Nick and Margaret with some of the "stars" of their BBC show. Photograph: BBC
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Laurie Penny on welfare: The BBC is colluding in the government’s attack on benefit claimants

The cruellest thing about the benefits cap is not that it could make thousands of people homeless or force more families to depend on food banks (three of these open every week). It’s that it’s not really about people on benefits at all.

The camera may not lie but sometimes it tells truths you weren’t expecting. As the government’s flagship benefits cap is rolled out across the nation, amid protests from homelessness charities, women’s rights groups and food banks already overwhelmed by demand, the BBC is devoting hours of its prime-time schedule to pitting the underpaid against the unemployed. The spectacle of one single mother telling another in the tin-can aisle at the supermarket that she’s greedy because she wants her kids to have a hot meal says a great deal about modern Britain. It tells us whose suffering matters and whose children will never have their dinner dissected for our scorn on national television.

The BBC1 programme Nick and Margaret: We All Pay Your Benefits (11 and 18 July, 9pm), echoing the rhetoric of the Department for Work and Pensions, pits “taxpayers” against “shirkers” and asks how we can “make work pay”. Of these gristly little semantic nuggets of state propaganda, “making work pay” is the most noxious – a mantra that’s incanted by every jobsworth Tory in every debate, in line with the logic that if one repeats a lie for long enough it will function as truth.

Taking away benefits will not “make work pay”. The reason why work doesn’t pay is not that benefits are too high. It is that wages are too low. The latest figures from the Office for National Statistics show that, with the rising cost of living, there have been 40 consecutive months of contraction in real wages in the UK. In many occupations, the basic pay is too low to cover rent, food and bills, especially in London and the south-east, where housing costs are out of control. This is why a large proportion of housing benefit is paid on behalf of those who are in work, straight into the pockets of private landlords.

Then there’s “the taxpayer”, a phrase that is deliberately misused to imply that only those in waged work pay taxes. Everybody who buys a warm Cornish pasty puts pennies into the Treasury. Drawing an arbitrary distinction between “taxpayers” and “people on benefits” implies that those who rely on state support are taking money directly out of the pockets of workers, when they are being supported by a system to which we all contribute, which is there to help all of us should we find ourselves ill or unemployed.

The anxiety to separate the interests of “taxpayers” from those of the unemployed falsely suggests that unemployment benefits are now the main drain on the state. Despite savage welfare cuts, state spending on unemployment remains high because unemployment remains high, for the simple reason that one cannot “incentivise” people into jobs that aren’t there. A far higher proportion of state spending goes on subsidising tax cuts for multinational corporations and arms dealers, maintaining our nuclear weapons programme and having a military presence abroad. “Taxpayers”, though, are not being invited into the homes of devastated Afghan families, taken on tours of the Trident base or shown around the mansions of offshore millionaires and asked to make judgements about how their taxes are being spent. The idea is preposterous. Poor people are supposed to make moral judgements about other poor people only. We can afford to offer Vodafone billions in tax breaks but God forbid some kids in Ipswich get a second-hand PlayStation.

That’s the judgement call that representatives of the working class are invited to make in We All Pay Your Benefits, deciding whether or not the unemployed are being indulged, as Nick and Margaret, a pair of well-spoken, pension-age presenters, ride around in a taxi prattling on like something out of a David Lynch film. For most of the show, the camera leers at the jobseekers but the truly fascinating characters are those who have been invited on to the show to judge.

Their anger that their hard slog has not raised them above the level of a family on Jobseekers’ Allowance is distressing to watch. Clearly they all work hard – for not enough money and with few prospects of improving their circumstances as rents rise and essential services are dismantled. It is hardly the fault of a disabled single father-ofthree that a care worker who runs her own business is still struggling to cover the bills. But that is the only conclusion that this programme and this government are permitting us to voice.

On any other channel, a programme such as this could be written off as a crass cash-in on public mistrust of the welfare system, treating the unemployed as a telegenic cross between criminals and animals in a zoo. That it was given the green light by the BBC, a publicly funded and supposedly impartial broadcaster, indicates something more. It suggests a culture shift: the wilful misdirection of public anger towards those who least deserve it.

The cruellest thing about the benefits cap is not that it could make thousands of people homeless or force more families to depend on food banks (three of these open every week). It’s that it’s not really about people on benefits at all. They aren’t the voters this government is interested in attracting. It’s about placating public rage and persuading people who would vote for a tin of beans if it had a Tory ribbon on it that this government is tough and in charge.

Like any pack of bullies, the Conservative Party likes to prove its strength by picking on the weakest people within reach. In this case, the targets include single mums and the mentally ill. That tens of thousands of children will spend their school years going to bed hungry because of this policy is incidental. The benefits cap is first and foremost a public relations exercise. With a former PR man for Prime Minister, what else would it be? Behind the relentless campaign of spin, though, is the truth – and the truth is that those on benefits have nothing, absolutely nothing, to be ashamed of.

Laurie Penny is the contributing editor of the New Statesman

Laurie Penny is a contributing editor to the New Statesman. She is the author of five books, most recently Unspeakable Things.

This article first appeared in the 22 July 2013 issue of the New Statesman, How to make a saint

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There's nothing Luddite about banning zero-hours contracts

The TUC general secretary responds to the Taylor Review. 

Unions have been criticised over the past week for our lukewarm response to the Taylor Review. According to the report’s author we were wrong to expect “quick fixes”, when “gradual change” is the order of the day. “Why aren’t you celebrating the new ‘flexibility’ the gig economy has unleashed?” others have complained.

Our response to these arguments is clear. Unions are not Luddites, and we recognise that the world of work is changing. But to understand these changes, we need to recognise that we’ve seen shifts in the balance of power in the workplace that go well beyond the replacement of a paper schedule with an app.

Years of attacks on trade unions have reduced workers’ bargaining power. This is key to understanding today’s world of work. Economic theory says that the near full employment rates should enable workers to ask for higher pay – but we’re still in the middle of the longest pay squeeze for 150 years.

And while fears of mass unemployment didn’t materialise after the economic crisis, we saw working people increasingly forced to accept jobs with less security, be it zero-hours contracts, agency work, or low-paid self-employment.

The key test for us is not whether new laws respond to new technology. It’s whether they harness it to make the world of work better, and give working people the confidence they need to negotiate better rights.

Don’t get me wrong. Matthew Taylor’s review is not without merit. We support his call for the abolishment of the Swedish Derogation – a loophole that has allowed employers to get away with paying agency workers less, even when they are doing the same job as their permanent colleagues.

Guaranteeing all workers the right to sick pay would make a real difference, as would asking employers to pay a higher rate for non-contracted hours. Payment for when shifts are cancelled at the last minute, as is now increasingly the case in the United States, was a key ask in our submission to the review.

But where the report falls short is not taking power seriously. 

The proposed new "dependent contractor status" carries real risks of downgrading people’s ability to receive a fair day’s pay for a fair day’s work. Here new technology isn’t creating new risks – it’s exacerbating old ones that we have fought to eradicate.

It’s no surprise that we are nervous about the return of "piece rates" or payment for tasks completed, rather than hours worked. Our experience of these has been in sectors like contract cleaning and hotels, where they’re used to set unreasonable targets, and drive down pay. Forgive us for being sceptical about Uber’s record of following the letter of the law.

Taylor’s proposals on zero-hours contracts also miss the point. Those on zero hours contracts – working in low paid sectors like hospitality, caring, and retail - are dependent on their boss for the hours they need to pay their bills. A "right to request" guaranteed hours from an exploitative boss is no right at all for many workers. Those in insecure jobs are in constant fear of having their hours cut if they speak up at work. Will the "right to request" really change this?

Tilting the balance of power back towards workers is what the trade union movement exists for. But it’s also vital to delivering the better productivity and growth Britain so sorely needs.

There is plenty of evidence from across the UK and the wider world that workplaces with good terms and conditions, pay and worker voice are more productive. That’s why the OECD (hardly a left-wing mouth piece) has called for a new debate about how collective bargaining can deliver more equality, more inclusion and better jobs all round.

We know as a union movement that we have to up our game. And part of that thinking must include how trade unions can take advantage of new technologies to organise workers.

We are ready for this challenge. Our role isn’t to stop changes in technology. It’s to make sure technology is used to make working people’s lives better, and to make sure any gains are fairly shared.

Frances O'Grady is the General Secretary of the TUC.