Becoming a Fair Work Nation: consultation analysis

4. Actions to deliver Fair Work

A key aim of the consultation was to understand what actions are needed to deliver Fair Work in Scotland, and to establish who is best placed to take those actions. Questions Q8 and Q9 focused on the actions Scottish Government and others could take, but many respondents suggested actions at other questions, particularly Q3 (how opportunities could be maximised) and Q5 (how barriers could be overcome).

This chapter presents an analysis of actions which respondents mentioned at Q8 and Q9 and those which were mentioned consistently throughout the consultation. The people or organisations responsible for implementing the actions are also noted, where respondents' opinions on this were clear.

Actions for the Scottish Government

Q8. Please set out any further actions you think the Scottish Government should take to deliver Fair Work for everyone. This may include for example any further support you think is needed.

The majority of respondents (82 out of 95, 86%) responded to Q8. Respondents suggested a variety of actions the Scottish Government should take to meet the ambition of becoming a Fair Work Nation. These have been grouped into themes, the most common being providing more support to organisations through funding, centralised guidance and free training; promoting Fair Work through public procurement; undertaking more research about Fair Work; and, organising public information campaigns to promote the Fair Work agenda. Several organisations suggested actions the Scottish Government could take to address equality issues; these are summarised below but are described in more detail in Chapter 5.

Increasing support from the Scottish Government for Fair Work implementation

Calls for more support from the Scottish Government to help organisations embed fair workpractices was the most prevalent theme in response to Q8. Respondents requested different types of support, including:

• Funding, investments, grants and loans to support employers with Fair Work implementation and workforce development.
• A centralised source of clear, succinct and accessible guidance on what Fair Work is, how to implement it affordably and easily, and examples of Fair Work best practice.
• Free Fair Work training for employers.
• Mentoring schemes to support businesses to adopt fair workpractices.

"Make more training and support available to small businesses regarding core human resources issues that impact Fair Work, including but not limited to diversity and inclusion and employment law." – Business in the Community

"A lack of guidance and support to implement the Fair Work Dimensions is another key concern among voluntary sector colleagues who, while interested in progressing towards Fair Work, are unclear what actions they can take. There is a need for clear, succinct, practical guidance on what Fair Work is and how voluntary organisations can implement it affordably and easily. Support to review existing policies and practice as well as advice on development is also needed." – SCVO

Some thought that support should be targeted at specific types of organisations, for example, SMEs and third sector organisations who may lack the necessary resources or expertise to implement fair workpractices in their operations.

"Greater support provided for small businesses who want/need to have employees but who are struggling to commit to Fair Work requirements. For example, the additional financial challenges of recruiting and supporting an employee in a Fair Work way incurs additional costs. This means that many firms who might like to employ one or more people avoid growing their firms due to such costs. The suggestion is not that that firms should avoid paying Fair Work costs, but that these challenges are recognised and appropriate measures, including financial support, are implemented to enable zero person and/or microbusinesses to overcome such an initial hurdle." – Individual

Respondents advised the Scottish Government to prioritise support for sectors where there is low take up of fair workpractices, highlighting specific sectors including social care and the hospitality and farming industries. A small number of respondents called for more support for individuals who are self-employed, noting this is a significant section of Scotland's working population who are not covered by fair workpractices. SCVO and Scottish Sports Association called for the Scottish Government to do more to reach and support the third sector to understand and implement Fair Work.

A few respondents mentioned that the COVID-19 pandemic has contributed to a challenging economic climate and support is required to offset this and help organisations to deliver achievable, proportionate improvements.

Fair Work in Scottish Government procurement

Several respondents felt the Scottish Government has a responsibility to do more to promote Fair Work through its own procurement activity. While some recognised there are already mechanisms to encourage Fair Work in Scottish Government contracts, others called for Fair Work requirements in public procurement to be strengthened and more weight given to Fair Work when evaluating bids. Some suggested the Scottish Government should only award contracts to suppliers who can adequately demonstrate they are abiding by fair workpractices, and exclude contractors who are not, for example, businesses which use zero-hours contracts. A few respondents also noted the need to ensure commitments to Fair Work are consistently monitored and enforced.

"Mears believes that companies working on public services via public contracts should be required to set out the ways in which they're acting as a responsible business, and thus, in the interests of fair work… We believe that this is important because companies working on public contracts have a responsibility to support fairness." – Mears Group

"Commissioning and procurement contracts using public money should be conditional on Fair Work practices which should be subject to bidders providing robust evidence and they should be subject to ongoing monitoring. The weighting criteria for Fair Work in current commissioning and procurement practices is largely meaningless and this should be adjusted so the weighting on Fair Work makes a difference to who is awarded the contract." – Unite Scotland

"The Government should also consider how all elements of its relationship with business can be used to drive Fair Work, for example through tax, audit and inspection, licensing, along with commissioning, procurement and grant giving. Each intervention should support the Government's wider economic drive and all economic development and skills agencies should have clear requirements to advance Fair Work, a just transition and anti-poverty work." – Fair Work Convention

A Fair Work accreditation scheme was suggested by a few who felt this would be a simple way for commissioners to identify which suppliers are adhering to Fair Work practises.

"Work collaboratively to develop a business-led, independently managed accreditation programme for fair work businesses like, for example, Investors in People and the Autistic Society's Neurodiversity Fair Workplace programme." – Intitute of Directors Glasgow & West of Scotland

While many highlighted the role of Scottish Government procurement, several respondents argued that the same responsibility should apply to other commissioning bodies, including local authorities, public bodies and Health and Social Care Partnerships. A few, however, felt that Scottish Government needed to take the lead on this, for others to follow.

A small number felt the same provisions should apply to any Scottish Government funding, grants, COVID-19 loans and licencing. STUC made a specific call for commissioned organisations to commit to and monitor Fair Work in their subcontracted supply chains.

"There is, though, the opportunity to increase the impact of Fair Work First by attaching it to a wider range of funding streams, including all government loans, grants and support. It should also be applied to all financial support for new start businesses, and Business Gateway/Social Enterprise support service should be required to provide guidance and support on Fair Work as standard as part of their service delivery contracts." – Poverty Alliance

Related to this, a few respondents, such as SCVO, the Health and Social Care Alliance and the Scottish Association for Social Work, called for a more collaborative, rather than competitive, approach to promoting Fair Work through procurement. This ethical commissioning would involve all commissioning bodies and suppliers both within and across different sectors, working together to share learning related to Fair Work, ensure that organisations receive the necessary support to implement Fair Work, and to agree minimum contract standards in fair workpractices that contractors need to adopt. This is in addition to calls for longer-term funding which were described in Chapter 3.

"We need a procurement model based on collaboration not competition. To achieve this:

• • A cross-sector partnership of the voluntary, public, and private sectors should be central to a new commissioning and procurement model. The Scottish Government should include all sectors in strategic planning to ensure joint goals and shared risks.
• • Partners should develop and agree to appropriate minimum contract standards for the provision of publicly funded services. Such standards consistent with the Fair Work Framework should cover, the Living Wage, income stability, terms and conditions, and appropriate supervision, training, and development.
• • Commissioners should be responsible for providing the support needed to ensure the Fair Work [practices] are realised.
• • Non-committal frameworks should no longer be included in procurement contracts, as recommended by the Fair Work Convention." – SCVO

Promotion of Fair Work

Low public awareness of the Fair Work was noted by some, and many urged the Scottish Government to invest in public communication and marketing around Fair Work. Respondents felt it was vital to improve understanding of Fair Work and its positive impact on the national and local economy, poverty, inclusivity and public health. A few specified that the Scottish Government should do more to promote a four-day working week.

Some thought it would be important to target marketing efforts at employers to promote Fair Work and relay relevant benefits, such as the economic value of having a more committed and productive workforce.

"We know from our own conversations with CIPD members and employers that there is a significant gap in understanding what Fair Work actually means. In addition, it is often mistakenly perceived as an onerous additional scheme competing with other kitemarks and badges, even by employers who would by any measure be defined as Fair Work employers… Improving this understanding should be a key objective of the Scottish Government. We believe that a large-scale Fair Work awareness campaign should be run throughout this session of parliament. This could be broken down into the five Fair Work dimensions – respect, security, opportunity, fulfilment and effective voice. It would serve to raise awareness among both employees and employers, highlighting the key elements of Fair Work, and would be coupled with advice and guidance on practical steps businesses can take." – Charterd Insitute of Personnel and Development (CIPD)

"Many businesses are motivated to provide Fair Work because it is the right thing to do. Coming through strongly however in our 2018 consultation was a view that the 'business case' for Fair Work needs to continue to be advanced by government and its agencies, in order to motivate businesses who may otherwise struggle or be disinclined to prioritise fair work alongside other organisational goals." – Business in the Community

Conversely, others argued for public information campaigns to allow individuals to understand and campaign for Fair Work in their workplaces, and to educate the public about the value of essential workers. A small number of respondents advocated for Fair Work to embedded into school curriculums to increase knowledge of the agenda among children and young people, or "Scotland's future workers and managers." Citizens Advice Scotland cited the Union into Schools initiative which helps raise awareness of workplace rights among young people.

A few respondents felt case studies could be a useful promotional tool. Suggested themes included: employers who are reaping the benefits of providing Fair Work conditions for their employees; examples of fair workpractices that can be scaled up or scaled down, to be proportionate for large and small businesses; and, demonstrations of good practice. Similarly, case studies of people who have experienced different barriers or challenges at work, but who have sustained employment, could be used.

Engagement, consultation, research, and data collection

There were calls for the Scottish Government to do more research and consultation about Fair Work with specific groups including small business owners, front line staff, trade union representatives, carers, disabled people and ethnic minority groups. Respondents felt this would help the Scottish Government to generate a greater understanding of what Fair Work means to the public, what is achievable and the barriers employers face in implementing Fair Work.

Some respondents called for improvements to data collection around Fair Work, with a small number suggesting that a formal monitoring and evaluation system of employers' compliance with Fair Work should be introduced in Scotland. Historic Environment Scotland noted that improved data collection would allow sectors to compare their performance with each other, including with the private sector.

"As opposed to taking a snapshot of the data, Scottish Government could invest in a longer-term programme of research and engagement, alongside local authorities, to understand barriers to and encourage change in the employment practices of Scottish businesses more systematically. Commitment to working with local authorities, Scottish Enterprise, and Business Gateway, based on their knowledge of SMEs and job seekers locally, would be welcome." – Glasgow City Region

"The Fair Work in Scotland Report identifies that there are a number of data quality issues that limit our ability to track performance in Scotland against the dimensions of fair work. These issues are most acute in the Effective Voice dimension, where only a measure of unionisation and collective bargaining coverage is available. While these measures are vitally important, they do not allow for a complete picture of effective voice to be formed, particularly where unions are not present. There is also an important data gap in the Respect dimension, where no effective measures for bullying and harassment at work exists. It is therefore important that the Scottish Government takes action to improve data quality by creating and resourcing a Scotland wide survey similar to the former Workplace Employment Relations Study series and improving data quality at a Scottish level around protected characteristics, geography and class." – Fair Work Convention

Scottish Government and national bodies to lead by example

Calls for the Scottish Government to lead by example by providing fair workpractices for all employees were made by some respondents. It should be noted that this was also seen to apply to local authorities and public bodies. A small number argued that this should also apply to subcontractors working for public bodies.

"Scottish Government should ensure that public sector organisations start and complete the journey to be Fair Work (FW) employers and demonstrate evidence through a FW action plan developing into a continuous improvement plan. That should extend to subcontractors of public sector organisations." – Individual

"Homeworking as a result of the pandemic has shown that it is possible for dispersed teams to work effectively, and the Scottish Government can lead by example in encouraging civil service jobs dispersal throughout Scotland and particularly in more remote areas with demographic challenges." – Highlands and Islands Enterprise

"We acknowledge and welcome the Government's plans to consider how the Fair Work conditions can be applied to non-departmental public bodies as set out in their Programme for Government 2021/22. We look forward to working together on this." – Creative Scotland

Other policy areas

Some respondents advocated for more investment in other policy areas as a way to support the Fair Work agenda. For example, a few suggested that poor travel infrastructure and a challenging housing market can limit employment options, resulting in people working in jobs and sectors which are poorly paid, insecure and unfulfilling. Others felt that mental health should be integrated as a key principle of Fair Work. A few also expressed a desire for better digital infrastructure.

While not directly related to employment law, some respondents linked Fair Work to different aspects of social security. Comments made by one or two respondents included: challenges around aligning Fair Work and social security while the latter remains a reserved matter; that providing incentives to organisations to implement Fair Work could offset the cost of paying benefits; investing in Scottish Child Payment and bridging payments to provide a secure income for low-income parents both in and out of work; broadening existing financial support with childcare costs for children under three; criticism of the current Department for Work and Pensions rules in relation to claiming Carers Allowance, which makes it difficult for carers who may wish to retrain or work part time because of concern about losing benefits; and, making changes to Universal Credit.

Enforcement/monitoring

Employment law is a reserved matter and not in the power of the Scottish Parliament to legislate on. However, a few respondents, while recognising the limits of its powers, called for the Scottish Government to enforce the implementation of fair workpractices among employers. Citizens Advice Scotland specifically called on the Scottish Government to ensure Fair Work is extended to the social care sector, given its experience of clients working in the care sector facing violations of their basic employment rights.

"Local authorities in the Region have become aware of workarounds such as employees being paid the Living Wage with money then deducted from their salary to pay for their uniforms or the cleaning these. There is a need to ensure this does not happen with a means of monitoring suppliers' commitments to Fair Work First." – Glasgow City Region

"Fair Work indicators need to be built into policies with key actions and measures planned and progress monitored at workplace and sector level." – Public Health Scotland

"Scottish Hazards believes monitoring of employer's claims to be Fair Work employers is necessary, especially where companies are receiving publicly funded contracts and that Fair Work commitments in annual procurement reports are an accurate reflection of Scotland's public bodies' Fair Work performance, both good and bad." – Scottish Hazards

A few respondents suggested at Q10 that if Scotland had full control over employment law, sanctions and penalties for employers found to be in breach of fair workpractices could be introduced. However, others disagreed with this concept and felt that an incentive-based approach would be more appropriate and fairer, especially for smaller businesses.

Working with the Scottish Government to advance Fair Work

Throughout the consultation, several respondents indicated they would be happy to work alongside the Scottish Government to advance Fair Work. These respondents included: the Fair Work Convention, Scottish Tourism Alliance, Cooperatives UK, Social Enterprise Scotland, SCVO, Scottish Wholesale Association, Mental Health Foundation, Faculty of Occupational Medicine, and Scottish Chambers of Commerce.

Equality and diversity

Several organisations, particularly those representing minority groups, identified actions the Scottish Government could take to better support those groups. These are described in detail in Chapter 5. However, some key themes include:

• Encouraging employers to trial flexible working arrangements, which are seen as especially beneficial for women and disabled people.
• Providing funding to equality rights organisations to provide training and learning resources around working with minority groups, for example, workplace adaptations for disabled people and how to support work-faith practice.
• Collecting more equality employment data to understand the challenges faced by minority groups.
• Committing to age-friendly employment and guaranteeing equal access to training and development opportunities for workers of all ages.

A small number of responses specifically raised the need for the Scottish Government to consider multiple, intersecting identities in relation to Fair Work. In particular, Close the Gap provided a detailed response which outlined the inequalities faced by different groups of women and called for greater consideration of these in Fair Work strategies.

"Most importantly we would suggest that urgent action is needed to improve and protect disabled people's financial security as a priority and that action is taken to address existing labour market inequalities. An intersectional approach is required which requires approaches that address the combined challenges and barriers faced by disabled women, disabled young people and disabled people from black, Asian and minority ethnic communities." – Glasgow Disability Alliance

"While there are commonalities experienced by all women at work, black and minoritised women, disabled women, single parents - 91% of whom are women - lesbian, bisexual and trans women, young women, older women and refugee women experience different barriers to participation in the labour market, and to progression within their occupation… An intersectional approach is therefore necessary so that fair work policy development meets the needs of marginalised women. However, fair work policy is not well gendered, and it is not intersectional. This presents a considerable barrier to delivering fair work for different groups of women. Building intersectional gender competence in Scottish Government, its delivery agencies, and in public bodies must therefore be prioritised if ambitions to deliver fair work for all are to be realised." – Close the Gap

"Clear linkages between all governmental employment-related strategies under the heading of fair work is necessary, with visible intersectionality to assist achieve fair work aspirations." – Glasgow City Region

"The Fair Work in Scotland Report clearly shows that disabled workers, ethnic minorities, women and young workers often face poorer fair work outcomes and are often more heavily concentrated in precarious and low paid work. Improving fair work and job quality in sectors where low pay and precarious work is most prevalent will have clear equality benefits...Recognising the clear overlap between tackling inequality and addressing longstanding and embedded disadvantage within the labour market is key and should be a clear focus for the Scottish Government. Fair work cannot be achieved without addressing systematic inequality nor can systematic inequality be addressed without fair work. Empowerment and voice along with strategic interventions within communities (for example community wealth building) and within sectors (sectoral agreements) will support wider policy to address inequality." – Fair Work Convention

Other suggestions for employment law

Employment law is reserved to the UK Parliament in Westminster. However, at Q10, respondents gave their views on which issues should be prioritised if this matter was devolved to the Scottish Parliament. The most common issues discussed were increasing the National Minimum Wage, making zero-hours contracts illegal, and strengthening workers' rights around flexible working; these have been summarised in Chapters 2 and 3.

In addition, some less commonly mentioned themes in response to Q10 included:

• A few respondents noted that while new legislation regarding Fair Work would be welcome, the enforcement of existing employment rights also needs strengthened.
• Others advocated for more protection against redundancies for people taking time off due to caring responsibilities or parental leave. One discussed introducing more legal protections for people who have been made redundant, for example, an entitlement to a portion of their salary until they are able to find a new job.
• In its response, Scottish Hazards argued that reform to health and safety at work regulations should be a priority if employment law were to become a devolved power. It supported the introduction of a Work Environment Act which will establish a Scottish Occupational Health and Safety Agency (SOHSA) to advise, inform, inspect and regulate workplaces in terms of their health and safety practices.
• One respondent suggested that if employment law is devolved, then Scotland should retain the laws and rights enshrined in EU law.
• A minority felt employment law should remain a UK power.
• Leonard Cheshire Scotland made a specific call for the overhaul of the Access to Work programme which, despite many benefits, faces longstanding issues around awareness, applications, and delayed payments.
• Heriot-Watt University (Centre for Research on Employment, Work & the Professions) called for "meaningful robust Equality Legislation which embeds intersectionality".

Other Scottish Government actions

Other actions suggested by some respondents included:

• Calls for more collaboration between the Scottish Government, UK Government, public bodies, trade unions, the third sector and private sector. The response from Glasgow City Region specifically noted that: "It would be helpful for the Scottish Government to provide clarification on the role of government agencies in supporting Fair Work First, especially Scottish Enterprise and Skills Development Scotland".
• Offering financial incentives, for example, tax rebates for employers who trial or successfully implement fair workpractices. A few suggested that these could be targeted at sectors where fair workpractices are most absent, or towards organisations who offer fair workopportunities to groups who are furthest from the labour market. This was felt to be a more positive approach than applying sanctions or penalties to employers who do not meet certain Fair Work criteria, which was called for by a small number of respondents.
• To continue to promote and the real Living Wage in Scotland, and to set targets for introducing a real Living Wage.
• Investment in job creation and workforce development, for example, support for workers to learn new skills and retrain in different sectors, work experience, apprenticeships, mentoring, and guaranteed work for school leavers.
• Investment to provide more affordable and accessible childcare.
• Giving greater power and authority to trade unions, and better education around the role of trade unions. One trade union felt the Scottish Government also has to lead by example in this area, and consistently and effectively engage with unions.
• Establish clearer links between different Scottish Government strategies, such as other employment strategies, fuel poverty strategy, mental health strategy, community wealth building and the Just Transition to Net Zero.
• Introducing a Universal Basic Income.
• One individual called for more nationalisation of essential industries so more workers have the benefit and security of public sector employment. They also called for publicly owned companies to not be treated as arm's length, so there is better oversight of their performance. Another Trade Union provided a detailed response with actions the Scottish Government should take around ferry building contracts, to sectoral collective bargaining in industries involved in the Just Transition, and to ensure positive working environments in train operating companies.
• Establishing a comprehensive NHS based Occupational Health Service.

"Support should be given to businesses to work with the education system in developing the curriculum and encouraging young people in their chosen career paths from an equality perspective. Investment in workforce development is an opportunity not just at a business level but to look at future skills requirements for Scotland as a whole and strategically plan for this." – Scottish National Investment Bank.

"We would note that greater provision of accessible childcare provision by Government would remove barriers to employment and progression for workers." – Scottish Retail Consortium

"Strengthen the Trade Unions which I believe are (and have always been) the main driving force for real change in the workplace. Give Trade Unions more power and fair working practices will inevitably result. After this, legislate for higher pay, job security and better family friendly benefits for all." – Individual

"The keynote is partnership. No one body, not even central government, can deliver this common aspiration alone. It requires public, private, third sectors and communities acting together. Anchor institutions have a key role. Community Planning Partnerships can co-ordinate and focus joint action." – Scottish Borders Council

Actions for the UK Government, local authorities, employers and others

Q9. Please set out any other actions you think are required to deliver Fair Work for everyone, including who should take this action.

Sixty-two respondents (65%) answered Question 9, setting out actions that the UK Government, local authorities and employers should take to deliver Fair Work in Scotland.

Actions by the UK Government/Parliament

Some respondents requested changes to existing legislation which is under the remit of the UK Parliament. Suggestions included:

• Strengthening the Equality Act 2010, particularly on the rights of disabled people.
• Reviewing and adding protections to the Health and Safety at Work etc. Act 1974.
• Repealing the Trade Union Act 2016.

"Employment and trade union law isn't a devolved issue – some key changes to the law will have to come from Westminster, e.g. the Equality Act needs to be strengthened in work situations, employees need rights to demand more hours and flexibility, the TU Act 2016 needs to be repealed or ways to allow members to vote in the workplace or electronically." - Heriot-Watt University (Centre for Research on Employment, Work & the Professions)

Citizens Advice Scotland recommended that the UK Government should introduce a single authority to investigate and enforce Fair Work practises across the UK.

Actions for local authorities

A few respondents suggested actions for local authorities, such as strengthening the Fair Work clauses in their procurement exercises and setting an example of a Fair Work employer to other local organisations. There were calls for local authorities to ensure that all employees are paid at least the real Living Wage, with one respondent claiming that there are 9 local authorities in Scotland that are not yet accredited real Living Wage employers.

Actions for employers

Several respondents described actions related to pay that employers can take to promote fair workpractices, including paying fair wages to all staff, offering enhanced salaries to those with specialist skills and taking action to tackle the gender pay gap. Others felt that employers have a duty to be more accommodating to flexible working arrangements.

Some recruitment practices to enhance Fair Work were suggested, including creating part-time roles for senior positions, streamlining recruitment processes for candidates and employing more diverse workforces, particularly having more diverse representation at senior levels. This is covered in more detail in Chapter 5.

There were calls for employers to invest in more training and development for their employees, to engage more actively and constructively with unions and to support employees affected by redundancy to access retraining and upskilling opportunities.

"Awareness courses could be produced to reflect the sensitivity and understanding employers/managers should show to common minority ethnic issues faced by employees in the workplace: Teach about micro aggressions, institutional racism and sensitivity training e.g. Questions about "where are you really from", are not appropriate; mentoring opportunities required to support ME individuals into new fields of work where they are currently underrepresented" – CEMVO

Actions for others

One respondent suggested the media should do more to reshape cultural norms and challenge the extent to which wealthy individuals/billionaires who "erode the rights and conditions of workers in the pursuit of their own personal wealth" are celebrated. The Royal Institution of Chartered Surveyors noted that representative/membership associations like themselves have a role to play in demonstrating how different industries can achieve best practice with regard to Fair Work.