[IER] IER guide to draft workers' rights bill
Sarah Glenister
sarah at ier.org.uk
Mon Nov 27 17:03:25 GMT 2017
IER News Brief 27/11/17
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news brief
Monday 27th November 2017
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Last week, the Works and Pensions (DWP) Committee and Business, Energy and Industrial Strategy (BEIS) Committee produced a joint report and draft Bill on the reform of workers' rights <https://ier.us12.list-manage.com/track/click?u=f121e48a8bb6d3101590c12d3&id=2ab2a810a4&e=71131c031b> following an inquiry into the modern workforce.
Among the key proposals are default worker status for those who are currently classified as "self employed" by large "gig economy" companies; a premium minimum wage for workers without guaranteed hours; and more stringent enforcement of employment law, seeking to prevent firms from exploiting loopholes and reduce the current reliance on workers to police their own rights.
While the IER broadly welcomes the direction of the report, we note that it aligns more closely with the recommendations of the Taylor Review than the proposals put forth in both our Manifesto for Labour Law <https://ier.us12.list-manage.com/track/click?u=f121e48a8bb6d3101590c12d3&id=d60ade2932&e=71131c031b> and the Labour Party Manifesto For the Many, Not the Few.
Notably, it fails to engage with the significant role of trade unions in both lifting labour standards and ensuring their effective enforcement, focusing instead on improved consultation rights for those without trade union representation, and complex new arrangements for group litigation that ignores trade unions' ability to bring collective action.
The IER also notes that, in places, misunderstandings of the legal and tribunal process betray a lack of legal advice in the drafting of the report, and proposes that in complex areas such as the classification of employment status, a Commission of Experts should be appointed to make legal recommendations.
In our guide to the report <https://ier.us12.list-manage.com/track/click?u=f121e48a8bb6d3101590c12d3&id=6a5f2be381&e=71131c031b> and the draft Bill, we provide detailed commentary on each recommendation.
The proposals put forth in the Committees' report are the first among many expected recommendations to be made on workers' rights in the coming months. The government has yet to release an official response to the Taylor Review, but have hinted they will do so before the year's end. In their industrial strategy <https://ier.us12.list-manage.com/track/click?u=f121e48a8bb6d3101590c12d3&id=e8d063d030&e=71131c031b> , published today, the government states that it has accepted Taylor's recommendation that a set of measures should be identified against which job quality and success can be assessed. However, in its goals of raising UK investment in research and development, and upskilling the workforce, it once again ignores the role of trade unions and sectoral collective bargaining in achieving these aims.
The IER agrees that improved training and incentives for business to invest in research and development are vital to improving the UK's currently low economic productivity, and argues that sectoral collective bargaining has a key role in encouraging these outcomes. By agreeing decent labour standards, training and apprenticeship programmes at a sectoral level, workers and employers can work together to build a strong economy, and today's framework - which encourages employers to compete on a race to the bottom on employment rights - can be replaced by one that encourages competition based on innovation.
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At our popular annual employment law update, top lawyers, academics and trade unionists from across the UK meet to discuss the year’s developments in labour law.
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This year has been a landmark one for employment law, with the issue of exploitative working practices reaching public consciousness through repeated scandals at “gig economy” and low-pay employers, prompting political inquiry into reform. At our popular annual employment law update, top lawyers, academics and trade unionists from across the UK meet to discuss the year’s developments in labour law and make proposals for the furthering and protection of workers’ rights.
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