Funding for trade union learning

Support for workplace learning and promoting fair work

Reaffirming the Scottish Government’s commitment to advancing Fair Work and tackling inequalities, First Minister John Swinney has announced a continued funding package to support trade unions in developing, organising, and delivering work-related learning in Scotland’s workplaces in 2024/25.

The £2.38 million funding is managed by the Scottish Trade Union Congress (STUC) and will be split between the Scottish Union Learning and the Fair Work in Action Funds.

The First Minister confirmed the funding during a meeting with the 2023 and 2024 STUC Union Rep Award Winners, who are being recognised for their work in areas such as learning, organising and equalities.

First Minister, John Swinney said: “Trade Unions play a vital role across Scotland’s economy in the workplace and communities and I am pleased to continue this support.

“This funding helps to put into action the Scottish Government’s clear commitment to promote fair work, and to lifelong learning, which in turn support the government’s priorities to eradicate child poverty, grow the economy and improve public services.

“The continuation of this funding will ensure that workers across Scotland benefit from opportunities to develop their skills and boost their career prospects, which will help to increase people’s productivity and earnings potential, benefiting themselves and their families and the economy.

“I was thrilled to meet with the STUC’s Award winners who represent the very best of what our trade unions have to offer – they have excelled in the promotion of workplace learning, equalities, health and safety or organising for a stronger collective voice.”

STUC General Secretary Roz Foyer said: “The STUC Union Rep award recipients are the lifeblood of our movement. We congratulate them for leading the way in educating, empowering, and organising workers throughout the country.

“We further thank the First Minister for recognising their achievements and for recommitting his government’s support for workers and Scotland’s wider trade union movement.

“The funding announced today validates the work of our Union Rep Award recipients and is a recommitment to the power of the delivery of workforce development and skills through union and employer co-operation with the support of government.

“This support is welcome.  It should act as a catalyst for others to see the value of investing in the education and empowerment of the next generation of workers and workplace reps throughout Scotland.  

“It also reflects our shared aim of making Fair Work a reality for all. Fair work and a skilled workforce are the building blocks we need to build Scotland’s sustainable economy and boost growth.”

Scottish Union Learning | Funding

TUC slams “zero progress” on disability pay gap in last decade

New analysis shows pay gap between non-disabled and disabled workers is now 14.6% – higher than it was a decade ago

  • Disabled women face even bigger pay penalty of 30% – £3.73 an hour 
  • TUC says Labour’s New Deal for Working People would be a “game changer” for disabled workers, introducing mandatory disability pay gap reporting and a day one right to flexible work 

New analysis published by the TUC yesterday shows that non-disabled workers earn around a sixth (14.6%) more than disabled workers 

The analysis reveals that the pay gap for disabled workers across the board is £1.90 an hour, or £66.50 per week – over what the average household spends on their weekly food shop (£62.20). 

That makes for a pay difference of £3,460 a year for someone working a 35-hour week – and means that disabled people effectively work for free for the last 47 days of the year and stop getting paid today, on the day the TUC has branded Disability Pay Gap Day.  

“Zero progress” on disability pay gap 

The pay gap has fallen since last year, when the overall pay gap was £2.05 (17.2%) an hour. 

The new analysis shows that the disability pay gap is now higher than it was a decade ago (13.2% in 2013/14) when the first comparable pay data was recorded. 

And the gap is only slightly lower than when the TUC first launched Disability Pay Gap Day using 2016/17 data (when it was 15.0%). 

Disability pay gap by gender and age 

The new TUC analysis reveals that disabled women face the biggest pay gap. Non-disabled men are paid on average 30% (£3.73 an hour, £130.55 a week, or £6,780 a year) more than disabled women. 

The research also shows that the disability pay gap persists for workers for most of their careers. At age 25 the pay gap is £1.73 an hour hitting a high of £3.18 an hour, or £111.30 a week, for disabled workers aged 40 to 44. 

National, regional and industrial disability pay gaps 

The analysis looked at pay data from across the country and found disability pay gaps in every region and nation of the UK. 

The highest pay gaps are in Wales (21.6% or £2.53 an hour), followed by the South East (19.8% or £2.78 an hour) and the East of England (17.7% or £2.30 an hour). 

The research found that disability pay gaps also vary by industry. The biggest pay gap is in financial and industrial services, where the pay gap stands at a huge 33.2% (£5.60 an hour). 

Unemployment 

Not only are disabled workers paid less than non-disabled workers, they are also more likely to be excluded from the job market. 

Disabled workers are twice as likely as non-disabled workers to be unemployed (6.7% compared to 3.3%).  

And the analysis shows disabled BME workers face a much tougher labour market – one in 10 (10.4%) BME disabled workers are unemployed compared to nearly one in 40 (2.6%) white non-disabled workers. 

Zero-hours contracts 

The analysis shows that disabled workers are more likely than non-disabled workers to be on zero-hours contracts (4.5% to 3.4%). 

And disabled BME women are nearly three times as likely as non-disabled white men (6.0% to 2.2%) to be on these insecure contracts. 

The TUC says zero-hours contracts hand the employer total control over workers’ hours and earning power, meaning workers never know how much they will earn each week, and their income is subject to the whims of managers.  

The union body argues that this makes it hard for workers to plan their lives, look after their children and get to medical appointments. 

And it makes it harder for workers to challenge unacceptable behaviour by bosses because of concerns about whether they will be penalised by not being allocated hours in future. 

New Deal for Working People 

The TUC is calling for government action to end the discrimination disabled workers’ face in the jobs market. 

The union body says Labour’s New Deal for Working People would be a “game changer” for workers’ rights. 

Labour has pledged to deliver new rights for working people in an employment bill in its first 100 days. 

Labour’s new deal would: 

  • Introduce disability and ethnicity pay gap reporting. 
  • Strengthen flexible working rights by introducing a day one right to work flexibly. 
  • Ban zero-hours contracts to help end the scourge of insecure work. 
  • Give all workers day one rights on the job. Labour will scrap qualifying time for basic rights, such as unfair dismissal, sick pay, and parental leave.  
  • Ensure all workers get reasonable notice of any change in shifts or working time, with compensation that is proportionate to the notice given for any shifts cancelled or curtailed. 
  • Beef up enforcement by making sure the labour market enforcement bodies have the powers they need to undertake targeted and proactive enforcement work and bring civil proceedings upholding employment rights. 

TUC General Secretary Paul Nowak said: “We all deserve to be paid fairly for the work we do. But disabled people continue to be valued less in our jobs market. 

“It’s shameful there has been zero progress on the disability pay gap in the last decade. Being disabled shouldn’t mean you are given a lower wage – or left out of the jobs market altogether. 

“Too many disabled people are held back at work, not getting the reasonable adjustments they need to do their jobs. And we need to strengthen the benefits system for those who are unable to work or are out of work, so they are not left in poverty. 

“It’s time for a step change. Labour’s New Deal for Working People would be an absolute game changer for disabled workers. It would introduce mandatory disability pay gap reporting to shine a light on inequality at work. 

“Without this legislation, millions of disabled workers will be consigned to many more years of lower pay and in-work poverty.” 

Promoting fair work: Advisory group holds first meeting today

Expert advisory group aims to improve fairness in the workplace

Leading figures from business, trade unions, equality groups and academia are coming together to advise the Scottish Government on its fair work agenda.

Chaired by Wellbeing Economy Secretary Neil Gray, the Fair Work Oversight Group meets for the first time today (Thursday, 3 August) and will help ensure that policies deliver on the aim of creating a fair, green and growing economy.

Group members include representatives from the Scottish Chambers of Commerce, the Fair Work Convention and the Fraser of Allander Institute, underlining the broad commitment to the Scottish Government’s ambitions to encourage payment of the real Living Wage, give employees a voice in the workplace and provide equal opportunity.

As well as reviewing the preparation and implementation of policy, the group will share best practice and submit a report on fair work progress to Parliament in early 2024.

Mr Gray said: “Fair work and fair pay make sense for both workers and employers across all sectors, helping to improve staff retention and productivity, reduce recruitment costs and contribute to a skilled and motivated workforce.

“The diversity of this group is a testament to our shared ambition for fair work to be an integral part of Scotland’s wellbeing economy. Members will bring to the table ideas and insights from across Scottish society. They will also support and scrutinise our plans to ensure we work in partnership effectively.

“While employers have made good progress, more can be done to tackle inequalities and improve conditions in workplaces. This group will advise on how best to address on-going challenges and take forward our Fair Work Action Plan.”

The Fair Work Oversight Group members:

Cabinet Secretary for Wellbeing Economy, Fair Work and Energy Neil Gray (Chair)

Andrew Carter – NHS Borders

Anna Ritchie Allan – Close the Gap

Charandeep Singh – Scottish Chambers of Commerce

Claire Reid – Scottish Council for Development and Industry

Dave Moxham – Scottish Trades Union Congress

David Lonsdale – Scottish Retail Consortium

Emma Congreve – Fraser of Allander Institute

Heather Fisken – Inclusion Scotland

Professor Ima Jackson – Glasgow Caledonia University

Lee Ann Panglea – Chartered Institute of Personnel and Development in Scotland and Northern Ireland

Professor Tricia Findlay – Fair Work Convention

Terry Duffy – ACAS

Stephanie Griffin – Equality and Human Rights Commission

A representative from the Non-Departmental Public Bodies Chief Executives’ Forum

Encouraging Fair Work

New conditions placed on public sector grants

Applicants for public sector grants must support better pay and conditions for workers in order to qualify, under new strengthened criteria which has come into force.

From today, organisations will need to demonstrate they pay at least the real Living Wage and provide channels for workers to have an effective voice, as a condition of the application.

The requirement forms part of the Bute House Agreement, a plan to work together with the Scottish Green Party to build a fairer and more equal economy.

This applies to organisations receiving public sector grants, and limited exceptions may be applied to ensure the measure remains proportionate.

Wellbeing Economy and Fair Work Secretary Neil Gray said: “Public sector funding should be used for the wider benefits needed in a wellbeing economy, such as the promotion of fair work – including the creation of more high quality, well paid jobs. This in turn will support stronger businesses, and vibrant, healthy communities.

“By extending the reach of our Fair Work First criteria – which has already been applied to some £4 billion of public funds since 2019 – we can better tackle the cost crisis, poverty and social inequalities.”

Green Skills, Circular Economy and Biodiversity Minister Lorna Slater said: “While this is essential to improving worker experience, research has also shown businesses with stronger employee voice and representation perform better and are more productive.    

“We will work with employers, workers and trade unions connected to organisations applying for a public sector grant to ensure we are continuing to improve terms and conditions, worker wellbeing and to develop progressive and fairer workplaces.”

COSLA: We must urgently invest in fair work to ease social care pressure

Councillor Paul Kelly, COSLA Health and Social Care spokesperson, said: “COSLA Leaders are clear that addressing the pressures in our health and social care system needs a whole system approach which is not just about delayed discharge.

“All partners need to acknowledge that longstanding recruitment and retention issues place significant constraints on Health and Social Care Partnerships ability to deal with challenges and we must urgently invest in fair work to ensure that progress can be made in building and developing the social care workforce.”

Grants link to boost Fair Work

Improving pay and working conditions through public sector investment

Organisations applying for public sector grants will need to pay at least the real Living Wage and provide channels for staff to have a say in the workplace from July 2023.

The condition applies to organisations receiving grants from the Scottish Government, enterprise agencies and public bodies. Exceptions may only be applied to emergency funding and where an organisation is heavily dependent on grant funding and paying the real Living Wage would threaten its survival.

The new requirements form part of the Scottish Government and the Scottish Green Party Parliamentary Group Bute House Agreement, a plan to work together to build a fairer and more equal economy.

Employment and Fair Work Minister Richard Lochhead and Green Skills, Circular Economy and Biodiversity Minister Lorna Slater visited MiAlgae, an Edinburgh industrial biotechnology company that has received public sector funding and whose staff are paid at least the real Living Wage and have a voice in the workplace.

Mr Lochhead said: “The Scottish Government is committed to using public sector investment to drive up wages, tackle inequalities and give employees an effective voice.

“This policy is a significant step in strengthening our fair work agenda. For example, in 2021-22 Scottish Enterprise issued £135 million in grants to 953 businesses.

“Fair work and fair pay are good for business. They help improve staff retention and productivity, reduce recruitment costs and contribute to a skilled and motivated workforce.

“Scotland is already leading the way on paying the real Living Wage. In 2022 a record 91 per cent of employees aged over 18 earned the real Living Wage or more in Scotland – higher than the UK as a whole and above any other UK country. There are more than 2,900 accredited real Living Wage employers, which is proportionately five times as many as in the rest of the UK.

“Grant conditionality will strengthen our vision that by 2025, people in Scotland will have a world-leading working life where fair work drives success, wellbeing and prosperity for individuals, businesses, organisations and society.” 

Ms Slater said: “An effective voice for workers is vital to ensure better terms and conditions, worker wellbeing and developing progressive and fairer work places.

“The ability to speak, individually or collectively, and to be listened to, is essential to improving workers experience as well as improving organisational performance.

“We will work with employers, workers and trade unions, to continue improving the terms and conditions for employees of organisations applying for a public sector grant.”

MiAlgae Operations Director Dr Johann Partridge said: “At MiAlgae, the real Living Wage was something we have been fully committed to since the beginning. As an organisation our people are our most important asset and, for us, a happy and engaged team is crucial to our operations.

“Having open channels of communication between staff across every level and area of the business is something we are passionate about. We strive to ensure each member of our team feels empowered and confident to communicate and engage with each other about all elements of our work.”

But the national membership organisation for the voluntary sector, Scottish Council for Voluntary Organisations (SCVO), has raised concerns about those workers who could be left behind. 

In a statement, SCVO said: “SCVO agree that Fair Work for Scotland’s voluntary sector workforce should be a priority. However, it is unclear how the sector will be supported to fund this change. 

“Years of underfunding, followed by Covid-19, and the running costs crisis, mean that for many voluntary sector employers paying the Living Wage cannot be achieved without additional resources.  

“A significant number of people employed in the sector are funded by public sector grants and contracts. SCVO have made clear that to support organisations to pay the Living Wage, public grant funding and procured contracts should build in a Living Wage uplift to ensure organisations delivering public services and other vital support are able to pay the Living Wage.  

“We look forward to more details about how these plans will be funded in the upcoming Scottish Budget. 

Concerns were also raised that plans to ensure Scotland’s voluntary sector workforce are paid at least the Real Living Wage apply only to staff engaged in grant funded activities creating the potential for pay inequality within and between voluntary organisations. 

SCVO encouraged the Scottish Government to engage with voluntary sector funders and employers to ensure that all of the sector’s 135,000 employees can be paid at least the real Living Wage. 

The organisation added: “The voluntary sector workforce makes a huge contribution across Scotland, offering a lifeline to people, families, and communities as the cost-of-living crisis bites. This lifeline shouldn’t need to be extended to voluntary sector staff. 

“Scottish Government need to work with local government, funders, and crucially, the sector, to ensure that voluntary sector organisations have the support they need to pay the Real Living Wage.”

Wellbeing economy toolkit to support local authorities

Roadmap to ‘fair, green prosperity for communities and regions’

Improvements to health, tackling child poverty and reaching climate goals are at the heart of a toolkit to support local economies to be fairer, greener, healthier and more resilient.

The Wellbeing Economy Toolkit: Supporting place-based economic strategy and policy development enables local authorities to identify and measure local wellbeing metrics including health, child poverty, levels of greenhouse gas emissions and fair work, and prioritise investments and policies to improve them.

This will include:

  • the creation of more high quality, sustainable local jobs by using more local and regional procurement contracts
  • improved transport links to help people access services and work
  • better access to the natural environment, which leads to better mental and physical health

The Constitution Secretary announced the toolkit at the Wealth of Nations 2.0 conference at the University of Glasgow. He was joined by representatives from fellow Wellbeing Economy Governments (WEGo) of Finland and Wales to take questions from young people, five years on from the first conversations to establish the network.

Constitution Secretary Angus Robertson said: “The need for a new economic model has never been clearer, and that’s why I think the wellbeing economy approach is gaining so much interest, both here, and around the world.

“We see that in the growth of WEGo – the network of wellbeing economy governments – which began as a coalition of Scotland, Iceland and New Zealand. Since this event was last held in 2020, two more governments – Finland and Wales – have joined, and other countries including Canada are showing a growing interest.

“Creating a wellbeing economy remains a defining mission for the Scottish Government, and it is my firm belief that Scotland could use the powers of independence to achieve that aim more fully. 

“Building a wellbeing economy is a huge challenge for any country, at any time. The current crises we are facing make it harder, but they also underline why we need to make this transformation as a matter of urgency.”

Jimmy Paul, Director of Wellbeing Economy Alliance Scotland, said: “This practical new toolkit will be an invaluable resource for developing local economic strategies that really work for communities.

“Amidst the cost of living and climate crises, it’s never been more important that economic approaches start with the goal of ensuring we all have what we need to live good lives and protect the health of our natural world, rather than continuing to centre outdated metrics like GDP growth. The toolkit could provide a step-change in the way local economic strategies are delivered in Scotland.”

Wellbeing economy toolkit: supporting place based economic strategy and policy development

Funding to support Edinburgh Festival Fringe producers

£1.275m Fringe 2022 Resilience Fund developed, thanks to support from the Scottish Government’s Platforms for Creative Excellence (PLACE programme)

The Edinburgh Festival Fringe Society is pleased to announce that 13 Edinburgh Festival Fringe producers have been awarded a share of £1.275 million through the Fringe 2022 Resilience Fund, developed thanks to support from the Scottish Government’s Platforms for Creative Excellence (PLACE) programme.

The fund, designed to support resilience, recovery and creativity across the festival in its 75th anniversary year, is part of a £1.58m award to the Fringe through PLACE. The remaining £305k has been allocated to support the ongoing resilience of the Fringe Society and includes £55k to support the delivery of Street Events during August.

Venues in receipt of the Resilience Fund are Assembly, BlundaBus, Gilded Balloon, Greenside, Just The Tonic, Laughing Horse, Monkey Barrell Comedy, Pleasance, Scottish Comedy Festival, Summerhall, theSpaceUK, Underbelly and ZOO.

The awarding panel was chaired by the Fringe Society, and included the expert advice of Creative ScotlandCity of Edinburgh Council and EventScotland.

Commenting on the fund, Shona McCarthy, Chief Executive, Edinburgh Festival Fringe Society, said: “It’s fair to say that the last few years have been the most challenging in our festival’s history. Now, as we prepare to enter our 75th anniversary year, creatives across the Fringe landscape are working hard to ensure that this incredible festival not only survives, but continues to work hard to be the best version of itself.

“This support from Scottish Government is absolutely vital in helping us to achieve that goal: allowing producers and creatives across the landscape to not only recover from the devastating effects of the pandemic, but to offer enhanced support to artists, workers and volunteers; to continue to programme creative and innovative work; to improve accessibility; to tackle affordability and to ensure that this festival remains true to its founding principles of openness and inclusivity.”

Scottish Government Culture Minister Neil Gray said: “As we celebrate the 75th anniversary of the Edinburgh Fringe this summer, I’m pleased that £305,000 from our Platforms for Creative Excellence (PLACE) Fund will support the activities of the Festival Fringe Society and their street events this year.

 “In particular I want to congratulate the 13 producers who will share the Fringe 2022 Resilience Fund. The last few years have been difficult for the venues putting on events so this support will help to ensure the continued success of this flagship summer festival.”

How the funding will support creativity and resilience across the Fringe: 

To address recovery and resilience challenges for the Fringe, funding was considered across four key pillars: Creative Programming; Risk Management; Fair Work and Sustainability.

With this funding, Summerhall are planning a range of creative work at the festival, including supporting two under-represented artists to make new work in response to 75 years of the Edinburgh Festivals.

To address sustainability, they aim to lead the way as a flyer free venue and will implement e-ticketing. Within their workforce, they are looking to create a brand-new Fringe Learning Management System, which will help onboard workers through online learning.

BlundaBus’ funding will support their return to the Fringe after the pandemic. They actively work to programme and support alternative and experimental artists, as well as artists for whom cost is a barrier to participation, offering both performance and ‘green room’ spaces to support artists.

Since 2019 they have been working to develop a programme of work centred around women and LGBTQ+ performers. They are champions of the Pay What You Want ticketing model to support affordability at the festival, and embed sustainability across their practice by reducing single use items and prioritising sustainable materials in their infrastructure.

Greenside’s funding will allow them to continue operating as an open programming venue, giving artists from non-professional backgrounds a route to access the festival.

It will also support them to increase staff pay further, from Living Wage to paying every team member above the Real Living Wage; facilitating the creation of an additional 24 Festival jobs paid above the Real Living Wage.

To address sustainability, they will move to e-ticketing, transition their programme from print to digital, and look to reduce omissions across their technical operation.

Just The Tonic will use the funding to support their programming of high-quality comedy and to support and underwrite costs for artists who are still recovering from the pandemic.

In 2022, their venue The Tron will be programmed with female performers only, with the aim of addressing gender imbalance in the comedy sector. They will continue their Pay What You Want ticketing model to help with affordability, and as part of their commitment to fair work, all staff will be paid Living Wage.

Support for theSpaceUK will allow them to mitigate costs for artists who have been impacted by the pandemic, whilst keeping access to the festival affordable for creatives.

As a champion of both emerging and established artists, they will continue their commitment to open access programming and supporting new and original writing. They will continue to operate as a Living Wage employer and to offer a programme of staff training.

With their funding, Gilded Balloon will continue to support emerging artists and their development. In consolidating their programme, they plan to reduce the number of overall shows to allow for increased turnaround times between shows (allowing for a better experience for artists, staff and audiences alike).

While all staff are already paid the National Living Wage and above, this fund’s support will enable them to increase the number of staff on site and reduce staff hours. They are also investing in e-ticketing to support sustainability and are reducing the number of flyers produced by investing in digital marketing.

Laughing Horse have received support for the delivery of a range of activities associated with the Free Festival. To address sustainability, they are looking to fully replace their printed programme with an app and improved mobile website.

They will run mental health support sessions for performers and staff before and during the Fringe, and they have committed to a BSL interpreter for several performances to improve access to deaf audiences.

Funding will also support them with equipment costs and with the hiring of paid ticketing staff.

Underbelly’s funding will allow them to increase their minimum pay offer for temporary festival staff from the National Living wage (which they already pay) to the Real Living Wage.

They will also use the funds to hire additional short-term staff to support their existing team during the busy Fringe period, thereby improving working conditions and reducing working hours.

To address sustainability, the support will allow them to invest in e-ticketing. They plan to enhance their accessibility programme with extra captioned shows and a range of shows with BSL interpreters.

Support will also help with the build and maintenance of their temporary venues, and accommodation for their staff during the Fringe.

Monkey Barrell are looking to use their funding to continue to programme diverse and inclusive line-ups, whilst creating greater opportunities for local acts, unrepresented performers and those from non-privileged backgrounds.

They are looking to create a community focused artistic hub to enable creatives to come together at the festival. As of 2022, all year-round staff previously on Living Wage are now paid the Real Living Wage.

This fund will allow them to extend this to all temporary staff during the Fringe, and to create a staff development programme to upskill and develop their wider team.

ZOO’s programming in 2022 is aimed at better reflecting the lives of under-represented or minority audiences, and support from this fund will allow them to subsidise core costs for creatives.

Work by disabled artists is already central to their programming, and this funding will allow them to improve access to their audiences with enhanced BSL, audio description and captioned performances.

They will continue their commitments to paying staff Living Wage and above and to paying freelancers above the recommended rates. They will also continue to support their volunteer programme – which includes budget to address areas such as transport, access needs and childcare.

Funding will allow for Covid mitigations – such as enhanced cleaning, and provision of masks and hand sanitiser.

Pleasance will use the funding to reduce the financial risk to artists attending the Fringe – with targeted interventions which will support debut and early career creatives.

They plan to increase the number of employees in their workforce, reduce working hours during the festival, reduce the ratio of volunteers to paid staff, and provide increased opportunities for staff training. Some funding will also be used to invest in key infrastructure to improve their offering to artists and audiences, such as a reinforced Wi-Fi network to be able to facilitate e-ticketing.

Funding for The Scottish Comedy Festival will enable them to continue their work in programming local acts at the Fringe. Their model is centred around affordability and mitigating financial risk for the artists, and they are especially keen to support working class performers.

To further support affordability, their programme will continue to feature a mixture of Pay What You Want and Pay What You Can shows.

Assembly’s funding will be used to support artists’ attendance at the festival, by assisting with core costs such as accommodation, marketing and underwriting risk. Their programme, which celebrates 40 years at the Fringe this year, includes emerging artists and those from diverse backgrounds, as well as established performers.

Assembly Festival is a Living Wage employer and will use this fund to support increased training for staff and will also use it to mitigate against rising costs. They also aim to undertake research into post-pandemic audience behaviours and will continue their work as a sustainability champion.

Getting the Right Change: A Retail Strategy for Scotland

Encouraging fair work and improving skills

Improving staff skills and working conditions are key parts of a newly published strategy to support retailers.

Getting the Right Change: A Retail Strategy for Scotland outlines how the Scottish Government, business leaders and trade unions can work together to unlock opportunities to grow businesses and the economy, improve wellbeing and address inequality, and support progress towards our ambitious climate change targets.

Actions outlined include:

  • developing and promoting a Fair Work Agreement that retailers can voluntarily sign up to, to improve fair work conditions across the sector and contribute to reduction of in-work poverty
  • working with Skills Development Scotland and other partners on a Skills Audit and Action Plan, to support retail reskilling or upskilling as jobs change, for example due to technology like self-scan checkouts and online ordering systems
  • developing a Just Transition Plan for Retail to protect jobs and contribute to net zero emissions by 2045 through developing local supply chains, reuse of materials and sustainable travel choices by staff and customers
  • promoting town and city centres and local businesses while supporting ways to repurpose vacant retail units
  • harnessing opportunities in the National Strategy for Economic Transformation that will directly support the retail sector, like actions to grow businesses, boost productivity and support entrepreneurship

A new Industry Leadership Group will be established to drive delivery of the retail strategy, co-chaired by Public Finance Minister Tom Arthur.

Mr Arthur said: “As we have seen during the pandemic, our retailers have played and continue to play a vital role in creatively supporting our communities.

“Our retail strategy sets out actions to support the sector to rebuild from the effects of the pandemic, address longer-term challenges and maximise opportunities to fulfil its potential. It has been developed in collaboration with business, trade unions, academia and the public sector.

“It builds on the National Strategy for Economic Transformation and Covid Recovery Strategy – setting out a shared vision for retail to achieve inclusive economic growth and play its part in creating a fairer, greener Scotland.

“The retail strategy builds on the strengths of the sector – so that it is successful, resilient, sustainable and profitable to the benefit of all of Scotland.

“We want to support innovation and entrepreneurship, and seize opportunities from new technology and markets, to boost productivity and grow businesses.

“In this way, our retailers can benefit from and contribute to the bold programme of actions that will transform our economy over the next decade.”

Chairman of the Scottish Retail Consortium John Brodie MBE said: “Scotland’s retailers have shown tremendous fortitude and resilience to come through the tribulations of the past few years, a period of profound transformation for the industry which was accelerated by the Covid pandemic.

“The Scottish Retail Consortium is delighted to have partnered with government to develop this strategy which recognises the enormous economic and social contribution that retailers make and outlines a shared approach to sustainably grow the industry.

“Retail is Scotland’s largest private sector employer and this more strategic and collaborative approach to supporting and nurturing the growth of the industry should help it flourish and fulfil its potential over the decade ahead.

“This will benefit retailers and the millions of customers they serve in Scotland, as well as the supply chain and broader economic ecosystem that retail touches, and help drive forward Scotland’s economy.”

Edinburgh task force driving change for the gig economy

The City of Edinburgh Council has pledged its support to Edinburgh’s vital gig economy workforce, a significant and growing aspect of the city’s labour market.

It comes as the City looks to promote better access to fair work standards for people following a series of discussions with workers, trade unions, academics, Scottish Enterprise officials, and civil servants from the Scottish Government.

This inquiry, led by Edinburgh’s Gig Economy Task Force and spearheaded by the Council, was the preliminary piece of work to understand the key issues as well as the immediate actions to be taken alongside the long-term legislative changes that need to be considered so gig workers feel empowered, are treated equally and are able to make a fair wage for a fair day’s work.

Next week (on 24 March) a report from the Task Force will feedback its seven recommendations* to the Housing, Homelessness and Fair Work Committee.

If agreed these recommendations will be developed into an action plan to be brought back to committee in Autumn this year (2022). This will focus on short, medium and long-term priorities which the Council and partners across the city will be asked to focus on to improve access to fair work for people working across the gig economy, including zero hours contract workers.

One key area recognised by the inquiry was to understand gig workers’ rights to accessing the data collected on them and what transparency exists on the way company algorithms use this data to determine how jobs are offered, how much workers earn, and other challenges workers face.

If agreed, as part of the recommendations the Council will build on the findings, and continue to work with gig workers, businesses and the Scottish Government to understand more about existing rights of access to workers’ data while also considering whether data driven innovation tools could be used to help gig workers analyse and better understand their earnings and conditions.

The other recommendations* focus on issues relating to licensing and regulation of the gig economy, public sector procurement, alternative business models and establishing a gig economy worker’s charter for Edinburgh.

The short-life Task Force was established in November 2021 as part of the work plan for the Living Wage City Action Group, and after the Council welcomed the UK Supreme Court’s decision to confirm the status of Uber drivers as workers.

Its objective was to understand the real experiences of workers in the gig economy in Edinburgh, while also looking to explore actions that will tackle the concerns and challenges they face and could improve working conditions, rights and quality of employment.

During its inquiry the Task Force recognised that flexibility and ease of access to employment can be a positive aspect of these roles for some workers, usually those using it as a ‘top-up’ to another income stream or those who have caring responsibilities, or for example students.

However, the growth of the sector has been associated with concerns over low rates of pay, poor income security, risk of in-work poverty, poor opportunities for progression, as well poor working conditions and worker safety.

It is recognised that a growing number of people are becoming reliant on gig economy work as the sole source of income, and they tend to be the people most impacted by poor working conditions and unreliable pay.

Councillor Kate Campbell, Convener of the Housing, Homelessness and Fair Work Committee and chair of the Gig Economy Task Force said: “As part of the action plan for the Living Wage City accreditation, and as part of our fair work agenda, I knew it was vital that we did some work to look at the gig economy in Edinburgh and the impact on pay, rights and working conditions.

“The Gig Economy Task Force was put together with the aim of getting a clear understanding of where the real issues lie, what powers the council has to improve conditions now, and where we need to focus on, and implement changes, in future.

“It’s pretty clear that there is a strong power imbalance. For many gig economy workers their shifts, performance monitoring and pay are controlled by an algorithm. This can be incredibly disempowering. We need to look at who has access to data, and how that data is used, and understand what reforms could empower workers.

“We also came to the conclusion that we need to look at current licensing powers, and procurement. And look at strengthening workers’ rights, raising awareness of those rights and understanding how the categorisation of workers impacts on their working conditions. For example gig economy workers are classed as ‘self employed’ – but the reality of their day to day working lives is very far from what most of us would consider self employment.

“I hope we’ll come together next week at Committee and agree the recommendations, so that we can get on with these actions, starting the journey to dramatically improving the working conditions for the growing number of gig economy workers in our city.”

Councillor Mandy Watt, Vice Convener of the Housing, Homelessness and Fair Work Committee said: “This task force was established in response to a motion that we raised regarding Uber and was widened to include other gig economy and zero hours workers by the convenor.

“Our intention is to highlight the rights that these workers should already have and to find ways of supporting their efforts to achieve safer working practices and fairer terms and conditions.”

The Gig Economy Task Force was chaired by the Convener of the Housing, Homelessness and Fair Work Committee, and comprised workers who have first-hand experience of the gig economy and precarious work in Edinburgh, as well as workers’ representatives, academics, alongside relevant policy leads from the Council, Scottish Government and its agencies.

*Gig Economy Task Force Recommendations:

  1. A costed proposal for a dedicated workers’ hub in Edinburgh, providing access to advice and support.
  2. A costed proposal for ongoing campaign work to provide information on and raise awareness on worker rights in Edinburgh, good working practices, and how to access support.
  3. Licensing: The Council should facilitate and host further work with gig economy and precarious workers, businesses and government on issues relating to licensing and regulation of gig economy and precarious employment. 
  4. Procurement: The Council should facilitate and host further work with workers, businesses and government on issues relating public sector procurement fair work and the gig economy. 
  5. Data Rights and Access: The Council should facilitate and host further work with gig economy workers, businesses and government on issues raised during this inquiry relating data rights and access for workers in the gig economy. 
  6. Alternative Gig Economy Business Models: The Council should facilitate and host further work with gig economy workers, businesses and government to hear more about examples observed in other European cities.
  7. A workers’ charter for Edinburgh: Building on all of the above, the Council should facilitate further engagement with gig economy workers and businesses.

The development of this Task Force has been informed by the Council’s Fair Work Action Plan and Edinburgh Economy Strategy, both of which emphasise the importance of fair work that provide citizens with dignity and security of income.