Analysis

Analysis 

Why the Combine failed in its aim to achieve success in getting its Alternative Plan implemented

In January 1976 the Secretary of the Lucas Aerospace Combine Shop Stewards Committee submitted their Alternative Plan for the Company to Lucas Aerospace management. In the following paragraphs an analysis will be made of the events which unfolded based on available documented evidence.

The evidence originates from the following three sources:

1.     Correspondence from and to Lucas Management

2.     Hansard

3.     Diary of Betrayal ( C.A.I.T.S. document )

The evidence relates to the roles of Lucas Aerospace management, Trade Union Full Time Officers and the Governments Department of Industry.

The role of Management is shown in the correspondence which was made available to ex Combine members by a former Personnel Department staff. Whilst a thorough examination of the correspondence will be made at a later date, for the benefit of this analysis some correspondence will be referred to.

As can be expected Management were put on the back foot by the Combine taking the initiative. They were used to the Trade Unions reacting to their decisions! They were confronted with a fifty eight page document outlining the Plan and informed that detailed product information was available to back up the Plan. The Management response was as follows.

1.     They refused to meet with the Combine to discuss the Plan, has they did not recognise them as an official trade union body.

2.     Management handed out the reply to Trade Union reps at site level saying that they rejected the alternative product approach indicating that aerospace work was the best way to retain jobs. Their dismissive reply was handed back to management by the trade union reps.

3.     The management were willing to talk at site level with recognised trade union reps on products and that was taking place.( this was not true - no discussion on products ever took place )

4.     The correspondence made clear that management policy was to set up Consultative Committees at site level. A policy that was at odds to the Combines approach of negotiating at national level. It has to be remembered that this was during the period when discussions were taking place between Government, the T.U.C. and the C.B.I. about worker participation in Industry.

5.     They carried out a public relation exercise to indicate their social responsibility.

6.     Those Combine members actively involved in Plan activities at home and abroad were identified and site industrial relations officers were informed to check on whether they took unpaid leave.

7.     The only positive response was from the head of the New Products Division who suggested that a Consultant should be seconded to the Combine to assist on productive development. This suggestion was not supported-in fact the management made it clear that their stated aim was to “destroy the Combine”

The General Secretaries of the appropriate Trade Unions were written to informing them of the Companies policy on the Combine. The following is their response:

1. The T.G.W.U. and the G.M.W.U. acknowledged the letter without further comment.

2. A.P.E.X. made it clear that it did not recognise the Combine and objected “in the strongest manner possible” to any developments which resulted in the company “conferring consultative or negotiating rights upon an unofficial body”

3. The A.U.E.W. stated that they were aware of the Combine Committees existence and “did not oppose the principle of having discussions of a global nature with respective Combines”

The above mixed response from the Trade Unions had no effect on Management policy, which still maintained that as the Combine was an unofficial body they would not meet or discuss with them matters of overall Company policy.

Unfortunately, there was no Trade Union recognition of Combine Committees. The vehicle for such recognition was the Confederation of Shipbuilding and Engineering Unions who recognised multi-union committees at individual site level but not at multi-site (national) level. Despite the efforts made by the Combine Secretary to get recognition from the C.S.E.U., he was unsuccessful. This was an obvious weakness in the Trade Union organisation in relation to shop stewards being able to negotiate on corporate issues in Companies which operate on a multi-site basis.

Throughout the campaign, Lucas Aerospace management very much took advantage of the “unofficial body” title that the Combine was given. Unfortunately at least one union also used that as a reason to not support the Combine and its Plan.

While the “official” structures may not have existed, the A.U.E.W. took a more pragmatic approach as did the T.G.W.U.(who were very supportive of the Combine and the Plan) realising that Combine Shop Stewards Committees were necessary if the multi-site based companies were to be held accountable to their workforces on Corporate matters.

This approach was not adopted by A.P.E.X. They were very much opposed to the Combine seeing it as a threat to their long standing agreements between the Company and their union. In a letter to the General Secretary of the T.U.C., they indicated that “the Combine Committee had no formal relationship with any of the manual or staff unions with membership within Lucas Aerospace” Given that they considered the Combine as an unofficial body they had made it clear to Lucas management “that should the company enter into any discussions with the combine(d) committee my union would regard such a development as being a breach of the agreements which my union has with Lucas Industries and Lucas Aerospace” After requesting the T.U.C. General Secretary “to take appropriate action on this matter” A.P.E.X. copied the letter to Lucas Management.

To put it briefly (see Combine History for more detail) the Combine Committee had been established to fill the gap that existed at Lucas Aerospace corporate level where there was no multi-union representation by shop stewards and staff reps together. The Combine was a recommending body dealing in corporate issues with individual unions at site level making the final decision. It never ever cut across or replaced individual agreements that manual or staff unions had with Lucas Aerospace management. All those involved in the Combines decision making process were recognised Senior Trade Union representatives at individual site level.

While previously T.A.S.S. had formally indicated their support for the Combine’s Plan their actions were at variance with that decision. For example, in an internal memo, the managements Members of the Policy Executive were informed about an off the record comment made by a Senior T.A.S.S. Official to the companies Personnel Director. He along with the General Secretary had met with Government Ministers who wanted to know “what was the official position of T.A.S.S. in regard to the Combine especially Messrs Cooley and Scarbrow” The T.A.S.S Official “ tells me that they outlined to the Minister that they were opposed to many aspects of the Combine and understood the Companies position”

On another occasion the Personnel Director informed the T.A.S.S. Official by letter that Mike Cooley had given lectures at Henley College in which he referred to the Corporate Plan. He stated that he thought he should know that given that in the past “your union had reservations about Mr Cooley making statements through the media and on public platforms often inferring that he is expressing a T.A.S.S. point of view”

 There appears to have been an unhealthy close relationship between T.A.S.S. Trade Union Officials and the Company. Also the Dept of Industry Ministers were very much influenced by the same T.A.S.S. Officials. The management were also guilty of misleading Ministers on how they were responding to the Combines initiative.

At the same time the Combine were never given the  opportunity to meet with D.O.I. Ministers as a follow up on the initial meeting with the Secretary of State for Industry Tony Benn who had suggested that the Combine produce a Plan.

As it was Labour Party policy to support the Combine and the Alternative Plan, a number of Labour M.Ps pressured   Ministers to act on the Combines behalf ( see Hansard 12/1/77, 28/11/77, 15/5/78, 17/5/78 and the12/2/79.) Despite this pressure being applied in Parliament and a letter being sent from Jeff Rooker the M.P. for Perry Barr Birmingham to the Chairman of Lucas Industries, no progress was made.

The above Analysis is based on the period covered by available Lucas management correspondence. For a more comprehensive record of the Combines unsuccessful Corporate Plan campaign see the C.A.I.T.S pamphlet “ Diary of Betrayal “ link.

 SUMMARY OF ANALYSIS

The analysis has shown how Corporate power prevented the Lucas Aerospace workers from getting their Alternative Plan implemented within the company. No matter how good the arguments put forward, no matter the level of support the Plan attracted, Lucas Aerospace management, despite being put on the back foot, refused to budge.

 Yet there could have been a different outcome if the Government had used its financial muscle to better effect. It had been more than generous in the past by deferring £56m. of Lucas Industries tax. To add insult to injury they provided further financial support with a grant of £8m. to Lucas Aerospace, when the Confederation of Shipbuilding and Engineering Officials became involved in 1979. This was not good value for taxpayers money when you consider 500 jobs were lost in the process! This was a particularly good example of the taxpayer bailing out a Company when it allegedly had a problem. i.e. Corporate Welfare, for more click here

The role of some of the Trade Union Officials has to be questioned. While you would expect management to use “Combines are unofficial bodies” as a means of refusing to negotiate, you would not have expected the Officials to have been so enthusiastic to stand in line with management on this issue. Especially when those involved in the Combine were Senior Shop Stewards and fully paid up members of those Unions who were failing to support them!                                  It makes you wonder whether managements approach to negotiating with the Combine would have been different if all the Union Officials had taken a more pragmatic approach to the issue of the Combine being an unofficial body. Because the Combine’s record in saving jobs, when faced with redundancy, had been outstanding with not one job being lost through enforced redundancy in ten years. With that record the Full Time Officials would have best served their members better by continuing to take a back seat and let the Combine get on with it!

When it comes down to it the Combine where up against it from the start due to not being on a level playing field with management in terms of a power relationship. Unless workers and their trade union representatives operate within a democratic structure they will find it difficult if not impossible to bring about changes to Corporate Policy. Whereas Shop Stewards can motivate their members to take action to fight for a wage claim or resist redundancy it’s a different kettle of fish when it comes to investment policy or product range. When and only when workers representatives have the same power as shareholders will workers be in a position to influence Corporate decision making (see Industrial Democracy link here).

While the above Analysis applies to the Combines campaign 40 years ago it would seem that the barriers that existed in the 1970s are still there. In these circumstances it would seem that Government Legislation is required in the areas of Industrial Democracy and Planning Agreements.

Brian Salisbury, October 2020