14/08/2012 Newsnight


14/08/2012

Stories behind the headlines with Gavin Esler. Commuters get pricier tickets, Standard Chartered get a record fine. Also, zero hours contracts, Ryanomics and Helen Gurley-Brown.


Similar Content

Browse content similar to 14/08/2012. Check below for episodes and series from the same categories and more!

Transcript


LineFromTo

Tonight, commuters could soon be hammered by train fare rises

0:00:030:00:08

averageing more than 6% in England, 4% in Scotland and 11% on some

0:00:080:00:11

routes, but will they actually happen? The Government found money

0:00:110:00:16

to keep fares down, could another change of mind be coming down the

0:00:160:00:20

line? You may love your morning rail commute you don't mind paying

0:00:200:00:25

more. But possibly, you feel slightly different. Also tonight:

0:00:250:00:29

Connect with the bank that's been connecting Asia, Africa and the

0:00:290:00:34

Middle East... One of Britain's biggest banks pays a record fine

0:00:340:00:38

for breaking an American banking embargo to Iran. Why did they

0:00:380:00:48

settle? You got a job but they won't guarantee you any work or pay,

0:00:480:00:52

welcome to Zero Hours culture. understand that, there's not a lot

0:00:520:00:56

of work out there, but it is not fair because we need to know where

0:00:560:01:01

we stand. Because, how are we supposed to pay our bills. Mitt

0:01:010:01:05

Romney's running mate for the US presidency is a man with a plan.

0:01:060:01:13

What opponents suggest is a little extreme. Paul Mason explores the

0:01:130:01:20

austere world of Ryanomics. We speak to a man about his chances.

0:01:200:01:26

Cosmopolitan, page 114. Sex and the Single Girl, Cosmo founding editor,

0:01:260:01:36
0:01:360:01:38

Good evening, two weeks ago the governor of the Bank of England,

0:01:380:01:42

Mervyn King predicted inflation would fall for the rest of the year.

0:01:420:01:50

Today it went up, the CPI to.6%, the retail price index to 4.2%. If

0:01:500:01:53

you are a rail commuter the news is particularly bad because this

0:01:530:01:57

month's figures are the basis for fare increaseness January. They

0:01:570:02:02

will now be over 6% on average in England and over 11% on some routes.

0:02:020:02:07

So, should the Government step in as they did last year? Is something

0:02:070:02:11

more radical required? Perhaps a return to a publicly owned British

0:02:110:02:21

Rail, as a strategic resource? David grossman sets the scene for

0:02:210:02:25

us. Even when the sun is shining the slog to work is not much fun

0:02:250:02:35
0:02:350:02:36

and it costs. We already pay some of the highest rail fares in Europe.

0:02:360:02:45

Up a fifth in real terms since 1995. And the pain is going to get worse.

0:02:450:02:48

When the coalition came to power they decided we need today reorder

0:02:480:02:52

the balance of who pays for our railways from a situation where

0:02:520:02:56

roughly 50% of the cost were met by pass injuries and the other half by

0:02:570:03:01

the taxpayer, to one where the passengers pays 75% of the costs.

0:03:010:03:04

Those rail passengers, tempt today rail against the rail companies,

0:03:040:03:08

will be better directing their anger towards two factors. One is

0:03:080:03:16

high inflation and the other, is a conscience Government policy.

0:03:160:03:23

fares are playing an important role in funding a massive fund of

0:03:230:03:25

improvements right across the country. The Government is

0:03:250:03:31

committed to spending 18 billion to improve the railways for passengers,

0:03:310:03:36

but we need to ask passengers for a contribution for that. The last

0:03:370:03:42

Government's policy was that rail fares rise by the retail price

0:03:420:03:47

index plus 1%. When the coalition came in, they said the figure

0:03:470:03:51

should be RPI plus 3% from 201. Last year the Government backed

0:03:510:03:57

down for one year at least, limiting the rise of RPI to 1%

0:03:570:04:01

instead. If the fares rise in the way the Government's talking about,

0:04:010:04:08

3% above in inflation, inflation is 3.2%, that's 6.2%, plus flexibility

0:04:080:04:11

that allows operators to increase it by more. We think that's going

0:04:110:04:15

to be too much when the economy is flatlining, and households are

0:04:150:04:20

already facing higher housing and other costs. We think that the

0:04:200:04:28

Government needs to rethink these fares' rises. And actually, reduce

0:04:280:04:31

them significantly. Some commuters already report being near breaking

0:04:310:04:35

point. I think it is the if the rail fares increase, it will be a

0:04:360:04:41

decision to come down to work here or not. As stark a choice as that?

0:04:410:04:45

Yes, when you're looking how much increase that they put on year on

0:04:450:04:50

year, it doesn't match the salary increases we get. You may have to

0:04:500:04:55

rethink what you do for a living? Exactly that. That's of course if

0:04:550:04:59

the Government doesn't back down first. Like they did last year over

0:04:590:05:03

rail fares and the pasty tax charities tax and fuel duty rises.

0:05:030:05:06

There's pressure within the coalition for them to do so. The

0:05:060:05:10

Liberal Democrats went into the last general election promising to

0:05:100:05:19

raise rail fares by no more than RPI, minus 1%. The Liberal

0:05:190:05:22

Democrats set the Government, which they are part should be pressing

0:05:220:05:28

the rail industry to make the efficiency savings, recommended by

0:05:280:05:34

the Mcnulty review, savings that could add up to �1 billion. George

0:05:340:05:37

Osborne could step in and use the money from Mcnulty and reduce the

0:05:370:05:42

rate of increase of rail fares. Ideally they would go up by less

0:05:420:05:46

than inflation. I hope he can do that. We persuaded him last year, I

0:05:470:05:53

hope we will do this this year, we have to take a stance, otherwise

0:05:530:05:57

rail fares will be continue to above inflation, and lots of people

0:05:570:06:01

will be unable to afford to travel by rail. The Liberal Democrats have

0:06:010:06:05

half an eye on the marginal seats. Commuter towns are important to all

0:06:050:06:09

the parties. And the commuters don't like fare rises but if they

0:06:090:06:13

don't have to stump up the extra cash, well it has to come from

0:06:130:06:17

taxpayers, who don't like paying more taxes either.

0:06:170:06:22

But is there another way? Government keeps talking about

0:06:220:06:26

there's only two source of funding, actually we think if you look at

0:06:260:06:29

other countries, and even at experience in this country, there

0:06:290:06:34

are other sources of funding for the railway. The railway gets 10%

0:06:340:06:37

of income from developments stations, retail, shopping and that

0:06:370:06:41

kind of thing. We think there are other opportunities for adding

0:06:410:06:46

development around railway stations, and using that money to invest in

0:06:460:06:50

new capacity in the railways to make stations better. Many

0:06:500:06:56

passengers, are already fed up. The fare rises in England won't come in

0:06:560:07:02

until next January. The Government has until then to decide whether to

0:07:020:07:08

intervene. We'd love to have asked the Government whether they might

0:07:080:07:12

interintervene as they did with petrol prices but no-one was ail

0:07:120:07:15

vabl. Maria Eagle is here. Should they intervene and say we shouldn't

0:07:150:07:20

do this, like the petrol prize increase, we can put it off? They

0:07:200:07:25

could and should and Labour's policy is it should be no more than

0:07:250:07:29

inflation plus 1%. They've taken the decision to plus 3% they're on

0:07:290:07:35

the side of the wrong people, instead of siding up for commuters

0:07:350:07:40

and passengers, they've given companies the power to hike fares

0:07:400:07:46

by more, 5.% above the cap. Just as a matter of principle, do you think

0:07:460:07:51

it is right to try to reduce the public subsidy to the railways so

0:07:510:07:55

taxpayers, many who don't travel on the railways, shouldn't have to pay

0:07:550:08:00

for commuters who do travel, choose to travel and railway's popular?

0:08:000:08:04

You have to get the balance right. Passengers pay two-thirds of the

0:08:050:08:08

money going into the railways. You have to have the balance right.

0:08:080:08:11

Because there is a potentially economic benefit from enenabling

0:08:110:08:15

people to get to work, to get to college and places where they need

0:08:150:08:19

to go. Why shouldn't they pay for example the whole thing? They pay

0:08:190:08:23

two-thirds. And you can't have it turning into a complete rich man's

0:08:230:08:26

toy, so nobody can afford to go on the railways at all. You have to

0:08:260:08:30

get the balance right. This Government has not got the balance

0:08:300:08:33

right. They're too interested in enenabling the train companies

0:08:330:08:38

making more money, to give power to raise fares by more. It is possible,

0:08:380:08:42

for them to not have these fares go up as much. We would want them to

0:08:420:08:48

do tkha. What do you say about the reports tonight that, Virgin could

0:08:480:08:53

lose the franchise are for the west dost main line? We have to wait and

0:08:530:08:58

see, what happens tomorrow, we think. But, it looks like likely

0:08:580:09:03

this bid is going to be lost by Virgin. I think the Government has

0:09:030:09:07

to ask itself, three questions. I'm concerned about passengers losing

0:09:070:09:13

outs whoever wins this. I'm not in favour of one bid or another, I've

0:09:130:09:16

not seen all the details yet. None of us have. Government should ask

0:09:160:09:21

themselves a number of questions. Is the bid realistic, the winning

0:09:210:09:26

bid realistic? We've had examples on the East Coast Main Line, where

0:09:260:09:31

companies overbid, then hand it back the keys. We've had examples

0:09:310:09:36

of companies, now involved in these bids, who have gameed the system by

0:09:360:09:41

not taking on the extra years when they ended up, they would have been

0:09:410:09:45

paying money back to the Government, thus avoiding paying money back so.

0:09:450:09:49

The Government needs to make sure that passengers don't lose out

0:09:490:09:52

whatever happens. One way, of stopping it being a rich man's toy

0:09:520:09:57

would be to take it back into public ownership, either piece by

0:09:570:10:02

piece, as the franchises come up. What is wrong with that, the RMT

0:10:020:10:05

want that? You could do something now, which doesn't involve the

0:10:050:10:09

changing of the infrastructure in the industry. That is keep the fare

0:10:090:10:14

prices down and stop the private companies gaining the system.

0:10:140:10:18

kofd that, but could you foresee taking the railways at least partly

0:10:180:10:24

into public ownership? In our policy review, which hasn't come to

0:10:240:10:28

conclusions yet, we're looking at getting better value for the

0:10:280:10:33

taxpayer, fare payer, and railway that doesn't waste money. It is

0:10:330:10:38

said that it would be better for the taxpayers, you wouldn't rule it

0:10:380:10:43

out? We will put a policy, about this. We need to make sure

0:10:430:10:45

passengers and taxpayers get the best value for money out of this.

0:10:450:10:48

It is not ruled out yet. It is still something you're considering?

0:10:480:10:53

Our view is on going, but what I say is, today, the Secretary of

0:10:530:10:57

State could do something to help hard-pressed commuters by stopping

0:10:570:11:02

the gaming of the system, and putting passengers right.

0:11:020:11:07

strategic resource, we've shown as a nation, we can do big projects

0:11:070:11:12

and run the Million Pound Drop Celebrity Games, it woon be

0:11:120:11:16

unthinkable to bring British Rail back? We're not interested in our

0:11:160:11:23

review, in taking steps that there cost taxpayers, and passengers

0:11:230:11:28

pairs, we're looking at lessons learnt in Europe, where you can see

0:11:280:11:32

fares and costs lower. But that doesn't absolve the Government

0:11:320:11:38

taking action they could take today and now, to relieve that pressure

0:11:380:11:42

on fare-payers, and taxpayers. Thank you. Now, Britain's Standard

0:11:420:11:48

Chartered bank agreed to pay �340 million, dollars rather, to New

0:11:480:11:52

York banking regulators in a row over breaking the American banking

0:11:520:11:58

embargo in Iran. The bank accepted it involved transactions of at

0:11:580:12:03

least $250 billion and these were hidden by American regulators. What

0:12:030:12:08

is this about? You recall a week ago, we were stuned when the last

0:12:080:12:13

remaining ethical bank, supposedly, Standard Chartered were charged

0:12:130:12:20

with hiding $250 billion in cash from US regulators, they were

0:12:200:12:23

called a rogue constitution, the bank den need that today in the

0:12:230:12:30

last few hours, they have settled for 340 million. They had monitors

0:12:300:12:34

installed from the bank, from the regulator, and reputation that is

0:12:340:12:39

been damageed as a result. That's the result today. Who is the winner

0:12:390:12:48

in this, because they've voicely didn't do it, do they want it to go

0:12:480:12:53

away? Either regulator who gets 340 million dollars, they didn't have

0:12:530:12:56

the blessing of the Department of Justice in the US and other

0:12:560:13:00

regulators, so they look like their reputation is damageed not co-

0:13:000:13:03

ordinateing this, and looking for publicity and political ambitions

0:13:030:13:11

for the head of the DFS. Standard Chartered, price collapsed last

0:13:110:13:16

week, recovered since then. And then the dirty laundry, the

0:13:160:13:21

embarrassing e-mail, released from, by the regulator, where a director

0:13:210:13:28

said that, you effing Americans, who are you to tell us we can do

0:13:280:13:32

business with. That's one the reasons Standard Chartered wanted

0:13:320:13:36

to settle, they didn't want that aired and the bank is distanceing

0:13:360:13:43

themselves from the e-mail. idea of a bank having the words

0:13:430:13:49

"rather", money laundering" and banking "sincere threatened as well.

0:13:490:13:52

Standard Chartered does most of the business through dollars, which has

0:13:520:13:56

to run through the American system, probably through New York, if they

0:13:560:14:00

lost the license, that's the bank finished. The monthly unemployment

0:14:000:14:05

figures are out tomorrow. In the past few months they surprised

0:14:050:14:10

economists. In the middle of hard recession, the British economy has

0:14:100:14:14

been creating jobs, but what kind. More and more of us are offered

0:14:140:14:18

what is called Zero Hours contracts, meaning you have a job, but no

0:14:180:14:24

guarantee of actually getting any work, and therefore no guarantee of

0:14:240:14:28

wages. Allegra Stratton call a flexible labour market and others

0:14:280:14:38
0:14:380:14:47

Define "job". Noun, a paid position of regular employment. Look around

0:14:470:14:52

Britain today and there are two bits of that definition that should

0:14:520:14:56

give the Oxford English dictionary pause for thought. What if a job is

0:14:560:15:02

not regular and not always paid? Unemployment over the last few

0:15:020:15:06

months has not been as bad or high as many expected. That's partly

0:15:060:15:10

because of the rise of work that is not full time work. You have the

0:15:100:15:15

rise of the part-time job, the rise of self-employment and persistence

0:15:150:15:18

of something called a zero hour contract. They are exactly what

0:15:180:15:24

they say on the tin, you're in work, it is just you're not very often at

0:15:250:15:29

work. You have a minimum wage but not a minimum number of hours.

0:15:290:15:34

Britain is working, but what type of work is it? In a suburb, on

0:15:340:15:38

Monday morning, ana, not her real name is waiting to learn whether

0:15:380:15:45

she will get work today. Every day around 11.30, she's told whether

0:15:450:15:51

she's needed at 1.30 on the bagging line of a factory. We arrived at

0:15:510:15:57

the time of the text message. Is this it? Anna cannot look for other

0:15:570:16:00

work because she's supposed to be available for the picking and

0:16:000:16:04

packing job. She let us look back through the phone at the

0:16:040:16:06

correspondents with her employer. We don't detail the number of

0:16:070:16:12

shifts but it is half work, half day off. Occasionally the text

0:16:120:16:16

messages contain a few pleasantries, sometimes a smiley face, sometimes

0:16:160:16:22

a sad face. It seems in Britain today, we have employment by emote

0:16:220:16:27

come. It is shocking, what is concerning is how widespread this

0:16:270:16:30

is. We've been surprised by how many people are working under these

0:16:300:16:33

conditions. That's because the sectors, where this is common are

0:16:330:16:37

the sectors of our economy that are growing, this isn't a problem

0:16:370:16:42

that's going away. We're not talking guy norm mus numbers but in

0:16:420:16:48

the official numbers, Zero Hours contract are numerous, and 2005,

0:16:480:16:52

there are 54,000 of them, now they have tripleed. These contracts

0:16:520:16:56

should be a good thing, allowing employers flexibility to take

0:16:560:17:02

people on, even if they fear a downturn. They can hire, but on a

0:17:020:17:09

zero hour contract it doesn't take long to fire. They may not get

0:17:090:17:13

shifts in the remaining three months. For the employee, they have

0:17:130:17:18

some work if not much. While there are some using it as a valve

0:17:180:17:22

regulating the fringes, there are those using them for long-term

0:17:220:17:27

members of staff. This young man has been on a zero hour contract

0:17:270:17:31

from McDonald's for close to five years. Sometimes you'll get given

0:17:310:17:36

your shift late Sunday night or early Monday morning, you need to

0:17:360:17:41

be in mid-morning, but didn't realise that. You get a phone call,

0:17:410:17:46

saying you are meant to be in work. Some weeks you'll get more hours

0:17:460:17:49

that you can work, and some you will be looking for extra shifts

0:17:490:17:54

because you have no money. The only people who have contracted hours

0:17:540:17:58

are managers, salaried and they have to work 40 hours a week to

0:17:580:18:02

earn the salary. Fast food nation, and fast food occupation. Those

0:18:020:18:09

jobs look OK, but they don't fill up your family finances. There's no

0:18:090:18:13

law preventing zero hour contracts. You think there should be? Yeah.

0:18:130:18:17

Because they're not fair or right, they're exploitative. The free

0:18:170:18:22

labour market is for the companies, it is not for us, I'm not free.

0:18:220:18:25

a statement, McDonald's explained your use of zero hour contracts.

0:18:260:18:31

They said the majority of the 87,000 people employed in the UK

0:18:310:18:38

are employed on an hourly basis. Into this suits the majority of our

0:18:380:18:43

employees, McDonald's said "since they're looking for shift patterns

0:18:430:18:48

to fit flexibility for paid work around childcare and other

0:18:480:18:53

commitments" so McDonald's feel they're nurturing employment but

0:18:530:18:59

employees think Tess precarious work. Experts agree, it is open to

0:18:590:19:02

interpretation. A good zero contract makes no difference

0:19:020:19:07

between the rights and protections of the people on the zero hour

0:19:070:19:09

contracts and regular workforce. The only difference is in the hours,

0:19:090:19:14

that you actually work. And that gives us flexibility without

0:19:140:19:20

exploitation. A bad Zero Hours contract we're seeing elsewhere, is

0:19:200:19:24

people having wages forced down and fewer rights and having fewer

0:19:240:19:29

protections. And that's not just about flexibility but exploitation.

0:19:290:19:33

This year, Natelie thought they had secured her dream job, her first

0:19:330:19:37

one in five years. She was kerpld to take it, but then told not to.

0:19:370:19:42

There was no way they could Madge Yo-Yoing shifts with a young son.

0:19:420:19:47

Basically, I couldn't take the job. Because if I did, I would be worse

0:19:470:19:52

off, I wouldn't have got working tax credits, help with childcare, I

0:19:520:19:56

would be down �74 and still expected to pay for childcare.

0:19:560:20:00

Where would I get that money. It wasn't going to happen. Not only

0:20:000:20:04

that, with Zero Hours, if I was doing a few hours one week, and

0:20:040:20:10

more the next, I would never know where I'm supposed to be, how would

0:20:100:20:15

I know where I could take my son. When you spoke to the people at the

0:20:160:20:20

jo interest and said there's no way I can take this Did they understand

0:20:200:20:25

or think you're problem? Yeah, basically it was my problem.

0:20:250:20:30

they say that? They didn't say to me, don't take the job, because

0:20:300:20:34

they're not allowed to say that, they said if you're not going to be

0:20:340:20:38

better off, which I knew, then not to take the job. And to look

0:20:380:20:42

elsewhere. Basically, start from the beginning. Parents have a tough

0:20:420:20:46

time when they need childcare, providers need you to book in in

0:20:460:20:51

advance, if you don't know how many hours you're working it is hard to

0:20:510:20:54

secure your childcare place, and you have to pay for hours you don't

0:20:540:20:59

use, because you don't need them for work. There's an hours' rules

0:20:590:21:06

related to tax credit. For single parents it is �16 a week, and

0:21:060:21:12

coupled parents, �24. If you don't know the hours, it is hard to reach

0:21:120:21:17

that rule. And finally, the other issue is you have to keep herself

0:21:170:21:20

herself informed of our changing hours, because the last thing you

0:21:200:21:25

need is a parent on a low income, to get a bill you can't afford to

0:21:250:21:33

pay back, because you've received too many tax credits from HMRC

0:21:330:21:38

because you've worked fewer hours than you thought, it is a difficult

0:21:380:21:41

balancing act. Two standards the Government set themselves, they

0:21:410:21:44

said the labour market should be competitive, but they also said it

0:21:440:21:49

should be fair. In the Autumn, we expect measures to further

0:21:490:21:53

deregulate the workforce. The challenge for the Government is to

0:21:530:21:56

wean people off benefits and make being in work pay. The problem with

0:21:560:22:01

something like a zero hour contract, is that you're in work, it is just

0:22:010:22:05

not paying. The Government is adamant they want to end the

0:22:050:22:08

complex brownite system of tax credits and benefits, but does that

0:22:080:22:12

place a responsibility on them to ensure a certain quality of job? Do

0:22:120:22:17

they in short, have to take on corporate Britain? What do you

0:22:170:22:21

think they should do about the Zero Hours? They need to get rid of them.

0:22:210:22:26

It doesn't make no sense. I thaunds, there's not a lot of work out there,

0:22:260:22:31

but, it is not fair, because we need to know where we stand.

0:22:310:22:38

Because, how are we supposed to pay your bills? Sarah Veale is head of

0:22:390:22:45

employment rights at the TUC and Nadhim Zahawi on the business and

0:22:450:22:49

select committee. Do you see there's a problem here, sts

0:22:490:22:53

stressful for the young woman, she wants to better herself and finds

0:22:540:22:59

it difficult? We heard in your piece, a good Zero Hours contract

0:22:590:23:05

can work for people who want that flexible, whether study or look for

0:23:050:23:09

permanent employment. It is not imaginative way to create a

0:23:090:23:14

nextability Labour market. We can be more imaginative. We can look at

0:23:140:23:20

Mini and mid-y jobs, if you have a mid-y jobs, 400 your yos a month,

0:23:200:23:24

you are taken out to pay any tax, it is the Grozny is the net you get

0:23:250:23:30

in the bank account and the employer pays a flat rate. Anded

0:23:310:23:34

mid-y is increasing Social Security payment on both the employer and

0:23:340:23:38

employee. You would be happy if we didn't have the zero hour contracts

0:23:380:23:42

at all, because there are other things that would be better? We can

0:23:420:23:46

be more imaginative. The growth of the contracts, they haven't set the

0:23:460:23:51

world alight. In your own report the numbers is 161,000. There are

0:23:510:23:57

more now. But my point being, is we need a flexibility labour market.

0:23:570:23:59

Germany recognise that. Vince Cable didn't say that. I interviewed him

0:23:590:24:04

a month ago, he said we have a number of problems with the economy,

0:24:040:24:12

but the one which is not creating jobs is adopting flexibility in the

0:24:120:24:16

labour market? I would respect flee disagree, the American market is

0:24:160:24:22

the other extreme, you can let people go with two weeks' notice. A

0:24:220:24:30

key employee, when I was using work, a brutal employee can leave you

0:24:300:24:34

with two weeks' notice. The flexibility in the market allows

0:24:340:24:37

business toss make the decision toss employee extra people, with

0:24:370:24:41

the knowledge they can right-size back again F the strategy goes

0:24:410:24:46

wrong. Do you buy that, if you have a more flexible market, businesses

0:24:460:24:51

will take risks and that's good for snerve There's no evidence, we had

0:24:510:24:55

de-regulation of the labour market, we had one of the lightly regulate

0:24:550:24:58

markets in the world. There's no cause or link, ever established

0:24:590:25:03

between the amount of employment regulation and propencity of people

0:25:030:25:07

to take people on. There are other reasons for taking businesses

0:25:070:25:11

taking people on. There's no evidence, we've never seen serious

0:25:110:25:14

evidence, that what stops them, at that point where they're thinking

0:25:140:25:19

of taking on somebody, is the possibility they might pursue

0:25:190:25:23

unfair dismissal claim or being difficult. It doesn't seem to be

0:25:230:25:27

the issue. When you hear that the stories we heard from people in

0:25:270:25:30

that report, do you not think this is very, very difficult for them,

0:25:300:25:36

but, it may be better to have some work, than have no work and this is

0:25:360:25:42

unpleasant and horrible but better not to sit at home and not work at

0:25:420:25:47

all? Let's assume people do nothing, there's a point, the jobs are so

0:25:470:25:51

appalling they're not worth doing. The woman interviewed at the film,

0:25:510:25:56

made it clear, she advised to carry on getting serial security because

0:25:560:26:00

of her childcare issues, in her situation, working simply would not

0:26:000:26:04

pay. We must be doing something right when Spain has 25%

0:26:040:26:08

unemployment and we don't have. It may not be perfect but it is better

0:26:080:26:11

than Spain? The Spanish Labour market is different to the Spanish

0:26:110:26:15

economy is different. But, unemployment is very high in this

0:26:150:26:18

country, and the trouble is that when unemployment is that high, and

0:26:180:26:21

we've seen this in the past, employers use that as license to

0:26:210:26:25

exploit. They can get people to work on the dreadful contracts

0:26:250:26:28

because people are desperate. As the economy picks up and employment

0:26:280:26:31

starts to grow again, people will walk out of the jobs, that isn't

0:26:310:26:35

very good for the companies that use the contracts. Because they

0:26:350:26:41

won't have a predive maybe market. They want people to disappear, the

0:26:410:26:46

second anything else comes up. It is hard to believe McDonald's is

0:26:460:26:49

not worried the reputational damage this will be doing them. What would

0:26:490:26:53

you like the Government to see when the Government talks about this, in

0:26:530:26:56

the Autumn, what kind of things? heard there's no evidence. We can

0:26:560:27:02

look at Germany, when they introduceed in 2003, the Mini and

0:27:020:27:07

mid-y job concept, they created 1385 million 348 new jobs, helping

0:27:070:27:12

especially the young people, so 20, and younger, and can I finish my

0:27:120:27:17

jobs, helping those over 60, and especially female workers, the

0:27:170:27:20

evidence is overwhelming from Germany. We ought to, if nothing

0:27:200:27:25

else learn from the economy in Europe that has unemployment down

0:27:250:27:30

to over 5%. If you want to look at Germany, they have national

0:27:300:27:33

collective bargaining with trade unions, that determine the wages

0:27:330:27:37

throughout industry, regardless whether the people in the workplace

0:27:370:27:43

are in the unions, if you want we will be happy to discuss it.

0:27:430:27:47

not disagreeing with you, all I'm saying is I have experience in York

0:27:470:27:53

working in Germany, what they did with the two concepts, in 2003,

0:27:530:27:57

they realised labour market was not as flexible as the UK, and they

0:27:570:28:02

were going in the Euro, they decide today create the min and mid-y jobs

0:28:020:28:07

and transformed the labour market. It is worth learning. Given the

0:28:070:28:12

Vince Cable said, you both parties can agree on this Vince Cable is

0:28:120:28:16

doing a lot of this already. You look at the settlement agreement

0:28:160:28:20

they're introducing in the bill, that is going through Parliament,

0:28:200:28:23

where it helps employers have a settlement to the employee, before

0:28:240:28:31

going through a tribunal. They don't agree, Vince Cable said the B

0:28:310:28:37

croft proposals, produced for David Cameron, by an entrepreneur was

0:28:370:28:40

"bonkers" and we were not going to have a labour market had a rested

0:28:400:28:43

on the ploilt yeas of the workforce like that. I can see there's a

0:28:430:28:47

massive rift between the two of you on that. You can't pretend or paper

0:28:470:28:51

over the cracks between you. The Liberal Democrats are committed to

0:28:510:28:57

fairness at work. And the Conservatives are not. We are

0:28:570:29:00

making recommendations. Thank you very much. Now, once Monday a time

0:29:000:29:05

in America, during a hot, hot summer, a Republican presidential

0:29:050:29:10

candidate, trailing in the pollings tried to revital lies his campaign

0:29:100:29:15

by picking an unexpected vice presidential mate. They were awash

0:29:150:29:20

with excitement with a heardland heart throb but he lost. That was

0:29:200:29:23

the story of Senator John McCain and Sarah Palin four years ago,

0:29:230:29:28

could it be the story of Mitt Romney and Paul Ryan this year.

0:29:280:29:32

There's a big difference, even those who dislike Paul Ryan's ideas,

0:29:320:29:40

admit he has some. And they are shaking up the campaign. Here Paul

0:29:400:29:44

mayon on Ryanomics. He's unknown here and was not much known in

0:29:440:29:50

America until this year. Meet, Paul Ryan the man picked to be Mitt

0:29:500:29:53

Romney's Vice-President in less than a week, he polarised US

0:29:530:29:58

politics, for this is a man with a plan. The fact are very, very clear.

0:29:580:30:02

The United States is heading towards a debt crisis the only

0:30:020:30:07

solutions will be painful for us all. That doesn't have to be our

0:30:070:30:11

future. The way we respond to this challenge will ultimately define

0:30:110:30:15

our generation, we can choose a path to prosperity. Let's take a

0:30:150:30:24

look at how we can do did. Paul Ryan is not any old Conservative,

0:30:240:30:29

he gave a jolt by producing his budget plan. The aim was to force

0:30:290:30:33

the right to think big and long- term about the mountain of debt

0:30:330:30:39

they've helped create. And now the plan is to get America to think the

0:30:390:30:44

unthinkable: We will cut spending. Washington's unsustainable spend

0:30:440:30:48

something driving the nation's permanent plunge into debt. This

0:30:480:30:53

line, shows state spending in America, according to President

0:30:530:31:01

Obama's projections, climbing 2% of GDP to 26% in the next ten years.

0:31:010:31:09

This line is Paul Ryan plan A rapid cut in the federal state, taking 5

0:31:090:31:16

trillion out of the spending. think, Obama has to be happy about

0:31:160:31:20

his plannings, the extent the election is about long-term budget

0:31:200:31:23

policy and fiscal issues, not about the short-term and the high

0:31:230:31:27

unemployment rate. What the Government can do to get us out of

0:31:270:31:33

the stagnation we're in, it will be President is comfortable.

0:31:330:31:39

COMMENTATOR: Health care reform is budget reform, you're right, we

0:31:390:31:45

agree, Medicare has a $28 trillion in empty promises, to my parents'

0:31:450:31:49

generation, our generation, our kids' generation,:. President Obama

0:31:490:31:56

is used to be secureed by Paul Ryan. Paul Ryan wants to remove between

0:31:560:32:01

25-30 million state from the health care system and cut the food stamp

0:32:010:32:06

programme, 47 million people rely on. Tames will be slashed and

0:32:060:32:14

growth would follow. I think it is:. For the Democrat heart throb, it's

0:32:140:32:24

not gone down well. You know what, it's funny, it's funny because eye

0:32:240:32:28

wantance, we like to be respectful of one another and peaceful and

0:32:280:32:35

listen to each other, these ladies may not be from Iowa and Wisconsin.

0:32:350:32:38

I hear these are great snow cones. Suddenly American politics on all

0:32:380:32:42

sides is about who you are, and where you're from, and how you like

0:32:420:32:46

your ice shaved. I can tell already the consistency.

0:32:460:32:53

Many of you know, I grew up in Iowa, where I know shaved ice, this is a

0:32:530:32:59

finely, shaved ice, this is outstanding, right here. With

0:32:590:33:03

Ryan's selections some say it allows President Obama to toe cuss

0:33:030:33:08

on the big idea logical issues that divide America. By choosing Paul

0:33:080:33:12

Ryan, Mitt Romney doubles down on his position, that rewants to lower

0:33:120:33:16

taxes for the wealthiest Americans. This will be something that the

0:33:160:33:20

Obama campaign is going to pounce on, it will become a clear choice

0:33:200:33:24

for voters as it whether they believe that tax cuts for the

0:33:240:33:30

wealthy should be continueed or even brought lower. The fact is

0:33:300:33:36

even in the short-term, the US is facing a looming debt crisis, last

0:33:360:33:42

summer unable to agree to a budget, they had a fiscal cliff, budget

0:33:420:33:48

cuts, that would plunge the US into a sharp recession. This line, shows

0:33:480:33:52

the overall I will pact of US federal and state level spending

0:33:520:33:56

changes on the economy. Positive in 2009, slightly negative ever since,

0:33:570:34:02

if the Government decides to fall off the fiscal cliff, that would

0:34:020:34:07

wife 4% points off growth in a year. For the past two years, the word

0:34:070:34:11

"debt cries skis "applied exclusively to Europe, but now

0:34:110:34:15

America is stum bring towards one. Paul Ryan's statement is if you cut

0:34:150:34:22

the state growth will follow. That's a major throw of the dice.

0:34:220:34:26

Ryan's selection prompted this attack ad by supporters of the

0:34:260:34:31

President, non-too subtlely suggesting what the Ryan plan does

0:34:310:34:36

for the elderly. Welcome to the US election 2012, in which no

0:34:360:34:45

prisoners will be taken. Anthony Scaramucci runs a hedge fund and

0:34:450:34:50

supported President Obama, now he is one of the fund raiseers for the

0:34:500:34:55

Romney campaign. A national finance co-chair. I asked him why he

0:34:550:34:59

switched sides? Well, first of all, I supported the President because I

0:34:590:35:04

thought he was going to be a centrist politician and going to be

0:35:040:35:09

a transformive politician in the sense of healing the nation. So, I

0:35:090:35:14

didn't expect the President to be as left-leaning as he is, and

0:35:140:35:18

divisive as he's become. If you look at the negative campaigning of

0:35:180:35:22

the President, he's building up a lot of evidence to support what I'm

0:35:220:35:28

saying. As a release of finding another choice, in 2009, after

0:35:280:35:31

spending time with Romney and having Romney speak at our

0:35:320:35:36

conference in 2010 and building a close personal relationship with

0:35:360:35:39

him, visiting at his home and getting a understanding of the

0:35:390:35:45

personality he has, his character, his decision-making, and his love

0:35:450:35:50

of country, and frankly as a can-do, fix-it person, who wants to help us

0:35:500:35:54

and the world get out of the economic malaise we're in, I

0:35:540:35:59

thought he was the right guy for the job, and thankfully the

0:35:590:36:04

nomination process, proved that to be correct. Right but the choice of

0:36:040:36:09

Paul Ryan does that help the people that you talk with, raise money for

0:36:090:36:14

the campaign? Yes. I think there's no question about that. Paul Ryan

0:36:150:36:20

is one of the truth-tellers in our nation. OK. Many of the politicians

0:36:200:36:24

and the western democracies, want to lie to their repics, and tell

0:36:240:36:29

them things that are not true, they can get entitlements and spending,

0:36:290:36:33

and free things from the Government that frankly none of us can afford.

0:36:330:36:38

But, if in effect does it mean the kind of austerity we have seen in

0:36:380:36:43

many countries in Europe, which are cut very hard on the deficit and

0:36:430:36:48

actually Europe's in recession, it is not working OK. Well, you see,

0:36:480:36:52

that I can't speak to Europe, because I don't live in Europe and

0:36:520:36:56

I don't understand you guys as I understand the United States. Here

0:36:570:37:01

what is I understand in the United States, we are spending more than

0:37:010:37:07

we areer' taking in, we're spending 40 cents of every dollar. We need

0:37:070:37:12

to right-size that, and have a economic plan to guide federal

0:37:120:37:19

spending down to 19% GDP level. That means no tax breaks for richer

0:37:190:37:23

Americans, the Obama campaign is saying what you want to do, is you

0:37:230:37:30

want to give tax breaks to the rich and pay for it by the poor?

0:37:300:37:37

That is absolutely, falsehood. It is a misstatement. It is more

0:37:370:37:42

liberal shrists lifts brought forward by the Obama campaign, that

0:37:420:37:48

don't make sense. We're not saying that. We are saying we want tax

0:37:480:37:51

fairness, and pro--growth strategies, so we can grow our way

0:37:510:37:57

out of the problem, like we did in the 1980s. I wonder, a final

0:37:570:38:02

thought, if things are as bad as you say, given governments across

0:38:020:38:07

Europe, have been voted out because things have been bad, why is Obama

0:38:070:38:13

so far ahead in the opinion polls? I don't think he's far ahead in the

0:38:130:38:18

opinion pls. He's roughly even with governor Romney. I think the

0:38:180:38:24

President is very worried, he wouldn't have spent $110 million on

0:38:240:38:26

negative campaigning, and driven a deficit in terms of what he is

0:38:260:38:30

bringing in and what he is spending if he wasn't worried. The truth of

0:38:300:38:34

the matter is he can not run on his record, he has a failed economic

0:38:340:38:38

policy. We've had 44 months of above 8% in terms of the

0:38:380:38:44

unemployment rate in the country. He cannot run on the Mall lace he's

0:38:440:38:48

create. We all know an overburdenensome Government makes

0:38:480:38:53

it more difficult for poor people because they can't get hireed by

0:38:530:38:58

people who are creating the jobs. We all know that, and now we need

0:38:580:39:01

to tell the truth by the American people and make them make a choice.

0:39:010:39:05

If you want a cradle to grave welfare state, choose President

0:39:050:39:10

Obama. If they want to return to a society of self-reliance, and

0:39:100:39:14

upstart society with green shoots and economic opportunity and once

0:39:140:39:19

again a restart of class movement, I'm the product of class movement

0:39:200:39:23

I'm a middle class kid that built two successful businessness this

0:39:230:39:29

country. If they want to return to that, we've given them a stark

0:39:290:39:34

choice. They can chies room room room and Paul Ryan or stay in the

0:39:340:39:39

situation with Obama. That's their choice. Anthony Scaramucci thank

0:39:390:39:42

you very much. Thank you I enjoyed it.

0:39:420:39:47

Now, a generation brought up on sex in the city, might not know the TV

0:39:470:39:51

series and the kind of women it presents would not be possible

0:39:510:39:54

without Sex and the Single Girl. That was the title of a book

0:39:540:40:01

published 50 years ago, by Helen Gurley Brown. The editor of

0:40:010:40:07

cosmopolitan in New York. She died, a man haten iconic femist. We look

0:40:070:40:17
0:40:170:40:19

back on a life that tried to have Long before 50 shades of grey, this

0:40:190:40:24

woman brought a blush of pleasure to a publisher's cheek.

0:40:240:40:34
0:40:340:40:35

# They call it girl talk "sex is wonderful, and to be a sex

0:40:350:40:39

object is fabulous". Helen Gurley Brown, from Arkansas,

0:40:390:40:43

became internationally famous at 40, where her book, Sex and the Single

0:40:440:40:48

Girl. The BBC had her on to defend her

0:40:480:40:53

unbuttoned attitude to sex outside marriage. We are still in inferior,

0:40:530:41:00

we are dependent on men, 2 hours a day, it won't just do. The last

0:41:000:41:05

thing in the world I think is women are not equal to men, it is just a

0:41:050:41:09

single girl doesn't have a rewarding life, it seems to me,

0:41:090:41:18

unless they has men in her life. For more than 30 years, for more

0:41:180:41:26

than 30 years, girlie Brown extended an iron nail extension,

0:41:260:41:31

espouseing the needle point motto, Good Girls Go To Heaven - Bad Girls

0:41:310:41:36

Go Everywhere. What we're telling Cosmo women is go for it, get your

0:41:360:41:41

foot in the jobs, it doesn't have to have the best job, because you

0:41:410:41:51
0:41:510:41:57

Helen was unapologetic about encourageing women to use their

0:41:570:42:01

feminine wiels to get what they want. She certainly did that, and

0:42:010:42:06

embodied that in her own life. She didn't really mind sexual

0:42:060:42:10

harassment in this matter of fact she defended those men who were

0:42:100:42:14

later unkofd, because she had gone through 17 secretarial jobs when

0:42:140:42:20

she was a young woman, before she got anywhere. And she allowed men

0:42:200:42:24

to play pinch and tickle with her, and enjoyed some of the gifts that

0:42:240:42:30

came with that. She was part vixen as well as a visionary. That was

0:42:300:42:34

great. Where did you learn to cook like

0:42:340:42:42

that. Cosmo toll pan. The Cosmo brand crossed the pond to the UK.

0:42:420:42:46

Where did you get the idea of coming over here on the holiday.

0:42:460:42:52

Cosmo, page 13. Everything was up for grabs, for Helen Gurley Brown's

0:42:520:42:58

girls, including a butt naked Burt rein nolds. Children were absent

0:42:580:43:02

from the form lafplt No gums, no do you remember, feminist anger, and

0:43:020:43:05

no motherhood. Jiefplt Helen wanted everyone to

0:43:050:43:13

have a tool. For her, having a tool was a career, happy marriage, and

0:43:130:43:18

I'm sure incredible sex but she was not against women having children.

0:43:180:43:23

That was a choice she made. Great in bed, it is so disappointing, it

0:43:230:43:30

is like getting a bad bottle at the start of season. There may be no 35

0:43:300:43:34

box sets without boun boun boun. She anticipated the girms in so

0:43:340:43:40

many ways, not least at table. Skinny is sacred. Anybody plunking

0:43:400:43:48

down a plate of fried do you cheapy would be trying to poison me.

0:43:480:43:52

the talk this week is of legacy, and now that gets for Helen Gurley

0:43:520:43:56

Brown too. Should we really be encourageing young girls to look up

0:43:570:44:02

to these women or to a different kind of model altogether? Not much

0:44:020:44:06

doubt where the former Cosmo editor stood. I might be guilty of having

0:44:060:44:11

every single woman in the pages of Cosmo be a raveing beauty because

0:44:110:44:15

we are not all raving beauties, because that's unrealistic. And yet

0:44:150:44:19

you can be more beautiful. You can do so many things, you can get your

0:44:190:44:29

nose fixed and hair coloured. Cosmopolitan, page 114.

0:44:290:44:33

, Cosmopolitan, first issue out today.

0:44:330:44:41

Into # They call it girl talk #

0:44:410:44:46

Now, just before we look at tomorrow's papers, news that came

0:44:460:44:52

too late. Outgoing, general mark Thompson has been just appointed as

0:44:520:44:55

President and Chief Executive of the New York Times. We have the New

0:44:550:45:01

York Times, but we do have the York Times, but we do have the

0:45:010:45:07

British papers for tomorrow. The I has got anger over rail fare hikes

0:45:070:45:12

may force U-turn. Standard Chartered story is on the front

0:45:120:45:22
0:45:220:45:25

page of FT. Telegraph has story about sports fund for schools.

0:45:250:45:30

Games legacy as rules change. That's all from Newsnight tonight.

0:45:300:45:36

Because we know you miss the Olympics, here is our mash up from

0:45:360:45:46
0:45:460:46:20

the internet. Mo Farah running away Hello there. Summer is not over but

0:46:200:46:25

we will see a blip in proceedings. It will turn west from the south-

0:46:250:46:29

west through the day. Strong winds and rain. It will cater for two or

0:46:300:46:36

three hours of wet weather. Heavy rain, sliced through the

0:46:360:46:42

Midlands. Maybe the odd rumble of thunder. Behind that, things will

0:46:420:46:48

brighten up. Sunshine for Devon and Cornwall. Blustery though, despite

0:46:480:46:54

demptures doing well, perhaps not feeling all that pleasant. Wet

0:46:540:47:02

weathertor Wales and Northern Ireland. Met has claimed nasty

0:47:020:47:07

conditions for the time of year. Further north across Scotland for

0:47:070:47:14

much of the dayel be dry. Looking further ahead, it stays disturbed

0:47:140:47:18

through Thursday, blustery showers in the west, but further east,

0:47:180:47:22

plenty of bright and breezy weather. That's good news for the Test match

0:47:230:47:28

Commuters get pricier train tickets. Will the government bail them out? Standard Chartered get a record fine. Zero hours contracts. Ryanomics. Helen Gurley-Brown.


Download Subtitles

SRT

ASS