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PM 'rigging rules' by changing law on trade union political funds – Harman PM 'rigging rules' by changing law on trade union political funds – Harman
(2 days later)
Harriet Harman, the interim Labour leader, has accused the prime minister of “rigging the rules” by changing the law on trade union political funds while leaving untouched the way companies and hedge fund managers are free to provide unlimited funds to the Conservative party.Harriet Harman, the interim Labour leader, has accused the prime minister of “rigging the rules” by changing the law on trade union political funds while leaving untouched the way companies and hedge fund managers are free to provide unlimited funds to the Conservative party.
Calling for a cap on individual donations to political parties, she said during prime minister’s questions in the Commons: “It’s not acceptable for him to be curbing funds from hardworking people to the Labour party while turning a blind eye to donations from hedge funds to the Tories.”Calling for a cap on individual donations to political parties, she said during prime minister’s questions in the Commons: “It’s not acceptable for him to be curbing funds from hardworking people to the Labour party while turning a blind eye to donations from hedge funds to the Tories.”
She said: “It’s one rule for the Labour party but something completely different for the Tories. To be democratic, the PM must not just act in the interests of the Tories … Instead of helping working people, he spends his time rigging the rules of the game …The PM says he wants to govern for one nation; instead, he is just governing for the Tory party.”She said: “It’s one rule for the Labour party but something completely different for the Tories. To be democratic, the PM must not just act in the interests of the Tories … Instead of helping working people, he spends his time rigging the rules of the game …The PM says he wants to govern for one nation; instead, he is just governing for the Tory party.”
Related: Biggest crackdown on trade unions for 30 years launched by ConservativesRelated: Biggest crackdown on trade unions for 30 years launched by Conservatives
Harman was complaining at the way in which the trade union bill, published on Wednesday, will require all existing 4.5 million union members to sign a form at least every five years stating they are opting into paying the political levy. The political funds of unions are Labour’s chief source of reliable donations, and some union leaders have warned the planned reform will bankrupt the party.Harman was complaining at the way in which the trade union bill, published on Wednesday, will require all existing 4.5 million union members to sign a form at least every five years stating they are opting into paying the political levy. The political funds of unions are Labour’s chief source of reliable donations, and some union leaders have warned the planned reform will bankrupt the party.
Until the trade union bill there had been a consensus that reform of party political funding should be done on a cross-party basis.Until the trade union bill there had been a consensus that reform of party political funding should be done on a cross-party basis.
But David Cameron hit back saying Harman’s questioning showed Labour remained in hock to the unions.But David Cameron hit back saying Harman’s questioning showed Labour remained in hock to the unions.
The prime minister said the current system in which some union members have to opt out of paying the levy is a form of mis-selling. “If you want to give money to a party it should be an act of free will not something that is taken out of your pay packet without you being told about it properly,” he said.The prime minister said the current system in which some union members have to opt out of paying the levy is a form of mis-selling. “If you want to give money to a party it should be an act of free will not something that is taken out of your pay packet without you being told about it properly,” he said.
“If this wasn’t happening in the Labour party they would be saying this is appalling, they should be saying there should be consumer protection. Why is there such a blind spot when it comes to the trade unions?”“If this wasn’t happening in the Labour party they would be saying this is appalling, they should be saying there should be consumer protection. Why is there such a blind spot when it comes to the trade unions?”
Cameron added: “The law for company donations was changed years ago, the law for union donations has been left untouched … it should be a decision that you have to take, the money shouldn’t be sequestered away from you without being asked.”Cameron added: “The law for company donations was changed years ago, the law for union donations has been left untouched … it should be a decision that you have to take, the money shouldn’t be sequestered away from you without being asked.”
Related: The Tories, trade unions and British democracy under threat | Letters
Referring to the Harman’s call for Labour to abstain on the welfare and work bill, he said: “I thought she was the moderate one and the leadership were the ones who were heading off to the left. They oppose every single one of our anti-strike laws, they oppose all our welfare changes and one of them even describes terrorist groups as ‘friends’. In the week we find out more about Pluto, it’s clear they want to colonise the red planet”.Referring to the Harman’s call for Labour to abstain on the welfare and work bill, he said: “I thought she was the moderate one and the leadership were the ones who were heading off to the left. They oppose every single one of our anti-strike laws, they oppose all our welfare changes and one of them even describes terrorist groups as ‘friends’. In the week we find out more about Pluto, it’s clear they want to colonise the red planet”.
Defending plans to introduce a threshold that would make a strike lawful only if 50% of members vote in the strike ballot, he said these strikes “should only ever be a last resort and frankly when it comes to the London tube services, the people driving these trains are well paid, they are getting the chance of a bonus … it is right we are taking these steps.”Defending plans to introduce a threshold that would make a strike lawful only if 50% of members vote in the strike ballot, he said these strikes “should only ever be a last resort and frankly when it comes to the London tube services, the people driving these trains are well paid, they are getting the chance of a bonus … it is right we are taking these steps.”
“The fact is people affected by these strikes don’t get to vote, that is why it’s right to have these thresholds and I think the whole country will see a Labour party utterly in hock to the trade unions and they’ll see a Conservative party wanting to sort this out for hardworking families.”“The fact is people affected by these strikes don’t get to vote, that is why it’s right to have these thresholds and I think the whole country will see a Labour party utterly in hock to the trade unions and they’ll see a Conservative party wanting to sort this out for hardworking families.”
All four Labour leadership candidates have said they would repeal the proposed laws if they ever became prime minister.All four Labour leadership candidates have said they would repeal the proposed laws if they ever became prime minister.
The GMB union challenged the claim that donations to the Tory party follow a conscious act of consent by company shareholders. It said the top 100 companies that donated to the Conservatives between them gave £50.8m with no consent from individual shareholders.The GMB union challenged the claim that donations to the Tory party follow a conscious act of consent by company shareholders. It said the top 100 companies that donated to the Conservatives between them gave £50.8m with no consent from individual shareholders.
Paul Kenny, the GMB general secretary, said: “There is no requirement for the directors to ask individual shareholders much less any requirement for shareholders to opt in.”Paul Kenny, the GMB general secretary, said: “There is no requirement for the directors to ask individual shareholders much less any requirement for shareholders to opt in.”
Since the 1980s trade unions are also required by law to hold a postal ballot of individual members every 10 years on the issue. GMB members have on four occasions voted overwhelmingly to retain a political fund since then – the latest vote being in 2014.Since the 1980s trade unions are also required by law to hold a postal ballot of individual members every 10 years on the issue. GMB members have on four occasions voted overwhelmingly to retain a political fund since then – the latest vote being in 2014.
There is no equivalent proposal from the government to require companies to ballot shareholders or to place a cap on donations from wealthy people when funding the Conservative party.There is no equivalent proposal from the government to require companies to ballot shareholders or to place a cap on donations from wealthy people when funding the Conservative party.