Farming News - AWB legislation passes without debate in Commons

AWB legislation passes without debate in Commons

 

Yesterday the Enterprise and Regulatory Reform Bill passed through the Houses of Commons along with the amendment which would seal the fate of the Agricultural Wages Board in England and Wales. The amendment was not subject to a debate or separate vote, though this was the only time the legislation had been before the Commons.  

 

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Although shadow environment minister Mary Creagh raised a point of order about the lack of vote or debate on the Wage Board closure, which has proven hugely contentious, and been repeatedly delayed since 2010 when the Coalition first mooted its dissolution, her point was slapped down on a technicality.

 

Ms Creagh lambasted the government's attack on agricultural workers. She pointed to Farming Minister David Heath's assertion, made when he was in opposition, that the move would "impoverish the rural working class" in the name of neoliberal dogma. Mr Heath has since reversed his position on AWB closure.

 

On Tuesday the shadow secretary censured AWB closure as "Regulatory reform that will add to farmer red tape; a race to the bottom on wages that takes from the workers and transfers money to the owners," adding, "With food banks set up in even the most chocolate box rural areas, abolition of the AWB will increase food poverty in our food industry and our countryside."

 

The AWB negotiates pay rates, tied in housing, protective clothing provisions and leave for over 150,000 agricultural workers across England and Wales, including seasonal workers and minors. Opponents of the government's plans have pointed out that national minimum wage legislation will not cover all aspects of the AWB's remit, and the Welsh government, which opposes closure, has pledged to investigate setting up a similar board to govern sector relationships in Wales.


NFU declares support for government

 

Although the Welsh government and the majority of the country's farming industry opposes AWB abolition, in England the industrial farm lobby, represented by the NFU, has expressed support for the government in no uncertain terms. Deputy President Meurig Raymond said on Wednesday, "AWB abolition is a progressive reform and is a welcome step to freeing up the industry to reward workers appropriately for the valuable work they do on farms.

 

"It is outdated, particularly with the existence of a national minimal wage and working time regulations which apply to all employment. At last, we can move on from the one-sized-fits-all approach that puts agriculture out-of-step with the rest of the UK workforce."

 

Last week, Mr Raymond said, "Simple economics point to higher rather than lower wages in the long term." He added, "When adding in the savings to the public purse that abolition will deliver to the increased flexibility that AWB abolition will allow for both workers and farmers, it is clear that intervention in the farm labour market is no longer justified or beneficial – for all concerned."

 

However, the general consensus seems to be that closure will lead to a depression of wages. Defra's own figures suggest that abolition will transfer £240 million in wages, sick pay and holiday from farm workers to their employers over ten years.

 

The rest of England's wage boards were gutted by the Thatcher government in the 1980s, but the AWB was preserved out of a recognition of the agricultural exception (namely its characterisation by low pay, long hours, dependence on fickle weather and animals, isolation and danger, which are subject to consideration under the AWB's remit).


Workers' union calls lack of vote and debate "a national disgrace"

 

Reacting to the situation in Parliament, trade union Unite, which had battled to save the wage board, described the lack of debate as "a national disgrace".

 

Unite national officer for agriculture Julia Long said on Tuesday, "What we have witnessed today is a national disgrace and the capitulation of MPs to the interests of the big employers and the supermarkets, who want to ruthlessly drive down costs. There was not even a vote on the amendment by MPs on this vital issue which is a stain on democracy. The spectre of poverty embracing the countryside is now very real."

 

Unite vowed to fight to restore the Agricultural Wages Board and pledged to establish a 'wages watch' unit to monitor any assaults on the pay and conditions of its members in the coming months.

 

Julia Long elaborated on some of the potential fallout of AWB closure; "According to the government's own impact assessment, if a worker leaves their current job or entered into a new contract, they would need to renegotiate the arrangements for accommodation with their employer. This means that isolated workers will be ill-placed to negotiate to retain their homes and this will contribute to the spiral of poverty that will afflict the countryside once the Agricultural Wages Board is abolished on 1 October.

 

"So grave is the situation that Unite is considering its position with regard to the European Court of Human Rights and we are urging the Joint Committee on Human Rights to investigate the Agricultural Wages Board’s abolition because of the human rights issues at stake."

 

The Enterprise and Regulatory Reform Bill will now go for Royal Assent. Abolition may take place before the expiry of the current Agricultural Wages Order in October.