Whoever Tony Blair’s successor is, the CIPD’s chief economist is urging them to avoid the temptation of ‘quick fixes’ to complex workplace issues.
In his report, Jobs really are getting better – so why doesn’t it feel like it?, John Philpott says that Tony Blair will leave an ‘impressive legacy’ in terms of employment policy.
The report is based on official Government statistics and Chartered Institute of Personnel and Development research. Philpott said: “The Blair government’s gradualist approach to employment policy – allied with Chancellor Gordon Brown’s stewardship of the economy – has led to significant improvements in the number and quality of jobs.
“Aside from record high employment, a record low redundancy rate and substantial real wage gains for the lowest paid; average working hours have fallen markedly, as the proportion of people working more than 45 hours per week (down from a quarter to a fifth during the past decade).”
He continued: “Blair’s problem, especially with his longstanding critics in the trade unions, is that this transformation in the tangible quality of work has not delivered any rise in measured job satisfaction in the workplace because workers feel under ever greater pressure to perform in both the private and public sectors.
“But addressing this issue requires the kind of change in organisational cultures and management practices – notably the restoration of trust between bosses and staff – that is not easily brought about by means of public policy interventions.”
The change of prime minister is also likely to see calls for a change in policy direction. And warns Philpott: “With unions and others calling for a change in policy direction, whoever succeeds Mr Blair in Number Ten might be tempted to respond to demands for bigger hikes in the national minimum wage, tougher legal restrictions on working hours, and a slower pace of reform in the public sector, rather than continue with the broadly sensible approach to employment policy pursued since 1997.
“Any such move would add significant costs to business relative to any economic benefits that might arise and do little to bring about the kind of improvement in working practices that is so crucial to enhancing the economic and social well being of Britain.”