Around 300 people took part in the Tyne and Wear May Day March and Rally in Newcastle on Saturday.
The event coincided with the 125th anniversary of the very first workers’ international May Day celebrations.
Back in 1890, the international demand was for an eight-hour maximum to the working day. This call united workers in the United States, Britain, France, Belgium, Germany, Austria and many other countries.
One of the organisers of the Tyneside event, Martin Levy, said:
“There’s a lot of people on zero hours contracts today who would love to get the chance to work eight hours.”
“The march is as relevant today as it was 125 years ago. It’s very important as a statement of the principles of the Trade Union and Labour movement – solidarity, fighting inequality and fighting for social justice.
“These issues don’t just go away.”
Speakers at the event included Christine Payne, general secretary of actors’ union Equity; Ian Mearns, Labour’s candidate for the Gateshead constituency at the forthcoming general election and Andrew Murray, chief of staff of Unite the Union and deputy president of the Stop the War Coalition.
Professor Manuel Hassassian, Palestinian Ambassador to the United Kingdom, had been due to speak but had to cancel at the last minute.
His place on the platform was taken by Ann Schofield of the Tyneside Palestinian Solidarity Campaign.
Those taking part assembled at Princess Square then walked along Northumberland Street and then past St Thomas’s Church towards Exhibition Park, where the rally was held.
Music on the march was provided by the Backworth Colliery Band, while local musicians DrumDin (OK) and The Backyard Rhythm Orchestra performed at the rally.
Mr Levy added:
“This 125th anniversary of the very first workers’ May Day was an opportunity to make clear our opposition to austerity and privatisation, and to express solidarity with all those struggling for a better world, particularly the people of Palestine.”
Source – Newcastle Evening Chronicle, 02 May 2015
A leader of a controversial ‘anti-extremist Islam’ movement today claimed they already have an established following in Newcastle.
More than 320 people have now gone online to confirm attendance at Pegida UK’s Tyneside rally which has also sparked interest from Far-right wing groups in the region.
> Well, there’s a suprise – I wonder how many members of the local racist loonies are the same people as those apparently supporting Pegida ? I’m sure they’ll see it as a nice Trojan horse…
The British arm of the highly-criticised German protest movement say their North East following is one of the reasons they will be coming to the city at the end of this month.
The decision by the group to hold their first UK demo in Tyneside has already met with widespread condemnation.
But Pegida representative Matthew Pope said the march would be “peaceful” with the aim of standing against extremist forms of Islam.
Mr Pope added:
“We did not want to start our UK demos in London because there are a lot of right-wing extremists there and we wouldn’t want to associate ourselves with them.
> Tough shit, mate. You’re going to be their puppet organization.
“We are already have a following in Newcastle and it is far enough away from London to be the best place to get things underway.”
Mr Pope said anywhere up to 1,000 marchers could be expected in the city centre on the planned date of the demonstration, Saturday, February 28.
The plans have been met with concern and the Chronicle can reveal that several individuals, associated with Far-right groups in the North East have already, via social media, confirmed they will be attending.
In a Facebook post, Pegida UK sent out an open invitation to the march, stating: “All are welcome to attend. Let’s show the Islamists we show no fear.”
Under the banner of ‘Patriotic Europeans against the Islamisation of the West’, the group claims it is trying to defend countries from the spread of extremism at the hands of Muslim immigrants.
Mr Pope said:
“We understand that we are going to get tarnished with the same brush as certain other groups but this will be a peaceful demonstration.”
Mr Pope went on to say the purpose of the march would be to take a stand against Islamic extremism and not against the Muslim community.
However, he did say Pegida had concerns about the way the UK Government and police forces were approaching certain issues.
“We have concerns about the way Islam is being taught in schools. We are also worried with the way some groups seems to be setting their own laws withing our system of laws.
“We are certainly not against immigration, but feel our culture is being taken over by another culture.”
Mr Pope said that on February 28, protesters would be handing out leaflets and posters with containing information about their aims and about their views of Islamic law.
Opponents to the group have said they will hold a counter-demonstration if the Newcastle march goes ahead.
Councillor Dipu Ahad, from Elswick, Newcastle, has already written to Northumbria Police’s chief constable asking for the demo to be banned.
“I’m not hopeful this will happen so we will be planning our own counter-protest, bringing together people from all cultures in the city to celebrate the diversity of our community in a peaceful and celebratory manner.”
Anti Fascist groups in the city also say they are monitoring the plans for the protest.
Since the Charlie Hebdo attacks in Paris, dozens of Pegida chapters have popped up online, prompting some reports that the group is establishing a bigger presence across Europe – in France, Norway, Sweden, Belgium, Spain, the UK and other countries where local Pegida Facebook pages have sprung up.
Will the march go ahead?
Pegida UK say they are currently in talks with Northumbria Police over the date, time and place of the march.
Mr Pope said:
“As representative for the organisation I have just started liaising with Northumbria Police about our plans.
“We are hoping that this will be on February 28.
“Although an exact route has not been set down, it will be in Newcastle city centre and we can expect anywhere up to 1,000 people to be attending.
“We are happy to work with the police and follow any guidelines which they set down.”
Newcastle City Council said they had not been contacted by the organisation.
A spokesman added that they have to wait to be informed by the police about any demonstrations happening in the city before taking any necessary action.
Source – Newcastle Evening Chronicle, 06 Feb 2015
It is very hard to work out what is going on in the UK labour market because the quality of the statistics is basically junk – garbage in, garbage out describes the lack of quality of the data well. I really am not exaggerating.
Bad Labour Market Data Part 1 is that every other major country, including the euro area as a whole, is able to produce timely estimates, but not the UK.
Currently unemployment rates for February 2014 are available for Australia, Austria, Belgium, Bulgaria, Canada, Croatia, Cyprus, the Czech Republic, Denmark, Finland, France, Germany, Hungary, Iceland, Ireland, Israel, Italy, Japan, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, and the United States. Data for April 2014 were released by the United States on Friday.
The UK stands out as the only country out of 31 that has no data available for February, March or April 2014.
Pathetic. The national statistic that pretends to be for January is actually an average of December of 2013 and January and February of 2014. The reason for this is simply because the sample sizes are too small to generate accurate monthly estimates.
The Office for National Statistics does in fact publish a single-month estimate of the unemployment rate but that jumps around all over the place.
Let me illustrate the problem. The ONS makes the supporting micro data on individuals available for researchers like me to examine. They take out identifiers so we can’t work out who anyone is. The latest micro data we have is for the three-month period October to December 2013.
In total over these three months 77,657 people between ages 16-98 were interviewed. Of these, 39,761 were employed 6,995 were self-employed and 3,347 were unemployed. The overall unemployment rate, once the data have been weighted and seasonally adjusted is 7.2 per cent, but the relatively small sample size means this estimate is measured with lots of error.
For the technically minded, the 95 per cent confidence interval for the monthly national change is ± 0.3 per cent, which means that any monthly difference smaller than that is not statistically significantly different from zero.
The unemployment rates that were calculated, for example, for East Anglia (5.7 per cent), East Midlands (6.4 per cent), Scotland (7.1 per cent), Wales (7.1 per cent), Northern Ireland (7.4 per cent) as reported by the ONS for October-December were based on ridiculously small samples of 114, 246, 281, 153 and 142 unemployed people respectively. Given the very small sizes the result is that the regional unemployment rates are measured with even more error than the national rate and bounce around like a rubber ball from month to month.
The reason why the ONS struggles to report unemployment rates by month becomes obvious rather quickly.
So the single-month estimate for December of 7.2 per cent that it reports is only based on a sample of 1,198 unemployed people, of whom 632 were male and 452 were under the age of 25.
The number of unemployed people in each of the five regions identified above in December is East Anglia (34), East Midlands (91), Scotland (105), Wales (51), Northern Ireland (55), hence why no single-month disaggregated estimates can be produced.
Bad Labour Market Data Part 2. The government has claimed recently that based on earnings growth of the national statistic called Average Weekly Earnings (AWE) for the whole economy of 1.9 per cent in February 2014 and the fact that the Consumer Price Index has been steadily falling, this means that real wages are set to rise.
If only that was true. But sadly it seems most unlikely given the fact that the Monthly Wages and Salaries Survey (MWSS) on which the estimate is derived has two major sample exclusions whose wages are likely to be growing much more slowly than that, if at all.
First, the ONS has no earnings data, as in none, on the 4.5 million self-employed workers, including large numbers who have set up in business recently. The only earnings data we have available from HMRC are over two years old.
What we do know is that the typical self-employed person earns less than the typical employee and some have zero earnings or even losses; there is every prospect earnings growth of the self-employed will be low.
Second, it also turns out that the MWSS doesn’t sample workers employed in firms with fewer than 20 employees that are the least likely to have strong earnings growth given the difficulty small firms have had in raising capital. The ONS simply makes an adjustment based on the Annual Survey of Hours and Earnings (ASHE), which was last available in April 2013 and which itself excludes the lowest earners below the National Insurance threshold.
The ONS computes an average over the previous three years that it imposes on the AWE monthly data. So the ONS just guesses that what happened in the past applies now. But maybe it doesn’t.
The ONS admitted to me that “ideally, we would sample businesses with fewer than 20 employees in the MWSS. However, we do have to pay close attention to minimising the burden on respondents, and we believe that using the adjustment factor from the ASHE strikes an appropriate balance between this and accuracy of the estimates.”
Really? So making it up as you go along is OK? It turns out that this amounts to approximately 20 per cent of all employees, or another 5.2 million workers whose wages we know zippo about.
So the national wage measure excludes 10 million out of the UK’s 30 million workers and my working assumption, for the sake of argument, is that their average pay rise over the past year is zero (it’s a maybe not-so-wild guess that the ONS can’t disprove)!
There is supporting contradictory evidence of strong earnings growth from the latest UK Job Market Report from Adzuna.co.uk, showing that average advertised salaries have slipped £1,800 in the past year down to £31,818 in March 2014, 0.6 per cent lower than in February, and 5.3 per cent lower than in March 2013.
A survey carried out by the Federation of Small Businesses at the end of 2013 reported that “after several years of wage restraint, it is encouraging that the vast majority of small firms are beginning to raise wages again”. They found that 29 per cent of firm owners said that over the next year they would raise wages for all staff, 35 per cent for some staff, 8 per cent for those on the minimum wage. 22 per cent said they would freeze wages, 2 per cent said they would lower them and the rest didn’t answer.
So the AWE is an upward-biased estimate of wage growth. Garbage in, garbage out. The UK’s labour market data are not fit for purpose.
Source – Independent, 08 May 2014
With Labour voting for the government’s bill to cap welfare spending, the debate on the welfare state has taken a decisively wrong turn. The issue is not the cap itself, its level, or even its design. The problem lies in the very way in which the welfare state is understood.
Even if one accepts the need for the cap, there are many problems with the way in which it is designed. Many people have rightly pointed out that the capping scheme is not as “recession proof” as it is portrayed. One defence of the bill offered by the government – and accepted by Labour as the key justification for its support – is that it exempts “cyclical” spending, such as unemployment benefit (now given the Orwellian name jobseekers’ allowance). But there are other elements of welfare spending that increase in economic downturns that won’t be exempt. For example, recessions may increase the need for disability benefit because more people are incapacitated due to the psychological and physical impact of unemployment, poor diet, and lack of heating.
Important though these criticisms are, the biggest issue is the very way in which the “problem” of the British welfare state has been defined and understood. The cap is based on the view that the UK needs “to prevent welfare costs spiralling out of control”, given the wasteful nature of such spending. This is not backed up by the evidence.
The British, having supposedly invented the modern welfare state (a debatable proposition), have the mistaken notion that they have an exceptionally generous welfare state, as evidenced by the widespread worries about “welfare scrounging” and “welfare tourism”.
However, measured by public social spending (eg income support, pensions, health) as a proportion of GDP, Britain’s is not much bigger than the OECD average; 24.1% against 22.1% as of 2009. And the OECD includes among its 34 members a dozen or so relatively poor economies – Mexico, Chile, Turkey, Estonia and Slovakia, for example – where the welfare state is much smaller for various reasons (eg younger population, weaker parties of the left).
Even when it comes to income support for the working-age population – the element targeted by the new bill – the UK is not a particularly generous place. In 2007 it spent 4.5% of GDP for the purpose. This was only slightly above the OECD average (3.9%) and way below other rich European economies: the figures were 7.2% for Belgium, 7% for Denmark, 6% for Finland and 5.6% for Sweden.
And it is not even as if the need for social spending goes away if you reduce the welfare state. For many British supporters of a smaller welfare state the role model is the US, which has a very small welfare state (considering its level of income), accounting for only 19.2% of GDP as of 2009. However, it has a huge level of private spending on social expenditure, especially medical insurance and private pensions, which is equivalent to 10.2% of GDP. This means that, at 29.4%, the US has total social spending that is almost as high as that of Finland, which spends 30.7% of GDP on it (29.4% public and 1.3% private). Moreover, if the cost is “spiralling out of control” anywhere, it is in the largely private US healthcare system, thanks to over-treatment of patients, rising insurance premiums and soaring legal costs.
Most importantly, the view that social spending is wasteful needs to be seriously challenged. The frequently used argument against the welfare state is that it reduces economic growth by making the poor workshy and the rich reduce their wealth creation, given the tax burden involved.
However, there is no general correlation between the size of the welfare state and the growth performance of an economy. To cite a rather striking example, despite having a welfare state that is 50% bigger than that of the US (29.4% of GDP as against 19.2% of GDP in the US, in 2009), Finland has grown much faster. Between 1960 and 2010 Finland’s average annual per capita income growth rate was 2.7%, against 2% for the US. This means that during this period US income rose 2.7 times while Finland’s rose by 3.8 times.
The point is that the welfare state – if well designed and coordinated with labour market policies to re-train people and get them back into work – can encourage people to be more accepting of change, thereby promoting growth. Firms in countries such as Finland and Sweden can introduce new technologies faster than their US competitors because, knowing that unemployment need not mean penury and long-term joblessness, their workers do not resist these changes strongly.
Most American workforces are not organised and thus incapable of resisting technological changes that create unemployment – but the minority that are organised, such as the automobile workers, resist them tooth and nail because they know that if they lose their jobs, they will not even be able to afford to go to hospital, and will find it extremely difficult to get back into the labour market at the same level.
The British debate on the welfare state needs to be recast. The false premise that the country has a particularly generous welfare state whose cost is spiralling out of control needs to be abandoned. The structural factors driving up welfare costs, such as ageing, should be accepted – rather than denied and so putting undue pressure on other elements of social services.
Above all, the debate should be redirected into reforming the welfare state in a way that promotes structural change and economic growth.
Source – Welfare News Service 28 March 2014