CBI chief attacks 'irrelevant' trade union movement

The head of the CBI has launched a withering attack on the trade union movement, describing it as "increasingly irrelevant" in everyday life.

Digby Jones, Director-General of the employers' organisation, said employees have been losing interest in unions because "too many union leaders have outdated notions of the world of work".

Speaking to 800 business leaders at CBI Scotland's annual dinner in Glasgow, he claimed that fewer employees needed a union because rising skill levels had made people less vulnerable to exploitation. Unions are also failing to respond to the challenges of a globalised economy, he said.

The CBI chief said employees were "perplexed by the way union bosses compete to be more militant than one another in a bid to attract new members". He urged the unions - preparing for their annual congress this month - to "reform and, by encouraging flexibility, help the nation win the battle for competitiveness or wither on the vine of growing irrelevancy".

Digby Jones added: "When there were millions of unskilled workers - vulnerable to exploitation - unions were essential to fight their corner. But when the labour market is stuffed full of people with a skill - even if not that advanced - unions stuck in the mindset of yesterday's ideology become less relevant.

"The only protection people need in a tight labour market with skills shortages is to be so adaptable, trained and valuable that no employer would dare let them go or treat them badly."

Union demands for a return to secondary picketing, further restrictions on working hours and legislation on the employment of agency temps indicated that the movement has not evolved since the 1970s, Mr Jones said.

The TUC has hit back, saying Mr Jones' comments were outdated and more relevant to Thatcherite Britain of the 1980s than the present day business environment.

TUC General Secretary Brendan Barber said: "It's disappointing to see Digby Jones go back to the rhetoric of the Thatcher years. That is not the way that business will be taken seriously.

"Without unions to stand up for people at work Britain would be a much less fair society, pensions would be on their way out - except in the boardroom - and many more people would be injured or die at work every year."

This year's TUC Congress will be held at the Brighton Centre from Monday 13 September to Thursday 16 September.

(gmcg)