Memorandum from the North West TUC
(NW 08)
INTRODUCTION
The North West TUC welcomes the introduction
of Regional Select Committees. We believe they add a valuable
layer of scrutiny and accountability to the vital functions performed
by various bodies at a Regional level.
The need for a greater links between the Region's
elected politicians, and North West Governmental institutions
and agencies is clear. We have welcomed the creation of 4NW as
a significant step towards achieving this, and believe that Regional
Select Committees are a further boost to this agenda.
We are disappointed however to note that not
all political parties have taken the opportunity to be represented
on the Regional Select Committee. The North West TUC believe that
these issues are too important to be left to one party alone,
and we fear this failure to accept the responsibility for Regional
Scrutiny has left a gap in the process.
The effect of the economic situation on the region;
including the effect on different sectors and on different sub-regions
It is clear that the Economic Situation presents
challenges across all sectors and across all sub-regions. We are
particularly concerned about the effect on key regional sectors
such as manufacturing and the retail economy.
What is of significant concern is the effect
of the global downturn on high performing, high value manufacturing
companies and their supply chain, and we welcome the government's
industrial activism in this area.
We believe this illustrates the need for government
intervention and support where appropriate within the manufacturing
economy. Simply allowing market forces and the recession to "run
its course" would have had a highly detrimental effect on
our manufacturing base, and the wider regional economy as a whole.
We do recognise however that there are some
less established, but similarly high performing sectors of the
North West Economy such as the digital and creative industries,
and it is important to ensure that the continued growth of such
sectors is supported and that major projects to enable this such
as Salford Media City are not jeopardised by the overall economic
climate.
We would also highlight the role that the region's
energy capacity and expertise can play in helping us through the
downturn, and in being a key sector in the future economy.
We would also be concerned at any shrinking
of the public sector and public services. We do not believe that
this is an appropriate short or long term response to the downturn
in the region, as the public sector itself is a vital block of
the North West Economy, and the services it provides are increasingly
important and valuable during times of economic difficulty.
We also welcome efforts to share intelligence
and deal with the downturn at a Sub-Regional Level, and are pleased
to be involved in The Mersey Partnership's "Response to Economic
Conditions" group, comprising local authorities, and other
agencies with involvement in Sub Regional Economic Affairs.
The effectiveness of Northwest Regional Development
Agency in assisting businesses in the current economic downturn
We believe the NWDA has, and continues to play
a key role in supporting businesses and working people. They have
a positive record in working with Unions and Employers on issues
of shared interest, particularly around productivity, workforce
development, and Skills. We have strongly welcomed the NWDAs focus
on highlighting the importance to employers and businesses of
continuing to recognise and support skills and training throughout
the downturn, and indeed in making clear the link between high
skills and having a workforce appropriately equipped to enable
our economy to move out of recession and prosper in future.
We do believe that this work is valuable, and
whilst the North West TUC are working to ensure that businesses
and workforces are aware of the support that is available, we
feel that it is important that more could be done to highlight
the many excellent avenues of support that are available.
The response of the Joint Economic Commission,
established by the Regional Minister in November 2008, to the
economic downturn
We are pleased to be involved with the Joint
Economic Commission as an excellent opportunity to work together
to solve common problems. We have welcomed much of the action
taken by the commission in developing a regional framework to
co-ordinate response to redundancy situations, develop and safeguard
apprenticeship places, and deliver skills offers to JSA claimants.
We also welcome action on public infrastructure
and investment. We are keen to see the welcome early announcements
of funding for projects, continue to progress further forward
into building/development stage, for those capital programmes
where this is not already happening.
The capacity of the Government Office for the
North West, Government agencies such as Business Link, Learning
and Skills Council, and Jobcentre Plus, and other partnerships
between Government agencies, local government and the private
sector, to respond effectively to the economic downturn
We have been pleased to be involved in NWDA/GONW
Regional Economic Forum, which has played an important role in
bringing bodies together at a regional level to share intelligence
and build relationships in working together to tackle the downturn.
We also strongly welcome the formation of 4NW
in response to the Sub National Review. This was a bold move,
but the early nature of the response to proposals in the SNR has
meant that the Region has an effective body in place, to identify
and tackle the issues of concern.
The involvement of stakeholders including the
NW TUC on this body has been significant in developing a broad
based, joined up approach to the issues facing the region, allowing
appropriate and co-ordinated public sector, private sector, and
political consideration of the challenges and also in agreeing
action to tackle them.
We also believe that Multi Area Agreements can
be a step forward in a joined up approach to responding effectively
to the economic downturn, and in preparing for the future. We
believe that Trade Unions have an important contribution to make
to this work, and would be keen to explore avenues for Trade Union
involvement in "City Regional" Structures and processes.
However, whilst welcoming much of the action
on skills by the Government and other Regional Bodies, we are
concerned by a new skills landscape emerging from DIUS/Skills
Funding Agency, that does not have the same Regional element as
before and we feel that some kind of Regional Strategic element
remains necessary.
We would also be concerned that any shrinkage
in the public sector could have an adverse effect on the capacity
of JCP to respond appropriately to the downturn, and we believe
that the capacity of JCP to deliver should be a key focus.
The usefulness of Government initiatives such
as Real Help Now, in providing support and enabling access to
finance, for businesses in the North West
We are keen to build on the assistance that
"Real Help Now" provides, and have ensured that Trade
Union Officials are aware of support that is available.
We are also positive about the opportunities
that proposed initiatives such as the "Future Jobs Fund"
provide. We believe that Unions could play a role in ensuring
this is a success, perhaps through identifying possible jobs within
workplaces that the programme could help fund.
We do believe however that more could be done
on more longstanding avenues of support for workers, such as Statutory
Redundancy Pay. We welcome the rise announced in the Budget, but
feel this should go further, and action should be taken to bring
SRP into line with average earnings, compared with the approximate
level of 50% that it currently represents.
Whether the approach of regional Government and
its agencies during the current economic situation strike the
right balance between short term need and planning for the future.
We believe that the NWDA and 4NW approach has
been absolutely right. We welcome the "early" development
of RS2010 (The North West's Single Regional Strategy) and
believe that dealing with the present whilst preparing for the
future is the correct approach.
Our view is that this will allow appropriate
development and strategic planning for strong regional sectors
such as Energy, Aerospace, and Creative and Digital Media and
the broad involvement of stakeholders across the region in this
process is welcome.
We do note however, that in order for the excellent
work currently undertaken to be realised in the future, then appropriate
effective regional structures and agencies must exist to drive
it forward.
With this in mind, we have serious concerns
about any proposals from a potential future government to abolish
Regional Development Agencies.
The North West TUC believes that they play a
vital role in driving forward economic development, and without
the regional expertise and strategic focus that they provide,
the future opportunities for a strong, diverse North West Economy
and Community may not be achieved.
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