PMQs review: Don't mention the economy

Ed Miliband avoids the economy at PMQs following the publication of Darling's book.

The most notable thing about today's PMQs was what Ed Miliband didn't ask about. The publication of Alistair Darling's memoir, in which the former chancellor argues that Labour lacked a "credible" economic policy at the last election, meant Miliband steered clear of the economy. And he paid for it. Following Miliband's final question, Cameron cried: "Isn't it interesting that he doesn't dare, in six questions, mention the economy". For a minute, at least, it seemed as if Cameron regarded the economy as a strong suit for the coalition. But of course, with Britain facing a period of anaemic growth, at best, and a double-dip recession at worst, the reverse is true. With Osborne admitting that growth will be downgraded again, while hinting that he will cut taxes for the richest 1 per cent, Miliband had a perfect opportunity to challenge the coalition's strategy. And he bottled it.

Instead, he led with a question on elections for police commissioners, an odd choice of subject but an example of his new focus on wasteful public spending. The £100m that Cameron plans to spend on commissioners would pay for 2,000 extra police officers, the Labour leader said. Cameron unconvincingly replied that the "figures were completely wrong" but clawed back some ground when he noted that the last Labour government also promised to introduce elected police representatives. "Why the U-turn?," he knowingly quipped.

There followed an unmemorable exchange on the NHS during which Cameron failed to address the fact that the number of people waiting more than six months for an operation had risen by 60 per cent under the coalition. As is customary on such occasions, he quoted the shadow health secretary, John Healey, but, for the first time, accurately so. Healey, Cameron noted, had admitted that "what Labour says matters less than what almost anyone else says". As Alastair Campbell has observed, the problem for Labour is that these days it is "the third most interesting party".

But it was Nadine Dorries who provided the most amusing moment when, antagonised by Cameron's opposition to her abortion amendment, she demanded to know when the Prime Minister would tell "the Deputy Prime Minister who's boss?" Cameron replied: "I know the honourable lady is extremely frustrated", a choice of words that provoked childish laughter across the House. Having lost his composure, Cameron eventually gave up. Nick Clegg, flattered by Dorries's testimony to Lib Dem influence, flashed a rare smile.

George Eaton is political editor of the New Statesman.

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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.