Tory donor's bid to curb job security
|Adrian Beecroft Chair of Dawn Capital, whose portfolio includes Wonga.com|
Payday loan boss donates £530K to the Tory party. Cameron asks him to examine how employment law could be overhauled and Mr Beecroft has recommended ditching unfair dismissal rules.
This news comes at the same time as Citizens Advice report that "Payday lenders" have broken 12 of the 14 industry pledges in the industry charter which was launched 6 months ago.
The problem with so called "self regulation" of this (or of any industry) is that it just doesn't work.
Unless the "guidelines", "charters", "pledges" or any of the other promises made by the members of the industry are enforced by law, there is little prospect of any changes to the behaviour and practices of the industry, except perhaps at the margins. Turkey's do not vote for an early Christmas.The answer is of course to legislate and provide for tough sanctions to deter businesses from transgression of the rules. Alternatively, the business, particularly the Payday loan companies should have their licenses revoked to prevent them trading. That however would be problematic, as we should not forget the £530K donation and all the other donations flowing into Conservative Party coffers.