According to its new report, published May 5 — Could a bad Brexit deal reduce workers' rights across Europe?— commissioned from the Work Foundation, the TUC says if the UK Chancellor Philip Hammond goes through with his threat to change the UK to a deregulated tax haven if a post-Brexit deal with the EU is not reached, it would lead to a "race to the bottom" if countries seek to compete by cutting workers' protections.
Read our new report, commissioned by @the_tuc, 'Could a bad Brexit deal reduce workers' rights across Europe?' — https://t.co/VQXlKxaWJB https://t.co/TTGqxxRyn3
— The Work Foundation (@WorkFoundation) 5 May 2017
"If we don't put strong protections for working people at the heart of our deal with the EU, Britain could become a bargain basement economy. And this will worry the EU too, as it could drive damaging competition that increases inequality," said TUC General Secretary Frances O'Grady.
"We've already seen the emergence of a low-skill, low-productivity economy that leaves many people trapped in dead-end jobs. Scrapping workplace protections, or gradually falling behind our European neighbors, would increase this trend," she said.
Middle and low-income workers' rights at risk in both EU and UK after Brexit, warns new report https://t.co/xfERiYJ0ip
— TUC Press Office (@TUCnews) 4 May 2017
The report concludes that a Brexit outcome that would lead to the separation of the UK from the EU regulatory framework and the single market is likely to threaten the EU employment standards status quo especially at the lower end of the labor market (either in the form of changes in the legislation or in enforcement practices).
Social Rights 'Vulnerable'
Independent legal opinion, commissioned by the TUC from Michael Ford QC of Old Square Chambers, London, identifies the dangers of Britain leaving the EU for working people and their rights at work. It lists the rights that would be most at risk of being diluted or scrapped after Brexit, and it considers the mechanisms for disapplying EU workplace laws in the UK.
Michael Ford QC's legal opinion states: "All the social rights in employment currently required by EU law would be potentially vulnerable". He lists those rights that he believes are most at risk post-Brexit from a government with a deregulatory agenda. They include rights to properly-paid holidays, protections for agency workers, health and safety protections, and protections from some forms of employer discrimination — such as compensation rates, and protections for pregnant workers and older workers.
"The next government must get a deal with Europe that protects current rights, like paid holidays, equal pay, and fairness for agency workers. And it must guarantee a level playing field with the rest of Europe now and in the future, so working people in Britain don't fall behind our European neighbors," O'Grady said.
