Commenting on the passage of the Scottish National Investment Bank Bill, Grahame Smith STUC General Secretary said:
“The STUC has consistently campaigned for a Scottish National Investment Bank and it is welcome that the Bill creating this Bank has now passed. Trade Unions have long argued that the short-term approach at the heart of the financial system has hampered innovation and promoted low skill, low pay business models across the Scottish economy. It is welcome that the Scottish National Investment Bank has been set up to tackle this problem, to support patient capital, encourage innovation and long-term investment and has a clear focus on supporting a just transition and delivering on Fair Work objectives.
“The STUC has worked hard to influence the legislation and we welcome the commitment that the Bank will only invest in companies that promote Fair Work and pay the living wage. The challenge is now to ensure that this commitment has teeth. The Bank must genuinely pursue an effective Fair Work strategy that raises the quality of work across Scotland, increases collective bargaining coverage and creates a high standard of living for all workers. It must also only support employers with business models based on progressive employment practices that avoid the use of zero hour contracts, bogus self-employment or umbrella contracts.
“However, there are still some questions around the governance of the bank and a more explicit role for unions would have better supported the banks Fair Work aims. Unions will also continue to push for the Bank’s employees to have the same terms of employment as civil and public servants in other public bodies.
“The Bank represents a positive step forward and an opportunity to pursue better economic development models in Scotland”
For more information, please contact Dave Moxham, Deputy General Secretary, on 07891026870 or Rachel Thomson, Campaigns & Communications Officer, on 07974966227.