3. Statement by the Minister for Housing and Local Government: The Fair Work Commission's Report

Part of the debate – in the Senedd at 3:18 pm on 7 May 2019.

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Photo of Julie James Julie James Labour 3:18, 7 May 2019

Thank you for that contribution. I entirely agree with the points that you've made. The report, I'm delighted to say—and I'll take this opportunity to just thank all of the fair work commissioners, who were, Deputy Presiding Officer, Professor Linda Dickens MBE, emeritus professor of industrial relations at the University of Warwick; Sharanne Basham-Pyke, the consultant director of Shad Consultancy Ltd; Professor Edmund Heery, Professor of employment relations at Cardiff Business School; and Sarah Veale CBE, who was head of the equality and employments rights department of the TUC until she retired in 2015. I think they've done a tremendous piece of work in a very short period of time. We set them a very tight deadline, with some trepidation, I have to say. I'm delighted by the piece of work that they've produced, but the timescale was driven by our desire to get the Act in place and the timing of it inside the Assembly term. So, that is the timetable, effectively.

They produced that piece of work; it's a very good piece of work. There'll be a rapid turnaround of our official response to that, then the conference in June for the taking forward of this in the tripartite social partnership—because that's, of course, the crux of it—with a view to getting a draft Act onto the Assembly floor as soon into the next autumn term as we can conceivably manage it. Mick Antoniw will be as familiar at least as I am, if not more familiar, with how far you've got to come back from the introduction of an Act in order to be able to get the instruction right, so time is of the essence. So, we want to get that in.

That Act will, I think, look to give teeth to the ethical procurement code of practice that we have so that people are rewarded for complying with it and for signing up to it, and we'll have to look to see whether there's something we can do where people breach it once they have signed up and so on. I think there is a whole set of things in the report—I know there's a whole set of things in the report about how we can embed proper collective bargaining across tiers of operation in our economy, not just in individual employers and so on. He will know at least as much, if not better than I do, how much trade union bargaining of that sort drove not only levels of pay—because this is not just about levels of pay; this is about levels of equality and share in the production that your labour produces. The report is very strong on that, I thought; I was very pleased to read that.

I would like to emphasise, at this point, that it is not causing our social partners any problem. That's why I'm able to say that this is consensual and very much in accordance with the Welsh traditions; I'm very pleased at that. And then, in terms of the equality Act duty, I completely agree with what he said. He will know that the Deputy Minister is taking forward the piece of research about how we can best encompass a rights agenda inside our legislation, building on the well-being of future generations Act and ensuring that we do enact the section 1 duty in the best possible way and how that leads across into the new Act that we are proposing.

I just want to say one final thing on this: this isn't just about procurement, although a procurement spend is very important and represents billions of pounds in our economy; this is about all Government funding. So, we will be looking to see what levers we can use to get fair work right across the economy in Wales, using all the levers of Government funding, and they are much more varied than just the procurement spend.