Cardiff boss profits from call-centre chain gangs

US chain gang

A Cardiff solar panel company, Becoming Green, has sacked workers in favour of getting inmates from a nearby prison to work for just £3 a day – 6% of the minimum wage.

The Ministry of Justice has confirmed that dozens of workers from Prescoed prison inSouth Wales have done “work experience” for at least two months at the rate of 40p an hour in the company’s call centre.

Becoming Green has said they are proud to be supporting [- and profiting from] prisoner rehabilitation. The company also confirmed that since it started using prisoners, it had fired other workers.

Andy Richards, Unite Wales secretary, said: “This looks likes a disgraceful and worrying development which follows the UK government’s already discredited Workfare scheme.

While we support rehabilition of prisoners, including providing useful training and help finding jobs, it’s clear that the company motivation is profit not philanthropy. While some prisoners appear to be paid minimum wage,  would the company be so keen to employ loads of prisoners if they couldn’t get them on the cheap?

It is crucial that prisoners are given the opportunity to learn new skills and the chance of rehabilitation, but this shouldn’t be at the expense of other workers jobs and shouldn’t involve them being taken granted and paid peanuts.

Instead the government should be investing in schemes to retrain and employ ex-prisoners, providing them with a secure economic and social basis to restart their life. The cost of this would be more than saved by the reduced rate of re-offending.

REVOLUTION fights for:

Jobs for all and paid at a living wage

Rehabilitation not exploitation – prison work to be paid at industry average

The abolishment of all workfare schemes

Anti-workfare tour of shame in Leeds

With the workfare scheme still forcing thousands into unpaid work placements, REVOLUTION joined up with others to organise two walks of shame to target business exploiting young unemployed.

With around 8 people on the first day, this number rose to 14 on the second. The atmosphere was lively, out of the people there; there were members from the SWP, Leeds Unemployment Action Group and members of trade union Unite. Around half of the people hadn’t been involved in action before and had got involved through receiving a leaflet the previous day.

The tour began at Asda where the staff seemed to be pro-workfare and quite happy to let their managers profit at the expense the unemployed. At the Hilton we handed workfare leaflets to the staff manager who denied the Hilton had any participation in Workfare. At the point someone got their phone out to show the manager the Hilton’s quote on the workfare website. He walked away threatening to call the police if we didn’t get off ‘his property’ – another boss who knows the police can always be called on to defend the privelege of the bosses’ private property.

Finally we went to Greggs where we handed out leaflets and collected signatures from customers.

Overall we got a good response from people and they were interested to hear about workfare and what it was doing.

We must continue this fightback and force more companies to back out of the scheme as Hollandand Barrett and Pizza Hut have recently done.

This Sunday in Leeds we are having a demonstration outside Argos on the Headrow. Spread the word and see you there!

 

No wages – outrageous!

 

Tories expand compulsory work schemes

The work-for-welfare scheme has been scrapped right? Wrong. Tory minister Iain Duncan Smith is extending the workfare scheme, forcing thousands more youth into unpaid, dead-end jobs.

Currently, unemployed people can be made to work unpaid for large companies for up to a month. Under the new plans, the scheme will be extended to six months’ unpaid labour. Those who refuse will be stripped of their benefits and left to starve.

As we reported back in March, the negative publicity and protests did not result in the abolition of the scheme. Instead the government and big companies launched a major PR drive, while continuing to raise armies of unpaid workers to boost the profits of Britain’s richest companies.

Workfare means working up to 30 hours a week to continue receiving benefits at £53 a week. This works out at a measly £1.70 an hour – well below the official minimum wage. Working a 40 hour week on the minimum wage would still leave you below the government’s official poverty line.

The government insists this slave labour will give a work ethic to the unemployed – as though the 1 million unemployed youth are desperately trying to avoid working.

The hypocrisy of a government of millionaires talking about ‘work ethic’ at the same time that they are cutting hundreds of thousands of jobs is beyond belief. Prime Minister David Cameron only ever had one ‘proper’ job in his life – working at a friend’s PR firm practicing the lies and deceit necessary to a parliamentary career.

There are more than 1 million 16-24 year olds not in work, education or training, 20% of the total. Amongst Black youth the unemployment rate is 50%. There are 800,000 people who have been unemployed for more than a year.

There are 2.65 million people unemployed, but just 400,000 vacancies. This means 6 people chasing every job, but in areas of high unemployment like the north the average number of applicants per vacancy is much higher.

Even the welfare-to-work profiteers who run the scheme admit that less than a quarter of people on the scheme find work at the end. No matter, as long as the scheme continues to provide hundreds of millions of pounds’ profit for those involved.

Many people argue that rich companies making record profits can easily afford to employ people on proper wages. This is true. But in a capitalist market, ruled by the logic of profit, all wealth comes from the value created by workers. So inevitably, bosses must compete with each other to maximise profits by reducing the cost of their employees’ wages and conditions.

Neither the Tories, nor the Lib Dems have a real plan to eradicate unemployment – they think it’s a necessary part of society. High unemployment benefits the rich because they use the fear of sacking to keep their employees in line.

We demand an end to workfare. We won’t be made to pay the cost of a crisis we didn’t cause. We fight for an end to the minimum wage which discriminates against younger workers – we want a living wage which reflects the value we create. Instead of using us as unpaid labour to boost the bosses’ profits, the government should be taxing the billions of the super-rich and investing that in socially-useful jobs which will benefit our communities and society as a whole.

Ultimately, workfare is only the symptom of the wider disease – Capitalism and its crises, which is wrecking our lives and planet. Protests and campaigns can limit attacks and even win temporary victories like the NHS. But only socialism – the democratic economy managed by and for the working class – can start to bring about an end to the criminal waste of lives, talent and potential.

REVOLUTION says:

  • Abolish workfare – tax the rich to provide real jobs, training and education

  • For a living wage of £9 per hour

  • Share out the work – reduce hours with no loss of pay

  • Nationalise all companies closing down or sacking workers

 

Minimum wage frozen for young workers

The minimum wage for over 21’s is set to rise by 11p to £6.19 an hour in October. This rise of 1.8% is well below the rate of inflation at 5% meaning that workers’ paychecks are getting smaller, while everyday goods become more expensive.

The minimum wage for those under 21 has been frozen with 16 and 17 year olds earning £3.68 an hour and 18 to 20 year olds earning £4.98. This effectively means that young workers’ wages will have lost nearly 10% of their real value in the last two years.

The freeze on the lower rate minimum wage was welcomed by bosses’ organisations, who said it would allow them to rinse bigger profits out of younger workers.

General Secretary of the Trades Union Congress Brendan Barber said:

“There is now a real danger that young people will view minimum wage work as exploitative.”

He’s absolutely right. The lower rate for younger workers is a scam – allowing bosses to pay young workers up to 60% less for doing the same job as colleagues a few years older.

Even according to the government, the minimum wage is not enough to live on. The government pays out Working Tax Credits to those on low incomes – this means that our taxes are subsidising the poverty wages paid by Britain’s biggest companies.

 

REVOLUTION fights for:

  • A living wage for all, set by trade unions and workers’ organisations

  • An end to different rates which discriminate against young workers

  • Massive investment in real jobs, real training and real education, to be funded by a tax on the super-rich elites.

 

 

Read more

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Why has PCS pulled plug on M28?

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Black youth unemployment nears 50%

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Workfare the symptom – socialism the cure

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Apprenticeships – who benefits?

Official figures put the number of 16-24 year olds not in education, employment or training at 1,163,000. The government has blamed this crisis on the previous government, the crisis in the Eurozone, the minimum wage and leaves on the track.

Youth unemployment has been stuck at more than a million for over a year, despite a barrage of government schemes to fiddle the figures and get young people into work.

The government has announced several ‘apprenticeship’ drives aimed at getting companies to invest in recruiting young people.

But last week revealed the truth behind these schemes amounts to little more than a government-backed subsidy for Britain’s richest companies – jobcentres rounding up young people and forcing them to work unpaid for 30 hours a week or face losing their jobseeker’s allowance.

Still, it’s well known that the Tories have extensive experience on boosting youth unemployment – Thatcher pioneered the tactic during the 80s, leaving a legacy which media pundits came to call the ‘lost generation’. A romantic epithet for a generation of young people blighted by criminalisation, drug addiction, poverty and precarious work.

In this article, Sally Turner examines the reality of apprenticeships in 21st century Britain – what are they, and who do they really benefit?

The Direct Gov. website puts it as ‘apprenticeships give you the chance to learn – and gain nationally recognised qualifications – while getting a weekly wage.’ Yet the £2.60 an hour wage for apprentices makes a mockery of the work done and ensures young people remain financially reliant on their parents.

If you apply to receive Job Seekers Allowance (JSA), as well as agreeing to look for work, you also have to sign up on the National Apprenticeships website where companies can view your profile and select you to work for them up to 40 hours a week. This does not take into account the individual circumstances, experience or qualifications of the applicant – it’s about ‘bums on seats’, providing cheap labour and manipulating jobless statistics.

The majority of the government’s new ‘apprenticeships’ don’t involve doing any trade work; they’re often simply doing an adult-training scheme within a supermarket or admin work, lasting just a few weeks with no job, qualifications or prospects at the end of it. However by branding it as apprenticeships, they can pay you way below the minimum wage, dictate your hours and show you the door whenever they like, so you’re back to the dole queue, and the company takes on its next batch of ‘apprentices’.

Of course, many apprenticeships are valuable opportunities for young people who can’t afford or don’t want to go to university and want to learn a trade or a qualification; however the amount of places to do a decent apprenticeship these days is completely insufficient; for example, each year British Gas provides so many places for apprentice to become gas fitters, and the ratio of applicants to places is higher than Oxbridge.

The lack of opportunities for skilled apprenticeships is the inevitable consequence of Thatcher’s de-industrialisation and Labour’s drive to get 50% of young people into university – the aim of which was to disguise the fact that youth unemployment has been unsustainably high for a generation, rather than investing in properly funded, suitable career guidance for young people. After all, the City of London which Cameron would have us believe is Britain’s salvation makes it money gambling on government debt – and it needs an army of low-paid, unqualified staff to grease the wheels, while a tiny minority of traders take home six-figure bonuses.

The Government’s new £1.4bn training scheme, intended to ameliorate youth unemployment, has seen a near 900% increase in the number of apprenticeships begun by those aged 60 and over.

This shocking figure shows the plight of older workers approaching retirement, who are sacked, and then unlikely to find new employment, but cannot survive on the meagre state pension, so forced to take up apprenticeships meant for young people just starting their working lives.

Meanwhile, graduate schemes and courses run by public sector bodies like the NHS intended to get young people with few qualifications and experience into secure, well-paid jobs are being taken up by over-qualified university graduates who can’t find employment matching their qualifications.

The same day that the ‘1 million youth unemployed’ hit the headlines (although it has been more than a million for over a year), Vince Cable pushed for more youth to get into apprenticeships – well show us the magic jobs tree, Vince!

Forget about the government’s announcements of ’25,000 new apprenticeships’, the real problem is 500,000 public sector job cuts, and the knock-on effect which will cost a million or more jobs in the private sector.

The answer to youth unemployment is real jobs, paying a real wage which enables young workers to set out on a career, pay rent and take home a decent living wage.

No-one is condemning shelf-stacking as menial or demeaning work, but when Tesco’s announces record profits of £3.5 billion, it’s clear that they’ve got the cash to employ workers and pay them a living wage. Instead their mates in government arrange an endless supply of free workers – paid for by the taxpayer.

The governments schemes forcing young people into useless ‘skills courses’ are simply a desperate attempt to massage the unemployment figures so that youth unemployment appears to decrease, rather than investing in the future by providing secure, well-paid work.

But the Tories can’t even fudge their own figures;  youth unemployment is rising month-on-month, and tens of thousands of young people are being rotated through demoralising, temporary ‘work placements’ which have no value to employers and do not give the applicant any new experience or skills – taxpayers pick up the tab, and big business pockets the profit.

What we need is massive government investment in the work which our society badly needs – a million new council homes could stop the housing crisis and provide employment for hundreds of thousands. We’d pay for it now by taxing the obscene wealth of the 1% and it would pay for itself many times over in the future when we are living in decent homes, in communities with decent infrastructure and facilities.

The Tories announced a scheme to subsidise mortgages, in order to get giant construction companies to build ’30,000 homes’ on land which they are refusing to build because its ‘not profitable’. At the same time these companies are slashing the wages of electricians by 35% – why would young people want to take up an apprenticeship in a trade which is seeing its working conditions wrecked by Tory party donors?

This is just one example of the millionaire government’s determination to look after its own class at our expense. From construction to the NHS, to education, the millionaire’s coalition is waging a class war to make ordinary people pay for the economic crisis. Young people are in the frontline, and far from having a solution, the government is determined to make us pay the most. They are spinning us a line, while selling our future.

 It’s time to organise our resistance.

  •  All apprenticeships to be paid the national minimum wage £6.08 an hour, or the trade union rate for the industry.
  • No to workfare – real jobs, not free labour
  • Free education for all
  • Massive investment in housing, education and training paid for by taxing the rich

Read more

1 million youth unemployed – enough is enough!

N30 Shut down your school

N30 Road to resistance

 

1 million youth unemployed – enough is enough!

The government has achieved another milestone in its efforts to ensure those who caused the economic crisis don’t pay for it. The number of unemployed 16-24 year olds has passed the 1 million mark, as  jobless figures hit a 15-year high.

As if this wasn’t shocking enough, the figures are distorted by the hundreds of thousands who are kept off official statistics by being forced into a dizzying array of ‘work experience’, ‘training’ or ‘voluntary’ schemes – full-time, unpaid work for 30 hours a week.

Lasting just a few weeks, with no prospect for full-time employment at the end, these programmes are nothing more than state-backed conscription of youth to line the bank accounts of Britain’s wealthiest companies.

The government has suspended the requirement to pay the minimum wage to those bullied into these schemes – those who refuse are simply stripped of their benefits.

While millionaire Mayor Boris Johnson denounces OccupyLSX as ‘crusties’ his government attempts to blame unemployment on the crisis in the eurozone. There certainly is a crisis in the Eurozone – 45% youth unemployment in Spain and IMF coup d’etats in Italy and Greece –  but to claim that this is the root of Britain’s problems is a craven attempt to deflect the blame away from the their slash ‘n’ burn austerity policies.

Enough is enough

When we talk about the unemployment crisis, it’s not enough to talk about numbers alone.

We face being turned into a generation of workers with none of the pension, pay and safety rights of previous generations. Long-term mass unemployment will intensify competition of the worst kind – driving down wages, increasing temporary work – giving employers the freedom to hire and fire, giving workers the ‘freedom’ to compete with 100 others for every job vacancy.

The attacks on education, destruction of youth services, and compulsory unpaid work have put young people at the sharp end of Cameron’s Big Society.

These so-called ‘voluntary’ schemes are  a 21st century Poor Law. The suspension of the minimum wage is a dangerous precedent which paves the way for its total removal demanded by bosses and their Tory stooges.

There can be no clearer evidence that the Tory solution to the crisis is to restore the capitalists’ profit rates at the expense of the jobs, wages and working conditions of the working class.

We won’t find the solution by blaming the European Union, but we can look to Europe and beyond to find the inspiration, unity and strength to mount a resistance to the bosses who are waging a global war on jobs, services and education.

In 2005 French youth mobilised in their hundreds of thousands to defeat a law which removed employment rights for young people starting their first job.

German students repeatedly forced their government to repeal laws introducing tuition fees, while the indignados of Spain showed that our generation is not the apolitical, apathetic mass of right-wing propaganda.

Most impressively of all was the involvement of young unemployed graduates and workers whose determination continues to drive the Arab Spring, facing down dictators’ bullets and imperialist condemnation to fight for jobs and democracy.

Their crisis – our solution

Just as the economic crisis is characterised by an offensive carried out by international banks and corporations, so internationalism – solidarity and united action between workers of all nationalities – is the key to beating back the bosses’ austerity.

The resistance of British students to education cuts, and the mass mobilisations of the working class on March 26 and June 30 is the context for a youth rebellion against the parasitic elite who shed crocodile tears over cutbacks with one eye on the stock exchange and the other on their bank accounts.

November 30 is the chance for young people to say enough is enough. Join millions of workers in striking a blow at the heart of system, demonstrating our power by shutting down the country for a day. We are the ones who make their system work, and when millions of us strike back together we can discover that we are the ones with the real power in society.

  • All work to be paid the minimum wage or Trade Union rate
  • End compulsory work-for-your-dole schemes
  • A 99% tax on the 1% to fund education, apprenticeships and jobs
  • Unity is strength – all out on November 30

 

Read more

November 30 – shut down your school

N30: road to resistance

Call for a general strike

 

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