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Mr. Ian Stewart: Will my hon. Friend give way?
Mr. O'Neill: No; my speech must be very brief. I have only 12 minutes to speak, and should deal also with other subjects.
There is certainly a case for longer maternity leave and for wider entitlement to it. There is a case also for parental leave. At a time of stress in a family, when a father or mother has to leave work to look after a child, the last thing that he or she wants is a confrontation with an employer. Preventing the need for such confrontation is precisely why we have to enshrine provisions in a legislative framework.
We should certainly extend the provisions to cover part-time workers. In dealing with family stresses, because of the changing employment patterns in our labour market, part-time workers are increasingly the most vulnerable. It is right that we should recognise those changes and deal with them, as that would end much of the heat and anxiety felt by that section of the labour force--who, we have to admit, are predominantly female--who are most affected by the changes.
Quite understandably, when Labour Members are talking about employment rights, they tend to mean trade unions. Significantly, the Bill recognises that many workers in our labour market are not currently in trade unions and may long be outwith the scope of unions. It is therefore essential that those who are vulnerable should have the right to be accompanied by a nominated person in hearings. The provision will give those individuals confidence and much-needed assistance.
Raising the compensation limit is another of the Bill's important provisions. The Select Committee on Trade and Industry held hearings on fairness at work, in which it became quite clear from the most authoritative source--the employment law Bar--that, in about 80 per cent. of cases, the sums involved did not exceed £50,000, which is the sum envisaged by the Government. I am not unduly concerned about that sum. If City fat-cats can negotiate higher severance payments, it will be up to them to do so. For disadvantaged people and those on low wages, £50,000 is probably more than two years' pay. That provision and the index linking are very sound and will benefit everyone.
For many Labour Members, the significance of trade union membership--
Mr. Townend:
I do not know whether the hon. Gentleman has any experience of business, but I have a lot of experience of running small businesses. Does he accept that many small firms are on a knife edge and could be put out of business if they were faced with an award of £50,000? That would cause others to lose their jobs.
Mr. O'Neill:
That could happen. That is why it would be sensible to give due thought to the consequences before dismissing someone unfairly. The possibility of a fine of £50,000 should make any sensible employer stop and reflect. The measure will not just compensate workers; it will deter employers from irresponsible and unfair behaviour.
If work forces are to have the protection of trade unions, proper recognition procedures are essential. I welcome the automatic 50 per cent. rule--route 1. That is a major step forward, which will become one of the most important parts of the Bill. I have some misgivings about the requirement for 40 per cent. of the total work force to support recognition in a ballot. However, a ballot can be triggered if 10 per cent. of a work force are union
members. That may well give the work force and the unions the opportunity to organise themselves and secure a level of membership that is sufficient to provide a credible negotiated arrangement.
We shall have to wait and see what the full role of the Central Arbitration Committee will be. The Government have said that they will review how it works. That pragmatic approach to some of the concerns that have been expressed on that aspect of recognition and the role of the CAC is welcome.
I am not sure that I am quite as enthusiastic about the review of operations on the exclusion of firms with fewer than 21 employees. I have been associated with the print industry unions since I came to the House in 1979. Up to 90 per cent. of workers in the print industry work for small employers. I should hate to think that a system of industrial relations would be destroyed as a consequence of a decision of a Labour Government. I am cautious in welcoming what should not be required. If there is to be a limit of 21, due attention will have to be given to special circumstances.
The Minister of State, Department of Trade and Industry (Mr. Ian McCartney):
I thank my hon. Friend for his opening remarks. I should like to put his mind at rest. The recognition agreement covering small companies in the print industry is negotiated on a national basis, not by individual companies. I recently attended a conference in Solihull of print industry employers with joint sponsorship by the trade unions which considered how to move forward in improving partnership in the industry, based on the Government's proposals for fairness at work.
Mr. O'Neill:
I hear what my hon. Friend says and I am aware of those issues. However, there are still misgivings and concerns in the print industry that not all the employers will sign up to such agreements. We shall have to see. I take some comfort--but not a great deal--from my hon. Friend's assurance that the issue will be subject to a review.
Non-unionised work places are less safe, less happy and more dangerous than unionised workplaces. We want to ensure that a positive case for trade unionism is put across. The proposals in the Bill represent a major shift to restore the balance between employers and employees. It provides the first opportunity in nearly a generation to end the sullen resentment and fear that scarred industrial relations in the Tory years. In this settlement, the trade union movement has not got everything that it wants, and the CBI's welcome is cautious--so Ministers must have got it about right. They have not made everybody unhappy, but, as my right hon. Friend the Secretary of State has made clear, this will not be the first in a series of Bills--it is a genuine once-and-for-all attempt.
The courageous and bold nature of the move indicates what the Government believe to be necessary and that they are being up-front and frank. They have made it clear that there will not be another slice of salami every two years, and that there will not be periods of industrial uncertainty and difficulty as we had under the Tory Government, who brought out different legislation every two years.
Mr. Tim Boswell (Daventry):
I am grateful to the Chairman of the Trade and Industry Committee for giving
Mr. O'Neill:
It is essential that measures on a complex issue such as industrial relations are put in a regulatory form. That enables the House to look at the matter issue by issue, and it can provide a proper degree of consensus. Such an approach can enable the House to change the proposals--or enable the Government to table amendments--if it is clear that it is not right.
The House will have an opportunity in Standing Committee to explore every conceivable form of regulation proposed by the Bill. [Interruption.] Because of his lack of experience in opposition, the hon. Member for South Dorset (Mr. Bruce) has not tackled the job of being on a Standing Committee and tabling the probing amendments that lie at the heart of the role of a sensible Opposition. If the Opposition cannot do that, they should not hide behind complaints. I may be stoking the fires for my hon. Friend the Minister of State, but, if the Opposition have concerns, they should express them not in this debate, but in Standing Committee. That is where sensible consideration should be given.
Mr. David Chidgey (Eastleigh):
In response to the right hon. Member for Wokingham (Mr. Redwood), let me state for the record that the Liberal Democrats have long argued for best practice in the workplace, including family-friendly policies. We do not oppose those concepts and principles. If we criticise the Bill tonight and in Committee, it is not because we are against the principles or the policies; it is because we see shortcomings and concerns, and we have the right and the duty as Opposition Members to raise them. Let it not be said that the Liberal Democrats are against fair and modern practices in the workplace.
There are three main strands to the Bill, which I suggest are the individual rights of the worker, the collective rights of the worker and the family-friendly practices which will soon become law. I shall deal with each in turn. However, there is a fourth strand which, in spite of their claims to the contrary, the Government appear to have overlooked; the Bill is somewhat one-eyed in this respect. The fourth strand concerns the rights, or expectations, of the employer. If the Government believe in partnership in the workplace, they must consider that aspect. Without that fourth strand being as strong, sinuous and flexible as the others, the cord supporting employment opportunity will be prone to snap. Governments cannot legislate to make firms stay in business, but they can create legislation that drives firms out of business, and the Bill is in some danger of doing that.
There is no question but that the most important assets in the workplace are the skill and application of the work force. Employers who underestimate the value of their human capital do so at their cost. A healthy, committed and loyal work force is absolutely essential. There are plenty of examples of best practice--the Secretary of State cited a few--in which firms make an extra investment to provide good working conditions and gain a return through the greater commitment of their workers.
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