(3 weeks, 2 days ago)
Commons ChamberI know that this is something that affects the community that right hon. Lady represents, and that she is a tireless champion for her community here in Parliament, via the all-party parliamentary group on heritage rail. I will come to that amendment specifically, so I think it is best that I leave the answer until then. If she wants to come back to me once she has heard the explanation as to why we will not support amendment 61, I will happily take another intervention.
I will start by speaking to the amendments that the Government made in another place. The majority of them reinforce and strengthen existing measures in the Bill by making technical adjustments. They close loopholes to safeguard policy functionality, resolve uncertainty and ensure that measures are comprehensive and effectively deliver the policy as intended, as set out by the plan to make work pay. Some of the substantial amendments follow excellent campaigning by Members of this House and the other place, and demonstrate that the Government are listening and taking action, where appropriate.
The Government’s amendments on zero-hours contracts strengthen and clarify provisions that were already in the Bill when it left this place. Our commitment to banning exploitative zero-hours contracts is the culmination of years of campaigning by Labour MPs, trade unions and the wider Labour movement. For too long, these contracts have been used to replace full-time jobs. The Government amendments tabled in the other place reflect our commitment to getting the detail right, and were informed by extensive engagement with a wide range of businesses, trade unions and other expert stakeholders.
My husband suffered a catastrophic brain haemorrhage, which meant that he could not return to his work, but after he began to recover, he started to work again in another job, helped by a zero-hours contract. It meant that if he was not well enough to work, he could agree with his employer that his hours could be adjusted to suit. The practical and fair solution is to give staff a right to request a zero-hours contract, rather than replacing a requirement for businesses to offer a zero-hours contract.
I hope that the hon. Lady will pass on my sympathy and encouragement, and that of the whole House, to her husband, who has shown tenacity and resilience. I will come to the relevant part of the Bill shortly but, in summary, we feel that putting the onus on employees to request, rather than on employers to deliver, such contracts would alienate several categories of workers, particularly younger workers and those with vulnerabilities. I will come to that in a minute, and it would be a delight to take any further interventions that she might have then.
Technical changes include clarification of how zero-hours contract provisions apply to agency workers; reinforcement of the guaranteed hours provisions in relation to workers with annualised contracts and interaction with unfair dismissal; refinement of the right to payment for short-notice provisions, in relation to when payments and notices of exemptions are due; and expansion of those provisions to staff employed by both Houses. Together, these amendments strengthen the legislation by ensuring it is fair, proportionate and clear.
It is great to know that Zelda is in the Chamber with us today, and that my right hon. Friend is also in the Chamber to give voice to so many campaigners and the work she has done. The Prime Minister has confirmed that the road map remains as is.
In another place, we made two amendments to strengthen the provisions in the Bill that protect victims, while preserving NDAs to protect legitimate business interests. The new clause will allow workers to speak freely about their experiences and allow those who have witnessed misconduct or have knowledge of it to call it out by voiding a non-disclosure agreement that has been used to try to silence victims. The Government will consult on related secondary legislation before commencing the measure.
The Government propose two new amendments. The first will extend the scope of the clause to include staff of both Houses. We are proposing that change following discussions with parliamentary authorities. The second amendment is designed to give disabled workers more protection. It will extend the scope of relevant discrimination to include a failure to make reasonable adjustments for disabled persons under section 21 of the Equality Act 2010. That will ensure that all forms of harassment and discrimination in the Equality Act are covered.
I will now set out the Government’s position on the 28 non-Government amendments made to the Bill in the other place, which cover 12 policy areas. Lords amendment 1 addresses provisions on zero-hours contracts and seeks to change the onus from the employer to the employee on the right to guaranteed hours. The amendment shifts it from a duty on employers to offer guaranteed hours to qualifying workers to a model where employees must actively request them. The Government believe that the duty to offer guaranteed hours should lie with the employer. A right-to-request model could create undesirable barriers, making it especially difficult for vulnerable workers on exploitative zero-hours contracts to access their right to guaranteed hours, especially as many such workers are younger and may be in their first job. As of June 2025, approximately 480,000 people in employment aged 16 to 24 are on zero-hours contracts. That is out of a total of 1.18 million workers on zero-hours contracts overall. Our position strikes a fair balance between protection and choice. For that reason, the Government do not support the amendment.
I think we have a difference in how we look at Lords amendment 1. It does not water down the Bill; it adds more flexibility so that people get the opportunity to have the kind of employment that works for them. That is particularly important in an environment where we are trying to get people off disability benefits and back into work.
I am grateful for the hon. Member’s thoughtful intervention. I still believe that in order to exercise rights, people have to know that they exist. The majority of people—young people in particular—entering the workforce in such numbers via zero-hours contracts simply would not know that those rights exist for them. By changing the onus so it is on employers, it clarifies the rights they have and ensures that every workplace must offer equal access to employment hours. This Bill includes flexibilities, and I think those will encompass the situations over which she has legitimate concern.
Lords amendments 7 and 8 seek to provide that a short-notice cancellation payment is due only where the shift is cancelled less than 48 hours before it is due to start. The Government intend to set out short notice period regulations following a consultation.
(2 months, 3 weeks ago)
Commons ChamberI completely agree with the hon. Lady about the huge importance of hospitality to all our communities and to helping many people who have difficult routes into employment to get their first steps back into a job. One of the steps we have taken is to set up our hospitality fund, working with the great organisation Pub is The Hub, to help landlords to diversify what they offer and drive more footfall into the pub. The fund also supports charities that are working with those furthest away from the jobs market to get into jobs. It is strongly supported by hospitality businesses through the Hospitality Sector Council. As I have said, we have a commitment to a small business strategy and we will set out further measures to help hospitality in that regard.
Over the past five years, SMEs have faced a challenging operating environment because of the consequences of the Liz Truss Budget, the poorly negotiated trade deal with Europe, covid and increasing global uncertainty. Interest rates have come down four times under this Government, we have negotiated a new trade deal with Europe and, complementing our industrial and trade strategies, we will bring forward an SME strategy to put in place further long-term support to help SMEs start up and expand.
In my constituency and across Scotland, small and medium-sized businesses have taken blow after blow. The Conservatives bungled Brexit, increasing import costs, and energy costs are soaring. Most recently, the hike in national insurance contributions is decimating job opportunities in small and medium-sized businesses. What are the Government doing to support SMEs, which are at the heart of our economic growth, and to get people off benefits and back into work?