Employment Rights Bill

Suella Braverman Excerpts

2nd reading
Monday 21st October 2024 Commons Chamber

[Ian Lavery]

My apologies, Madam Deputy Speaker. Yes, you are right, I should. I was being chuntered at by a Member on the Opposition Front Bench. My deepest apologies.

As I say, we must remember that the Conservatives revert to type.

[Suella Braverman (Fareham and Waterlooville) (Con)]

The hon. Gentleman is doing a very impressive impersonation of Arthur Scargill. The reality is that the Conservative Government left office with 4 million more people in work compared with the Labour inheritance, a growing economy and a smashed deficit. That is something we are proud of on this side of the House.

[Ian Lavery]

Thanks for the compliment.

I was saying that the Bill simply restores the balance. It seeks to reverse the injustice meted out to the trade unions and working people, and to rebuild the workplace that was ideologically destroyed by the Conservative Government. These are the first steps and they are so, so welcome. I have fought for them all my life. They are the first steps in a long journey, but look at what we have done within the first 100 days. I have only mentioned a few.

As my hon. Friend the Member for Middlesbrough and Thornaby East (Andy McDonald) says, we are repealing the minimum service levels laws and most of the Trade Union Act 2016, and ensuring that individuals have employment rights from day one, including sickness pay, although there is an argument that sickness pay is far too low. We are looking at bereavement payments and so on from day one. We are looking to address the scourge of zero-hours contracts. We are looking to address the scourge of fire and rehire. We are looking to introduce flexible working and entitlements to paternity and parental leave. We do this because it is the right thing.

I could spend hours outlining what I think is right in the Bill and perhaps some things we need to focus on in the coming weeks, but I will not do that. The reality is that this is a historic Bill that sets a framework for fairness for generations to come. Remember, the louder the screams from the Conservative party—the screaming, shouting and chuntering—the more we on the Labour Benches know that we are winning the argument. We know we are doing the right thing, so however loud you shout, we welcome it.

[Bradley Thomas (Bromsgrove) (Con)]

I congratulate those hon. Members who delivered their passionate and authentic maiden speeches today.

I am proud, like so many Members, to represent a constituency that is home to so many small and medium-sized businesses, which comprise the backbone of our local economy. I am deeply concerned that the reforms in the Bill will hurt both businesses and employees, as well as damage the economic growth that the Government claim to be striving for. The previous Government introduced and raised the national living wage, ending low pay and ensuring that work always pays more than benefits. They banned exclusivity clauses in zero-hours contracts, banning businesses from stopping workers on a zero-hours contract having another job, and delivered 800 jobs a day from 2010. The Conservative Government also introduced shared parental leave, giving more choice to families. We introduced new regulations on shared parental leave to give families more choice over how they take parental leave following the birth of a child.

Changes to business regulation need to strike a careful balance, but Labour’s Bill gets it wrong and will instead make it harder for businesses, damaging job creation and economic growth in the process. The Labour party has introduced a Bill at pace that does not strike the correct balance. As a result, our economy will be less competitive and growth will be hindered. Those warnings come not just from the Conservative Benches, but from across industry. The Scottish Chambers of Commerce highlighted how

“The proposed new rights to a tribunal access from day one will inevitably lead to more settlement agreements to avoid a lengthy and costly tribunal process, placing more burdens on businesses.”

The changes to employment law risk “fuelling long, complex litigation”, according the Recruitment and Employment Confederation.

There are a few parts of the new Bill to which I would like to draw attention. The likelihood of drawn-out dismissal processes has already been referred to. There is the question of how poor performance will be proved. There is the unnecessary right that will be given to trade unions to gain access to workplaces. On zero-hours contracts, many employers and employees do not want guaranteed hours and a minimum threshold. On flexible working, there is the material change proposal, a reasonableness test that will make—

[Suella Braverman]

My hon. Friend is making a very good speech highlighting the fatal flaws in the Bill. Does he agree that the Government’s own impact assessment on the economic implications show that it will be a disaster for small businesses, not just in Bromsgrove but in Fareham and Waterlooville? The costs that will be borne by businesses will cripple investment, strangle job creation and further stagnate growth.

[Bradley Thomas]

I thank my right hon. and learned Friend for her intervention and agree wholeheartedly with her points. The Bill will inhibit economic growth and ultimately bear down very heavily on those the Government claim they are trying to protect.

The reforms will prevent businesses from hiring new people and expanding. The Institute of Directors has warned that 57% of businesses are less likely to hire due to measures in the Bill. There are concerns that the Government have not carried out a consultation on collective redundancy, and have failed to outline why they view those proposals as beneficial. Make UK, an important industry body, has warned that the regulations will “significantly increase” red tape for businesses that are forced to make redundancies, and UKHospitality, which represents thousands of businesses on which many of our constituencies rely for their economic vitality, has said that for 90% of workers on zero-hours contracts, those are the desired contracts for them.

What we see here is a generational shift in employment law that will ramp up grievances and disputes and entrench unproductivity. As my right hon. and learned Friend the Member for Fareham and Waterlooville (Suella Braverman), pointed out, it will make it easier to strike and send us back to the 1970s, supporting militant unions. It will increase the number of strike hours in public service, and, as Unite the Union has pointed out, it is like Swiss cheese: full of holes. I hope that, as the Bill progresses through Parliament, the Government will listen to both the Opposition and industry in order to limit the damage it will cause businesses and working people.