Clean energy funding to be tied to workers’ rights

Funding for clean energy projects is to be linked to a charter on rights for workers and access to trade unions, the Government has announced.

Offshore wind firms must sign up to a Fair Work Charter to take part in Government renewables auctions, ministers said.

The move was welcomed by unions representing offshore workers, although they pressed for more measures to improve pay and conditions in the sector.

The Government said the changes will deliver the benefits of the Employment Rights Act sooner for offshore wind workers, paving the way for more trade union recognition in the energy sector.

Ministers said offshore wind is a British success story, supporting secure and skilled jobs, with industry estimates showing a typical offshore wind salary is around £10,000 higher than the UK average.

The Government expects to deliver 100,000 jobs in the sector through its Clean Energy Jobs Plan, and ministers said it was essential that these jobs are secure, with strong rights for the growing workforce.

The Fair Work Charter, developed jointly between industry and trade unions, will ensure that workers in the offshore wind sector get early access to some of the benefits in the Employment Rights Act, including providing trade unions with better access to workplaces and clear standards on health and safety in the workplace.

Energy Secretary Ed Miliband said: “Clean energy jobs should always be good jobs, with decent pay and the very best rights at work.

“By securing more clean, homegrown energy we are driving billions in private sector investment into UK ports, factories and manufacturing, unleashing a clean energy jobs boom from East Anglia to Aberdeen.

“But we must ensure these jobs are future-proof, secure and well-paid. So we are stepping in to make sure public funding serves the public good – raising the bar for workplace standards, giving workers access to trade unions and guaranteeing a stronger voice in how their workplaces are run.”

Paul Nowak, general secretary of the TUC, said: “Workers in growing industries like offshore wind must have good quality jobs. This initial Fair Work Charter is a welcome step in the right direction.

“Offshore workers keep the lights on and increase our energy independence so we don’t have to rely on Putin’s Russia. That’s why it’s important that the Government has brought together unions and industry to negotiate a pathway to decent work.

“But this has to be just the start – more work needs to be done to lift pay and conditions in the sector. We look forward to the full Fair Work Charter which can play a vital role boosting trade union recognition and collective bargaining.”

Eddie Dempsey, general secretary of the Rail, Maritime and Transport union, said: “This is a welcome move to link clean energy funding with real workers’ rights and trade union access.”

Sue Ferns of the Prospect union, said: “For too long there has been a stark difference between the quality of the jobs in the emerging renewables sector when compared to traditional forms of energy generation and offshore oil and gas.

“This Fair Work Charter is a welcome step in addressing the discrepancy and will lay the groundwork for a more comprehensive agreement in future.

“If the public are going to get behind the drive to decarbonise the energy sector then they need to start seeing the good quality jobs which have been promised, especially in coastal communities which often miss out on economic opportunities.”

RenewableUK’s director of renewable delivery, Scott Young, said: “The offshore wind industry is working closely with the Government and trade unions to ensure that we maximise the number of high-quality, well-paid jobs we create through the introduction of the Fair Work Charter and a proposed new skills investment fund.”

Andy Prendergast, of the GMB union, said: “The renewables sector has promised much, but delivered little, when it comes to traditional blue collar jobs.

“There is a long way to go before the industry becomes an employer of choice, but these requirements represent a step in the right direction.”