Select Committee on Economic Affairs Minutes of Evidence


Examination of Witnesses (Questions 364 - 379)

TUESDAY 4 DECEMBER 2007

Mr Don Flynn and Ms Denise McDowell

  Q364  Lord Vallance of Tummel: Welcome to you both and thank you very much indeed for spending some time with us this afternoon, and thank you too for the written evidence you have provided. Just a few preliminaries, if I may. You may be old hands at this but if you can speak up and talk reasonably slowly that helps very much in taking a record of the proceedings. As these proceedings are being televised perhaps you could briefly introduce yourselves and then after that if you would like to say a few introductory remarks, by all means say them, but if not we will move straight on to the questions.

  Ms McDowell: My name is Denise McDowell; I am the coordinator of Migrant Workers North-West, which has been set up to lead on support for migrant workers and to engage with employers to promote better employment practice for migrant workers.

  Mr Flynn: I am Don Flynn. I am the Director of the Migrants' Rights Network, which is a very new project that has come into existence over the course of the last year, and it is basically a project which is aimed at assisting migrant community organisations and organisations working with migrants to improve their activities through contact, networking and communication with each other.

  Q365  Lord Vallance of Tummel: Do you want to say anything by way of introduction?

  Mr Flynn: We have made our submissions and we are very happy to respond to questions.

  Q366  Lord Vallance of Tummel: I will start. Could we start asking you about the definition of exploitation? What do you mean by that and how widespread is it and what causes it? To curb it, should policy emphasise a reduction in the number of migrants or better enforcement of minimum employment standards or some combination of the two?

  Ms McDowell: In my experience, the definition of exploitation is where people are taken advantage of based on their vulnerability, and in this case, with migrant workers, it is of their lack of knowledge about the way things happen within the UK—that includes their rights and entitlement. It is about taking advantage of the fact that people may not have the language skills to be able to either understand their rights or to be able to assert those rights. It is about employers in this case taking advantage of the fact that people are newly arrived in the country and not only do they require work but they also require accommodation, and there is much evidence of the fact that they do take advantage of that by charging for accommodation tied to the employment itself. In my experience, it is very widespread. We see people all the time who come to our offices or that we see in the workplace who, for one reason or another, we feel, are being exploited and that is particularly related to the fact that they are newly arrived within the UK.

  Q367  Lord Vallance of Tummel: So would you say then that exploitation was a temporary phenomenon and that once migrants arrive and know the ropes and they develop the language, then they move beyond that?

  Ms McDowell: I think if you know the ropes that helps to address some of that disadvantage and the exploitation, but because there is a conscious effort on the part of some employers to ensure that those migrants do not have the opportunity to do that—they know, for example, that people do not have many employment rights in their first year of employment and therefore it is easy to lay somebody off within that first year and know that they have no redress to the law—employers will consciously do that in order to take advantage of that situation.

  Q368  Lord Turner: Could I ask a supplementary, which is how far what you call exploitation is related to the legal status of migrants? The point which has been made to us in previous evidence is that it is not just a story of legal migrants and illegal migrants. There is an enormous gray area of people who come in on a one-visa status which enables them to work a number of hours networking. But do you think there is a significant problem of what you call exploitation among those people who have full legal rights to be here and to work as much as they want or is it concentrated in people who have little power because they know that they are themselves breaking the law?

  Mr Flynn: I think the definition that we use is basically derived from the TUC and the policy studies institute report that was published last year, The Hidden One in Five, which estimated that there were in the region of 5.3 million workers earning below one-third of the hourly median wage, and they do not have trade unions to negotiate their terms and conditions, and on that basis were considered to be vulnerable to exploitation. Obviously, not all of those 5.3 million workers were migrant workers and amongst those who were migrant workers some of them had a secure immigration status in the sense that they were European Community nationals for whom their immigration status was not a high level of concern for them. So I think in the first instance the sort of vulnerability to exploitation comes from the fact that there is a sizeable sector of the labour market in which exploitation is systematic—not just for migrants but for effectively one-fifth of the working population. Within that, because of their particular disadvantages and their particular vulnerabilities, our belief is that migrant workers are over-represented within that proportion of people.

  Q369  Lord Griffiths of Fforestfach: Exploitation is a very arresting expression, a very powerful word. Are you saying that exploitation here means that they are paid less or they have less security of tenure or in some sense there is even violence in the exploitation? Because, if markets work, some of these things would be temporary but not permanent.

  Mr Flynn: I think that is certainly a subjective element in the definition of exploitation. The way in which we use it means when particular advantage is taken of individuals or groups of individuals' position within the labour market—the fact that they are working in sectors of the labour market where the possibility of being able to enjoy the benefits of collective representations within the labour forces is at a low level. There is evidence that systematic advantage is taken of that by the employers.

  Q370  Lord Griffiths of Fforestfach: If you take a case that, for example, they work in a particular sector where, let us say, there is not collective bargaining, a domestic resident would be in exactly the same position as the migrant. So it is not as if it is exploitation of the migrant. You might say on that basis that it is exploitation but I cannot see that it is specifically of the migrant.

  Mr Flynn: Our point is that there is a substantial reservoir of workers within the UK labour market who are systematically exploited as vulnerable workers and the statistic of one in five, 20% of the workforce is often cited as evidence of that. There are a whole number of reasons why people find themselves within that particular group of people. One of those reasons is people's relative vulnerability because of their immigration status. It is not exclusively about the position of migrant workers, but being a migrant worker means that you are more prone to risk of being exploited than perhaps other groups of workers.

  Q371  Lord Vallance of Tummel: Can I bring you back to the second part of my question and that is the policy responses, and whether there should be better enforcement of minimum employment standards or whether there should be a reduction in the number of migrants, or what?

  Ms McDowell: The evidence is that the people who come as migrant workers are able to find work here, and so I think that the issues about enforcement of minimum employment standards are not just about enforcement of minimum standards but actually that there should be more employment rights in place in order to protect those workers from day one rather than from after 12 months, which is currently the case.

  Q372  Lord Griffiths of Fforestfach: You list in your very interesting submission to us five elements of what you call the management of migration and you argue that, given that the benefits of migration are available to the whole of society, the costs of migration itself are borne disproportionately by the migrants. In view of that, given the extent and continuing amount of migration, I wonder how you reconcile that.

  Mr Flynn: I think the mere fact that people are vulnerable to exploitation is not necessarily a deterrent to people migrating or to working in these sets of circumstances. If merely working in poor working conditions was the answer, then in fact nobody would ever be exploited, by definition. Everybody would avoid those sectors of the labour market and they would choose to work in sectors where they did not suffer those disadvantages. The reasons why people find themselves in that position will mean looking at the individual characteristics of the migrants—the backgrounds, what their alternatives are. Migration for a lot of people entering the labour force at the moment is very much a survival strategy. Their opportunities to choose better paid employment, more secure employment is very, very low and in those circumstances they find themselves in a position where they are obliged to take whatever is on offer. There are a number of other factors which migrants bring with them and are often associated with migrants, which we did go into in our paper, and that is the cost of migration. Our experience in talking to migrants is that often, on their initial arrival into the country, they are burdened from day one with a very considerable debt which arises from the cost of moving from one country to another and obtaining the documents which are needed, and this does tend to mean that people would simply go into the first opportunities for employment which are created for them and they stay there.

  Q373  Lord Turner: Could you talk a bit about how well informed you think migrants are about the job opportunities here, the housing opportunities or, indeed, about their rights. Do we have large numbers of people coming on unreasonable, false expectations of the wage rate that they will get or the opportunities that they will get, or do you think that most of the immigrants, particularly the latest wave, are relatively well-informed?

  Ms McDowell: I do think that it is mixed. I think that the people who came in 2004 from the A8 countries, when they arrived their experience was one of being exploited from day one, they did not have local networks, they did not know where to get accommodation from, they were not aware of their employment rights, they did not know their locality or the geography of where they were. From that some networks have been established directly, particularly between the UK and Poland, so that some of those migrants now have connections back home and can have very direct contact with people coming to the UK to be able to explain where they can live and they have organised accommodation for them. They make sure that they are aware of their rights and have actually made their settlement in the UK much easier than the first wave. But obviously that is not always the case for migrants from all different countries and there are still a lot of people who arrive who have expectations of being able to find lots of work, who are upset by the lack of welcome that they receive, about their lack of information that is available to them, and have said that they wish that they had known before they left some of the situations in the UK; that the wages here do seem high but they had not realised that the cost of living is also high and that also there is a cost there. The embassies or the consulate perhaps have a role to play in providing some of that information, or the airports and the places from which people leave. I know that there are some initiatives in the UK to make those connections, some including within the trade unions, within the EU, so that people are better prepared as they arrive. Outside of the EU it is much more difficult and people are much more reliant on informal networks and the Internet and what kind of things they can find there.

  Q374  Lord Kingsdown: What determines the migrants' length of stay in the United Kingdom and how do you assess the proportion of recent migrants from Eastern Europe who are likely to stay in the United Kingdom long term or permanently? We have heard evidence that many immigrants, if I may call them that, become immigrants before their working days are over even.

  Mr Flynn: I think as a rule of thumb the simple answer to that question, what determines the migrant's length of stay in the UK, is the amount of control is that the migrant has over personal circumstances—whether on arrival in the country she is able to meet the objectives that she is set for her particular migration project—and that can take a number of forms. It can be the desire to raise a sum of money in order to pay school fees, college fees, tuition fees in the country of origin; it could be the desire to buy a plot of land or to put a student through education or to pay for an operation for a member of family. Very often the initial part of migration is a distinct project of that sort, and the extent to which the migrant finds themselves in an employment situation where they are able to meet those ambitions, then the likelihood is that it will be a relatively short period of time. There are many other things that can be added to that list: the desire to improve one's knowledge of English, because that is generally a saleable quality for most people when they go back home; and we can add to that indefinitely. What tends to prolong it is where people find that they are not in control of their situation and they find themselves encountering circumstances which they had not predicted, which they had not anticipated and their need to firstly clear the cost of being a migrant in the first instance, which is a very considerable one, and secondly, to go on and make that extra bit of profit on their migration, is indefinitely postponed. In those circumstances, you start to find that people's plans to stay in the country for six months only will get extended to 12 months, to two years, and so on and so forth. As far as the Eastern European migrants are concerned, I think the evidence at the moment seems to be that we are probably closer to the former experience than the latter; that because of the age group, the demographic profile of the migrants, because their ambitions are strictly related to projects which relate to their lives back home—completing their education or perhaps gaining life experience that will be useful to them in the jobs market back home—then typically, my experience certainly talking to young A8 migrants, is that two years seems to be round about the extent of their ambitions to be here, and most are probably keeping to that sort of timescale.

  Q375  Lord Macdonald of Tradeston: I am sure you have heard of the London Living Wage Campaign which has been organised by the trade unions, the Mayor of London and so on, and indeed has had success in improving the conditions of the cleaners in this very building of Parliament. What kind of priority do you put on trying to persuade employers and their suppliers to improve the wages and conditions for migrant workers, because this London Living Wage Campaign seems to have had quite a lot of success with the major financial institutions, certainly in the City of London?

  Mr Flynn: We are staunch supporters of the Living Wage Campaign and I think one of the noticeable features of that is that although the people who stand to benefit from its success are not by all means immigrants, the leading element in it actually has been migrant workers and in particular I think the Justice For Cleaners Campaign, that is prominently associated with the Transport and General Workers Union; its leadership and the bulk of its membership is very much associated with West African migrants. We think that this is extremely important. We think that the real issues to be addressed in terms of managing migration are to ensure that the benefits of migration actually go to people who make the investment in migration; that there actually is a flow of the benefits to people who have come here, they are following their survival strategies, they are following their career paths and career plans. And because it is the case that they are very often disadvantaged in terms of realising those by their own efforts, then it is necessary to operate within a framework of legislation, regulations, policies of one sort of another, that make it clear to employers that when they are employing migrants—or indeed any other group of migrant workers—then there is a public interest in seeing that standards are set and they are maintained and adhered to. So the Living Wage Campaign is a very good example and something that we would like to see operate much more extensively across this whole sector.

  Q376  Lord Best: I want to ask something about illegal immigrants, but can I preface it with this question? The television film Ghosts about the Chinese cockle pickers, many of whom drowned—hundreds of thousands of people will have seen this docu-drama. In your much more expert opinion than the film makers, does that accurately reflect a picture of inward migration, the gang masters and the conditions that people face, or is this a little bit of a licence? Many people will have formed their own views of illegal migration on the back of that film, but how accurate a view will they have formed?

  Mr Flynn: The first thing to be said is that that is a completely accurate account of the lives of the cockle pickers who were caught up with that incident. As you say, it was a docu-drama and it was very much closely related to the facts of the case. So, whether it is typical I think we are probably talking about a spectrum of experiences that migrant workers undergo and that is, thankfully, probably to one extreme end of it and we fortunately do not have too many examples of that to talk about. But that still leaves plenty of opportunities for the people to be living in pretty miserable circumstances, where they are not in control of their own lives and they are vulnerable to all sorts of exploitation, which I think was depicted quite faithfully in that particular film.

  Ms McDowell: What I would add to that is that the gang masters' licensing authority would say themselves that they were brought about as a result of that, but because they only have jurisdiction within that particular part of food production and processing, those gang masters, those rogue gang masters, all that they did was close up shop and reappear elsewhere in other sectors; and from my conversations with people in the fire and rescue service they firmly believe that there are many workers working in very dangerous and vulnerable positions and it is only a matter of time before something else happens on that kind of scale. Lots of people are living in houses in multiple occupation in very dangerous circumstances where one fire might well have the result that the cockle pickers experienced in Morecombe Bay.

  Q377  Lord Best: A lot of that exploitation is because the people are illegal and therefore do not have rights and know that they do not have rights. What do you think about the Government's efforts to reduce illegal employment and what do you think of the impacts and adequacy of the current enforcement measures against illegally resident migrants and indeed their employers, the gang masters?

  Ms McDowell: From my experience, making employment illegal is counter-productive because it effectively sets up two types of employment—a legal employment and an illegal employment. With the legal employment you have rights, you can assert those rights, you have expectations about your wages, etcetera, not just about your pay but also the situation of health and safety, for example. But the illegal employment means that by its nature the people who work in that do not have rights, they are open to exploitation—there are no rules, they can be paid £2 an hour and they can be treated badly and they have no recourse to the law. Our experience is that in the high profile raids that we see at the present, very few employers themselves are actually prosecuted, and the impact of those raids and the prosecutions that arise from those are felt by those migrant workers themselves. So it does not actually make a difference to the employer, but it does make a huge difference to the migrant workers.

  Q378  Lord Kingsdown: Can I ask if this accords with your experience? You talk about illegal immigrants not having rights as workers, but what about workers who come in legally, thanks to the operations of a gang master, from non-European Union countries, who have no right to work in this country except through that arrangement. If you come from another European country you can desert the gang master and go and find another job, but the people who do not come from an EU country are, as it were, lost—they are slaves almost.

  Ms McDowell: Yes.

  Q379  Lord Kingsdown: Is that right?

  Ms McDowell: Yes. I think they are slaves. They do not have another place of safety to go to and so they are at the whim of those gang masters or those traffickers.

  Mr Flynn: It might also be said that in this particular instance we are not just talking about the conditions which apply to gang workers, but also the work permit scheme very often has the same conditions attached to it, whereby employees are committed to working without a named employer during the course of their time on the work permit scheme, and given the extensive range that is covered by the work permit scheme—people working in care homes, in care professions of one sort of another, where there is evidence of long working hours, anti-social working hours, people not being given time off, being paid low wages, etcetera etcetera, we find very similar circumstances as well where a proportion of the working conditions that exist in that sector also produces evidence of a gross exploitation.


 
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