Workfare goes underground as Holland and Barrett pull out

DWP pitches for small businesses instead

Holland and Barrett, one of the largest companies using unpaid workers from the government's various employment schemes, has pulled out, citing the bad press and in-store protests its participation prompted. It will now pay its workers on through government's apprenticeship program, guaranteeing them a wage of at least £2.60 per hour.

The company made the announcement on its Facebook page, writing that:

At Holland & Barrett, we take our responsibilities as a retailer and employer very seriously, and any possible compromise to the safety of our staff and customers from opponents of our work experience scheme is treated with great importance.

This factor, together with the planned introduction of a new full time, salaried apprentice scheme, means that the 60 people currently undertaking the work experience scheme will be the last to complete the eight week placement. After this time Holland & Barrett will not participate further in that scheme.

Speaking to Shiv Malik at the Guardian, Solidarity Federation (Sol Fed)'s Jim Clark, one of the organisers of the series of protests, responded:

Holland & Barrett's claim that pickets of stores could offer a possible compromise to the safety of staff and customers is completely baseless. On our pickets, the first people we spoke to were the staff, many of whom told us they agreed with the aim of our campaign and that overtime was no longer available in some stores as it was being done by unpaid workfare labour instead.

The workfare program has been a mess for the government since attention was first drawn to the compulsory nature of some of the unpaid work this spring. The Department for Work and Pensions was revealed to be telling claimants on one of the "voluntary" schemes that attendance was mandatory, and a number of high-profile companies stopped taking on workers under the schemes after a fraught meeting with Chris Graying, the minister in charge. And last month, the government's own research showed that mandatory work activity is "largely ineffective", according to NIESR's Jonathan Portes, who wrote:

Briefly, what the analysis shows is that the programme as currently structured is not working. It has no impact on employment; it leads to a small and transitory reduction in benefit receipt; and worst of all, it may even lead to those on the programme moving from Jobseekers' Allowance to Employment and Support Allowance.

Despite that, the government has decided to expand the MWA scheme; but it appears that the government is attempting to avoid the PR hits that has often come with businesses taking on workers from the scheme. Various small businesses have reported being offered participants directly, in a move which is seemingly an attempt to drive participation underground. If campaign groups like Boycott Workfare have to protest 60 businesses each with one worker, rather than one with 60, they will have their work cut out to effect a change.

That said, it is probably the case that if government is having to enact policy designed around making it difficult to protest, that is at least a symbolic win for the protestors. Gettin an actual win, however, will get a bit harder.

Chris Grayling, Minister for Work and Pensions. Photograph: Getty Images

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

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Labour's establishment suspects a Momentum conspiracy - they're right

Bernie Sanders-style organisers are determined to rewire the party's machine.  

If you wanted to understand the basic dynamics of this year’s Labour leadership contest, Brighton and Hove District Labour Party is a good microcosm. On Saturday 9 July, a day before Angela Eagle was to announce her leadership bid, hundreds of members flooded into its AGM. Despite the room having a capacity of over 250, the meeting had to be held in three batches, with members forming an orderly queue. The result of the massive turnout was clear in political terms – pro-Corbyn candidates won every position on the local executive committee. 

Many in the room hailed the turnout and the result. But others claimed that some in the crowd had engaged in abuse and harassment.The national party decided that, rather than first investigate individuals, it would suspend Brighton and Hove. Add this to the national ban on local meetings and events during the leadership election, and it is easy to see why Labour seems to have an uneasy relationship with mass politics. To put it a less neutral way, the party machine is in a state of open warfare against Corbyn and his supporters.

Brighton and Hove illustrates how local activists have continued to organise – in an even more innovative and effective way than before. On Thursday 21 July, the week following the CLP’s suspension, the local Momentum group organised a mass meeting. More than 200 people showed up, with the mood defiant and pumped up.  Rather than listen to speeches, the room then became a road test for a new "campaign meetup", a more modestly titled version of the "barnstorms" used by the Bernie Sanders campaign. Activists broke up into small groups to discuss the strategy of the campaign and then even smaller groups to organise action on a very local level. By the end of the night, 20 phonebanking sessions had been planned at a branch level over the following week. 

In the past, organising inside the Labour Party was seen as a slightly cloak and dagger affair. When the Labour Party bureaucracy expelled leftwing activists in past decades, many on went further underground, organising in semi-secrecy. Now, Momentum is doing the exact opposite. 

The emphasis of the Corbyn campaign is on making its strategy, volunteer hubs and events listings as open and accessible as possible. Interactive maps will allow local activists to advertise hundreds of events, and then contact people in their area. When they gather to phonebank in they will be using a custom-built web app which will enable tens of thousands of callers to ring hundreds of thousands of numbers, from wherever they are.

As Momentum has learned to its cost, there is a trade-off between a campaign’s openness and its ability to stage manage events. But in the new politics of the Labour party, in which both the numbers of interested people and the capacity to connect with them directly are increasing exponentially, there is simply no contest. In order to win the next general election, Labour will have to master these tactics on a much bigger scale. The leadership election is the road test. 

Even many moderates seem to accept that the days of simply triangulating towards the centre and getting cozy with the Murdoch press are over. Labour needs to reach people and communities directly with an ambitious digital strategy and an army of self-organising activists. It is this kind of mass politics that delivered a "no" vote in Greece’s referendum on the terms of the Eurozone bailout last summer – defying pretty much the whole of the media, business and political establishment. 

The problem for Corbyn's challenger, Owen Smith, is that many of his backers have an open problem with this type of mass politics. Rather than investigate allegations of abuse, they have supported the suspension of CLPs. Rather than seeing the heightened emotions that come with mass mobilisations as side-effects which needs to be controlled, they have sought to joins unconnected acts of harassment, in order to smear Jeremy Corbyn. The MP Ben Bradshaw has even seemed to accuse Momentum of organising a conspiracy to physically attack Labour MPs.

The real conspiracy is much bigger than that. Hundreds of thousands of people are arriving, enthusiastic and determined, into the Labour party. These people, and their ability to convince the communities of which they are a part, threaten Britain’s political equilibrium, both the Conservatives and the Labour establishment. When the greatest hope for Labour becomes your greatest nightmare, you have good call to feel alarmed.