The ECA and Amicus came together once again for the 2006 JIB conference at Market Bosworth. Was it a repeat of the Battle of Bosworth or was it all peace and goodwill? Andrew Brister watched the action.

The last of the bloody Wars of the Roses, the Battle of Bosworth, took place near the Leicestershire village of Market Bosworth in 1485. Richard III, the Yorkist king, was defeated and slain by Henry of Richmond who went on to be crowned Henry VII. It is only a coincidence that Market Bosworth should host the 2006 JIB conference, yet you do not have to go so far back in history to find the JIB's partners, the ECA and Amicus, themselves involved in open warfare.

In the 1950s and early 1960s the employers and union were involved in increasingly acrimonious strikes and lockouts as relationships broke down. The formation of the JIB in 1968 brought peace to the electrical industry and industrial relations remains one of the key roles of today's JIB, alongside grading of operatives, wage rates negotiation, training, welfare and health and safety.

Yet the JIB is in need of modernisation. Its national agreement harks back to a different era; one of direct employment and electrical-only businesses. Today's firms are as likely to carry out hvac, plumbing and facilities management services as much as electrical installations, and most major companies recruit and train no direct labour whatsoever.

It is time for some radical thinking to drive the industry forward

Ray Foster

Many recent JIB conferences have called for radical overhaul. What is different about the 2006 get-together? There was definitely a sense that change has to take place and soon. "I think that we all recognise the need for a JIB that is fit for the 21st century, based on the best traditions of the JIB but recognising that it needs to adapt to reflect the changing world of work," said Amicus assistant general secretary Les Bayliss. ECA director David Pollock pointed out that over 50% of the industry's labour force is now employed by agencies. "We can no longer afford to ignore this phenomenon and we assuredly cannot turn the clock back," said Pollock. Indeed, the majority of delegates felt that it was time to bring agencies and composite companies into the fold. Delegates also felt that the national agreement needs to cover the wider building services industries. "The JIB has served the industry well," said the ECA's Ray Foster. "But it is perhaps time for some radical thinking to drive the industry forward to ensure the future of the JIB for the next 40 years." "It's an agreement worth supporting," concurred Tom Hardacre of Amicus, "now let's get on with the work." Over the next few pages, we look at what ideas the conference threw up for the JIB's future, as well as progress since the 2004 conference.

Solutions to the skills shortages

Sites in the major cities and the south-east are awash with labour from eastern Europe and beyond, but if they return home there is a real issue of whether there is enough training going on currently to match projected workloads for the electrical industry. Twenty years ago the industry was recruiting 5000 apprentices each year; it is nearer to 2800 each year now and many major m&e firms have abandoned apprenticeships in favour of agency labour.

Neil Willougby of Amicus and John Burrows of the ECA chaired a workshop looking to provide some solutions. The ECA and Amicus have in the past locked horns over the issue of the introduction of a Level 2 grade operative to carry out routine work such as putting up cable tray and fixings. There was some agreement that this should be looked at as a way of meeting any future skills shortages, provided that there was a guarantee of job security for fully-qualified electricians and the Level 2 grade was only a stepping stone with the chance to progress.

Adult entrants from allied industries are another potential source of labour and delegates wanted to see more funds made available for adult trainees, provided it was balanced so as not to disadvantage young apprentices. The Scottish and Welsh models of adult trainee funding should be examined in England.

A statutory levy was seen as a way of enforcing employers’ training obligations, although it was recognised that this would not be a simple task and the machinery for administering the levy shouldn’t absorb too much of the funds available for training.

Wage rates is another area where employers and the trade union will always differ, but contractors voiced the opinion that rates of pay for Stage 3/4 apprentices are too high and may need to be addressed in future pay negotiations.

Progress since 2004 conference

At the 2004 conference, JIB chair Sir Michael Latham made it clear that he wanted the 2006 meeting to note progress on the 2004 proposals. The JIB Employee Relations Committee was given the task of taking things forward and Ray Foster of the ECA updated delegates on what’s happened so far:

  • the Electrotechnical Certification Scheme (ECS) has been constantly under review to ensure other relevant disciplines are brought into scope. The ECS card has now been extended to the datacommunications and highway lighting sectors, alongside grading frameworks and optional pay structures;
  • the JIB Combined Benefits Scheme has been the subject of an extensive exercise by the ECA to promote the value to employers of participating in the scheme;
  • publicity material has been developed for both the ECA and JIB to use for promotional purposes;
  • the JIB has been updating the Adult Craft Training Scheme, which it hopes to have finalised by August. The new scheme will provide the basis for a concerted approach to government for funding against a structured training programme;
  • the JIB is working with SummitSkills to provide management training to NVQ Level 4. There is also on-going discussion with professional institutions to establish a path between ECS membership and professional status.

    • A more relevant JIB agreement

    Inevitably, there was crossover with this workshop, chaired by Bob Pagan of Amicus and Alan Cussen of the ECA, and the session covering the future development of a multifaceted JIB. Once again, the agency labour issue dominated proceedings. Rule 17 of the JIB National Agreement covering the use of agencies was seen to have failed and it was time to rewrite it.

    Agencies and composite companies, where workers are paid a low wage and a dividend on top, are not going to go away. Workers like the fact that they take home more pay than if they went on the books. It would be up to the government to close this tax loophole, but with as many as 2½ million people working this way across diverse sectors such as construction, nursing and teaching, it is hardly a vote winner for Tony Blair and Gordon Brown.

    Agencies are not known for contributing to training, but a pilot scheme within the M25 area is seeing them do just that, with 15 apprentices currently on board. Perhaps more initiatives like this would take place if agencies were allowed in to the JIB.

    The JIB’s role as a wage-fixing body for the industry has been eroded by the number of workers now outside of the JIB. National Working Rule 6.1.2 allows for flexibility via productivity and incentive measures, but it is outdated and it was thought that it was time for something more radical.

    Towards a multi-faceted JIB

    The JIB National Agreement covers the electrical contracting industry. The plumbing industry has its own JIB and the HVCA and Amicus have their own wage agreements and union gradings. Does this reflect the multidisciplinary nature of the way business is done today? Also, the JIB agreement harks back to a time of almost 100% direct labour. Today it is around 50%, with 50% of labour coming from agencies and composite companies.

    This workshop looked at how the agreement should evolve to suit today’s business model. John Fallows of Amicus and Paul McNaughton of the ECA chaired the session. Most delegates felt that the way forward was to develop the JIB agreement to encompass h&v, plumbing and facilities management operatives, with employers able to buy-in to which elements suit their business. Obviously, a lot of work would be needed to get organisations such as the HVCA and the APHC to agree to such a development.

    Most delegates also felt it was time that labour agencies were brought into the scope of the JIB. If agencies were buying welfare benefits for workers, this would bring in funds that could be used for adult training.

    Source

    Electrical and Mechanical Contractor