UK Parliament / Open data

Agricultural Wages Board

Proceeding contribution from George Eustice (Conservative) in the House of Commons on Wednesday, 24 April 2013. It occurred during Opposition day on Agricultural Wages Board.

My hon. Friend is right and underlines my point that the GLA has made the AWB ever more redundant. Those at the bottom on those low incomes have new protections.

One big thing in this debate compared with the last one—it is important to recognise this—is that the National Farmers Union is on the right side. For once, it is saying that we should get rid of the AWB because it is out of date. In 1993, the NFU let down its members. David Naish, the then president, supported the retention of the AWB, and he was wrong to do so. The NFU board of directors at the time was out of touch and behind the curve, but the NFU now recognises that things need to change and fully supports and endorses the abolition of the AWB. If even the NFU supports the abolition of the AWB, it is time to act. Another big change since 1993 is, as many hon. Members have said, the introduction of the minimum wage, which is yet another measure that makes the AWB out of date and no longer necessary.

How does the AWB frustrate rather than improve career development in the agricultural sector? The most important thing is the huge lack of flexibility. The board is based on old-style wage grade rates dating from the ’60s and ’70s, and completely ignores the fact that, in the most progressive farm businesses, many people are paid a salary and have management responsibilities. The best farm businesses have profit shares and payment by results. Piece rates are increasingly used when people earn far in excess of the minimum wage rates. Those modern day pay practices are completely ignored by the agricultural wages order, which can frustrate the development of more progressive pay policies in the farming industry and keep it trapped in a 1950s mindset.

Type
Proceeding contribution
Reference
561 cc952-3 
Session
2012-13
Chamber / Committee
House of Commons chamber
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