Oral Answers to Questions
Debate between Helen Grant and Julian Smith(11 years, 2 months ago)
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Julian Smith (Skipton and Ripon) (Con)
7. What steps she is taking to increase female representation on company boards. [R]
Promotion of Women in Business
Debate between Helen Grant and Julian SmithWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
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Julian Smith
My hon. Friend is absolutely right. The client that I worked with that did best in this area had such considerations hard-wired into compensation and promotion at all levels in the organisation, not just at board level. To get a pipeline of candidates for board positions, one has to work right down the organisation, at every level of management. In that organisation, the key question at every performance review was, “What diversity hiring have you done in the past six months?”
A relentless focus is required in the House and at every level of government. I am not convinced that having a unit on women and equality is the right way to go. We need this to be driven from the highest level in the Department for Business, Innovation and Skills, and we need to showcase with awards and in every way possible those organisations that are doing the right thing.
Julian Smith
The role of head-hunters is important. The reason for stressing companies is that head-hunters are driven by their fees, and if the underlying companies are pushing them, that is when there is a change in the approach of the head-hunters. I was pleased that Lord Davies advocated a voluntary code for head-hunters, and some are doing great work in this area, but we will probably end up having to look more closely at this unregulated part of the business world, and push hard if they do not move quickly on their voluntary code.
On parental leave, child care and other matters that have been discussed this morning, I hope that the Government, with their moratorium on regulations for small businesses, will advocate a frank conversation between employers and female employees. My best employee relationship was with someone I could talk to about her plans for child care and family development, and we interweaved her talent and desire to build her family with the business’s needs. That employee was paid more and performed better than any other person in my company.
As well as the Government’s role, there is a strong role for Parliament. There is a strong argument for setting up a new Select Committee for the lifetime of this Parliament to focus on women and diversity. It could be wrapped up at the end of this Parliament, but in the meantime it could be used as a vehicle to demonstrate that parliamentarians in the class of 2010 will ensure that we move the issue on, drag companies in and question them. We want to ensure that the matter is nailed once and for all.
My concern and my message to business, whether head-hunters, global businesses or small businesses, is that if we are still here in 2015 having these arguments about the paltry number of women in the senior echelons of our businesses, it will be very difficult for people such as me, as a great supporter of less regulation and red tape, to stand up and say that there should not be legislation and intervention. This Parliament has an opportunity, as does business, to go for it, and to make a substantial change along the lines of what Lord Davies said, but it must be done now. We must get on with it.