Tensions are mounting between Labour’s biggest union backers and the government as Unite voted to suspend Angela Rayner’s membership and reconsider its ties with the party, with its general secretary claiming Sir Keir Starmer’s party is not on the side of working people.
Unite, which is one of the biggest unions in the country and has long been affiliated with Labour, has accused the government of failing workers in a row over the Birmingham bin strike that could lead to a historic split with the party.
It is the latest sign of the deteriorating relationship between Labour and the unions and comes days after several groups, including the Trades Union Congress (TUC) and the Fire Brigades Union (FBU), piled pressure on the government to avoid more cuts by bringing in a wealth tax.
Meanwhile, other unions have said they have major concerns that the chancellor, Rachel Reeves, may be planning a tax raid on public sector pension funds.
The move comes after Unite members debated a motion at their conference in Brighton, where they condemned the Labour-run council in Birmingham and the government for their approach to the bin workers.
The union, one of Labour’s biggest financial backers, said fire and rehire tactics had “effectively” been deployed against striking workers, who are taking industrial action in a dispute over pay and job conditions.
The strikes, which began in January, have resulted in huge piles of rubbish across Birmingham as well as rat infestations and general unsanitary conditions.
Unite general secretary Sharon Graham, speaking at the union’s policy conference on Friday, said: “Unite is crystal clear it will call out bad employers regardless of the colour of their rosette. Angela Rayner has had every opportunity to intervene and resolve this dispute, but has instead backed a rogue council that has peddled lies and smeared its workers fighting huge pay cuts.
“The disgraceful actions of the government and a so-called Labour council is essentially fire and rehire and makes a joke of the Employment Relations Act promises.
“People up and down the country are asking whose side is the Labour government on and coming up with the answer: not workers.”
But allies of Ms Rayner have furiously hit back, pointing out that Unite has singled out the leading cabinet minister who has pushed the government to the left on workers’ rights and, in the last fortnight, to abandon plans to slash disability benefits.
They pointed out that she cannot be suspended because she resigned from Unite in April.
An ally of the deputy prime minister said: “It’s wild! They know full well that Angela cannot directly intervene in the way that they say, and to attack one of the few remaining cabinet members who is standing up for workers’ rights and real Labour values is simply mad.”
A Labour source said: “Angela’s not interested in silly stunts, she’s interested in changing workers’ lives. Unite rejected a deal in Birmingham, and their demands would have undermined equal pay, discriminating against female workers. Angela won’t be pushed around, and she quit Unite some months ago.”
Luke Hurst, from the left-leaning, Labour-linked think tank Compass, said Unite’s decision to reconsider its relationship with Labour was a “troubling indication that the government is failing to represent the mainstream of the party. The majority of unions, like the membership, back bold policies like democratic reform and wealth taxes.”
On Wednesday, talks to end the dispute broke down as Birmingham City Council announced it had reached the “absolute limit” of what it could offer to resolve the strike.
The union began the strike after alleging that the council’s decision to remove waste recycling and collection officer roles would mean 170 workers would face losing up to £8,000 a year.
The council said the change was necessary as part of a restructuring effort designed to improve the service and comply with the Environmental Act 2021.
On Friday, the FBU criticised reports that ministers were discussing lowering pensions for nurses, teachers, firefighters and other public sector workers in exchange for negotiations on pay.
And it reiterated its call for a wealth tax to fund pay rises and public services instead of threats to “raid” pensions again.
The PM’s official spokesperson said: “Our priority is and always has been Birmingham’s residents. As you know, Unite’s industrial action caused disruption to waste collection. We have worked intensively with the council to tackle the backlog and clean up the streets for residents and public health.
“We remain in close contact with the council and continue to monitor the situation as we support its recovery and transformation.”
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