Response to STUC on Scottish Executive National Planning PolicyGuideline: Economic Development Consultation Document

 

1.     UNIFI is a TUCaffiliated trade union representing some 160,000 workers across the financesector. The Union represents staff in all grades and all occupations, not onlyin the major Scottish and English banks, but also in investment banks, the Bankof England, insurance companies, building societies, finance houses andbusiness services companies.

 

2.      TheExecutives Framework for Economic Development in Scotland places the focuson raising the quality of life of the Scottish people, on increasing economicopportunity, which is socially and environmentally sustainable. UNIFI would agree with such recommendations,however the means of achieving this must include dialogue with the trade unionmovement from the outset.

 

3.     UNIFI is concernedthat the drive for inward investment might overshadow the emphasis onemployment rights and consultation in business decisions in order to promotethe new development as good for everyone. Therefore collective bargainingshould be included as the preferred negotiating model in industrial relationsin all inward investment decisions.

 

4.     UNIFI wouldcongratulate the Executive on their intention to focus on up-marketmanufacturing and to move to higher value, highly skilled projects. Theemphasis on attracting and retaining skilled labour is an essential componentin a successful economy. The objective of the Scottish Executive and EnterpriseNetworks to reduce the outward migration from Scotland of talented and skilledpeople by providing jobs that will be attractive to them is fundamental andcentral to UNIFIs argument.

 

5.      UNIFIrecognises that education and current skills are not compatible with future demandand improving the employability of workers is a high priority on UNIFIsagenda. The union is engaged inlearning partnerships in delivering skills requirements for the changingdemands of the labour market. UNIFI hasalready developed successful courses for members in partnership with learninginstitutions and companies where a recognition agreement exists.

 

6.      Matchingfuture course content with skill requirements will depend a great deal on thequality of information about changes in employment practices and with dialoguewith employers. Industry must beprepared to update basic skills and increase key skills for all employees toensure a highly educated and informed workforce better able to deliver a qualityservice to all stakeholders in a society which values intellectual capital.

 

7.     UNIFI would wish tosee increased resources and investment by employers, in training, re-training,lifelong learning and education opportunities which, we would argue, lead to anincrease in job satisfaction and motivation with lower staff turnover. Evidencesuggests that motivated employees provide a better service to customers andboth trade unions and employers should wish to see motivated not demoralisedemployees.

 

Rural Development

 

8.     The ScottishExecutives commitment to sustainable development to improve the prospects andquality of life of rural communities must include a commitment to reverse thedecline in financial services available in rural areas.

 

9.     Small businesses andthose who live in rural communities depend heavily on their local bank branchand UNIFI would argue that access to retail financial services is essential forfull participation in the community and is an important link in the socialwellbeing of a modern economy.

 

10. Population decline and the provision of community bankingservices must also be halted in order to safeguard a potential workforce inrural communities. Greenfield sites onthe periphery of towns are ripe for inward investment, and are areas investorsare keen to access.

 

11. Another major concern, however, is the indirect impact thatbank closures have in respect of economic investment in towns and regions. Oncebanks begin to close there begins a downward spiral in respect of financialactivity and investment in those areas.For example, in Wales, of thirty one bank branch closures, most of themhave been in areas supported by Objective 1 funding through the EuropeanCommunity.

 

12. The difficulty becomes apparent when attracting inwardinvestment into those areas via structural funds, when there are no financialfacilities to support that investment.Not only are the lowest paid and unemployed at a disadvantage due tolack of access to financial services, but the potential for renewal and new opportunitiesbecomes diminished as financial services disappear.

 

ICT, Satellite offices and homeworking

 

13. Much of the inward investment that has taken place recentlyin Scotland is in the service sector and in particular call centres. In thecase of call centres UNIFI would wish to see a re-evaluation of targets whichemphasise negotiation and discussion rather than being imposed. Further anacknowledgement of the specific health and safety issues associated with thecall centre industry should be taken into account.

 

14. While acknowledging the Scottish Parliaments Enterprise andLifelong Learning Committees support for the extension of teleworking,concerns are raised that there has been little done to encourage dialogue withtrade unions to ensure decent protection for this vulnerable group of workers.

 

15. Employers must also integrate worklife balance issues intocorporate policy. The majority ofUNIFI's membership are females found in the 25 - 44 age range, many of whomhave domestic responsibilities. Employers must show that they are committed toproviding support in substance not merely in rhetoric.

 

16. An increasing number of call centres operate twenty fourhours a day seven days a week.Employers should obtain the views of employees in the first instanceabout matching flexible patterns of work with individual need, suiting bothemployees and employers.

 

Conclusion

 

17. The interests of employees and the wider communitys needsshould be given a higher priority in economic development decisions. Corporate social responsibility should be anatural consideration of any businesses looking to locate in Scotland. Businesses should provide an open andtransparent business plan that takes account of the interests of allstakeholders involved in the development and planning decisions should be basedon all the facts not just those that serve the short term aspirations of a few.

 

UNIFI Research

April 2002