We have an atomised work force. There has been a progressive change in employment patterns from what was typically the case 50 years ago to smaller, more flexible work forces with a lot of contract labour and very few people being permanently employed on farms. Having said that, the statistics show that the majority of those covered by the AWB still need the minimum standards that the board lays down. I will come to that point in a moment.
I do not accept that the board is an historical anachronism—far from it—not least because half the work force is aged 55 and over and we still need to recruit and retain people to work on the land. Nor is it true to suggest that the board was set in aspic and never changed. Over the years, as a consequence of some very good dialogue, a modernisation process took place.
The proposal for the AWB’s abolition is fundamentally wrong for four reasons. The first involves fair treatment. This is not just about minimum standards. Crucially, it is also about other conditions of employment, which really matter. The simple reality is that the difference between the statutory arrangements and the board’s arrangements will be that, in future, it will be possible for a farmer to pay someone who is off sick £81.60 a week less. Farming is a dangerous occupation for some, and we often see high levels of sickness as a consequence of the work.
Secondly, abolishing the AWB is an inefficient way of proceeding. I asked the House of Commons Library to research the costs of the board, and I was surprised by the answer. I knew that it was lean and effective, but even I was surprised to learn that its administrative costs were £179,000 a year and its enforcement costs were £150,000. That fully functioning Agricultural Wages Board therefore cost a grand total of £329,000.
Now, however, we shall see tens of thousands of negotiations taking place throughout the agriculture sector. I accept that, depending on the nature of the employment pattern, people can often get paid more than the level strictly laid down by the AWB. That happens all the time, as a result of a demand for a particular skill. However, the hon. Member for St Ives (Andrew George) was right to say that, other than in circumstances of exceptional demand, it is convenient for farmers to use the framework laid down by the
board. Farmers have said that to me, too. In future, however, we shall see negotiation after negotiation consuming the time and effort of our farmers.