Hall, Mark

On 23 June 2000, Stephen Byers, the trade and industry secretary announced new terms of reference for the Low Pay Commission [1] (LPC) - the independent body which advises the government on the implementation of the national minimum wage (NMW), introduced in April 1999 (UK9904196F [2]) - in preparing its third report, due to reach ministers by July 2001. The government has already decided to increase the main adult hourly rate of the NMW by GBP 0.10 to GBP 3.70 from October 2000 (UK0003158N [3]), but has now asked the LPC to make recommendations on its future up-rating. [1] http://www.dti.gov.uk/lowpay/ [2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/the-uks-first-national-minimum-wage [3] www.eurofound.europa.eu/ef/observatories/eurwork/articles/increase-in-national-minimum-wage-announced

On 23 May, the High Court announced that it would refer a legal challenge to the UK's Maternity and Parental Leave Regulations 1999 [1] to the European Court of Justice (ECJ) for a decision. The ruling followed a hearing the previous week in which the Trades Union Congress (TUC), which has brought the case against the Government (UK0002154N [2]), argued that the Regulations' restriction of parental leave rights to the parents of children born on or after 15 December 1999 (UK9912144F [3]) was in breach of the EU Directive (96/34/EC) on parental leave [4]. The case received considerable media attention, not least because the TUC was represented in court by Cherie Booth QC- who is married to the UK Prime Minister, Tony Blair- only days before she gave birth to the couple's fourth child. [1] http://www.legislation.hmso.gov.uk/si/si1999/19993312.htm [2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/round-up-of-industrial-relations-developments [3] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined-working-conditions/uk-introduces-new-rights-to-time-off-work-for-family-and-domestic-reasons [4] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31996L0034&model=guichett

In May 2000, a ballot of junior doctors belonging to the British Medical Association (BMA) resulted in an 79% vote in favour of a new contractual arrangements and marked the end of lengthy negotiations over pay and working time issues carried out against the threat of possible industrial action (UK9910136N [1]). The new pay system involves a range of salary bands reflecting the length and intensity of hours worked and when the work takes place, and is intended to end hospitals' traditional reliance on long working hours by junior doctors at low levels of overtime pay. It is expected to provide significant pay rises for the vast majority of junior doctors. Ministers at the Department of Health welcomed the outcome of the ballot. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/negotiations-over-junior-doctors-working-hours

On 23 April 2000, the Transport and General Workers' Union (TGWU) announced that the long-running dispute at Lufthansa's airline catering company Skychefs, triggered by the dismissal of 270 workers in November 1998 for taking part in a one-day strike over changes to working patterns, had been settled. Under the terms of the deal, all of the sacked workers have the opportunity to return to work at Skychefs if they wish to, or will receive compensation if they prefer. TGWU general secretary Bill Morris said in a statement: "The Skychefs workers have fought hard for this victory and they deserve the opportunity to return to work with dignity."

As in 1999 (UK9904199N [1]), the 2000 annual conferences of the two largest UK teaching trade unions - the National Union of Teachers (NUT) and the National Association of Schoolmasters/Union of Women Teachers (NASUWT) - held over the easter period, adopted resolutions calling for ballots on possible industrial action. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/teachers-unions-threaten-industrial-action-over-performance-related-pay

On 15 March, a number of leading UK trade unions launched a campaign in support of the UK joining the EU single currency. Unions supporting the Trade Unionists for Europe (TUfE) campaign include the Amalgamated Engineering and Electrical Union (AEEU), the GMB general union, the Graphical, Paper and Media Union, the Iron and Steel Trades Confederation and the National Union of Knitwear, Footwear and Apparel Trades. The TUfE organisation is chaired by Sir Ken Jackson, general secretary of the AEEU.

On 15 March 2000, the UK's Manufacturing Science Finance (MSF) trade union, which represents skilled and professional workers, submitted a formal complaint to the European Commission alleging that UK legislation requiring employers to consult employee representatives on impending redundancies fails to implement satisfactorily the requirements of the EU collective redundancies Directive (98/59/EC) [1]. The union's move comes only months after the government introduced revised consultation requirements - via the Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 1999 [2]- with a view to ensuring compliance with EU law (UK9910134F [3]). [1] http://europa.eu.int/smartapi/cgi/sga_doc?smartapi!celexapi!prod!CELEXnumdoc&lg=en&numdoc=31998L0059&model=guichett [2] http://www.hmso.gov.uk/si/si1999/19991925.htm [3] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined-working-conditions/consultation-procedure-on-redundancies-and-transfers-reformed

In the period since the announcement in mid-March 2000 of the controversial break-up and sale of Rover (UK0004164F [1]), the UK subsidiary of the German-owned motor manufacturer BMW, recriminations have continued over the handling of the issue by both BMW and the UK government. Newspaper headlines have been dominated by an acrimonious dispute between the UK trade and industry secretary Stephen Byers and BMW executives over their differing accounts of whether BMW had given the UK government prior warning that it was preparing to pull out of car production at the Longbridge plant near Birmingham. On 5 April, Mr Byers took the unusual step of publishing civil service records of contacts he had had with BMW in the run-up to the company's decision to sell Rover. These showed that, a week before BMW announced its deal with UK-based venture capitalists Alchemy Partners, Rover chair Werner Sämann outlined BMW's plans for dealing with Rover's escalating losses to Mr Byers but did not indicate that the option of selling Rover was being considered. Opposition Conservative MP s, however, continue to argue that the evident scale of Rover's problems should have alerted Mr Byers to the possibility of its sale by BMW. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/substantial-job-losses-predicted-as-bmw-sells-rover-and-land-rover

In late March, in the run-up to the annual conference of the British Chambers of Commerce (BCC), which represents small and medium-sized enterprises, Chris Humphries, director general of the BCC, said that there was "growing disillusionment" within the business community about the "new" Labour government's pro-business credentials, leading to newspaper headlines that the government's "honeymoon with business" was over. Employer criticism of the government reflects a number of factors, including adverse reaction to increases in public expenditure in the budget announced on 21 March and the continued strength of sterling. However, increasing business regulation, particularly in the area of employment legislation, continues to be a central concern for employers' groups (UK9909131N [1]). [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/cbi-survey-highlights-worries-over-employment-laws

On 15 February 2000, the trade and industry secretary, Stephen Byers, announced that the adult hourly rate of the national minimum wage (NMW) will rise from GBP 3.60 to GBP 3.70 in October 2000 - 18 months after the NMW was first introduced (UK9904196F [1]). According to government figures, this will affect 1.3 million workers. He also confirmed that the youth rate payable to workers aged 18-21 will rise in June 2000 from GBP 3.00 to GBP 3.20, benefiting 200,000 young workers. The government had been under strong pressure from trade unions and Labour MP s to up-rate the NMW on its first anniversary in April. Its initial inclination had been to rule out an increase in 2000 (UK0001147N [2]), but the prospect of a major revolt by Labour MPs on the issue appears to have prompted the government to change tack. Ministers say that by introducing the increase in October, they are providing time for business to prepare for implementing the change. [1] www.eurofound.europa.eu/ef/observatories/eurwork/articles/undefined/the-uks-first-national-minimum-wage [2] www.eurofound.europa.eu/ef/observatories/eurwork/articles/uncertainty-over-anniversary-uprating-of-national-minimum-wage