Category Archives: Government
There was an outcry when the Chancellor Philip Hammond unveiled a National Insurance hike for self-employed workers in the Budget – now postponed. Some 4.6 million people, around 15% of the workforce, are now self-employed and data from the Office for National Statistics show that two thirds of new jobs in the UK created in recent years are down to self-employment.
Self employment, often insecure, low-paid, with no access to holidays, sick pay, maternity and paternity leave
Now sometimes known as ‘the precariat’, the self-employed, often work in service industries such as fast food, for security firms on temporary, even zero-hours contracts, or in the so-called ‘gig economy’. The precariat includes many workers who used to have skilled or semi-skilled but relatively well-paid and secure jobs, under-employed graduates, often working in insecure jobs requiring a much lower education level, migrant workers, and people from ethnic minority communities.
Well-informed readers explain that – as long as the self-employed have a contribution record established – they get the standard state retirement pension and older self-employed workers attaining pension age today have, in many cases, some pension accrued as employees for a number of years of their life which the present generation will not have. Benefits the self-employed cannot access relate to holidays, sick pay, maternity and paternity leave.
Earlier this month it was reported that Labour is to convene a summit to develop a new deal for self-employed workers and small businesses to develop Labour’s policy on self-employment. – recognising “that the world of work itself is changing”. John McDonnell, the shadow chancellor, said.
“The labour movement has risen to challenges like this in the past. It was born out of the struggle for decent pay and conditions when new technologies were ripping up existing ways of working . . . We need that same spirit and vision again. So I’ll be convening a summit next month of unions, the self-employed, and small businesses to develop Labour’s policy on self-employment”.
Some have been in the forefront, pressing for such action, including Pat Conaty, David Hookes and – for many years – Guy Standing. Pat writes: “The work of Professor Guy Standing at UCL SOAS and formerly at the ILO for 36 years on the Precariat Charter is superb”. See the links at the foot which include Standing’s 2011 Policy Network article.
Pat Conaty, Alex Bird and Philip Ross produced the Not Alone report that Co-operatives UK and the Wales Co-operative Centre have published with Unity Trust Bank – the trade union bank. It focusses on the needs of people in self-employment who face low income and social and economic insecurity – the ‘self-employed precariat’.
The executive summary records that there are now more self-employed workers than at any time since modern records began. Some 4.6 million people, around 15% of the workforce, are now self-employed and data from the Office for National Statistics show that two thirds of new jobs in the UK created in recent years are down to self-employment.
Many of the self-employed are among the lowest-paid workers in the country; their potential income is eroded by other costs such as agency fees and additional challenges relate to difficulties in not being paid on time and not having the right to a contract.
The report calls for the ‘cousins of the labour movement’ – co-operatives, trade unions and mutual organisations – to come together and help form cohesive institutions to unite the self-employed precariat, as illustrated in the model of a ‘solidarity economy’ partnership.
As Conaty says in correspondence: “God knows something has to be done for zero hour workers, growing ranks of exploited self-employed and those working all hours of the week in the gig economy to make ends meet”.
David Hookes: http://pcwww.liv.ac.uk/~dhookes/IWFA.pdf
In a recent post on this site, economist Martin Wolf (FT) was quoted, reminding readers of the words of Theresa May, the prime minister, in her speech to the Conservative party conference last year: “Our economy should work for everyone, but if your pay has stagnated for several years in a row and fixed items of spending keep going up, it doesn’t feel like it’s working for you.” She earnestly promised that this would change.
He continued: “Was Mrs May’s speech hypocritical? Yes”. (See MP Dawn Butler, 2nd paragraph)
In similar vein, Jenni Russell writes:
“The president’s actions are more important than his words, and they are a betrayal of his voters
“President Trump is brilliant at diversionary tactics, whether tweets, tantrums, or executive orders that may or may not mean anything in practical terms. His speech to Congress was another in his string of conjuror’s illusions.
“Breitbart and the Trump base adored it for its promises to put American workers first, improve their healthcare, incomes and education, cut their taxes, and protect them from danger abroad and immigrants at home. Trump’s liberal critics were momentarily dazzled to find that for at least an hour the president was capable of addressing the nation in a reasonable, conciliatory tone. But we now know that Trump’s public promises and assertions are so full of contradictions that they cannot be taken either literally or seriously.
“Instead we have to scrutinise the practical consequences of the policies his team is implementing. The effect of these won’t be to transform the lives of the people he swore to champion. They will make the rich much richer at the expense of the middle class and the poor”.
She notes that Trump’s tax plan is overwhelmingly skewed towards the wealthy:
- America’s Tax Policy Centre shows nearly half of the total tax cut will go to the top 1% of taxpayers.
- Almost a quarter will be spent on the richest 0.1%, households that earn above $3.7 million a year.
- The middle fifth of households, earning an average of $65,000, will gain just a thousand dollars.
- Less than 7% of the total cost of tax cuts will be spent on them.
- Because Trump intends to drop tax exemptions for children, some families earning less than $50,000 a year will actually see their taxes rise.
- The budgets for education, childcare and medical research will be slashed by at least 15% per cent.
- Trump proposes to end the state tax, which affects only the top 0.2 per cent of the population.
- His proposed cuts to corporation tax range from 35 to 20%
This surreptitious transfer cannot be what Trump supporters expected
Jenni continues: “Trump’s promise to create jobs through a vast infrastructure plan are equally tilted towards the rich. Investors will be offered tax breaks costing $137 billion to encourage them to invest a trillion dollars in projects that offer potential returns from fees or tolls. And far from bringing jobs to depressed regions, the projects will be skewed towards wealthier areas, because there will be no incentive to invest in areas where there’s no hope of a financial return, like the crumbling roads of the Appalachians”.
Still justified by demonstrably failed trickle down theory
Republicans defend this kind of unbalanced reward as they always have, arguing that the more money individuals keep, the more they will spend and the more everyone will benefit. These policies – in addition to the cuts Trump is demanding to pay for his boom in defence spending – will add huge sums to the deficit and drastically shrink the money available for public programmes. Jenni ends:
“Trump promised to protect his voters but the gulf between what he pledged and what he’s delivering is evident everywhere. His teams are busy dismantling consumer, financial and environmental regulations that prevented ordinary people being fleeced or having their land and water defiled. His supporters stubbornly believe in him but they are being betrayed. There can only be more fear and disillusion to come”.
Meanwhile Wall Street is soaring in anticipation, with the Dow Jones breaking the 21,000 barrier for the first time within hours of the speech. That extra money will overwhelmingly go into the bank accounts of those with the most shares – and the May government now turns from squeezing the disabled to the bereaved, successfully passing drastic cuts in payments for which national insurance contributions had been made and raising probate fees.
*Trumpton and Mayhem: first passing reference made on Our Birmingham website by architect David Heslop, moving towards employee ownership.
The corporate world continues its vitriolic but insubstantial attacks on the Labour Party leader whose approach threatens their unreasonably affluent lifestyles. Will increasingly media-sceptical people who seek the common good be affected by them?
In brief, the reference is to arms traders, big pharma, construction giants, energy companies owned by foreign governments, food speculators, the private ill-health industry and a range of polluting interests. Examples of the damaging political-corporate nexus are given here – a few of many recorded on our database:
Arms trade: Steve Beauchampé – “A peacenik may lay down with some unsavoury characters. Better that than selling them weapons”.
The media highlights Corbyn’s handshakes and meetings, but not recent British governments’ collusion in repressive activities, issuing permits to supply weapons to dictators. In the 80s, when lobbying Conservative MP John Taylor about such arms exports, he said to the writer, word for word: “If we don’t do it, someone else will”. Meaning if we don’t help other countries to attack their citizens, others will. How low can we sink!
Reader Theresa drew our attention to an article highlighting the fact that the Specialised Healthcare Alliance (SHCA), a lobbying company working for some of the world’s biggest drugs and medical equipment firms, had written the draft report for NHS England, a government quango. This was when the latest attempt at mass-medication – this time with statins – was in the news.
Most construction entries related to the PFI debacle, but in 2009 it was reported that more than 100 construction companies – including Balfour Beatty, Kier Group and Carillion – had been involved in a price-fixing conspiracy and had to compensate local authority victims who had been excluded from billions of pounds of public works contracts. The Office of Fair Trading imposed £130m of fines on 103 companies. Price-fixing that had left the public and councils to “pick up the tab”.
In Utility Week News, barrister Roger Barnard, former head of regulatory law at EDF Energy, wondered whether any government is able to safeguard the nation’s energy security interests against the potential for political intervention under a commercial guise, whether by Gazprom, OPEC, or a sovereign wealth fund. He added: “Despite what the regulators say, ownership matters”. The Office of Fair Trading was closed before it could update its little publicised 2010 report which recorded that 40% of infrastructure assets in the energy, water, transport, and communication sectors were already owned by foreign investors.
A Lancashire farmer believes that supermarkets – powerful lobbyists and valued party funders – are driving out production of staple British food supplies and compromising our food security. She sees big business seeking to make a fortune from feeding the wealthy in distant foreign countries where the poor and the environment are both exploited. These ‘greedy giants’ are exploiting the poor across the world and putting at risk the livelihoods of hard working British farmers, their families and their communities. She adds that large businesses are gradually asset-stripping everything of value from our communities to make profits which are then invested abroad in places like China and Thailand.
Government resistance to funding long-term out of work illness/disability benefits followed the publication of a monograph by the authors funded by America’s ‘corporate giant’ Unum Provident Insurance which influenced the policy of successive governments. After various freedom of information requests, the DWP published the mortality figures of the claimants who had died in 11 months in 2011 whilst claiming Employment and Support Allowance, with 10,600 people dying in total and 1300 people dying after being removed from the guaranteed monthly benefit, placed into the work related activity group regardless of diagnosis, forced to prepare for work and then died trying. Following the public outrage once the figures were published, the DWP have consistently refused to publish updated death totals. Information touched on in this 2015 article has been incorporated into a ResearchGate report identifying the influence of Unum Provident over successive UK governments since 1992, the influence of a former government Chief Medical Officer and the use of the Work Capability Assessments conducted by the private sector – described as state crime by proxy, justified as welfare reform.
The powerful transport lobby prevents or delays action to address air pollutants such as ground-level ozone and particulates emitted by cars, lorries and rail engines which contribute directly to global warming, linked to climate change. They emit some common air pollutants that have serious effects on human health and the environment. Children in areas exposed to air pollutants commonly suffer from pneumonia and asthma.
Victimised whistleblowers, media collusion, rewards for failure and the revolving door
- A recent whistleblower report records that Dr Raj Mattu is one of very few to be vindicated and compensated after years of suffering. The government does not implement its own allegedly strengthened whistleblower legislation to protect those who make ‘disclosures in the public interest’.
- This media article relates to the mis-reporting of the Obama-Corbyn meeting: there are 57 others on this site.
- Rewards for failure cover individual cases, most recently Lin Homer, and corporate instances: Serco and G4S were bidding for a MoD £400m 10-year deal, though they had been referred to the Serious Fraud Office for overcharging the government on electronic monitoring contracts. Another contender, Capita, according to a leaked report by research company Gartner was two years behind schedule with its MoD online recruitment computer system – yet the government had contracted to pay the company £1bn over 10 years to hire 9,000 soldiers a year for the army.
- The 74th instance of the revolving door related to Andrew Lansley’s move from his position as government health minister to the private health sector. An investigation by the Mail found that one in three civil servants who took up lucrative private sector jobs was working in the Ministry of Defence: Last year 394 civil servants applied to sell their skills to the highest bidder – and 130 were MoD personnel. Paul Gosling describes how the Big Four accountancy firms have PFI ‘under their thumbs’ and gives a detailed list of those passing from government to the accountancy industry and vice versa.
Steve Beauchampé asks if the barrage of criticism apparently aimed at Jeremy Corbyn is more about undermining the politics he stands for which are probably less far to the left than those of many in the current government are to the right. Most political commentators and opponents aren’t worried that Labour will win a General Election under him, but they are alarmed that the movement his leadership has created might one day lead to an electable left winger.
Saturday 4th March
The BBC reported that Jeremy Corbyn called for the government to provide more funding for the health service in next week’s Budget. Speaking to the protesters in Parliament Square, he said: “The NHS is in crisis because of the underfunding in social care and the people not getting the care and support they need. It is not the fault of the staff. It is the fault of a government who have made a political choice.”
The protest organisers say the government’s proposed Sustainability Transformation Plans (STPs) across the NHS in England are a “smokescreen for further cuts” and the “latest instruments of privatisation”. These proposals involve the complete closure of some hospitals and the centralising of some services such as A&E and stroke care on fewer sites.
Deputy chairman of the British Medical Association council Dr David Wrigley said the march was “a cry for help for anyone who uses the NHS” which was “in such a desperate situation. We need to highlight it. As a doctor I see day to day the serious pressures in the NHS due to the funding cuts from the government”.
Saturday 4th March: at 6pm
The Independent featured Ben Bradshaw (former minister) praising Blair and blaming Corbyn’s leadership – ‘the one issue on the doorstep’
Saturday 4th March 11pm (updated 4am on 5th)
“Unlike other politicians who spend weekends with corporate lobbyists &wealthy donors, John McDonnell is out on the street 4 the #OurNHS demo”
Sunday 5th March 4am
The Sunday Express: Corbyn in crisis – and no doubt more will come
Saturday 4th March 11pm (updated 4am on 5th)
The Daily Mail usefully quotes Ken Loach explaining why these particular MPs are disgruntled: “It was their Labour Party, not Corbyn’s, that lost Scotland, lost two elections and has seen Labour’s vote shrink inexorably. Yet they retain a sense of entitlement to lead.”
Strangest of all, the Times and FT (online editions) decide not to mention the demonstration.
The Times online did not carry its usual daily onslaught on Corbyn and the Financial Times online which regularly publishes biassed articles about JC – often by Jim Pickard – has no reference, merely a bland, skimpy article by David Laws: “UK reaches socially acceptable limits of austerity . . . the NHS needs a settlement which allows for rising demand and an ageing population”.
Their carefully selected and daily shown photographs and cartoons of the Labour Party leader are not to be seen? What does this mean?
Sharma and the Agri-Brigade: bureaucrats and white collar workers lacking all essential survival skills, undermine food producers
In England, many organisations ostensibly concerned with the prosperity of farmers hold endless conferences. Analyst Devinder Sharma notes that, in India, agricultural universities, research institutes, public sector units, and other organisations also frequently gather to talk about ways to improve farmers’ income.
He comments sardonically that while the number of seminars/conferences on doubling the farmers’ income have doubled in the past few months, farmers increasingly sink into a cycle of deprivation.
As he points out, in both countries those who talk of allowing markets to provide higher farm incomes are the ones who get assured salary packets every month – we add that in England some are even paid from a levy on farmers.
The British farming press is now pointing out that large numbers of the UK’s 86,000+ family farmers are facing a threat from the government’s new universal credit (UC). If administered as currently designed, it will have a devastating impact on many of the UK’s most economically vulnerable family farms.
Universal credit will be ‘rolled out’ regionally by the DWP to cover the whole of UK by 2022 – calculated on monthly rather than annual income and it will assume that farmers have a “minimum income floor” which assumes that all applicants earn a wage equivalent to the national minimum wage of about £230 a week which is not the case. Private Eye (The Agri Brigade column) comments:
“None of this is remotely appropriate for farmers, and it shows the folly of trying to introduce a single universal form of income support for all.
On many family farms, where one or two people may work up to 250 acres, there is often no income for up to 10 or even 1 I months in a typical trading year. The sale of a crop of lambs, cattle or grain (or receipt of an EU subsidy) means revenue is raised in just one or two months of the year so the DWP’s assumption of a “basic income floor” each month doesn’t apply. There are also fears that receipts by claimants that rake their income above the basic floor in some months will disrupt entitlement to UC in subsequent months. (And farming losses in some months cannot be offset against a profit in others)”
Shades of the I, Daniel Blake experience:
When the UC administered by the DWP comes into force, skilled hard-working farmers will have to visit unfamiliar Job Centres to register for the benefit. ln addition. They will have to undergo face-to-face interviews over their eligibility for UC and be allocated a work coach to advise them on how to improve their access to better paid employment. Given the difficulties it seems certain many family farms currently claiming tax credits (administered by HMRC) will not apply for universal credit despite their poverty.
An unworkable system
Farming UK reports that a spokesman for the Ulster Farmers Union said: “UC makes it impossible to use prospective incomes or losses, which is often what farmers depend on. The fact that farming is seasonal where there will be long periods of time when a farmer will make a loss in expectation of more profitable times at some other stage during the year. In addition, having to do monthly real-time accounts is an extra burden upon farmers, in an already hard-pressed industry, and to hire someone to prepare these accounts would be an extra expense”.
As the title has it: “bureaucrats and white collar workers lacking all essential survival skills, undermine food producers”.
Not for the first time, the Murdoch Times made a ‘throwaway remark’ into a headline ‘soundbite’. It centred on a passing reflection by David Miliband, a former foreign secretary in the Blair government, made in an interview in the Times.
Widely reported to be a great friend of the Clintons
Peter Burgess asks a pertinent question: “Why on earth do you think that the likes of Murdoch preferred him and Blair rather than the likes of Benn or Major? Of course the establishment and in particular people like Murdoch want Miliband Snr as Labour leader, just as they wanted Blair rather than Foot or a Tory like Major. They knew how to control him”.
Miliband said that the Labour party is now weaker than in the 1980s and must face up to the “historic nature” of the challenge ahead.
Hem Laljee refers to this as “the fallout from the New Labour. Its founder is still loitering in our midst and giving advice. New Labour was the different garb of the Conservative The working class have been left rudderless which reflected in their votes for the Brexit”.
David Miliband’s main theme was his own well-rewarded work for the USA’s International Rescue Committee. Asked about his future leadership intentions, he added: “I honestly don’t know what I’m going to do. It’s hard to see, but what’s the point of saying never?”
Radlon comments: “Rather standing his ground to save the Labour Party . . . he scarpered off to a well-paid US job. How would Labour’s traditional voters, not to mention the Dave Spart wing of the party, view this rich kid parachuting into the leadership of the party from 3000 miles away?2
Mr Corbyn said: “I was elected to lead this party. We will continue our campaigning work on the NHS, on social care, on housing.”
Another comment was that the political-corporate-media establishment must secretly think that Corbyn has quite a good chance of electoral success, despite their rhetoric, because they are spending so much time and devoting such great efforts to discredit him and his supporters.
Eva Amsen adds to the apprehensions of many readers who have friends or relatives living and working in Britain as EU citizens
Note also that David Gray solicitors reminds us there are large numbers of Britons working and running businesses in EU states.
Recent estimates by the UK government are that around 2.2 million British citizens live in other EU countries.
EU states could also impose visa restrictions upon British nationals.
Her account of the situation is summarised here (Ed: preamble and graphic added):
Misconception 1: Any Europeans who are already living in the UK will be able to stay
We have been trying to get the government to make exactly this promise, which a lot of people take as a given, but they have not done so. They’re waiting for all other EU countries to make a similar promise for UK residents abroad. Both Europeans in the UK and British citizens in EU countries are being used as bargaining chips. If you see an “I’m not a bargaining chip” image on social media, that’s what this is about. The insecurity about the future status of EU residents in the UK is already causing people to leave, creating labour shortages.
Misconception 2: If you’re a skilled worker with degrees, you can definitely stay
There is an immigration route into the UK for skilled workers from outside of the EU (and you might, for example, have American friends who moved here via that process) but this immigration pathway is NOT currently available for Europeans to use. There is only one immigration pathway for all Europeans regardless of degrees or jobs, and the system is malfunctioning (more on that below).The immigration requirements are actually extra hard for scientists and other academics, who can get disqualified either because they didn’t have the right insurance during their full-time PhD . . .
Misconception 3: If you have strong ties to the UK, like a British spouse or children, you can definitely stay
Ironically, some of the people who have lived here the longest — who did their degree here and/or raised kids here — are now told they might not be able to stay. Having a British spouse or British children is entirely irrelevant for the immigration procedure for Europeans in the UK. You can only apply to become a permanent resident if you have “exercised treaty rights” for five years in the UK. That either means that you have worked during that period, and paid national insurance contributions via your employment, or that you had your own “comprehensive sickness insurance” during the years you were not employed.Until people started looking into immigration after the referendum last summer, most EU citizens in the UK had no idea that they were supposed to have had this kind of insurance. Nobody ever told them. Nobody ever asked for it. Nobody ever checked. Until now. In particular students and stay-at-home parents are affected by this insurance requirement. Many people who have been married to a Brit for decades are now being told that they are not qualified to become a permanent resident of the UK. A British spouse cannot be a “sponsor” for their immigration application.So, ironically, some of the people who have lived here the longest — who did their degree here and/or raised kids here — are now told they might not be able to stay.
Misconception 4: Okay, I think I get it: If you worked continuously in the UK for at least five years, you will definitely be allowed to stay
Well….maybe. This is currently the most likely guarantee, but there are snags in the system. First of all, we don’t know for certain that permanent resident status achieved on the basis of fulfilling EU treaty requirements will indeed remain valid after Brexit. That’s again something we would like the government to confirm. Many people are applying anyway, because it’s the only immigration route we qualify for, and the non-EU route (which we might have to use in the future) is twenty times as expensive. Second, the evidence required to prove that you have indeed fulfilled all the requirements to be here legally is enormous and elaborate. Do you still have all your old payslips? I didn’t, and I have now had to go back to two previous employers to request them (and a letter) to be able to complete the employment evidence section of my application. if you thought you were being environmentally friendly with paperless billing and electronic bank statements, that is a huge disadvantage.Employment evidence alone is not enough. To prove that you lived in the UK continuously, you also need things like old utility bills or other pieces of official mail sent to your address throughout the years. Electronic documents do not count, so if you thought you were being environmentally friendly with paperless billing and electronic bank statements, that is a HUGE disadvantage when you need to prove that you lived in the country all this time. And if you were living with housemates or a partner, you better have been the person the bills were addressed to! Finally, the Home Office wants to see proof that you were an EU citizen during the five year qualifying period, so if you renewed your passport recently you will need to still have the old one. Many embassies keep the old passport when they give you a new one, so this also a challenge for a lot of people!
Misconception 5: UK citizens in other EU countries are having similar problems.
They are not! Each country sets their own immigration procedures, and the Members of European Parliament that looked into the situation have not found evidence that the procedures for UK residents to settle in other EU countries have been as challenging.The permanent resident application system has lots of bugs in it. One commonly encountered issue is that someone who used to receive child benefits in the past, but doesn’t anymore, is technically unable to fill in the online application form. When they follow the steps in the online application, the thread of questioning brings them to a dead end where it is impossible to answer that they don’t currently receive any benefits.
It’s a weird, broken, application process and it needs to be fixed.
Eva ends: I will be visiting parliament on February 20 as part of a mass lobby for EU residents rights in the UK. We are mainly pushing for the government to make a firm statement about our status, i.e. to make it official that everyone who was already here can stay. This has been hinted at, but is not yet certain. (See “misconception 1” above). Everyone will try to speak to their MP about their own experience. Even if you can’t be there in person, anyone in the UK can contact their own MP to ask them to push for clarity and security for EU residents in the country. If I manage to get to talk to my MP, I want to focus in particular on the challenges that academics/researchers face with the current application system (see “misconception 2” above)
There is a petition asking for a reform of the permanent resident application, which addresses some of the same issues I described above.
Eva Amsen: Writer, science communicator, musician. I’m a biochemist by training, but now I work with scientists rather than as one.
From James Robertson: Newsletter No. 53
Why is the world controlled by people who behave with less benign and positive motives?
Why and by whom are large numbers of people compelled to migrate from their own countries to others, with many of them and their children being drowned on the way?
Why does what we call ‘wealth’ create such wide inequalities and injustice between people,
why does ’wealth’ creation require and result in the destruction of the resources of the planet on which all of us depend for our survival?
Why is so much ‘wealth’ spent on competing to create ‘arms’ with which nations or individuals can damage or destroy one another?
Why do so few of our political and business leaders seem to recognise that our species is facing the possibility of suicide before of the end of the present century?
What should we be doing to avoid that happening?
The whole newsletter – and others – can be read by visiting www.jamesrobertson.com/newsletter.htm.