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Proceeding contribution from Lord Whitty (Labour) in the House of Lords on Wednesday, 9 March 2011. It occurred during Committee of the Whole House (HL) and Debate on bill on Public Bodies Bill [HL].


Public Bodies Bill [HL]

In this amendment, I move away from the detailed consideration of individual bodies and their future to a more general principle. This relates to what happens to the staff of those bodies whose functions are transferred or merged. There is a clear-cut situation where, if bodies are abolished, although some of the bodies are Schedule 1, there has also been commitment by the Government to transfer the functions, duties or powers elsewhere and, therefore, the question of what happens to the staff who are carrying out those functions under the current arrangements does arise. This amendment would make it clear that, in normal circumstances, the TUPE arrangements would apply as they would apply to mergers in both the private and the public sector, and across the private and the public sector where functions and duties are transferred. Under normal procedure concerning people’s entitlement to terms and conditions, including redundancy terms, pensions and other aspects of their employment, if the functions are moved into a receiving body, it would be for that receiving body to maintain both the continuity of service and the terms and conditions unless and until, either by collective agreement or by individual contract agreement, those terms are changed. Because of the complexity of the bodies involved and the contractual terms which appear and have grown up in many of these bodies over time, it may not be all that clear, even to eminent employment lawyers, whether a TUPE applies or not. Even in the more simple past, when we were only dealing with one or two mergers of bodies or transfers of functions, it sometimes was not at all clear. The form of words here is almost exactly that which was included in the legislation in 2006 which set up the present Consumer Focus body—the National Consumer Council in legal terms—when we had the merger of the old National Consumer Council, Energywatch and Postwatch. The terms and conditions were preserved, albeit in some situations it was not entirely clear whether TUPE would apply or not. In 2006 the regulations on TUPE came in. When Consumer Focus was created they were quite new, but similar forms of words have appeared in other legislation where there has been a merger or transfer of functions from one state body—NDPB or equivalent—to another. This Bill has a wholesale raft of such transfers. It does not have quite as many as it started out with but there are still quite a few left, and a few where it is not quite clear whether the transfer is occurring or not, and whether it is a function which normally comes under the TUPE regulations. This amendment would make it clear, however, that if the function transfers or the duty and power transfers, the staff would go with them unless and until the receiving body decided it might wish to dispense with their services as the new employer. It is not up to the previous employer to declare them redundant until such a rationalisation has taken place by the receiving employer, which can happen more or less instantaneously in certain circumstances. The important point is that up until that point, the terms and conditions of the staff employed under the pre-existing bodies would be preserved. This important point relates to quite a lot of staff, and there is quite a lot of uncertainty among the trade unions and staff bodies representing them. We need clarity on this and if the Government are unable to accept this form of words then, clearly, I am happy to discuss it with them. The principle needs to be established for all the bodies which remain within this Bill. I beg to move.


Secondary information

Type
Proceeding contribution
Reference
725 c1713-4 
Session
2010-12
Chamber / Committee
House of Lords chamber
Subjects
Complaints Conditions of employment Codes of practice Devolved matters Consumers Accountability BBC Banks Competition British Waterways Competition Commission Fertility Freedom of information Human rights Human Fertilisation and Embryology Authority Inland waterways Legislation IVF Forestry Commission Forests Ministerial powers Northern Ireland Navigation Public bodies Railways Mergers Parliamentary scrutiny Passengers Staff Office of Fair Trading Non-departmental public bodies Scotland Regulation Wales Welsh language Shipping Research Supermarkets Television Stem cells S4C Human Tissue Authority Passenger Focus Legal Services Board Care Quality Commission Independent Commission on Banking
Legislation
Public Bodies Bill (HL) 2010-12
Link
View this Proceeding contribution on www.publications.parliament.uk