Tuesday 5th February 2019

(5 years, 5 months ago)

Westminster Hall
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Stewart Malcolm McDonald Portrait Stewart Malcolm McDonald (Glasgow South) (SNP)
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I beg to move,

That this House has considered the use of unpaid work trials at the outset of employment.

Thank you very much, Mr Hollobone; it is always a pleasure to see you in the Chair. Hon. Members will know of my longstanding interest in this issue, having introduced a private Member’s Bill on it after the 2017 election: the Unpaid Trial Work Periods (Prohibition) Bill. Unfortunately, and I hate to start on a sour note, my Bill was talked out by the Minister’s predecessor, the hon. Member for Burton (Andrew Griffiths), when he was in post. I am an optimist, however, and I am optimistic that the new Minister will drive us in a different direction, see the gravity of the problem, and bring forward the necessary legislation to prevent that exploitation from continuing.

There are many people—not just in this House, but outside it as well—whom I should thank for their input during my preparations for that Bill and for this debate, and during my long campaigning on the issue, but I will single out one campaign for mention: Unite’s “Better Than Zero” campaign. It has been at the forefront of not only challenging the use of unpaid work trials, but putting forward a credible alternative to exploitative work practices, with a particular focus on the hospitality sector. I encourage all hon. Members to support that campaign, particularly its hospitality charter.

I will outline exactly what is going on and why it is a problem that needs fixing. Unpaid work trials—the period between applying for a job and being given the formal job offer—are at the heart of what I want the Government to fix. I want them to fix the fact that that part of employment law is entirely unregulated, although I am sure the Minister will dispute that when she gets to her feet. There is a deficiency in the National Minimum Wage Act 1998, for which, in fairness, I do not blame Labour. Nobody saw it as an issue then and has not for the last 20 years, but it is a deficiency that needs to be fixed.

During my research for this debate and the preparations for my private Member’s Bill, many hundreds of people got in touch to give me their personal experiences of what it is like to take part in an unpaid trial shift. I myself did it when I was younger, as, I am sure, did many other hon. Members. Unpaid trials range from perhaps a couple of hours in a coffee shop or a hotel, for example, right up to the extreme end, with the most extreme that I have come across being a 40-hour working week, where people tried out for a job that they would not be paid for and had no guarantee of securing permanently.

Patricia Gibson Portrait Patricia Gibson (North Ayrshire and Arran) (SNP)
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I congratulate my hon. Friend on all the work that he has done to bring this important issue to the public’s attention. More than half of people know someone who has experienced an unpaid work trial or have done one themselves. Does he agree that that shows the scale of the problem and the abuse of workers that is taking place?

Stewart Malcolm McDonald Portrait Stewart Malcolm McDonald
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Indeed. Although there are no Government or trade union statistics on that, it is a problem that everyone knows exists, because we have either done it ourselves or know somebody who has.

Not only do people work—as in the case that I mentioned—for up to 40 hours without pay when trying out for a job, but we have the vicious situation of people being offered work trials for jobs that do not even exist. That can take the form of a job being advertised so a business can get itself through a busy period such as Christmas, or the wedding season in the spring time if the employer is a hotel. It can also be used to cover staff sicknesses. People are being taken advantage of when they are asked to come in and try out for jobs that there is absolutely no chance of them getting, because all the employer wants to do is cover shortages in their own rota.

--- Later in debate ---
David Linden Portrait David Linden (Glasgow East) (SNP)
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It is a pleasure to see you in the Chair and to serve under your chairmanship, Mr Hollobone. I congratulate my hon. Friend the Member for Glasgow South (Stewart Malcolm McDonald), not just on securing this debate but on the legislation he introduced under the private Member’s Bill process. It is an area of deep regret that that legislation has not been pursued. It highlights the absolute folly of the private Member’s Bill system in this place, but that is a debate for another day.

I rise to make similar points to those already made. We need action on this today. I think, “Okay, fine, great, guidelines,” but the reality is that we need this enshrined in law. In the time I have been in this House, I have already seen a number of areas of employment legislation and employment practice that do not do justice to our constituents, quite frankly. Some of it is about unpaid work trials, which I reckon will be even more of a thing after Brexit. The hospitality sector largely relies on EU nationals. When the drawbridge is brought up as a result of the Immigration Bill, the chances are that the hospitality sector is going to rely more on people in the local population working in those jobs. I would be very concerned if hotels and restaurants decided that they were going to deploy unpaid work trials.

Patricia Gibson Portrait Patricia Gibson
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The UK Government have said that they are of the view that unpaid work trials are permissible in legitimate recruitment processes. Does he agree with me that the problem is that nobody is monitoring what is permissible and what is legitimate?

David Linden Portrait David Linden
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My hon. Friend makes a powerful point; that is something the Minister should consider. When we say that this place just does not deliver for workers’ rights, we look at the absolute lack of any action on zero-hours contracts. We look at, for example, the age discrimination in the national living wage, which is not applicable to those under 25. Those are areas where the Government have been told time and time again that Parliament wants action, but they sit back and say, “Oh well, we’ll do guidelines, or we’ll do consultations.” I certainly welcome consultations, but at this stage we need to see legislation.

The hon. Member for Ellesmere Port and Neston (Justin Madders) has made the point that, even though the National Minimum Wage Act 1998 is on the statute books, only 14 employers have been found in breach of the legislation since it came into force. I do not think that is helpful at all.

The point I would make, which people would expect to come from a Scottish Nationalist Member of Parliament, is that if Westminster is not willing to take action on better employment conditions, then surely it should look at devolving that legislation to the Scottish Parliament, where we have a track record of taking action. Take, for example, the business pledge, whereby companies make commitments to say that they are investing in youth, do not have zero-hours contracts and do not discriminate based on someone’s age. There is clearly action in Scotland that can and will be taken to provide better employment conditions for people.

I regret that a number of parties in this Parliament blocked the devolution of employment legislation. If hon. Members are going to stand up in this Chamber today and say that they want better employment rights for people, that is fine—I would like to see better employment rights for people across the UK—but I do not want to come to another debate and make this point again and be stonewalled by the Government. If the Government are not willing to do it, then the Scottish Government will.

Paul Sweeney Portrait Mr Paul Sweeney (Glasgow North East) (Lab/Co-op)
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It is a pleasure to serve under your chairmanship, Mr Hollobone. I congratulate the hon. Member for Glasgow South (Stewart Malcolm McDonald) on securing this debate and on his persistent and tenacious work in championing this long-standing issue. It is important, because in many ways his background is reflected in the priorities he brings to this House. I was thinking about the backgrounds of many MPs, and perhaps that is something we need to consider. Is this matter on their radar at all? Do they have even a basic understanding of how this sector operates? Have they ever had exposure to it? Have they ever understood how these exploitative employment practices work?

Like the hon. Gentleman, I share that background of having worked in similar environments. I reflect on my first job when I was at school: I went to work in a pizzeria in Glasgow called La Vita, which hon. Members might have heard of. There is one in George Square, one in Byres Road and one in Bishopbriggs Cross. I was hired on a zero-hours contract, but I also had to do an unpaid trial shift when I started there with my friend Ryan. I remember we were competing against each other for the same job, but they ended up taking us both on.

Often, we would go in during the week and work for maybe an hour, and then be sent home with a free pizza when we were expecting to work five or six hours. It was okay for me, because I was still living at home at the time, so it was pocket money, but I shudder to think about the people I worked alongside, who relied on that as income to live on and often to take care of children. While I was somewhat insulated from the full effects of that exploitative practice, I none the less realised that it was unfair and discriminatory. We also had our tips taken from us—a practice that was subsequently made illegal. That just shows that, even though we are operating at the margins, things that happened then to me and others are actually illegal now.

We are still dealing with the effects of casualised employment, zero-hours contracts and unpaid trial shifts, which remain to be tackled. I wonder why that is not a priority for this Government and why it is not a priority for more Members of this House, who might otherwise have been here. I think it is simply that they are not aware of it.

Patricia Gibson Portrait Patricia Gibson
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The hon. Gentleman is correct to say that it does not seem to be a priority for this Government—unless, of course, the Minister is able to enlighten us and tell us what her Government might do. Does he agree, given that we all understand it is not a priority for this Government, that that is a powerful argument for devolving this power to the Scottish Government?

Paul Sweeney Portrait Mr Sweeney
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As a Labour Member of Parliament, my analysis is primarily driven by class. I have just as much interest in securing the employment rights of someone who lives in Liverpool as of someone in Glasgow. That is where I operate. I am saying that I want us to have unity of purpose for worker’s rights across the UK, and that is why I believe in the trade union movement and the labour movement. We can have respect for ideological difference on this, but that is my analysis, and it is as simple as that.

I want to increase trade union density, because there has historically been a significant casualisation and a low trade union density in the hospitality sector in this country. That is why the “Better Than Zero” campaign has been particularly effective in mobilising workers and making them aware of their power. I also commend the GMB for the excellent, ground-breaking agreement it achieved with Hermes, the courier firm, just yesterday, which secured holiday pay, guaranteed rates and collective negotiation under the GMB, with full recognition for those workers. That is a lesson for the rest of the gig economy and the hospitality sector that we can really achieve improvements, and a demonstration of a trade union working innovatively. What could we do for workers’ rights across the UK with the real force of law and legislation behind them? I feel that would be a real game-changer for our economy; it would improve average wages and improve the resilience of our economy, and that is the way we ought to proceed.

I have experienced exploitative employment practices, as have other Members of this House. It is time that this House woke up to the reality facing millions of young people and casualised workers across the UK.