights memorandum before the Bill can be enacted.

No analysis of the impact of the Bill on the human rights of disabled people has been published so far. Last year, the UN found that there had been further regression in the “grave and systemic violations” of disabled people’s rights in the UK, which it reported on in 2016. Last night, the UN wrote to the Government to say that it had “received credible information” indicating that the Bill will “deepen” that regression. We should not proceed with the Bill as it stands.

Disabled people’s organisations remain sceptical about the Timms review into PIP. I am hopeful that the Government will support the amendment tabled by my hon. Friend the Member for Penistone and Stocksbridge (Dr Tidball), which would make provision for commitments around co-production and oversight. They must also support new clause 8, which would ensure that changes from the Timms review are introduced as primary legislation. That is essential in ensuring democratic scrutiny—otherwise, MPs will not be able to amend or vote on the legislation. It would also prevent a reduction in eligibility for PIP, which we know would be disastrous and which motivated so many of us on the Government Benches to call on the Government to think again.

I joined the Labour party because of what I experienced and witnessed growing up as a child and a teenager under the Conservatives. As a disabled MP, I have first-hand experience of the disability benefits system. We have all met constituents who are already not getting the support they need. The question today is this: do we let their number grow? If the answer is no, I urge Members to support the amendments that would strengthen protections for disabled people and, ultimately, to vote down this Bill.

Neil Duncan-Jordan Portrait Neil Duncan-Jordan (Poole) (Lab)
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I rise to call for the removal of clauses 2 and 3 from the Bill, because I think they get to the heart of the unfairness contained within it.

There can be no doubt for those of us who were here last week that trust was eroded between the Government and disabled people’s organisations—that trust will need to be slowly rebuilt over the coming months. We should therefore recognise that a positive step in that direction is the Government’s decision to pause on the issue of PIP reform and to place those decisions in the hands of the Timms review. However, that is not enough, because the Bill still contains a proposal to cut £2 billion from the universal credit health element for more than 750,000 future claimants.

From next April, we will have created a two-tier benefits system based not on health needs, but on the date when a claim was made. In fact, there are already nearly 4.8 million disabled people living in poverty today across the country. That is a damning indictment of our welfare system and should be a wake-up call to bring that number down, not to make it go even higher.

The numbers are stark. Taking £3,000 a year, or £250 a month, from disabled people’s income will force families to a crisis point and into further reliance on food banks. The Joseph Rowntree Foundation claims that if the cuts are not removed, an additional 50,000 people will be forced into poverty. Even before this cut, three quarters of all universal credit health element recipients are already experiencing material deprivation and are unable to afford the essentials on which to live. If we are serious about genuinely reforming the benefits system and putting disabled people and their organisations at the heart of any changes, I cannot see why the health element of universal credit would not also be part of the Timms review.

Employment Rights Bill

Debate between Nadia Whittome and Neil Duncan-Jordan
Neil Duncan-Jordan Portrait Neil Duncan-Jordan (Poole) (Lab)
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I draw the House’s attention to my entry in the Register of Members’ Financial Interests.

Having been a trade union activist for 40 years and a regional official, I have a genuine sense of pride in seeing the Bill make its way through Parliament. It is truly transformational and seeks to address the imbalance that has existed in the workplace for far too long. Many of the amendments before us strengthen existing rights so as to ensure that unscrupulous employers are unable to frustrate, delay or act unreasonably when dealing with their workforce, either collectively or as individuals.

Other amendments, such as new clause 101 in my name, seek to introduce new rights and protections for groups of workers who have hitherto been forgotten or overlooked. My new clause calls for the establishment of a regulatory body for foster carers. Currently, those who employ foster carers—local authorities, charities and independent fostering agencies—also serve as de facto regulators, with the power to register and de-register workers. That puts too much power in the hands of the employers, and, according to the foster carers branch of the Independent Workers Union of Great Britain, it illustrates a structure within the sector that fails to bring consistency, transparency, fairness or decent outcomes for the children and young people in their care.

A new regulatory body would therefore accredit educational institutions to provide standardised training courses. Once completed, those courses would remain on a carer’s work record. At the moment, every time a foster carer starts with a new provider, they are required to do the training again. That is both unnecessarily costly and time consuming. The body would also be responsible for maintaining a central register of foster care workers, and would ensure proper standards of care and deal with fitness-to-practice cases. As with the very best regulatory bodies, it would include those with lived experience of foster care.

One of the key roles of that proposed body would be to standardise the employment rights available to carers, such as maximum working hours, entitlement to statutory sick pay and protections against unfair dismissal, while also considering the important issue of collective sectoral bargaining. Through that, we would hope to see improvements in pay, minimum allowances, holidays and pension entitlements. As the UK continues to lose foster carers at an alarming rate, now is the time for that basic oversight, which will help to ensure we have enough safe and loving homes for the vulnerable children who need them.

My amendments 316 to 323 relate to the issue of redundancy. Over the years, I have negotiated with a number of employers over hundreds of redundancies, and I am seeking to improve the legislation based on that first-hand experience. Amendment 316 would require an employer to hold meaningful consultation even if they were preparing to make fewer than 20 staff redundant—something that many good employers already do, of course—whereas amendments 317 and 318 would introduce greater sanctions for those who fail to consult properly. Amendment 319 would treat workers dismissed under fire and rehire as having been made redundant and would ensure that they receive greater remuneration as a result.

Amendments 320 to 323 all seek to improve the level of redundancy pay by removing the 20-year cap on entitlements; by ensuring that someone with 10 years and six months’ service, for example, receives 11 years’ redundancy pay rather than 10; by basing the statutory redundancy calculation on months rather than weeks; and by ensuring those with less than two years’ service also have the right to redundancy payments.

Of course, there are many reasons why redundancies occur, but at the moment, the rules and sanctions around this issue enable some unscrupulous employers to exploit the situation and treat their staff unfairly. These amendments seek to address that imbalance, and I hope the Government will consider ways in which the issues I have highlighted can be included in the legislation.

Nadia Whittome Portrait Nadia Whittome
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I am a proud trade unionist, and I refer to my entry in the Register of Members’ Financial Interests.

I commend the Minister and the Deputy Prime Minister for introducing this landmark legislation, as well as my hon. Friend the Member for Middlesbrough and Thornaby East (Andy McDonald), who did a huge amount of work on it as shadow Minister. All of them have dedicated their lives to standing up for working people, and this Bill is a culmination of that work and the work of trade unionists over many, many years.

I would like to speak in support of new clause 73. My own experience of taking time off work as an MP and the contrast with the experience of those on statutory sick pay made it clear just how badly reform is needed. Some years ago, when I needed to take a leave of absence because of the severity of my post-traumatic stress disorder symptoms, I received full pay and a phased return, but for many workers, that is a million miles from their experience. The UK has some of the worst sick pay entitlements in Europe. The fact that the Bill means that sick pay will be paid from day one, instead of after day three, is very welcome, as is the removal of the eligibility threshold, increasing access for more than 1 million low-paid workers. However, we must acknowledge that without increasing the rate, the low level of statutory sick pay will continue to place a terrible burden on those who are already poorly paid. That is why amendment 7, tabled by my hon. Friend the Member for Bradford East (Imran Hussain), is so important.

Those are far from the only issues. Another problem is the inflexibility of statutory sick pay, and that is why I have worked with the mental health charity Mind to table new clause 73. More than 8 million working-age people have long-term health conditions and experience challenges at work. Statutory sick pay currently does not allow for a proper phased return or for workers to reduce their hours during periods of ill health. Statutory sick pay can only be paid for a full day of sickness. If a worker needs a half day, for instance, SSP cannot be used to cover the hours they are not working.

If we force people to return to work before they are ready, whether that is because they cannot afford to remain on statutory sick pay or because a phased return is not an option for them, they are far more likely to be trapped in a cycle of poor mental wellbeing and to fall out of work completely. New clause 73 would mean that sick pay was paid pro rata, by hours rather than days, to allow for that greater flexibility.

Years of successive Government reviews have come to the same conclusion: a flexible statutory sick pay model would improve lives and better support people to remain in work. I have appreciated Ministers’ engagement with me on this issue, and I hope the Government will commit to looking at it further, especially as the cost to the Government would only be administrative. However, the impact it would have on people’s lives is huge.

The Labour movement fought long and hard for the right to sick pay and proper support for those with long-term illness and disability, whether in work or not, because our movement and our party exists to stand up for the whole of the working class. At a time when more people are affected by sickness and disability, it is crucial that this Government support them and do not scapegoat them for the failures and the political choices of the Conservative party.