City MP: New plans will boost Portsmouth pay and productivity

City MP Stephen Morgan has backed plans to deliver the biggest boost to pay and productivity for Portsmouth people in a generation.

The government’s plan to Make Work Pay will end exploitative zero-hour contracts and unscrupulous fire and rehire practices, while establishing rights to bereavement and parental leave for Portsmouth workers from day one.

Mr Morgan said the government’s plans will boost workers’ rights and kickstart workplace productivity after years of failure under the Tories which meant the UK lost twice as many working days as France due to industrial action.

The government’s plan which is expected to provide the groundwork for a boom to the economy shows how Labour is changing our country’s story to one of growth, opportunity, and optimism.

The Employment Rights Bill was laid before Parliament last Thursday and set out a new partnership between business, trade unions and working people – underpinning the government’s growth mission.

The existing two-year qualifying period for protections from unfair dismissal will be removed, delivering on Labour’s manifesto commitment to ensure that all workers have a right to these protections from day one on the job.

This is set to benefit nine million people that have been with their employer for less than two years.

The government will also consult on a new statutory probation period for companies’ new hires. Statutory sick pay will also be strengthened, removing the lower earnings limit for all workers and cutting out the waiting period before sick pay kicks in.

These changes will help more than one million people on zero hours contracts who will gain guaranteed working hours if they want them, boosting their job security.

Accompanying this will be measures to help make the workplace more compatible with people’s lives, with flexible working made the default where practical.

Large employers will also be required to create action plans on addressing gender pay gaps and supporting employees through the menopause, and protections against dismissal will be strengthened for pregnant women and those returning from maternity leave.

This is all with the intention of keeping people in work for longer, reducing recruitment costs for employers by increasing staff retention and helping the economy grow.

A new Fair Work Agency bringing together existing enforcement bodies will also be established to enforce rights such as holiday pay and support employers looking for guidance on how to comply with the law.

Commenting, Portsmouth South MP Stephen Morgan said:

“Under the Tories, far too many Portsmouth workers saw their wages stagnate, while too many Portsmouth businesses were not given the support they needed to grow.

“That’s why the new Labour government is prioritising making work pay so that businesses get the productivity boost they need and working people in Portsmouth get the boost in pay they deserve.

“Through these plans, we are turning the page on years of Tory gloom, and replacing it with a strategy to deliver economic growth, opportunity, and optimism for Portsmouth businesses and workers.”

Angela Rayner MP, Deputy Prime Minister, said:

“This Labour Government’s plan to make work pay is central to achieving our growth mission, boosting productivity. After years of stagnation under the Tories, we’re replacing a race to the bottom with a race to the top, so employers compete on innovation and quality.

“It’s by making work more secure and modernising workplaces that we will drive up productivity, improve living standards, generate jobs and investment, and pave the way for sustained economic growth that benefits working people.

“We’re calling a time on the Tories’ scorched earth approach to industrial relations. A new partnership of cooperation between trade unions, employers and government will put us in line with high-growth economies that benefit from more cooperation and less disruption.”Jonathan Reynolds MP, Business Secretary, said:

“It is our mission to get the economy moving and create the long term, sustainable growth that people and businesses across the country need. Our plan will give the world of work a much-needed upgrade, boosting pay and productivity.

“The best employers know that employees are more productive when they are happy at work. That is why it’s vital to give employers the flexibility they need to grow whilst ending unscrupulous and unfair practices.

“This upgrade to our laws will ensure they are fit for modern life, raise living standards and provide opportunity and security for businesses, workers and communities across the country.”