Meeting of the Parliament (Hybrid) 11 November 2020
I refer members to my entry in the register of members’ interests.
This week, we have all welcomed a message of hope. There is a prospect, at last, of a Covid-19 vaccine on the horizon that offers hope in place of fear. In Scotland, another fear still hangs over us—that of mass unemployment, business collapse, savings gone, rising debts and deepening depression. That is the fear that keeps people awake at night. It afflicts too many of Scotland’s businesses and working people and, in particular, too many of Scotland’s hospitality and tourism businesses and workers.
Those businesses face a huge drop in trade and demand and now also carry substantial debts, which include those to Government that arose from loans that were taken out in the first half of the year—in Scotland, that was almost 80,000 loans totalling £2.1 billion. We need to reschedule that debt repayment and write off some of that debt.
In the weeks to come, the Scottish national investment bank will finally open its doors. The new bank’s purpose must not just be to attract footloose, foreign direct investment, but to be there first and foremost for the indigenous business base at its time of need. That must be its priority.
To the commercial banks, we say, “Just as we were there for you to keep afloat jobs, and even entire banks, in the global financial crash, we now expect you to be there for us to help keep afloat jobs and businesses in the wider economy in the face of the crisis.”
Over the past six months, restaurants in the central belt have experienced the first lockdown, the lifting of restrictions with social distancing measures in place, the eat out to help out programme in August, which boosted demand for at least the first half of the week, the subsequent central belt circuit breaker, and now tier 3 restrictions. The imposition of rule after rule would be confusing even if it had been plotted from the start of the year, but it had not. In the words of the First Minister, it has been “ad hoc”.
Of course, we all recognise the unpredictability of current circumstances, but the Government’s response to each wave of the pandemic has been imposed without a clear exit strategy, leaving businesses and workers fearful of what might come next. Time after time, we have seen a complete failure to communicate, consult and share the evidence, and a complete failure to respect the business community and the workers who are affected. Businesses cannot be turned on and off like a tap, and they should not be treated as though they can. The restaurant owners whom I met in Glasgow recently explained how their bills do not stop, even though they are wholly or partially closed. Many of them shed half of their workforce in the first lockdown, and more have gone since. That is why we say that the case for additional support for those jobs, businesses and entire industries is unanswerable, and that is why we oppose the Scottish National Party amendment to our motion. The Scottish people are doing their bit, so the Scottish Government must do its bit as well.
This afternoon, Scottish Labour is calling for an immediate review of the level of hardship support and business grants that are currently available, and for additional support to be provided. Unions and business leaders must be involved in that process, and we will support the Tory amendment on that basis.
Additional grants should be conditional on the businesses that receive them respecting their workers, with standards such as those set out in the Unite hospitality charter: a real living wage; rest breaks; equal pay for young workers; transport after midnight; minimum-hours contracts; anti-sexual harassment policy; proper consultation on changes to rotas; 100 per cent tips to staff; and trade union recognition.
I have heard it said, and I read in the Scottish Government’s strategic framework document, that the Scottish Government
“will not be able to protect every business; and financial support cannot replace all lost income or save every job.”
Scottish hospitality alone employs more than 9 per cent of Scotland’s workforce, which is more than 250,000 workers. The industry is worth more than £10 billion to the Scottish economy, so I get that all that income cannot be replaced, but those businesses and workers want a Government that is on their side, is prepared to find additional support, and is prepared to back, not oppose, the Tied Pubs (Scotland) Bill, which would provide statutory protection for tied pub tenants at a time when they need it more than ever.
Today is a chance for the Parliament to come together, come in on the side of businesses that are under intense pressure, and show working people across Scotland that we want to defend jobs, are serious about a fair work Scotland, and are on their side when they need us most. Today is a chance to show that we are in partnership with the people, are doing our bit as a Parliament, and are prepared to back a message of hope for the future with action and practical support now.
I move,
That the Parliament recognises the need to protect the population from the COVID-19 pandemic; appreciates the damage that tighter restrictions are having on Scotland’s tourism and hospitality sector; calls on the Scottish Government to provide additional support to these sectors by reviewing the eligibility for COVID business grants and hardship grants and increasing available funding so that no hospitality or tourism business faces closure or job losses as a result of the pandemic, and considers that there is a need to work with trade unions to ensure that ongoing government support is being used to protect and improve workers’ terms and conditions.
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