10 June 2003

Response to Employment Relations Act Review

Although the Secretary of State for Trade and Industry, Patricia Hewitt, has proudly stated that the Employment Relations Act "has been a resounding success", the BPIF’s recent submission to the second stage of their review process was more restrained in its analysis. Whilst broadly welcoming the main proposals, it nevertheless proposed that the Government make further refinements. The Employment Relations Act was introduced in 1999. Through the statutory recognition procedure and other measures, the act reshaped important aspects of employment and trade union law. The BPIF was pleased to see that many of the proposals which it had put forward in the first stage of the consultation process have received the firm backing of the Government. Notably the BPIF’s opposition to any move to extend the Statutory Recognition to companies with less than 21 employees was upheld. Similarly, BPIF members were vocal in urging the Government not to add training to the list of core bargaining issues for the purpose of statutory recognition procedure. The Government has now ruled out this TUC proposal, thereby ensuring that a key issue for the printing industry does not become a bargaining chip in the future. BPIF lobbying on issues on which the Government is still undecided was spearheaded by concerns over the legal definition of union membership. The present use of the definition provided by a union’s handbook appears contrary to the spirit of the legislation. The right to statutory legislation is heavily reliant on the assumption that the level of union membership accurately reflects the level of support for collective bargaining. Yet the unions’ practice of offering discounted or free membership to employees during or just prior to a recognition bid means that the CAC is in danger of receiving an unreliable snapshot of the support. The BPIF members consulted were keen to push for changes to the disappointing aspects of this paper. The BPIF is hopeful that, in order to avoid practices such as picketing, the unions may be allowed some strictly limited access in the form of postal communication prior to balloting. This sensible proposition would be in line with the spirit of the legislation and further more harmonious industrial relations. Likewise, it appears likely that the Government will clarify the definition of the right to be accompanied, as this currently causes some confusion to both employers and employees alike. Whilst taking stock of all the challenges facing employers in dealing with unions, the Government has also brought forward draft legislation which would prevent the Blacklisting of Trade Union members. Crucially the mere possession of a list of trade union members for a legitimate reason would not fall foul of these draft regulations. As the BPIF is acutely aware, with the Government currently tackling the European Union’s Information and Consultation Directive, the challenges facing employers and unions do not look set to diminish in the future. The BPIF is committed to work together with the relevant parties to ensure good industrial relations in our industry, beginning with the National Agreement Joint Review Body which is due to commence soon. The Government’s review has retained the limitations on industrial action, however, it will be interesting to see in what the form the final legislation emerges. Please direct any comments you may have to Laura Jackson on (020) 7915 8319 or email [email protected]