Wednesday 5th November 2025

(1 day, 10 hours ago)

Commons Chamber
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Consideration of Lords message
Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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I can inform the House that nothing in the Lords message engages Commons financial privilege.

Clause 1

Right to Guaranteed Hours

Kate Dearden Portrait The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
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I beg to move,

That this House disagrees with the Lords in their amendment 1B.

Judith Cummins Portrait Madam Deputy Speaker
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With this it will be convenient to discuss the following Government motions:

That this House insists on its disagreement with the Lords in their amendment 23 and amendments 106 to 120, does not insist on Commons amendment 106A but proposes Government amendments (a) to (c) in lieu of Lords amendment 23 and Lords amendments 106 to 120.

That this House disagrees with Lords amendment 48B.

That this House disagrees with Lords amendments 60B and 60C but proposes Government amendments (a) and (b) in lieu.

That this House insists on its disagreement with the Lords in their amendments 61 and 72 but proposes Government amendment (a) in lieu.

That this House insists on its disagreement with the Lords in their amendment 62 but proposes Government amendment (a) in lieu.

Kate Dearden Portrait Kate Dearden
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I am pleased to speak on the Employment Rights Bill for our second consideration of Lords amendments, and I refer Members to my entry in the Register of Members’ Financial Interests. I thank my right hon. Friend the Member for Ashton-under-Lyne (Angela Rayner) for her outstanding work on employment rights and her unwavering advocacy for working people. I know how close this Bill is to her heart, and I am grateful that she is here in support today. I also thank my hon. Friend the Member for Ellesmere Port and Bromborough (Justin Madders) for his work and dedication on this significant piece of legislation.

The Government’s top priority is to grow the economy and improve living standards. Essential to that is the recognition that greater productivity, security and dignity in work help to grow the economy. The stronger economic performance that our country needs cannot be built on the backs of people in insecure work. For too long employment law has failed to keep pace with the fundamental changes to how, when and where we work. It is time to build a modern industrial relations framework, fashioned on the principle of social partnership that consent and consensus must replace disputes and conflict in modern employment relations. That is good for workers and good for business. Both suffer when one employer is undercut by another, using reduced terms and conditions of service for their employees. Sustainable economic growth cannot be built on unfair competition and insecure employment.

The Employment Rights Bill extends the employment protections currently enjoyed by some employees in the best British companies to workers across the country. By doing so, work will become more secure and predictable while strengthening the foundations that underpin a modern economy. The Bill will back businesses that already do the right thing and give hard-working people the job security and opportunities they deserve. It is in tune with the times and in keeping with how the world of work is changing.

Industrial relations law in this country must move from the 20th century to the 21st. It has to recognise that certainty and security are essential for people at work, that the best relationship between employer and employee is best exemplified by fairness and trust within a framework for recruitment and retention that values both, and that dignity at work is as vital to the effective functioning of modern society as the dignity of work.

Some will seek to use this issue to entrench the idea that employers and employees have opposing interests that must always inevitably result in dispute and strife, and I reject that view. The very best trade unionists know, as do the best employers, that such a view only represents failure. For this Labour Government, success is to be measured not in division, but in the shared economic growth that we achieve, the opportunity and security we build and the prosperity we create, and that is at the heart of the Bill.

Today I ask the House to reaffirm its support for this important legislation as we move through the latest round of parliamentary ping-pong. We have listened carefully to the concerns that have been raised, and in response we are offering, where possible, amendments in lieu that we believe strike a fair and workable compromise with the proposed amendments. Although we appreciate the range of perspectives offered, we will be unable to support certain amendments that conflict with the fundamental principles of the Bill and may compromise its intended impact.

We acknowledge that Lords amendment 1B, which relates to zero-hours contracts, is an amendment in lieu, intended as a compromise. It proposes a shift from a full right-to-request model to one in which employers must notify workers of their right to a guaranteed hours offer, and make a guaranteed hours offer unless the worker declines or opts out. I appreciate the sentiment behind the amendment, but it would undermine the Bill’s core aim of ending exploitative contracts and providing security for the workers who need it most. We therefore cannot accept it.

The Government are committed to ending one-sided flexibility so that workers are not left guessing about their hours or pay. These reforms reward fair employers, modernise the system and come with clear guidance to help everyone prepare. For employers, clear expectations mean better staffing and lower recruitment costs through better retention. We also appreciate that some groups, including younger workers, value the flexibility of zero-hours contracts. That is why workers will be able to decline a guaranteed hours offer and remain on their existing arrangement if that works best for them.

The Government are also committed to supporting young people into work. The youth guarantee will include a targeted backstop under which every eligible and unemployed young person on universal credit for 18 months without earning or learning will be provided guaranteed paid work. The scheme forms part of the Government’s aim to provide targeted support for young people at risk of long-term unemployment. Further details will be confirmed at the autumn Budget, following further engagement, including with employers.

Let me turn to Lords amendment 48B on seasonal work. The Government recognise that work in certain sectors fluctuates seasonally, and that there are ways in which employers may account for that and remain compliant with the legislation. They may, for example, use annualised hours contracts, which offer variable numbers of hours at work at different times of the year. Additionally, the Bill already allows guaranteed hours offers to take the form of limited-term contracts where reasonable—for example, a fruit-picker could be engaged on a contract tied to the end of the picking season. In such cases, after the initial reference period, the employer would be required to guarantee hours only for the duration of that limited-term contract rather than on a permanent basis. The Bill also already provides powers to address seasonal work through regulations, ensuring flexibility as workforce needs evolve. Consultation with employers, trade unions and stakeholders will take place before such regulations are made. We therefore do not support the amendment.

Let me turn to unfair dismissal. Lords amendments 23 and 106 to 120 propose retaining a qualifying period of six months for unfair dismissal. These amendments have returned to this House as the Lords have insisted on them. We remain committed to delivering unfair dismissal protections from day one—not two years, not six months, but day one. That was a clear pledge in our manifesto and it will ensure that about 9 million employees who have worked for their employer for less than two years are protected from being arbitrarily fired. Crucially, day one protection from unfair dismissal will not remove the right of businesses to dismiss people who cannot do their job or do not pass probation, but it will tackle cases of unfair dismissal in which hard-working employees are sacked without good reason. A six-month qualifying threshold still leaves employees exposed to dismissal without good reason in the early months of a new job, which is why the Government cannot accept the Lords amendments on maintaining a qualifying period.

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Ian Lavery Portrait Ian Lavery (Blyth and Ashington) (Lab)
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The shadow Secretary of State is showing how much he despises the trade union movement and ordinary working people—[Interruption.]

Ian Lavery Portrait Ian Lavery
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I must declare a financial interest with regard to my connection with the trade union movement: I am a very proud member of a trade union.

In response to what the shadow Secretary of State said about support for the Employment Rights Bill, it was a manifesto pledge and the British public voted in their millions to support the Labour party to put this manifesto pledge through in its entirety. And guess what? That is what we are doing.

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Chris Philp Portrait Chris Philp (Croydon South) (Con)
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On a point of order, Madam Deputy Speaker, at Prime Minister’s questions earlier today, the Justice Secretary and Deputy Prime Minister was asked by my hon. Friend the Member for South Suffolk (James Cartlidge) no fewer than five times whether he was aware of any prisoner being released early, having claimed asylum. We now know that he had in his possession at that time a folder containing details of the accidental release of Brahim Kaddour-Cherif from Wandsworth prison last week—a man previously convicted of sex offences and who is, as we speak, at large and posing a risk to the public. It has emerged since then that another man, William Smith, was accidentally released on Monday.

The Deputy Prime Minister failed to disclose that relevant information to this House. The House and the public are entitled to be told about such things, but the Deputy Prime Minister withheld that information. The police have subsequently confirmed that they have no objection to that information being released, contrary to briefings from the Government. Will the Justice Secretary come to this House before the close of business and make a statement so that Members can question him? We cannot wait until the House returns on Tuesday for a proper account.

Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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I thank the right hon. Member for his point of order. Whether the Government choose to make a statement is not a matter for the Chair; however, the Treasury Bench will have heard the right hon. Member’s concerns.

Iain Duncan Smith Portrait Sir Iain Duncan Smith (Chingford and Woodford Green) (Con)
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Further to that point of order, Madam Deputy Speaker, I understand that the Deputy Prime Minister has made it clear that he was held back for operational reasons by the Metropolitan police from answering that question at Prime Minister’s questions. Mr Swinford of The Times has published right now that far from that being the case, there is

“significant frustration in the Met Police”,

as they said that there was clearly “no operational issue” at all with the release of that information. I wonder if you will take that into consideration, Madam Deputy Speaker, because surely this is a process of misleading the House.

Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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I thank the right hon. Gentleman for his point of order. I refer him to my answer to the previous point of order. It is not a point of order and not a matter for the Chair, but it is a matter of debate.

Graham Stuart Portrait Graham Stuart (Beverley and Holderness) (Con)
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Further to that point of order, Madam Deputy Speaker—

Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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Can you confirm that it is a point of order?

Graham Stuart Portrait Graham Stuart
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It is, Madam Deputy Speaker. You will be aware that a Bill was presented to Parliament only this week that provides for a duty of candour for public servants. It is not enough simply to tell the truth; there has to be a duty of candour. Can you, Madam Deputy Speaker, share with the House whether the sponsoring Minister, the Justice Secretary, has decided to remove himself as the sponsor of that Bill?

Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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I thank the right hon. Gentleman for his point of order; it is not a point of order, but a point of argument.

Andrew Murrison Portrait Dr Andrew Murrison (South West Wiltshire) (Con)
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Further to that point of order, Madam Deputy Speaker—

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Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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I do hope that this is a point of order.

Andrew Murrison Portrait Dr Murrison
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It very much is, Madam Deputy Speaker. We have this week had the publication of a very important Bill—so important that the Prime Minister himself came to this House to present it on Second Reading. The sponsor of that Bill is the Justice Secretary. While I have no doubt that the Justice Secretary was being truthful today, there is a question over whether he was being candid, which is a higher test. Can you advise me on how the Justice Secretary might be requested to come to this House to clarify his position?

Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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I thank the right hon. Gentleman for his point of order. However, I repeat that this is not a matter for the Chair. It is not a point of order.

Public Authorities (Fraud, Error and Recovery) Bill: Programme (No. 2)

Motion made, and Question put forthwith (Standing Order No. 83A(7))

That the following provisions shall apply to the Public Authorities (Fraud, Error and Recovery) Bill for the purpose of supplementing the Order of 3 February 2025 (Public Authorities (Fraud, Error and Recovery): Programme):

Consideration of Lords Amendments

Proceedings on consideration of Lords Amendments shall (so far as not previously concluded) be brought to a conclusion two hours after their commencement. The Lords Amendments shall be considered in the following order: 1, 75, 30 and 31, 43, 84, 97, 2 to 29, 32 to 42, 44 to 74, 76 to 83, 85 to 96 and 98 to 121.

Subsequent stages

Any further Message from the Lords may be considered forthwith without any Question being put. Proceedings on any further Message from the Lords shall (so far as not previously concluded) be brought to a conclusion one hour after their commencement.—(Christian Wakeford.)

Question agreed to.