Chamber
Plenary, 15 Feb 2007
15 Feb 2007 · S2 · Plenary
Item of business
Workers' Rights
I need to make progress; I have to cover a lot of ground.
I seek an assurance from the minister that the situation will be rectified immediately, so that PACE carries out its functions properly and provides the assistance that the workers require. I also ask the minister how many full-time, sustainable jobs will be created through the Irvine Bay Urban Regeneration Company. I remind him that North Ayrshire has the highest unemployment in Scotland—after 10 years of new Labour in Government.
The Scottish Trades Union Congress said:
"in the context of … recent job losses, we have to ask why other European countries with wage costs comparable to Scotland and more robust regulatory environments have succeeded in retaining and, in some instances, growing their manufacturing base."
It is paramount that the Department of Trade and Industry undertake an investigation into the workings of Simclar, which has a history of asset stripping, moving companies, setting up satellite companies and closing the gates on workers without adhering to its obligations. Simclar has dispensed with the 90-day consultation period and failed to make appropriate financial provision for its workforce three times, as I said. The minister told me that he had received a verbal assurance that there would be an investigation, but I ask him to secure written confirmation of that as soon as possible. I look forward to the investigation and call for the greatest scrutiny to ascertain whether there has been criminal wrongdoing.
Why must we fight for workers' rights in the 21st century? A Simclar Ayrshire worker who was made redundant on 29 January was, like many of her colleagues, being made redundant for the second time. The first time she was made redundant, 15 years ago, she received enhanced redundancy pay, six months' notice, access to retraining through the company and all moneys in lieu of notice. This time, she was locked out of her workplace and given statutory redundancy pay—paid for by the taxpayer, although Sam Russell is the eighth richest man in Scotland—and there was no cushion of six months' notice or commensurate moneys. Her pay with Simclar Ayrshire had never reached the level of her previous salary. Fifteen years on, she had less money and appalling conditions—that is the situation that our workers find themselves in.
That is why we need a trade union freedom bill. In 2005, the Trades Union Congress conference passed a resolution to repeal anti-trade union laws by introducing such a bill. In recent years, the UK labour market has changed. Privatisation, outsourcing and the restructuring of companies and services have become widespread, and workers' rights have been eroded. Our legal framework requires urgent changes. During the recent years of industrial change, employers such as Gate Gourmet have adopted increasingly aggressive cost-cutting tactics to win subcontracted work from transnational companies. Gate Gourmet is just one example; there are too many other examples of employers who have cut pay, slashed pensions and announced mass redundancies in the name of competition. Under existing legislation, unions feel powerless to protect the interests of the workers they represent.
The time is right for a trade union freedom bill. Last year was the 100th anniversary of the Trade Disputes Act of 1906, which protected unions from sequestration of funds and imprisonment. In 1893, Hull dockers who had been striking for seven weeks were defeated when strikebreakers were brought in by the police and the military. The 1906 act reversed laws that enabled bosses and the establishment to ride roughshod over workers. It is ironic that 100 years later, workers have fewer freedoms and rights. On 31 March 1997, Tony Blair said that even after the changes that Labour proposed, Britain would have
"the most restrictive trade union laws in the western world."
Our workers see the evidence of that daily.
A trade union freedom bill, with support from the unions and Labour members in Westminster, would make a difference. It should appeal to all trade unionists and the Solidarity motion should be supported by all right-thinking members.
As a lifelong trade unionist, I move,
That the Parliament supports the Simclar workers and calls for an appropriate redundancy package for them; welcomes the DTI investigation into the circumstances surrounding the closure of the Ayrshire plants; condemns poor employment practices that result in workers being sacked via text messages, video conferences and factory gate notices and denied real and proper consultation and appropriate redundancy payments, illustrated by the recent examples at Simclar Ayrshire, NCR Dundee and Young's in Annan; recognises the need to improve workers' rights and the existence of the Trade Union Freedom Bill in the Westminster Parliament last session which attracted cross-party support from 187 MPs and the re-lodged bill in the current term; recognises that this Trade Union Freedom Bill is supported and promoted by most trade unions, including the RMT and TGWU, and agrees to endorse and encourage support throughout Scotland for this necessary bill.
I seek an assurance from the minister that the situation will be rectified immediately, so that PACE carries out its functions properly and provides the assistance that the workers require. I also ask the minister how many full-time, sustainable jobs will be created through the Irvine Bay Urban Regeneration Company. I remind him that North Ayrshire has the highest unemployment in Scotland—after 10 years of new Labour in Government.
The Scottish Trades Union Congress said:
"in the context of … recent job losses, we have to ask why other European countries with wage costs comparable to Scotland and more robust regulatory environments have succeeded in retaining and, in some instances, growing their manufacturing base."
It is paramount that the Department of Trade and Industry undertake an investigation into the workings of Simclar, which has a history of asset stripping, moving companies, setting up satellite companies and closing the gates on workers without adhering to its obligations. Simclar has dispensed with the 90-day consultation period and failed to make appropriate financial provision for its workforce three times, as I said. The minister told me that he had received a verbal assurance that there would be an investigation, but I ask him to secure written confirmation of that as soon as possible. I look forward to the investigation and call for the greatest scrutiny to ascertain whether there has been criminal wrongdoing.
Why must we fight for workers' rights in the 21st century? A Simclar Ayrshire worker who was made redundant on 29 January was, like many of her colleagues, being made redundant for the second time. The first time she was made redundant, 15 years ago, she received enhanced redundancy pay, six months' notice, access to retraining through the company and all moneys in lieu of notice. This time, she was locked out of her workplace and given statutory redundancy pay—paid for by the taxpayer, although Sam Russell is the eighth richest man in Scotland—and there was no cushion of six months' notice or commensurate moneys. Her pay with Simclar Ayrshire had never reached the level of her previous salary. Fifteen years on, she had less money and appalling conditions—that is the situation that our workers find themselves in.
That is why we need a trade union freedom bill. In 2005, the Trades Union Congress conference passed a resolution to repeal anti-trade union laws by introducing such a bill. In recent years, the UK labour market has changed. Privatisation, outsourcing and the restructuring of companies and services have become widespread, and workers' rights have been eroded. Our legal framework requires urgent changes. During the recent years of industrial change, employers such as Gate Gourmet have adopted increasingly aggressive cost-cutting tactics to win subcontracted work from transnational companies. Gate Gourmet is just one example; there are too many other examples of employers who have cut pay, slashed pensions and announced mass redundancies in the name of competition. Under existing legislation, unions feel powerless to protect the interests of the workers they represent.
The time is right for a trade union freedom bill. Last year was the 100th anniversary of the Trade Disputes Act of 1906, which protected unions from sequestration of funds and imprisonment. In 1893, Hull dockers who had been striking for seven weeks were defeated when strikebreakers were brought in by the police and the military. The 1906 act reversed laws that enabled bosses and the establishment to ride roughshod over workers. It is ironic that 100 years later, workers have fewer freedoms and rights. On 31 March 1997, Tony Blair said that even after the changes that Labour proposed, Britain would have
"the most restrictive trade union laws in the western world."
Our workers see the evidence of that daily.
A trade union freedom bill, with support from the unions and Labour members in Westminster, would make a difference. It should appeal to all trade unionists and the Solidarity motion should be supported by all right-thinking members.
As a lifelong trade unionist, I move,
That the Parliament supports the Simclar workers and calls for an appropriate redundancy package for them; welcomes the DTI investigation into the circumstances surrounding the closure of the Ayrshire plants; condemns poor employment practices that result in workers being sacked via text messages, video conferences and factory gate notices and denied real and proper consultation and appropriate redundancy payments, illustrated by the recent examples at Simclar Ayrshire, NCR Dundee and Young's in Annan; recognises the need to improve workers' rights and the existence of the Trade Union Freedom Bill in the Westminster Parliament last session which attracted cross-party support from 187 MPs and the re-lodged bill in the current term; recognises that this Trade Union Freedom Bill is supported and promoted by most trade unions, including the RMT and TGWU, and agrees to endorse and encourage support throughout Scotland for this necessary bill.
In the same item of business
The Presiding Officer (Mr George Reid):
NPA
Good morning. The first item of business is a debate on motion S2M-5581, in the name of Rosemary Byrne, on workers' rights.
Ms Rosemary Byrne (South of Scotland) (Sol):
Sol
This Solidarity debate is about improving workers' rights and strengthening trade unions throughout Scotland and the United Kingdom.The context for the debat...
Irene Oldfather (Cunninghame South) (Lab):
Lab
Will the member give way?
Ms Byrne:
Sol
I need to make progress; I have to cover a lot of ground.I seek an assurance from the minister that the situation will be rectified immediately, so that PACE...
The Deputy Minister for Enterprise and Lifelong Learning (Allan Wilson):
Lab
I am a lifelong trade unionist, too, and the subject matter of the debate is close to my heart. I thank Rosemary Byrne and Solidarity for giving us the oppor...
Ms Byrne:
Sol
Does the minister agree that up to now the PACE initiative has been disappointing and that there is a need to press for improvements as quickly as possible?
Allan Wilson:
Lab
In the context of PACE, there is an issue when an employer refuses to co-operate with public agencies that deliver services, as has happened in the case that...
Irene Oldfather:
Lab
Has the minister had any advice from officials about any way in which the closure might contravene the European information and consultation directive? Would...
The Presiding Officer:
NPA
You now have one minute left, Mr Wilson.
Allan Wilson:
Lab
Thank you, Presiding Officer—although that is not a long time in which to deal with what are fairly complex matters. I will perhaps come back to some of thes...
Jim Mather (Highlands and Islands) (SNP):
SNP
We are whole-heartedly in favour of workers' rights, and we are grateful to Solidarity for creating this opportunity to debate the subject. We believe that, ...
Jackie Baillie (Dumbarton) (Lab):
Lab
Jim Mather has talked about the Government's position. I wonder what the Scottish National Party's position is on the proposed bill to reform the trade union...
Jim Mather:
SNP
We will give it due consideration. Today, I am calling for a proper and full debate in which we learn from other places. There is a difficult blend to be ach...
Allan Wilson:
Lab
I agree. Would the member agree with me that the UK has been spectacularly successful in that context? It is one of only three EU countries that have surpass...
Jim Mather:
SNP
There has been an element of success but, if we consider countries such as Denmark, we find that they have achieved that better. We are currently facing the ...
Phil Gallie (South of Scotland) (Con):
Con
Rosemary Byrne's speech was wide-ranging and time is a constraining factor in the debate, so I will not seek to make interventions and I will not take any du...
Mr Jamie Stone (Caithness, Sutherland and Easter Ross) (LD):
LD
I apologise to the Presiding Officer and to Rosemary Byrne for being late. One is subject to the vagaries of the taxi service, such as it is.It may surprise ...
Jackie Baillie:
Lab
I am surprised.
Mr Stone:
LD
I thank Jackie Baillie for that.Having worked in the oil fabrication sector and in the drilling sector for some years, I understand exactly the fear that has...
The Presiding Officer:
NPA
I thank the member for being brief. Such short debates always mean truncated speeches and few interventions. They are not particularly satisfactory in that r...
Chris Ballance (South of Scotland) (Green):
Green
I will stick to my two minutes. The motion is excellent and it is important to debate such issues. It is positive that all members—in the motion and the amen...
Jackie Baillie (Dumbarton) (Lab):
Lab
I acknowledge the difficulties that have been experienced by workers in Simclar, NCR Dundee and Young's, and in Methode Electronics Europe in my constituency...
Tommy Sheridan (Glasgow) (Sol):
Sol
Will the member confirm the truth to the chamber—that the quotes that she read out come from the NUJ chapel that happens to be the Scottish Socialist Party c...
Frances Curran (West of Scotland) (SSP):
SSP
That is rubbish.
Jackie Baillie:
Lab
A member has responded to Mr Sheridan's point from a sedentary position. I understand that both the organisations to which I referred are in formal dispute w...
Mr Adam Ingram (South of Scotland) (SNP):
SNP
I deplore Jackie Baillie's rather petty contribution to this morning's debate. It did not set the right tone, especially for the Simclar workers who are look...
Frances Curran (West of Scotland) (SSP):
SSP
I welcome this debate on workers' rights, which is long overdue. I regret the fact that the chamber has been spurred into action on the matter by the Simclar...
Irene Oldfather (Cunninghame South) (Lab):
Lab
First, I apologise to the chamber—I have had laryngitis this week, but I thought that it was important to come here today to make the case that the Simclar w...
Campbell Martin (West of Scotland) (Ind):
Ind
I congratulate Rosemary Byrne and Solidarity on bringing the issue of workers' rights to the Parliament, and I acknowledge the immense amount of work that Ro...
Bill Aitken (Glasgow) (Con):
Con
This has been an extremely unhappy debate. I have never been a trade unionist, but I have been made redundant—it happened six months before the Parliament ca...