POLITICS MATTERS: New measures in the pipeline aim to boost workers’ right
Improving rights for workers has always been an important part of my political DNA, from the early years as a fresh-faced MP in 1997 until my retirement as an MSP in 2021.
Looking back in time, my most memorable and significant experience was the passing of the National Minimum Wage (NMW) in 1998, in spite of the ferocious opposition by the Tories.
The NMW bill did not clear the Commons until around 9am, after an all-night sitting with over 25 substantive divisions. MPs of all parties walked around the Palace of Westminster in a daze, aiming to grab a few minutes sleep in the library, canteen or their office.
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As I walked over Westminster Bridge once the Bill had finally passed, unshaved and bleary eyed from a heavy night shift of constant voting, I did feel a deep satisfaction that the minimum wage would provide a statutory safety net for workers across the Highlands, beneath which pay should not fall.
A boost for bar staff in Inverness, kitchen workers in Nairn and cleaners in Dingwall. This was not some top-down diktat from the Commons. The minimum wage would be decided according to the economic circumstances of the day and with the advice of an independent low pay commission, whose membership included employers, small business representatives and employees.
Economists from the Centre for Public Impact argued that the NMW would eliminate the worst excesses of low pay, which hits women, young people and those living in rural areas like ours disproportionately. The National Minimum Wage Act came into force on July 31, 1998 and was a first for the UK (although political anoraks will know that Winston Churchill campaigned for a minimum wage for farm workers many generations earlier).
Over 25 years since the introduction of the NMW, it is clear that it was a landmark moment for British workers. The legislation lifted millions out of poverty with a clear principle that all work has value and that all work should pay.
In the Commons, during the debate on the Bill, the naysayers predicted doom and gloom – that NMW would cause widespread unemployment and economic crisis. The reality – unemployment actually fell through what economists call a “virtuous circle” - workers on the NMW spent their earnings at local level, stimulating business and investment.
The new Labour government at Westminster have not forgotten the importance of workers’ rights. The Labour manifesto had a strong commitment to a New Deal for Working People. This includes a transformation of the Minimum Wage into a Living Wage for all adult workers, banning zero hours contracts and providing more support for the self-employed.
Labour is also committed to introducing a right to switch off, allowing workers to separate their work and home life. This policy will involve a jointly agreed code of practice between employers and employees, laying out normal working hours when workers should expect to be contacted by their employers.
Recent polling from think tank IPPR found that the overhaul on workers’ rights was popular with voters, with over 60 per cent agreeing that workers’ rights needed to be strengthened. The new measures will be added to the planned Employment Rights Bill likely to be brought forward in September when Parliament returns.
My experience of legislation is that it is essential to have widespread consultation to make the Bill as robust and practical as possible. A strong, dynamic economy needs to encourage investment and enterprise, boost training and technology – but not at the cost of watering down the key concept of strong employment and workers’ rights. This approach would seem to get the balance right.
