4. Statement by the Minister for Economy: Stronger, Fairer, Greener Wales: A Plan for Employability and Skills

Part of the debate – in the Senedd at 3:40 pm on 8 March 2022.

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Photo of Luke Fletcher Luke Fletcher Plaid Cymru 3:40, 8 March 2022

Diolch, Dirprwy Lywydd, and thank you to the Minister for his statement. There's much to welcome here, but I'd like to focus on a couple of points. Access to high-quality employment is strongly linked to mental health: 43 per cent of unemployed people report poor mental health, compared to 27 per cent who are in employment. The Organisation for Economic Co-operation and Development has noted that job loss, of which there have been many in Wales over the pandemic period, is a traumatic experience in someone's life and has an immediate negative impact on their mental health. Further still, there is significant further damage when unemployment continues long term.

Low-paid workers were the most likely to be furloughed or lose their jobs, and groups already at the most risk of problem debt prior to the pandemic are now at even greater risk. Addressing these financial inequalities this side of the pandemic should be at the forefront of our political agenda. However, access to employment alone is not enough. We must guarantee that this employment is fair and just. Half of people in poverty now live in working families. People are being trapped in poverty by low wages, zero-hour contracts and job insecurity. Promoting fair work is great, but I would like the Minister to drill down a bit and outline how fair work will be guaranteed, including job security, opportunity for education and training and staff consultation and representation. How exactly will these be guaranteed? 

On the green economy, Russian oil and gas imports have not currently been fully included in the UK economic sanctions against Russia, because of the concern of the impact of this on the UK economy, especially while we are already experiencing a cost-of-living crisis that is being heavily fuelled by rising energy costs. Some reports suggest that this is set to change today, but the impact of our reliance on Russian fossil fuels is huge. Shell has calculated that current exports and flow prices to western democracies are helping to finance a Russian T-90 tank every 20 minutes. This is something that my colleague Liz Saville-Roberts MP has been raising in her Westminster capacity, and a topic that Adam Price has already spoken on, and, to reiterate his words, 

'not a single drop of Russian oil should be offloaded into Wales...while innocent blood is being shed in Ukraine'.

But the discussions have rightly raised questions around our reliance on fossil fuels. We must ramp up our renewable low-carbon economy, which, hopefully, this plan will play a part in doing. To do this, we have to immediately and continuously invest in the technologies of the future here in Wales, and create green jobs through a just transition. A skills gap in Wales is one of the obstacles that is preventing us from moving at this accelerated rate away from fossil fuels, an issue that has been highlighted by the Construction Industry Training Board, an issue I know the Minister is aware of. Specifically, how will we fill these skill gaps? How will this gap be filled urgently so that we can significantly increase our renewable, low-carbon economy?

And, finally, on gender equality, today marks International Women's Day, and economic barriers continue to face women. Our economic system, structures and policies are continuing to recreate and reproduce gender inequality. The latest data from Chwarae Teg has highlighted that the gender pay gap in Wales has actually worsened in 2021. The gender pay gap increased from 11.8 per cent to 12.3 per cent. Women's median hourly pay increased 34p between 2020 and 2021, below the average of 42p, whereas men's increased by 49p. And this is a point I've highlighted before in this Chamber, but needs reiterating: as of 2021, men earn more than women in every local authority in Wales. These figures should highlight to us that progress towards eradicating income inequality is neither consistent, guaranteed nor rapid, and we must, therefore, ensure we are considering the views and needs of women in plans like these. I am concerned that, as we move towards a green economy, these figures may continue to worsen, as it's known that the biggest gender gaps occur in agriculture, manufacturing, construction and transportation—areas that will be key areas to a green transition, where new jobs and skills will be focused. So, we must ensure that women are not left out of the green transition.

So, finally, I ask the Minister: how does this plan tangibly address these issues? How are we encouraging women in Wales into STEM subjects? How are we guaranteeing fair and green employment for women? And how are we ensuring they're not left out of the green transition? And of course, if this plan does not address those issues, will the Minister consider expanding the plan to include additions that address economic inequalities in employment and training, on International Women's Day?