HC Deb 18 May 1973 vol 856 cc1851-4

11.6 a.m.

Mr. Kenneth Lewis (Rutland and Stamford)

I beg to move Amendment No. 1, in page 2, line 4, leave out subsection (1) and insert: '(1) (a) An applicant for a licence under this Act shall, not less than twenty-one days before making his application—

  1. (i) display notice of the application in a place where it can conveniently be read by the public on or near the premises at which the employment agency or employment business is or is to be carried on and take such steps as he reasonably can to keep that notice so displayed for a period of twenty-one days; and
  2. (ii) advertise notice of the application in a newspaper approved by the licensing authority:
Provided that this paragraph shall not apply where the applicant is the holder of a current licence or a person who is carrying on an employment agency or an employment business under the authority of a licence granted under an enactment repealed by or under this Act and the carrying on of the employment agency or employment business at the premises in question is authorised by that licence. (b) a notice under paragraph (a) of this subsection—
  1. (i) shall state the name and address of the applicant; and
  2. (ii) shall state the situation of the premises at which the employment agency or employment business is or is to be carried on and the class of business carried on or to be carried on at those premises;
(c) an application for a licence shall not be entertained by the licensing authority unless it is made in the prescribed manner and is accompanied—
  1. (i) by the prescribed particulars; and
  2. (ii) where paragraph (a) of this subsection applies, by a certificate, signed by or on behalf of the applicant, stating that he has complied with that paragraph and a copy of the newspaper containing notice of the application'.
The amendment has been tabled in response to representations made to me in Committee, particularly by the hon. Member for Edinburgh, East (Mr. Strang). It is on lines very similar to those requested by the hon. Gentleman, whose contributions I was glad to hear in Committee, and it fits neatly into the Bill. It brings into the Bill part of the procedure operating in those areas where the present limited licensing system exists, together with the limited control which flows from it.

First, the amendment lays on any person seeking a licence the obligation to display a notice informing the public of his intention to apply for a licence. Secondly, it places an obligation on him to put a notice in the advertising columns of a local newspaper, which newspaper must be approved by the licensing authority. An additional obligation placed on the applicant is to certify that the obligations laid down in the proposed subsection have been carried out and are being fully met.

The amendment therefore strengthens the licensing procedure and will assist licensing authorities in assessing the quality and good standing of those who wish to set up as employment agents or in employment businesses. Perhaps its greatest advantage will accrue to members of the public, if they wish to make use of it, because presumably they will see the notices in the newspapers or set out on premises and will therefore be able to send in any objections which they may have direct to the licensing authorities. This procedure is already followed in London and other areas where limited licensing operates. I gather, however, that, as with the marriage service, the peace is not often broken by the sound of objections.

That is one reason, if not the main reason, why I decided not to deal with the matter in the first place. However, I have been persuaded to deal with it because it gives benefit to the public. As with the present limited licensing system, regulations will be drafted to back up the Bill. The procedure outlined in the amendment will enable proper scrutiny of applicants to take place in order, if necessary, to bar those unlikely to conform to the standards provided for in Clause 5 and the regulations which the Minister will introduce.

The Seventh Report of the Expenditure Committee, through its Sub-Committee on Employment Services and Training, recently made recommendations about private employment agencies. It is not often that a Select Committee gets what it wants before the ink is dry on its report. I have sat on what is now the Expenditure Committee, the old Estimates Committee, for some years, and I know that formerly we had to wait for months and sometimes for years before a report was even debated. With the introduction of this licensing procedure, we have given the Expenditure Committee not only what it asked but a little more, and if we have a further debate later in these proceedings I shall say something about that.

I hope that the licensing now to be available and strengthened by the amendment and the regulations to be made later will convince the Expenditure Committee that a satisfactory conclusion has been reached to the work on which it set out when it first began to investigate employment services.

Mr. Hugh Jenkins (Putney)

The amendment will make general the practice followed in London, originally under the LCC, by which it was required that it should be generally made known by advertisements that an application was to be made, thereby giving an opportunity for anyone concerned to express a view for or against the granting of a licence. Although this is not a formidable point, it is none the less a valuable addition, and I hope that the House will agree to accept the amendment.

The Under-Secretary of State for Employment (Mr. Dudley Smith)

The Government support the amendment. The purpose of requiring a licence is to ensure that, as far as possible without conducting an inquisition, an applicant is a suitable person to conduct an employment agency or business. It is usual for a detailed application form to be completed, but, as we know, questions can sometimes be answered so as to avoid the kind of reply intended by those asking the questions. It is therefore possible that matters of importance can pass undetected.

I understand that it is the custom of a number of existing licensing authorities to require a public announcement to be made by an applicant, and I am told that this includes the display of suitably worded notices at the intended place of business and Press notices in selected newspapers. From what I can gather, that arrangement appears to work satisfactorily and we therefore see no reason why it should not be extended to the whole country.

If the amendment is accepted, account will have to be taken of experience among existing licensing authorities which are more practised in these matters. It will safeguard future clients by allowing those with knowledge of an applicant's previous behaviour to come forward with information that may be of assistance to the licensing authorities. That is one of the most valuable features of the amendment and I hope that it will be accepted.

Amendment agreed to.

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