Black and Minority Ethnic People: Workplace Issues Debate

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Lord Adebowale

Main Page: Lord Adebowale (Crossbench - Life peer)

Black and Minority Ethnic People: Workplace Issues

Lord Adebowale Excerpts
Tuesday 3rd May 2016

(7 years, 11 months ago)

Lords Chamber
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Lord Adebowale Portrait Lord Adebowale (CB)
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My Lords, it is a great pleasure to speak in this debate. I congratulate the Minister on calling the debate, and indeed the noble Baroness, Lady McGregor-Smith, on leading the review. I do not think that I have had the chance to welcome her to the House, so I say hello and welcome.

I want to say a few things. As we all know, the UK is a diverse and multicultural society, despite the grumblings of my good friend Trevor Phillips, who imagines that multiculturalism is a bit like putting milk in coffee and that you can un-mix it. It is what it is, and we need to start there. I am a non-executive at NHS England and the chief executive of a care organisation—one of very few of reasonable size. The great noble Baroness, Lady McGregor-Smith, is a notable business woman with a stellar track record, and there are many Members of this House whose track record is admirable by any standard. But one must consider that these are the exceptions that prove the rule.

It is important that we understand something. In the Minister’s opening address, she made the point that hard work and ambition should be the ticket to success. That needs to be corrected, in my view. I know many, many talented, hard-working BME community members whose dreams and careers have been thwarted by nothing less than racism. We have to face that head on. Given the statistics quoted by both the noble Baroness, Lady McGregor-Smith, and the noble Baroness, Lady Neville-Rolfe, I do not think that we can simply say to a number of our communities that hard work and ambition will get you there. It will not. The exceptions that prove the rule make that point admirably. We have to address the unfairness in the system.

Let us start with the title of this debate: to take note of the issues faced by black and minority ethnic people in the workplace. As has been pointed out, there are many members of black and minority ethnic communities who would love to experience the workplace but who have been discriminated against, which has led them to not be in the workplace. I must add that they are then victims of, in my view, a pretty cruel welfare system which considers that poverty in itself is an incentive. They are disproportionately represented in virtually every misery statistic that I have worked with over a 30-year career in public services: in homelessness, among children in care and in the criminal justice system. They are not overrepresented in the senior echelons of public, private or not-for-profit service delivery. That is unacceptable.

The Prime Minister’s pledge to increase the BME employment rate by 20% as part of the Government’s BME vision is welcome—but I have to say right now that that is going to be a challenge. Mr Cameron stated:

“For too many people, even a good education isn’t enough. There are other barriers that stand in their way”.

I wish he had just said “racism”. He said:

“Do you know that in our country today, even if they have exactly the same qualifications, people with white-sounding names are nearly twice as likely to get callbacks for jobs than people with ethnic-sounding names?”.

There can be only silence at that, because where I come from, the response to the speech was, “No ****, Sherlock”. The fact is that we have known about this challenge for many years. Successive Governments have known about this challenge for many years, as they have known about the disproportionality in employment rates between young BME people and their white counterparts.

This debate has a sense of urgency underpinning it because the demographics are not in our favour. If you look at the fastest-growing population in most of our major conurbations, you will see that they are people who look like me, the noble Baroness, Lady McGregor-Smith, and others in this House. This is not a challenge for BME groups. It is not a matter of morality, even—you do not have to care about any of this. This is a matter of economic survival and the sustainability of the country. We need to break barriers. The barrier to getting a job is challenge enough: 40% of jobs are not advertised. It is about “the network”; it is about who you know and how you know them; it is about access to the choice experiences that might get you into our media, our judiciary and our politics. It is all word of mouth. If you are in the network, you are in; if you are not, you are not. And although there are exceptions that prove the rule when these networks have worked for BME groups, the generality is that the opposite is the case. That is why we are having the debate.

I want to move to an age where there is no debate; where I can say that I am a black leader and it will be seen not as a political statement but a fact. We need to break down significant barriers. The recruitment process itself, where staff hire in their own image, limits people from BME communities entering the workforce in the first place. While there have been improvements, the statistics speak for themselves and they are not good enough. Sir Lenny Henry has commented on this in relation to the arts, both in administration behind the cameras and in front of the cameras. Look at the administrators and performers in the classical arts. The lack of BME representation is shameful. The work being done around women on boards is laudable. But the question I often ask myself is: which women? Where public money is concerned, there are questions that need to be asked of leaders, whether they be black or white, as to how they are managing the use of my tax money in making decisions as to who should lead the public services that we pay for.

The second barrier is lack of progression. After getting a job, being promoted within it is a major challenge. My experience as a board member of NHS England led me to help set up the workforce race equality strategy. As a result of information brought to the attention of the NHS by Yvonne Coghill, we now know that there is a direct correlation between BME leadership of hospitals and care organisations and the quality of care on the ground. Much work needs to be done. It was a real struggle setting up the workforce race equality strategy, because there was a lot of resistance. It was seen as a political intervention rather than one of good management and leadership.

I will end by making three requests. Although I welcome the review—it is long overdue and I hope that it receives cross-party support and engagement—there are three things that we need to do if we are to take this seriously. The first is that we should set up a structured way of observing government expenditure and intervention across departments and their influence. We must ask whether we are spending government money and using government leadership appropriately to lead the way. We should look at some of the initiatives that are currently out there and ask them to support such a cross-government observatory.

Secondly, the Government in setting up and holding inspectorates to account should require those inspectorates to ask simple questions. This is not about quotas and it is not about setting targets—although the notion of targets within businesses is to be welcomed. This is about asking leaders of public, private and not-for-profit organisations, particularly where they receive government funding, “What are you doing in this area?”. Where there are departments—and there are departments and institutions funded by government or receiving large amounts of money through tenders to government departments—which have never had a BME leader, the question should be asked as to why. There have been black people in this country since Roman times. We need a good answer.

So the future of this country lies in the things that we have not discussed. We have not discussed race enough and we have not been serious enough about the things that we need to do to provide a truly equitable society, a truly prosperous country and true economic prosperity for us all.

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Lord Adebowale Portrait Lord Adebowale
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I hesitate to interrupt the Minister in full flow, but Adebowale is a good old Yorkshire name, and pronounced differently from how the Minister said it.

Baroness Neville-Rolfe Portrait Baroness Neville-Rolfe
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I am so grateful for that. People will know that I have a bit of a problem with pronunciation. That had foxed me, but now the noble Lord has taught me the way forward, for which I thank him. The noble Lord said that our record is not good enough. That is, of course, why we have set up our review.

As the noble Lord, Lord Morris of Handsworth, said, people are key to our success in this country. I know this from my experience as a huge employer working in lots of local communities. Our values included treating people equally and with respect. Frankly, that is what leads to success and, indeed, to productivity improvement. We are lucky in this country to have had race equality legislation for 50 years. But of course racism is unacceptable, and this Government are determined to ensure that everyone has the opportunity to get on in life, free from harassment and fear.

It is good news that 237,000 people with a BME background started one of the 2.4 million apprenticeships that began over the last Parliament. In this Parliament, we will go further, committing to 3 million starts. Of these, we aim to ensure that a greater proportion comes from black and ethnic minority backgrounds. This is a challenge that my colleague the Skills Minister has accepted.

For those who want to be their own boss, the introduction of start-up loans has made a huge difference, with more than 20% of loans in the last Parliament going to those with a BME background. We have set ourselves an ambitious target of 75,000 new loans over this Parliament, of which a greater proportion should go to ethnic minorities.

But it is not just getting a job that matters; it is ensuring that young people have the education they need to fulfil their potential. On this, there is a good story to tell on the progress of BME students into higher education, but we can do more. We will take action to increase the proportion of BME students progressing to higher education by 20% by 2020.

My noble friend Lady Bottomley rightly drew attention to the opportunities in universities among academics and in university appointments more generally. I join her in congratulating the noble Baroness, Lady Amos, on her appointment as head of SOAS. I was interested to hear about the Equity Challenge Unit. The noble Lord, Lord Bilimoria, mentioned GEEMA. I will pass on these thoughts to the Higher Education Minister, Jo Johnson, who is engaged on this issue.

I do not have the figures for Parliament, but I think that we agree that there has been a change here and that that is reflected in this House. I am grateful to the noble Lord, Lord Parekh—forgive my pronunciation again—both for his kind words and for pointing out how the situation has improved on the Conservative Benches. I was glad to hear from my noble friend Lord Sheikh that he has encouraged this trend, as I know have other noble friends.

The public sector is working hard, from efforts to increase diversity among the police and Armed Forces to initiatives to improve diversity in the Civil Service. Following research published in March last year, the Talent Action Plan has been launched, focused on building inclusion across the Civil Service and ensuring that groups that historically have been underrepresented are fully supported in the workplace and given support to progress. This includes an expansion of the Summer Diversity Internship Programme and widening the Positive Action Pathway. The senior leaders race network, launched earlier this year, will also make a difference, with role models—again that theme—inspiring the leaders of the future.

My noble friend Lord Sheikh asked about minorities in prisons. He will now be aware from what has been said that David Lammy MP’s inquiry into criminal justice issues has recently launched and put out a call for evidence. Perhaps my noble friend would be kind enough to feed in his concerns to that inquiry.

Many of us have touched on board-level work, which is closer to my own ministerial responsibilities. Sir John Parker’s group on BME representation on corporate boards, mentioned in the excellent and varied Library Note for this debate, has been looking at this issue. Sir John chairs Anglo American. His group includes David Tyler, who chairs Sainsbury’s, Trevor Phillips, president of John Lewis—both huge employers—and Ken Olisa, a non-executive director of the IoD who is also the first black Lord-Lieutenant of Greater London and another role model. The group’s aim is to end mono-cultural boards in the FTSE 100 by 2020, which may please the noble Baroness, Lady Hayter. The group will report in the autumn. Currently, 5% of CEOs and chairs in the FTSE 100 are from ethnic and minority backgrounds. The successes of these individuals reflect the entrepreneurial skills that we heard about from the noble Lord, Lord Bilimoria—again, a role-model point.

Only last week, as it happens, following a meeting with Sir John, I met members of his group and others including leading headhunters to look into the issue of data protection. Noble Lords will know that I have a taste for the practical. I say to the noble Lord, Lord Morris, that I tend to like action as much as words, which can be a problem when you are a government Minister. However, I discovered from Sir John and Trevor Phillips that recruiters were saying that they could not keep databases which allowed them to present lists of candidates without running into data restrictions. We met and agreed that in the short term the ICO—the Information Commissioner’s Office—in consultation with search firms and others should produce a practical guide on what to do that can be used by interested parties.

In closing, I add a few words about fundamentals—the philosophy of the subject if you like. What underlies everything that I have said is the desire that merit and accomplishment should be the only criterion for all appointments in public and commercial life. In other words, everyone’s attributes will be judged against the same criteria whatever their background. Sex, skin colour, social background, disability, religion and other irrelevant differentials should have nothing to do with it. In the reasonably near future—I hope not in the long run—that is the society we hope and expect to achieve. In such a society, there would be no need for special investigations to look at appointments against this or that social criterion nor to consider special measures to counteract barriers to labour market changes. One measure of our success as a society will be how quickly we can reach that position.