1. Questions to the Minister for Economy – in the Senedd at 1:43 pm on 15 June 2022.
Questions now from party spokespeople. The Conservatives' spokesperson, Paul Davies.
Diolch, Llywydd. Minister, a few weeks ago, part of south Wales grinded to a halt, as several major events took place in Cardiff city centre. Now, one report claimed that there were 15-mile-long queues on the M4 from the Severn bridge into Wales, and many people took to social media to voice their frustrations. It's vital that lessons are learnt and that far more strategic planning takes place to co-ordinate major events in Wales to ensure that we have the infrastructure to accommodate large numbers of visitors. We also need to ensure that every opportunity is taken to maximise visitor spend not just in our cities, but elsewhere across Wales as well. Therefore, Minister, can you tell us what lessons have been learnt, and what new measures will be introduced to ensure that Wales is better prepared for major events in the future?
So, I think, the Member is right to point out that the impact of major events and their spend not just for the events itself, but around it as well, is something that we are already focusing on in our events and international visitor strategy, as well as what we're looking to do more broadly and further afield—so, not just Cardiff and Swansea, but actually across Wales as well. And I recognise the point made about the challenges for people travelling to Wales as well, and I wouldn't want to be glib or dismissive of that. So, there will be an opportunity to learn lessons from that with a range of partners within and outside the Welsh Government as well. It would be premature for me to say, 'Here are the specific lessons and actions being taken', because we have a range of things to look at. So, this weekend, there are the Stereophonics and Tom Jones in Cardiff as well, we've got the arena recently opened in Swansea, we've got ambitions in our visitor strategy for events further afield as well. So, this is a process of learning as each event comes across, as well as the more strategic challenges of making sure we get people into Wales and they have a great experience when they're here and they want to come back as well.
Well, yes, lessons need to be learnt, Minister, and they need to be learnt very, very quickly. Now, there are several large-scale events coming up, not least of all a major WWE event in September, the first event of its kind in the UK for 30 years, which will certainly attract visitors from across the United Kingdom. I understand that this event has actually secured funding from you as a Welsh Government. Now, the Welsh Government is right to invest in major events, as they can showcase our cultural identity and heritage on an international stage. However, it's important that appropriate checks and balances take place and that the infrastructure is sufficient to cope with the increased number of visitors to the area. So, Minister, what key performance indicators are being used to monitor the effectiveness of any Welsh Government investment in major events, and can you also tell us how the Welsh Government is ensuring that the infrastructure is in place to support major events going forward?
So, the Member is right to point out the opportunities that come from the WWE event. Whether you are a childhood or continuing supporter of the sports entertainment world—. I think they'd recognise it isn't a genuine sport in the way that we'd all recognise, but, actually, it's an enormous economic event and opportunity for Wales because of the significant reach it has within the US market, and the US market is one of Visit Wales's priority international markets. It's where we've got lots of work going on, and I pointed out that, actually, having the USA in our group in the world cup is really positive for us, in any event. That's one the reasons why I took the decision to support the event financially to make sure that it did come to Wales. And, yes, we are looking at not just what's happened recently but how to make sure that event is as successful as possible for all of the visitors, as well as the people performing—we want those people to come back again and again. Actually, part of the point about that event was it wasn't just an event for Cardiff. We looked at other events and other parts of the way that the event will be promoted, which will focus on other parts of Wales, and some of the second-tier events that take place around it as well are taking place in other parts of the country as well. So, we are genuinely thinking about how each event has a wider impact, and we do then undertake an assessment, post event, to try to understand the direct economic benefits as well. That's something that we discuss with events that we support directly as well, so I'm happy to give the Member that reassurance as well.
Well, of course, I welcome the fact that the Welsh Government is investing in major events, but it is clear to me that the Welsh Government needs a robust forward-looking major events strategy. It's been over two years since the last strategy expired, and, whilst I accept that the Government will publish a new strategy next month, it's still disappointing that we've had to wait so long. Now, going forward, it's vital that the new strategy has the resources it needs to achieve positive outcomes for Wales. Where it can, it must ensure that there is an equitable spread of opportunities across the country, as you've just stated, and it must bring the events and tourism industries together to increase supply-chain opportunities for our businesses, develop our skills base and create jobs for the future. Because, as you've said in evidence to the Economy, Trade and Rural Affairs Committee earlier on today, creating jobs and better jobs is your priority. Therefore, Minister, can you tell us how the Welsh Government will ensure all parts of Wales will actually benefit from the new major events strategy? And, ahead of the publication of the strategy, can you tell us how the Welsh Government will bring together partners in the events and tourism sectors to co-ordinate and maximise the benefits of major events in Wales?
I'm more than happy to give the Member the assurance that the new strategy, which is a very short period of time away, will again focus on how we generate economic return in terms of my priorities for more jobs and better jobs across Wales, and the visitor economy and event-based employment opportunities are part of that as well. It will also be very clear about having a strategy for the whole of Wales and not simply concentrating on one part of the country. But, as we've just discussed, the events that are already taking place and the choices that we have made in any event—. We talked about the WWE event. So, this is about delivery as well as a strategy. Not having a strategy hasn't been the rock, as it were, that has prevented us from making progress. I look forward to us delivering a big show in the autumn and more events for the future.
Plaid Cymru spokesperson, Luke Fletcher.
Diolch, Llywydd. There's no doubt that life for workers and their families is getting more difficult. Inflation is at a 40-year high, energy prices are growing 23 times faster than wages, and Welsh weekly earnings remain the lowest of the UK nations. The importance of trade unions could not be clearer during this cost-of-living crisis. However, only one in six private sector workers in Wales are in unions. In fact, around half of workers in Wales are in workplaces that have no trade union presence whatsoever, and only 9 per cent of young people in Wales are in a union. Could the Minister please outline what exactly the Welsh Government is doing to encourage union membership and support workers' rights, and would they commit to doing more to ensure people are protected in their employment during this crisis?
I was wondering if he could also respond to comments by policy officers in the Trades Union Congress that said in an article in the Institute of Welsh Affairs that there had
'been a marked reluctance to give meaningful and committed public support to unions' from Welsh Government
'when doing so risked discomforting any employers in Wales'?
I don't recognise that at all, and I speak as someone who is not just a member of trade unions, but someone who has been a workplace shop steward, representing fellow workers, someone who's been a trade union lawyer, representing workers in all parts of our economy, proud to do so, and a former president of the Wales TUC. You'll find proud trade union members on all of these benches, and it informs the way we make choices as well.
So, the social partnership and procurement Bill, which you'll know that the Deputy Minister introduced recently, sets out how we'll formalise relationships. It won't just rely on personal relationships between people, but make it clear that social partnership is the way in which we will continue to do business. It informs the way we look at the economic contract and its development; it's our expectation for businesses. We want Wales to be a fair work nation. That, of course, involves workplace representatives, and I continue to believe the best form of a workplace representative is a trade union who is on your side and understands your own interests as a worker and how that actually affects the future of the business as well. Because our trade unions are very clear they want there to be good work in Wales for their members to undertake. They'd much rather spend their time working in partnership with companies, rather than having to deal with the challenges of poor employers.
The change in the shape of our economy, though, has affected trade union membership. Organising in new sectors of the economy is much more challenging than in big public services or in large private sector employers. We are looking, though, at how we continue to make the case in a range of sectors, and a good example of that is in retail, where the retail strategy that we will be launching, the vision for the future of retail, is one that has been co-produced by the Government, businesses and trade unions, looking ahead for the future of that sector and what it will mean for working people.
I think it's important for us to remember that trade unions have always played an important part in changing workplace conditions, across the Chamber, and practices within the workplace. I have no doubt that they will play a vital part in moving to a four-day work week as well. UK firms have begun the world's biggest four-day week trial with no loss of pay. The trial will last six months and involves over 3,000 workers and 70 companies. It seems that the private sector is ahead of the Government here. A report by jobs site CV-Library found that adverts for four-day work week positions have increased about 90 per cent, with the biggest rises in south-west Wales and London. The support is there. In Wales, polling suggests an estimated 57 per cent of the Welsh public support a Welsh Government pilot towards a four-day working week, and 62 per cent of the Welsh public would ideally choose to work a four-day working week or less.
Last September, Plaid Cymru led a debate on the reduced working week, which called for a pilot to run in Wales to examine the benefits that it could deliver. Labour supported much of the motion, but not the call for a domestic pilot. Now that the world's biggest four-day working week pilot has begun in the UK, if the trial proves to be beneficial, would the Welsh Government then reconsider running a four-day working week pilot here in Wales, with the end goal of establishing a reduced working week policy?
I think we'll want to look at the models of flexibility that exist and how they can benefit workers and businesses. Actually, we found, during the forced circumstances of the past two years and more, that flexible working has suited lots of workers in the public and private sectors, and that's made—. Some of the concerns previously about flexible working were that people wouldn't take it seriously, and, actually, we found real productivity gains in a range of sectors, as well as a better balance between work and life. So, the broader point about flexible working is one that we are positive about, and it does inform the way the Welsh Government behaves as an employer, and it will certainly affect the way that lots of our public sector partners are looking at how to deliver effective public services that won't always require people to be in one physical location five days a week. We're very interested in the four-day week pilot, and not just Luke Fletcher, but the Member for Alyn and Deeside, of course, has been a regular advocate for changes to the pattern of the working week as well. So, we do want to understand what will happen when the pilot's been done, what that then means for Wales, and how that may then be applied.
Much of this, though, of course, is for employers to implement. You talked earlier about the role of trade unions; many trade unions would want to see something like this happen because there's a real interest and demand from their members. There will be some employers, though, where it won't be possible. Just as, in the pandemic, there were people who physically had to be in work, there are some people where, actually, the patterns and the size of the business will mean that a four-day working week can't happen. That doesn't mean, though, that we'll shut down interest in those areas where it could happen to provide a real benefit for both workers and, as we've seen, a benefit for businesses, with improvements in productivity and people's commitment to work, and indeed the balance with life outside work.