Union Busting at Catalyst Housing Association

UNISON Press Release: UNION BUSTING AT CATALYST HOUSING ASSOCIATION

"In a move reminiscent of American style union busting, Catalyst Housing Association has responded to a request by UNISON to meet the Chief Executive and discuss bullying of stewards, and their very poor industrial relations record, by issuing a letter confirming that they intend to derecognise the union.

This is despite Chief Executive, Rod Cahill, only a few weeks ago at a housing fringe meeting at the Labour Party conference telling the fringe that Catalyst does recognise trade unions. This fringe included leading Labour Party figures.

However, Mr Cahill also stated at this meeting that Housing Associations are private bodies and not accountable to anyone but themselves.

It is a fundamental human right enshrined in international law for all workers to have freedom of association and the right to collective bargaining. Any employer, especially a registered charity such as Catalyst that refuses to recognise a trade union does not respect human rights; any employer that does not respect human rights should not be given access to public funds or contracts.

UNISON Regional full time officer Colin Inniss said "I have been trying for several weeks to meet up with Mr Cahill to discuss complaints about bullying in Catalyst. A day after I chase a response we get this letter announcing that they are terminating the recognition agreement, without even the courtesy of a meeting to explain why they are thinking of doing this!

 Housing Association Branch Secretary John Gray said "To be clear, Unison is the biggest union by far in the social housing sector. Unison is a moderate and sensible union but we will not tolerate union busting in this country. We always want to talk with employers if there is a problem and resolve things whenever possible. This is an attack on human rights. It will also be seen as an attack on the whole trade union movement in this country. This has the potential to be an extremely prolonged and damaging dispute the likes of which has not been seen before in our sector.

I call the Board of Catalyst to step in and withdraw this union termination letter and facilitate urgent talks with unison and management before this gets totally and utterly out of hand.

 For Further information or comment please contact: UNISON Regional Organiser, Colin Inniss or UNISON Housing Associations Branch Secretary , John Gray

Notes for Editors
1. UNISON’s represents over 60,000 members in the Community and Voluntary sector.
2. UNISON has recognition agreements with most of the G15 Housing Associations – London’s 15 largest housing associations.
3. Catalyst Housing Association own and manage over 21,000 properties in London and the South East
4. In 2013/14 Catalyst Chief Executive, Rod Cahill, received a pay increase of 9.7%; frontline staff received a 2% increase.

Big, Bad & Dangerous...? Do we need Housing Associations? #Lab14

This Labour Party conference housing fringe took place on the Monday afternoon outside the secure area. There was an error in the programme about timings which meant I think some people missing it. 

The Chair was from the New
Statesman, Jon Bernstein (centre of photo)

First speaker was shadow planning minister, Dr Roberta Blackman-Woods MP. Roberta said we need to build 200,000 homes per year and asked how will housing associations be part of this mix? Affordability will be key and the Michael Lyons report for the Party will be out soon. We should also be about "Place making". What jobs and services are needed? not just about new housing units. Many councils will not want to take role of housing developers so there is a strong role for associations.

Next was Rod Cahill, the Chief Executive of Catalyst Housing (on right) who started in housing as a trainee in the London Borough of Camden in 1975. In that year Housing Associations only built 22,000 properties while local authorities built 145,000. Unlike now. There has been a 100,000 per year shortfall in new build for the last 30 years which means we are need 3 million extra new homes which causes shortage and affordability problems.

It will take a long time to increase production. Catalyst will build 1200 new homes this year. Rod believes that Housing Associations are a key part of the solution. There is a need to generate surpluses to cross subsidy the cost of new build. There has been a 70% cut in capital support by this government. Without surplus they would not be able to build at social rents. Catalyst made £40 million last year which they will reinvest in bricks and mortar.

There needs also to be a change in planning. There is an anti development culture. We need clarity about affordable rents. We need land and to re-professionalise Housing. We need government support for when the market drops and we are unable to cross subsidise. Public money can be found for absolute national priorities. We need to go back to 40 years when we built 300,000 homes per year.

Cllr Julian Bell, the leader of Ealing Council (standing) spoke about a "perfect storm" in housing. With the problem of "beds in sheds" and affordability.  You need to earn £70,000 per year to buy a house in Ealing where the average price is near £300,000. In his borough they had set up a Housing commission to examine what can be done and increase supply. Raising the HRA headroom would help.

Last speaker was London Assembly Housing spokesperson Tom Copley. Tom was interested in Councils providing housing because of the scale of the problem and that the private sector wouldn't fill the gap. No incentive for the private sector to build since in their interests to restrict supply. There is still an arbitrary cap on housing investment in the UK but not over other forms of prudential borrowing. We only the only country to define housing investment as government debt. Tom believes everyone needs to step up including the private sector.

My question to the panel as a Labour Councillor and UNISON Housing Association branch secretary was that that any solution to the Housing crisis will have to result in even more government spending and subsidy. I said I am not digging Rod out in particular since this is a sector issue. The problem with housing associations is that they have a democratic governance deficit. They need to raise their game to account for public money. The average CEOs has increased their salary by above inflation while their staff are given less; some of them despite being charities refuse to even recognise trade unions while many have little or no involvement of residents in the running of their organisations. If Housing Associations want to be on board then there has to be change.

Rod said they do recognise trade unions and what does my question have to do with housing supply? Housing associations are private organisations and do not rely on public money. Only £1 in every £6 invested is public money. I said that this is about governance and housing associations do rely on housing benefit and past public investment. Unless we have proper accountability and structures they should not get public money.

Lab12: Homes for the future - Where are our grandchildren going to live?

Rushing into the Conference centre I found out about this fringe (picture left to right) with Andew Heywood (Housing Consultant), Jack Dromey MP (shadow housing minister); Jon Bernstein (New Stateman and Chair) and Rod Cahill (CEO of Catalyst Housing).

Jack spoke about the need to improve the private rented sector. 39% of its stock does not meet decent homes standard. The chief problem in the past has been the lack of political will. The next Labour Government will make housing a top priory and will have that will.

Rod reminded us that 30 years ago 6% of Government spending was on housing now it is less than 1%. State support for affordable housing is crucial. Andrew said the bi-party approach to housing in the last 25 years has failed. Supply is key and if housing is going to be given more money then what will the government spend less on?

In the Q&A I asked Rod why he thinks pension funds don't invest in residential housing (never mind social) in the UK and I also asked the panel what they thought of the £412,000 pay off to the CEO of Metropolitian Housing when it is at the same time cutting the wages of its care workers by 30%?

Rod said that the problems with pension investment is that they don't think that the return is sufficient. They can only make money if rents are high enough and secure. Affordable rents are too low for this. He also said that the £412k pay off including salary and that he understood that there had been higher pay offs in the sector. Jack replied that he was not aware of the details but could he be sent to him (I agreed).