Employment Rights Bill

Lord Davies of Brixton Excerpts

Report stage
Wednesday 23rd July 2025 Lords Chamber

[Lord Balfe (Con)]

My Lords, it will probably not surprise noble Lords that I support the amendment. This situation has cursed the whole of the trade union movement’s relations with the Labour Party for far too long. As some of you will remember, I am the president of BALPA, the pilots’ union, a non-political union that does not have a political fund. In so far as it has ever been discussed in the union executive, the unanimous conclusion has been that to have a political fund would be extremely divisive and not a path that we should go down.

To some people, the solution to this situation— I will not call it a problem—is to pass a simple law saying that trade unions cannot make political donations. If we are not prepared to accept this compromise, then that is what we are drifting towards. If we look at the Labour Party accounts, we see that it gets far more money from non-trade union sources than from trade union sources. When I went through the accounts, I saw that there was one very rich lady who appeared to give more to the Labour Party than all the trade unions put together. I am not sure that she was of British nationality, either. But that is irrelevant—the fact is that political funding has got completely out of control in both parties. We need reform, but one interesting thing is that the arguments of the Labour Party appear to be very similar to the arguments of the diehard Conservatives as to why we should not abolish the hereditary peerage; namely, that we should wait for comprehensive reform. We are probably not going to get a comprehensive reform of political donations in this way. I would suggest that the compromise from the noble Lord, Lord Burns, is a very good one. It has worked and has kept the peace for a long time.

There has to be clear consent—to my mind, clear consent is a quite reasonable thing. Why should you not ask for clear consent before you deduct money from people’s contributions? It seems like a no-brainer to me. I would suggest that we leave things in place, adopt the amendment from the noble Lord, Lord Burns, and hope that this matter will go to sleep for at least another 10 years, during which time the parties will have as much time as they like to come up with reforms.

I should remind noble Lords that at the beginning of the Parliament Act 1911 on the reform of the House of Lords were the historic words “pending a full reform”. We are still told by Conservative Party Members that what is proposed by the Labour Party for the House of Lords is not a full reform. I have said, and will say it here, that we will never get one—we will never get that agreed.

I would like to see reform on the amount of money that people can put into political parties. I do not think that the people who put vast amounts of money into the Conservative Party do so because they have no expectation of any sort of reward. I think that they do it because they think that the Conservative Party will deliver what they want—whether that has happened is for them to now judge. The fact is that people do not support political parties other than with the aim of changing power and of getting changes in society.

My union general secretary, a certain Sharon Graham, has my full support, because for the first time in what I still think of as the T&G—my original union was AUEW-TASS—we have a general secretary who I think is fully behind the people who are paying her salary, and this is something quite different, but I think this demand is going to grow. If there was an open ballot in BALPA with a simple question, “Should we construct and set up a political fund?”, it probably would not get 10% in favour, because the whole way in which political funds have developed is not seen by the ordinary branch member as something they want to indulge in. Most of them see it as a sort of slush fund for the senior officers. I am sorry, but we have to face that and we need to get away from it.

So I hope that the amendment of the noble Lord, Lord Burns, will be accepted and that we will carry on with the admittedly unsatisfactory present system until we get this full reform that we have been asking for, although it will be a long time after I have left this place.

[Lord Davies of Brixton (Lab)]

The speeches that have been made in this debate about an important issue are clear, and I strongly support those made on this side of the House. Because of the exigencies of where the issue arises in our consideration of the Bill, I have tabled manuscript Amendment 147A. Noble Lords may well be scratching their heads, but it is a manuscript amendment, which has been circulated separately, on a different subject, but it comes up at this point of the Bill. It has been brought to my attention by my union, Unite, and I need to declare that, but it is an issue of concern to all unions.

The unions strongly support the provisions in the Bill which introduce paid facility time for equality representatives. This is an important development and it is something for which unions have campaigned for some years. However, there is concern that there are some technical problems with the provisions in the Bill, which is why I need to raise them now. We are looking at Clause 62, which creates the right for paid time off for this new initiative of equality representatives in certain circumstances. It appears to me that there is a deficiency in the Bill, in that it says they are entitled to this time off for the purpose of consultation, but it is quite clear that these representatives will also be involved in negotiating. My manuscript amendment seeks simply to add “negotiating” in front of the existing provision in the Bill that says that these equality reps are involved in the process of consultation. I hope that my noble friend the Minister will be able to give a favourable response to what is essentially a technical issue, but one which I need to raise now.

[Baroness Fox of Buckley (Non-Afl)]

My Lords, I feel in something of a time warp, because I opposed Clause 62 in Committee and tried to get it dropped, but I want to go back to the discussion we were having on Amendment 147. I support this amendment, because I genuinely think there are very good reasons why the trade union movement should not be frightened of this amendment, and I do not understand the changes that have happened. All the amendment does is to try to retain, at least notionally, control in the hands of trade union members: they should decide where they want their dues to go and whether they want them to go into a political fund. What could possibly be frightening about that?

It means that, at least in theory, the trade unions will have to be kept on their toes and justify why members should opt in, and therefore not assume or assert that their union’s political activity—which, to be fair, is often far removed from rank and file workers’ interests—is on behalf of their members. It simply puts unions in a position in which they have to convince their members to opt in.