Employment in Wales Debate

Full Debate: Read Full Debate
Department: Wales Office

Employment in Wales

Wayne David Excerpts
Tuesday 27th January 2015

(9 years, 3 months ago)

Westminster Hall
Read Full debate Read Hansard Text Read Debate Ministerial Extracts

Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.

Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Chris Ruane Portrait Chris Ruane
- Hansard - - - Excerpts

The hon. Gentleman totally misrepresents me. I am not talking about those small business people who want to go into business or about entrepreneurs, whom I applaud; I am talking about people who were in secure employment but were told, “We’re sacking you now—you can go and get a job in the private sector, which will take away all your rights.” They have been forced into self-employment. Those are the self-employed whom I am talking about. I pay tribute to the Federation of Small Businesses, especially the FSB in north Wales, and I will come on to the CBI in a moment.

The net effect of all that uncertainty, low pay and zero-hours contracts in my constituency is that, according to the citizens advice bureaux, the Vale of Clwyd has the highest level of insolvencies in the whole UK and the highest percentage of people seeking debt advice through the CAB. That is the legacy of five years of Tory rule.

Wayne David Portrait Wayne David (Caerphilly) (Lab)
- Hansard - -

My hon. Friend has referred to parts of his constituency that are desperately poor; as he knows, parts of my constituency are also very poor. Does he agree that what has really made the difference in pushing down living standards for many people has been the extremely harsh and unfair so-called welfare reforms?

--- Later in debate ---
Chris Ruane Portrait Chris Ruane
- Hansard - - - Excerpts

No, the hon. Gentleman has had one bite of the cherry.

The cuts that English local authorities have experienced are more than decimation. The same research says that the Welsh Government have largely protected Welsh local authorities from those cuts over the past five years. According to that research, in my own county of Denbighshire there has been an increase in funding of 3% from the Labour Welsh Government. That protection has now ceased, however, as the Welsh Government feel the full impact of a £1.7 billion loss to their budget because of the Tories here in Westminster.

Wayne David Portrait Wayne David
- Hansard - -

Does my hon. Friend agree that the situation is bad now, but if, God forbid, the Conservative party should win a majority at the next election, things will be a lot worse? We will be back to 1930s levels of public expenditure.

Chris Ruane Portrait Chris Ruane
- Hansard - - - Excerpts

My hon. Friend predicts the next part of my speech.

--- Later in debate ---
Simon Hart Portrait Simon Hart
- Hansard - - - Excerpts

I am glad that I took that intervention because the hon. Gentleman completely misrepresents my view. No Conservative Member and no colleague in Plaid Cymru or in the Liberal Democrat party—indeed, no politician, candidate or Government—has a monopoly on brilliant ideas, wisdom or compassion. It is crazy to suggest otherwise. I am well aware that there are significant difficulties in my own constituency, which is why I have organised five jobs fairs since I have been a Member. That is why I spend most of my working day trying to resolve such hardships and to point people in the right direction on future job prospects. That is why I deal every day, as we all do, with difficulties when things go wrong.

It is wrong to suggest that we live in a bubble of complacency and that the future is gloomy. The distinction that I am trying to make is that there are plenty of success stories in Wales of which we should be proud. Plenty of indicators suggest that we are pointing in the right direction. I absolutely accept that we are halfway along the road to success. Nobody is suggesting that we have got there and nobody is suggesting that it will not be a hard crawl from here to our destination. What we are suggesting is that to alter the course now would damage the prospects of not only people who are working their way back into employment, but those who already have a secure job.

Wayne David Portrait Wayne David
- Hansard - -

Is the hon. Gentleman happy that so many of his constituents who have recently found employment are on extremely low wages?

Simon Hart Portrait Simon Hart
- Hansard - - - Excerpts

I find that question extraordinary. It is like asking whether I am happy with an outbreak of incurable disease. Of course I am not.

Wayne David Portrait Wayne David
- Hansard - -

So what is the hon. Gentleman going to do about it?

Simon Hart Portrait Simon Hart
- Hansard - - - Excerpts

What I am trying to do is to be part of an economic policy that creates greater opportunity, higher wages and better long-term prospects for families and individuals in my area. That is what I am driving towards. It is wrong to suggest that I could sit back and feel content if even a single person in my constituency was unemployed for avoidable reasons. I would be upset and disappointed, and I would strive to help them back into employment. The same is true of anybody on an unsustainable wage. The point I am trying to make is that the direction of travel—I hate that expression, so please forgive me for using it—is correct.

I could point the hon. Member for Vale of Clwyd to numerous people in my constituency who have been able to make the transition from the gloomy position that he describes into a more prosperous world with better pay, better conditions and a better job. That is a consequence of confidence among UK, European and global companies, which are investing in our area, and it might not have happened under a different form of economic leadership. That is the point that I am trying to make. Of course we are not there yet—we are some years away—but I think we are on the right path to that kind of success story, which was lacking from the hon. Gentleman’s speech.