Arcnews 80 dec 2015:jan 2016

“The achievable bit will rely heavily on reducing HMRC’s headcount by at least another 10,000.”

“Is this a faux-democracy of those that shout the loudest?”

Have your say on developing ARC’s new website.

Helen Baird-Parker—32

Website Survey—13

Steve McFarlane—11

ISSUE 80 | DEC 2015/JAN 2016

WHAT DID THE ROMANS UNIONS

EVER DO FOR US? “When you get a job, join the union.

Don’t wait to find out if it is a good idea, you can find that out later. Just join.” JIM ROGERS—p14 arc-forum.org

EDITORIAL

STEVE MCFARLANE

T

here is a real sense that we are not living in normal or happy times – more so than usual. The savage attacks in Paris, coming on the heels of the destruction of the Russian airliner over Egypt, have shocked an entire continent, if not the whole world, and these events will reverberate around the globe for years to come.

These tragedies place events in HMRC into context. Which is not to say what’s happening rather closer to home isn’t hugely significant to those of us affected. I write this editorial between the 12 November office closures announcement and the CSR announcement due on 25 November.

If the former was the tsunami I can’t help but worry the latter will be akin to a huge aftershock. Our Chief Executive has told us a cut of 21% in departmental expenditure by 2020 has been agreed with the Treasury, which she describes as “fair and achievable.” What is clear is that the achievable bit will rely heavily on reducing HMRC’s headcount by at least another 10,000 between now and then. I’ll leave you to decide if you think that’s fair; whether you’re one of the 10,000 leaving, whether on retirement or otherwise; or one of the 48,000 remaining, who will be expected to do ever more, not just with less, but for less.

Helen Baird-Parker cautions us in this issue not to get drawn into trolling, when using the comments function HMRC has started for many news items on the departmental intranet. Despite continual warnings to staff not to post inappropriate comments, it seems like postings are removed daily for this reason. This is usually done so efficiently by the department it has made me really curious to find out what they have said. Trolling on the wider internet seems to me to be the distant cousin of road rage. Just like abusing other road users from the safety of your motor vehicle, anyone can vent their spleen using a keyboard and a mouse, and evidently many of us do. Browsing the internet the day of the closure announcements, the trolls were out in force, and all the usual clichés about gold-plated pensions were trotted out with monotonous regularity. One particularly keen troll thought we should all be sacked, and opinion among others varied as to whether HMRC is a Nazi organisation or a Stasi one. None of us do this job to court popularity, so insults like this are no more than water off a duck’s back. The danger though is in letting the trolls set the agenda. Thankfully, more sober counsels provided some counter-balancing views to their predictable tripe.

Over the last five or six years, ARC has spoken out with increasing authority to external stakeholders on matters of taxation. Now, as many in the UK have expressed doubts about HMRC’s future plans, is the time for ARC to develop a voice about what is being done to us.

This edition of arcnews is due through your letterbox shortly before Christmas. So I’ll take this opportunity of wishing you a Merry Christmas, whether you celebrate it or not. And being Scottish, I can hardly fail to wish all ARC members a guid new year when it comes.

Steve McFarlane Deputy Editor

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CAPTION COMPETITION THIS ISSUE

Something stage left has attracted the attention of Jon Clarke and Sarah Guerra. But what might either of them be saying or thinking? Entries to arcnewseditor@gmail.com by 31 January please. is published by the Association of Revenue and Customs (ARC) 8 Leake Street, London SE1 7NN www.twitter.com/arc_union Tony Wallace, President: 020 7401 5559 President’s Secretary: 020 7401 5573 Fax: 020 7401 5552 Membership: 020 7401 5590 membership@fda.org.uk Editor: Will Richardson arcnewseditor@gmail.com Mobile: 07973 895887 Deputy Editors: Julie Blayney Steve McFarlane Design & Production: www.lexographic.co.uk Advertising and classifieds: Simon Briant SDB Marketing 01273 594455 simon@sdbmarketing.co.uk Printing: Warners Midlands PLC The Maltings Manor Lane Bourne Lincolnshire PE10 9PH

ARCNEWS 78

Graham Flew took advantage of the precedent allowing those featured in the picture to enter, with his self-deprecating entry.

You can run but you can’t hide

The views expressed in arcnews are not necessarily the views of the editor or the union. arcnews is printed on environmentally-friendly paper produced from sustainable forests and wrapped in biodegradable polywrap.

Please recycle after you have finished reading this magazine.

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Eugene Mitchell watches the dust settle on the HMRC location announcements.

So, what next?

S

o we’ve had the locations’ announcement and now the hard work really begins of sorting out who goes where and when. As universally acknowledged for the last couple of years, everyone will be impacted by this to some degree. For some colleagues it will eventually mean the end of the road for their HMRC career and, if that is not an outcome they had envisaged and were looking forward to, this will have been devastating news. We need to ensure that we are all as supportive of each other as we can be and I’m sure that’s the approach that all ARC members will take.

We know that the next step is for lines of business and directorates to produce their business plans setting out where they expect to be for the long term. In reality that’s likely to be the real start of the process.

The announcement of the locations is like producing the picture lid for a jigsaw puzzle. But the jigsaw has 51,000 pieces, and there are many ways of making those 51,000 pieces hang together. (Actually there are 57,000 pieces but by the time it’s been put together 6,000 or so will have been lost).

This is a hugely complex task, exacerbated by how complex our organisation is. So it’s difficult to imagine that when the first cuts of all the business plans are

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“There will have to be many iterations while the pieces are engineered and reengineered until there is a fit.

I struggle to get my head round the scale of this task.”

pulled together we will have a model that fits neatly within the announced locations. There will have to be many iterations while the pieces are engineered and reengineered until there is a fit.

I struggle to get my head round the scale of this task. I think of my own office and the creation of Large Business in April 2014 when BT’s Large Business Service and E&C’s Large & Complex element of Local Compliance were combined, something that had been talked about and attempted more than once over a number of years. Large Business in Glasgow is based in

two offices, Cotton House and Portcullis House. Plans have been in development since 2013 to have the LB folk co-located. To achieve this required other business units to move to accommodate LB. It also required some Estates’ support.

Dates have been set for moves – but the LB moves haven’t happened.

They may yet. It’s not been for the want of trying that this one business unit within one region of one directorate in one line of business hasn’t managed to co-locate its people in one building in one city.

Doing this work is very tricky.

Paradoxically I’m sure that, despite the difference in scale, the very fact that every part of HMRC now has to engage in this work will mean that what has happened in Glasgow will not set the pattern for what goes on across the Department. The regional implementation leads, and the regional implementation teams, have got a huge job to do in the coming months and years. If this work is going to produce the best results it can then it needs ARC members everywhere, no matter your personal circumstances, to contribute professionally to ensure that we do produce an organisation where great people can do great work.

At the time of writing the Spending Review has not been arcnews

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HMRC LOCATION CUTS

published although HMRC is packaged with a group of departments facing an average cut of “around 21%”. Whatever the settlement it’s not going to be great news, despite the number of different stakeholders who are more and more willing, as shown, at our parliamentary events (see page 20), to question the wisdom of continuing to cut resources available to the country’s revenue raising body. With so much effort, and so much senior time, to be absorbed in making the different business plans a reality, and with resources being reduced via the Spending Review, we need to ensure that what we’re left with is deployed as effectively as possible.

So that brings me to how we administer the performance management process in HMRC. Since leaving university in 1980 I’ve always been involved in some form of performance management and I have no doubt of the value that effective managers produce in coaching the people they manage. And I see plenty of examples of that happening across HMRC today.

What I also see however, even though we’re now in the third year of the current PMR system, is managers having to spend more time than ever in checking the process, not improving performance, so as to demonstrate the delivery of an arbitrary performance curve. A day spent establishing standards at the start of the year, a day spent by managers to ensure they understand those standards, another day to moderate indicative mid-year marks and a day to validate the end of year marks amounts to roughly 150 years of non-jobholder-facing time by arcnews

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HMRC Location Announcements Member’s Update 34 gave full details of the work ARC has been doing with HMRC in preparation for these announcements, and the work will be ongoing for the weeks and months ahead.

As mentioned in the update “ARC have pressed for, and been instrumental in, setting up the Regional Implementation Teams and we are already receiving invites to send reps to begin work with each of those teams. What ARC must now do is ensure that our organisational structure is such that we can capture and pass on the views and needs of all of our members wherever in the country they currently work. Our Centre Liaison Officers will be contacting all of our Centres over the coming weeks to build those structures, but much of the work will have to be done by members in the offices. You are the only people with the real in-depth knowledge of your own locality.”

If you would like to be involved in your area, please contact your CLO (details on page 30) or Regional contact (a reminder of their details is below). These Regional contacts are happy to act as your first port of call, but as you will note by the number of times the announcements have been mentioned throughout this edition of Arcnews, ARC is fully aware of the impact of these announcements.

Expect more articles in future editions of arcnews, more Members Updates, more mentions in Information ARC. Regional contacts: Northern Ireland

Eva Braniff

eva.braniff@hmrc.gsi.gov.uk

Wales

Dave Cooper

david.b.cooper@hmrc.gsi.gov.uk

Scotland uk

Eugene Mitchell

eugene.mitchell@hmrc.gsi.gov.

North East

Julie Blayney

julie.blayney@hmrc.gsi.gov.uk

Yorkshire & Humber Loz Hutton uk

laurence.hutton@hmrc.gsi.gov.

North West uk

Steve McFarlane

steven.mcfarlane@hmrc.gsi.gov.

West Midlands

Vicky Johnson

vicky.johnson2@hmrc.gsi.gov.uk

London

John Parkhouse

john.parkhouse@fda.org.uk

East Midlands

Frances Hunter

frances.hunter@hmrc.gsi.gov.uk

South East

Jim Rogers

jim.a.rogers@hmrc.gsi.gov.uk

East of England uk

Paula Houghton

paula.houghton@hmrc.gsi.gov.

South West

Graham Flew

graham@fda.org.uk

ARC President

Tony Wallace

tony@fda.org.uk

managers. Not a huge amount of resource relative to the total headcount but I suspect there are many directorates who would be delighted to have access to another 150 staff.

At a time when we are so strapped for resource, and delivery expectations continue to rise, can we really afford the overhead currently associated with PMR?

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Civil Service Live:

presenting FDA and Keystone Throughout September and October Civil Service Live events were held across the country with representatives from FDA and Keystone present, talking to members and non-members about the advantages of trade union membership. Information was also available on how FDA Learn and Keyskills could help further your career.

FDA and Keystone staff were supported by local activists (big thanks to all who volunteered!) all eager to get the message out there. We both attended sessions and were so pleased to see the buzz generated by the stalls.

The FDA and Keystone would like to thank everyone who passed by our stands for a chat, welcome all those new members who joined on the day, and we look forward to hearing from those who took membership forms away with them. Here are some highlights from the various sessions.

NEWCASTLE Civil service live 2015 kicked off in Newcastle on Thursday September 10 with a real buzz. We had an FDA stall and a Keystone stall side by side which were a real hub of activity throughout the entire day, and that was without bribing people over with sweets.

We also had a couple of new recruits on the day go away and bring back their colleagues to join – which gained them entries into September’s recruitment draw to win an iPad mini- and one of these was the eventual winner!

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MANCHESTER

We had another very successful day at Civil Service Live Manchester, doubling the number of new members to FDA and Keystone as joined at the first session, and receiving yet more fantastic feedback on the new Keystone section of FDA.

It was great to be able to meet so many people who wanted to find out more about FDA and Keystone and introduce the union to them, whilst at the same time meeting many more who had already heard about the union and wanted

more information. It’s also been lovely to be able to meet some members face to face finally.

We’ve been overwhelmed by the positive reaction and excitement around our stands at Civil Service Live.

BRISTOL

Following on from the success of Civil Service Live in both Newcastle and Manchester, Bristol did not disappoint.

We had a steady stream of

visitors to our stalls and recruited new members to both FDA and Keystone.

Our stands were also visited

by Home Office Permanent

Secretary Mark Sedwill, who was particularly impressed with our learning and development offers for members: FDA Learn and Keyskills.

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CIVIL SERVICE LIVE

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EDINBURGH FDA’s General Secretary Dave Penman and Keystone’s Sue Hollywood-Powell chatted with Chief Executive Civil Service John Manzoni about the benefits and services we offer our members.

Communications Officer Rory Desch reports: “It was great to have our General Secretary Dave Penman on hand to chat with visitors to stands. No-one is better equipped or more enthusiastic then our General Secretary to advise visitors about what FDA and Keystone have to offer them.”

LONDON

On Monday afternoon FDA General Secretary Dave Penman gave a speech outlining how the FDA would seek to engage with the Government to make the work environment fairer and safer for civil servants, so they can continue to do their jobs and deliver the Government’s agenda with

‘significantly reduced resources’, as outlined in the Budget.

Penman said that if the Government wants to deliver on its commitments, it needs a new deal for civil servants and said that there are five key areas that the FDA will be campaigning on for its members: matching commitments to

resources, pay, valuing civil servants, skills and engagement.

Tuesday got off to a brilliant start, recruiting members into both FDA and Keystone while Keystone’s Wynne Parry who ran a session called ‘Managers – the Keystone of modern civil service organisation’.

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Santa Baby ARC President Tony Wallace prepares his Christmas list.

I

hope that you and yours are having a pleasant and restful break whatever you have chosen to do.

I must admit that, as I write, I am struggling to get into the spirit. But to be fair, I am typing this aboard the Virgin East Coast Main Line train from Grantham to London at 7:20 on arcnews

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a fairly mild November morning following HMRC’s location announcements yesterday, so please cut me a bit of slack! In Christmas past editions of ARC news my predecessor Presidents have used this piece to write their Christmas list to HMRC and, as I am suffering from a bit of writer’s block at the moment, I have come to the conclusion that what was good enough for them is good enough for me. So here goes.

I thought that I would try to set out some of the things that HMRC could be doing to improve the Christmas Cheer of future Presidents, members and staff. A great many things are changing and some of them might even be for the better. I particularly like the idea that those absolutely brilliant new, young colleagues now joining us will be able to build their careers in the regions where they work, all the way through to the SCS, without being sucked remorselessly into the gravitational well of London. But I am also conscious that we have many other colleagues for whom the future looks a lot less bright and we, as a union, are responsible for making sure that their needs and aspirations are also addressed by their employer. There are quite a few “old fashioned” ideas and notions that still hold true today and I want to be sure that we help

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HMRC keep them at the front of its collective mind as we charge headlong into the brightness of the brave new world.

Certainty

D

uring my time in Large Business “give us certainty” was the most regular cry I would hear go up from our corporate customers.

Whether the news be good or bad; they wanted to know as early as possible what the outcome of their planning, tax or commercial, would be.

They were right to ask for such certainty and so are we. HMRC is changing, that is a fact; so why should the impact on those who work within it be any less clear? ARC asked HMRC to be as honest as possible about the location announcements and to make them as early as they could. HMRC responded and deserve credit for doing so but with that early insight came an inevitable

level of uncertainty, albeit mitigated by building in time for people to make plans. ARC always knew that the inevitable outcome of that flow of early, but incomplete, information would lead to a further period of uncertainty. However, the alternative was to wait until all of the planning was finished and set in stone; a process that would not allow HMRC to capture, and act upon, the views of its people. Had that happened members would have had certainty but I would hazard a guess that they, like me, would be considerably less happy to be presented with a set of outcomes over which we had no say. The key is therefore to consider what happens next.

The genie is now out of the bottle and people are entitled to see the uncertainty that remains evaporate as quickly as that can be done. With that comes the freedom for everyone to plan for what their future looks like. ARC, our members and HMRC need to be working closely together to give people the certainty they are entitled to and we need to do it openly. The Regional Implementation Groups are now in place and ARC has members sitting on those; we will have a real influence over the nature of those plans. In addition we have reps in every line of business and we expect to be included in the discussions within those businesses as they arcnews

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PRESIDENT’S PIECE

develop their own plans. I can see some tensions between Regional planning and Business planning so it is essential for HMRC to co-ordinate that work and to communicate decisions early.

Much of the work within the Regional Teams will be handled by Committee but to do that effectively we need to be fully informed and able to capture local issues and the people who are best placed to do that are our individual members. Every member has a part to play in this, wherever in the wide sweep of the United Kingdom you may be. You have a voice and it needs to be heard. ARC will be gearing up our representation across all of our Centres to make sure that every member has a local rep to talk to, as a part of the chain we will use to ensure that the Regional Implementation Teams are listening to the things that our members are telling them. By the time you read this that work will already be underway.

Security of Tenure

W

e live in difficult economic times and we know that there is no such thing as a “job for life” (I rather suspect that there never was). No one is now asking for that but I do still believe that job security arcnews

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is good for the individual and good for society. People who know that their salary will flow in tend to spend money; they take mortgages, they buy gifts, cars and nice things, they eat out and enjoy life. That’s a good thing for them and for our hard pressed economy. Without work, jobs and cash the cycle grinds to a halt, it’s the cash that oils every part of the economic machine. We are constantly told that austerity is the only way but is it? I know that money does not grow on trees but I also know this – no work – no money – no spending – no growth – no turnaround in the economy.

We have a tremendous workforce in HMRC and, as I am never shy about sharing my partisan views of our members, we have a tremendous level of skill and professionalism in ARC. You are all highly articulate, professional and intelligent people; how do I know that? Because you are working in HMRC delivering for our whole nation and delivering in spades; were that not the case I am fairly certain that HMRC would have terminated

its relationship with you and you would no longer be working within it. You each, over your career, deliver many, many multiples of your salary and there is no one, at all, who challenges that. So, HMRC has a choice to make. A great deal of money has been spent; recruiting you, training you and developing you. HMRC is bursting at the seams with ability and the skills that fuel the economy. I believe that it is better to keep those skills employed for the good of the country rather than have them leach away or, even worse, to move magically out of HMRC to reappear across the desk working in the Private sector. As part of the planning for the new Regional Centres HMRC should be doing everything in its power to keep those skills in the organisation; not to do so would be a waste in more ways than one.

This brings me to:

The Way We Work

T

W3, not to be confused with David Frost and That Was The Week That Was (a wee joke for our older readers there), defines itself as: the Cabinet Office-led crossdepartmental programme designed to help realise the Civil Service Reform Plan’s aim of ‘Creating a decent

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working environment for all staff, with modern workplaces enabling flexible working, substantially improving IT tools and streamlining security requirements to be less burdensome for staff ’.

TW3 is not a charitable act or a present, it is a serious statement of intent to set out how the work of Government should be organised in the 21st Century. It is built around the concept of “smart working”, itself defined by the Chartered Institute of Personnel and Development as; ‘an approach to organising work that aims to drive greater efficiency and effectiveness in achieving job outcomes through a combination of flexibility, autonomy and collaboration, in parallel with optimising tools and working environments for employees.’

ARC believes that TW3 provides the impetus for all of the Civil Service to look more closely at options like distance working and better levered IT. TW3 suggests that Government departments adopt some of the best practices in the Private Sector because it is good for the business of Government. When it comes to getting a better deal for the business and for our members I agree with the Cabinet Office.

HMRC has spent a fortune to standardise our IT systems for case management, people management

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and post management. You can now look at any item of work at any number of workstations anywhere across the current estate. Many of you now have Blackberries, and tablets are rolling out. ARC members are employed because they are hard-working self-motivated people capable of making evidence-based decisions when faced with unusual situations which are not necessarily covered by clear statute or guidance. It is what you do. In short you have considerative roles which can be undertaken at a multitude of different places. We can literally work from anywhere; how do I know that? Because I am typing this on an iPad on the 7:20 Grantham to Kings Cross train. The iPad is linked, over the Cloud via my iPhone, to my base computer in Leake Street just by Waterloo station. It is all seamless and it works brilliantly. I asked Terry Cook, ARC President just 6 years ago how he did it from St Albans, where he lives, and the answer was he couldn’t; the technology did not exist. It does now and the pace of technological change is accel-

erating. How many of you knew what Facebook or Twitter was three or four years ago or, for that matter, what Yammer was 12 months ago?

Consider what it might look like in the near future; 2020 is less than five years away and the technology by then will have taken another giant leap forward, so let’s get with the programme and use it for the good of our business and our people.

I firmly believe that the drive to the Regional structure need not, and must not, result in the evaporation of thousands of collective years of skill, professionalism and expertise; all applied to magnificent effect by our members. If ever HMRC needed a case to change its business model to retain those skills, the Cabinet Office has given them that case; ARC is asking them to use it.

HMRC hates to be an outlier, I know because I am regularly told so when we get around to negotiations on pay, terms and conditions. So why are we looking like an outlier here?

It’s time for HMRC to recognise the potential it has to make the future better for us all; ARC is more than happy to help them do that...

Merry Christmas, Tony arcnews

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Just what you’ve always wanted...

Another survey ARC is in the process of developing a website for members and we’d like your help.

We’ve set up a simple and short online survey at arcunion.org.uk.

It should take no longer than 10 minutes to complete and will provide valuable feedback and information for us as we build the site.

The survey will be up online for the next few months and we’ll keep reminding you about it!

So go to arcunion.org.uk now and complete the survey and you can happily ignore all future reminders.

Thanks for your time.

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There is power in a union Jim Rogers of ARC Committee wants a word in your ear.

I

shall start by making my position clear. I have been a lifelong member of a union. My dad said, “It doesn’t matter what you think, you’re a kid and an idiot. You haven’t listened to a word I’ve said to you since before you could understand. But listen to this. When you get a job, join the union. Don’t wait to find out if it is a good idea, you can find that out later. Just join.”

He was, of course, right in every sense. I trusted him more than he knew and I have always been a member. If this opening, or something like it, resonates with you; if the idea of not being in a union just seems a bit silly, this article is not aimed at you so stop reading.

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POWER OF THE UNION

This article is for people who are wavering, thinking of leaving, aren’t activists any more, don’t come to meetings or simply struggle to articulate to a non-member why they have got it spectacularly wrong.

Tony, your president, says that we shouldn’t start with a negative when explaining the union story, but I will anyway. I must dispel some of the myths. There has been a war waged on the trade union movement over the past 30 years.

When you talk to non-members, particularly of the younger generation, you can see that it has started to poison the way the public think of trade unionism. This is a war of media control and slick sound bites fought out in the court of public opinion. This is not a political diatribe. From this perspective, I am unconcerned by your political views. Whether you are a screaming Liberal, a land owning Conservative or a Corbynista, you’re welcome (other brands of political leaning are available). Just Join.

If you want to take a look at arcnews

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where the war on trade unionism leads you, you merely need to hop across the pond, to the United States. Stateside, trade unionism has become a synonym for organised crime. The idea of workers’ rights is laughable. The idea that they don’t get annual leave is almost entirely not true. They simply don’t take it for fear of not having a job when they return. They work preposterously long hours, with a macho sense that work/life balance is something for the hippies. Employees there are living in fear of losing their job to someone who won’t stand up for themselves, so none of them do. This isn’t an accident. The US Government, in hand with big business, has systematically undermined Trade Unions through the legislative weakening of powers; belittling and misrepresentative media coverage. Ringing any bells?

That is why trade unions exist.

Because no one employee can say, “Hold on, that seems unreasonable,” and expect to be heard.

If we all stand together we can.

Not always with absolute success but with better success than without it. Trade unions help address the imbalance of power.

Let’s turn to the UK. The history of the attack on trade unionism really started with Margaret Thatcher but you would be a fool not to have noticed it. The attack continues unabated, there is a Trade Union Bill going through Parliament as we speak. I don’t need to explain the media attack; quite a few of you probably believe it is true. It is not. It is inaccurate, one-sided spin-mongering of the very worst order. It is morally reprehensible and it is deliberate.

If you believe in the maxim, “my enemy’s enemy is my friend,” then join. The union is on the side of the employee, the employer is not. I don’t mind which union you join but if you are unsure then ARC or Keystone are the Union for you. If you need an example, then look at PMR, the single silliest thing the Department has ever done. It is institutionalised bullying and is adversely affecting the

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health of employees. ARC has continued to object in principle and has tried to ameliorate the very worst of it. Leaving aside how well you think we’ve done that, trust me it would be even worse without ARC and the activities, lobbying, negotiation and haranguing by ARC and our sister union, PCS. Just ask yourself why Government, at the behest of big business, is waging this war. Because staff welfare, proper pay and terms and conditions eat into profits. They want to minimise costs across the board, irrespective of some sense of the greater good.

Look at their behaviour around tax avoidance and profit shifting. They want to keep down the cost of what you cost them. ARC is a speed bump on that road to profitability and they want rid.

So next time you read an article in the press about a trade union, just assume the opposite is true.

I know it is annoying when you get inconvenienced. Who amongst us hasn’t muttered a word under their breath when you’ve not been able to get to work because the tube workers are on strike, had to take the day off because the school where your kid goes is closed or had to wait an extra three weeks for a postcard because the posties were out. Don’t mutter under your breath – cheer and honk your horn in support. Trade unionism is about sacrifice for the

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“Let’s come onto the money. People are increasingly under the squeeze. We haven’t had a pay rise for years and the cost of living hasn’t gone down.

It is easy to draw the conclusion that; ARC can’t be doing a very good job, so I can’t get a pay rise but at least I can save myself X pounds a month by leaving the union.”

greater good. Some of that sacrifice has to come from the public.

That sacrifice, or inconvenience as the press would call it, is where our power comes from. You should applaud it. Remember that people on strike are all losing a day’s pay; they are more inconvenienced than we are. No one goes

on strike over nothing. They have been forced into it by the intransigence of their employer. It could be doctors next. Who thinks they are overpaid and under-worked?

People sometimes say that tube workers are already well paid so what are they moaning about.

Well the ‘fact’ that they are well paid will have come from the slick narrative machine within Boris’s office. Even if we take it as read, the only reason that it could be true is because they have a strong union voice and a membership that is willing to stand together and be heard. We should be inspired not annoyed. Whatever changes are being proposed they won’t leave tube workers working less hours for better pay in ever-increasing safety.

They have concerns for all three.

Management often introduce change in a salami-slice manner so that people think, “Oh well it’s not as bad as it could be.” But it also makes the union that opposes a ‘small change’ seem unreasonable. It is part of the narrative and it is misrepresentative. Tube workers should be applauded for standing up for themselves.

Let’s come onto the money. People are increasingly under the squeeze. We haven’t had a pay rise for years and the cost of living hasn’t gone down. It is easy to draw the conclusion that ARC can’t be doing a very good job, and that if I can’t get a pay rise, I can arcnews

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POWER OF THE UNION

save myself X pounds a month by leaving the union, which I have already determined isn’t very good.

I refute both those statements.

Firstly, I think ARC does do a good job but why would you believe me if you’ve read this far and still don’t agree. Even if ARC is useless; it is impossible for me to imagine that we are better off without their negotiation than with. We can only possibly be arguing about the degree. Even if they aren’t currently doing any good at all; the solution is to join and get everyone you know to join. You are ARC, so unless you think you are rubbish how can you think ARC is?

I resort to another maxim: in times of recession you should increase your spend on advertising not decrease it. Well that is probably just the advertising industry demonstrating that they are good at their job; but the point stands. Things at the moment are the worst they have been since I’ve been in HMRC and the Inland Revenue before that. The worse things are, the more we need to stand together. With BoF entering its delivery arcnews

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phase, we need to be more united than ever. The only way to do that is to join ARC and mean it.

Some people say, “OK, I would join but it is too much money.”

Hogwash. There are plenty of benefits which I won’t go into at length here. FDA Portfolio can, if you are a clever coupon clipping type, pay your fees for you. There’s a calculator on the FDA site. Check it out for yourselves. FDA Learn can help you develop your skills and progress your career. That is not my rebuttal – the insurance policy in case something goes wrong is. As with all insurance policies, you pay and hope to never use it. ARC is excellent at casework – ask your colleagues. You won’t have to go far to find an example of how good we are. That is enough. Watch the video on the FDA website about Emma Knox. It is shocking, horrific and uplifting in equal measure. This on its own gives you value for money. If someone says that you can get better and cheaper cover for this, then tell them to prove it. It isn’t true. Ask

them if they have taken it out.

They haven’t – it doesn’t exist.

Other people say, “Well any addition to terms or pay that ARC negotiates, I get anyway.” But see the paragraph above. You have missed one of the main benefits.

Even if we set aside everything but collective bargaining, if you genuinely believe this isolationist view of the world then there is no point joining any union because you are morally repugnant. The natural culmination to this view is no unions, vested interest wins and employees just become a bottom line cost control commodity. It will be worse without ARC – see America and China.

When trade unionism got underway at the start of the industrial revolution, the vested interests could see the potential harm to their investments. They were so convinced and so concerned that they made unions illegal and punishable by death. Eventually trade unionism won out but the vested interests are back, this time hidden behind a respectable corporate veneer. They think we have forgotten. I hope they’re not right.

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The 2015 ARC Chr 1 What Christmas essential did Tom Smith invent in 1847?

2 In The Twelve Days of Christmas how many gifts in total did my true love give to me?

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3 Who had Christmas number one singles in 1975 and 1991 and with which song?

4 What did Dirty Den give Angie on Christmas day in 1986?

5 In which oceans are the two Christmas Islands located?

6 In which city is Kevin left “Home Alone” at Christmas?

7. They have all played Ebenezer Scrooge in film or TV; 8. Mr Blobby; 9. 1957; 10. 1960; 11. Rudolph the Red Nosed Reindeer; 12. It was ‘two sizes too small’

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ristmas Quiz [no googling]

11 Which popular Christmas character did American Robert L May create in 1939?

7 What do George C Scott, Alastair Sim, Daffy Duck, Patrick Stewart, Michael Caine, Fred Flintstone and Jim Carrey all have in common?

8 What is the only eponymous Christmas number one single?

9 In which year did the Queen deliver her first televised Christmas message to the nation?

10 In which year did Etch-A-Sketch first appear under the Christmas tree?

12 What is wrong with the Grinch’s heart in “How the Grinch Stole Christmas”?

Answers below...

Answers: 1. Christmas crackers; 2. 364; 3. Queen with Bohemian Rhapsody; 4. Divorce papers; 5. Pacific and Indian; 6. Chicago;

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The top tax myths and how they prevent us from making better tax policy

andrew@reportphotos.com

Iain Campbell reports from Westminster on a meeting to debunk long-held tax myths, photographs by Andrew Wiard.

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n Wednesday November 18, in the Macmillan Room at Portcullis House in Westminster, ARC hosted a wide-ranging discussion on four tax myths. November’s Information ARC

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gave a quick preview of the day, and this is a report back on what happened.

The meeting was chaired by the Financial Times tax correspondent, Vanessa Houlder, who kept everyone to time, despite the complexity of the issues. It was a packed room, with last minute arrivals having to stand at the back – including a few late running MPs! The audience was a diverse group, with David Gauke the FST and Rob Marris his Labour Shadow, MPs, politicians, academics, lawyers, tax professionals, NGOs, business representatives, and civil servants, all taking up ARC’s invitation to discuss the myths. By the end there was a lot of consensus on four things: `` Appreciation to ARC for creating the event and organising it (along with our comms partner, Connect Communications) `` We needed lots more time to discuss the full implications of what speakers had said `` HMRC had to be properly resourced (even if that meant different things to different speakers!) `` The Tax Code was too complicated and generated arcnews

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TAX MYTHS

avoidance opportunities, as well as making it hard for customers and their agents to get it right.

ARC’s President Tony Wallace welcomed everyone to the meeting and set the context for the event.

ARC, as you would expect for a Trade Union representing senior professionals and managers from across HMRC, is keen to see our tax system properly resourced and working for the benefit of the whole of society.

Tony reminded the audience that voluntary compliance with the UK tax system was high and that reality was founded on the common belief of the goodness of taxation. Tax lies at the heart of the social contract that exists between each individual citizen and the state. If that contract were to break down; either because the tax system itself was perceived to be fundamentally unfair, or if the belief took hold that people could avoid or evade taxes with impunity and without challenge, then the nation would be infinitely poorer for it. That was not something that could be allowed to happen.

There were four myths discussed: `` Closing the tax gap is possible even without a properly resourced HMRC, Helen Baird-Parker of ARC `` The tax affairs of the low paid are simple, by Robin Williamson of the Low Incomes Tax Reform Group arcnews

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`` Companies are up to no good if the effective tax rate they pay is lower than the headline corporation tax rate, by Rob Fontana-Reval of CBI `` Corporate tax competition is good,

by Diarmid O’Sullivan of Action Aid

on call handling and the knock on to voluntary compliance. The forthcoming CSR cuts would have a huge impact. HMRC was still feeling the effects of CSR2010 but it had just agreed a 21% cut in real terms for CSR2015. That would take away £650mn, and possibly cost 12,000 jobs. Helen ended by pointing out that this focus on costs meant we were not building on good customer service and missing the opportunity to tackle those who wanted to break the rules.

Closing the tax gap is possible even without a properly resourced HMRC Helen Baird-Parker of ARC

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elen Baird-Parker made the strong case that on the surface HMRC had managed to cut costs and shrink, without affecting its core business of compliance.

Yields had gone up but she pointed out this was the result of more investment. If you looked at the other side of the coin, customer service, it was wholly different.

Customer service and compliance were not polar opposites; they were different sides of the same coin.

She reminded the audience of the recent public criticisms

The tax affairs of the low paid are simple, by Robin Williamson of the Low Incomes Tax Reform Group

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obin began by saying that if the well-off needed tax advisers the same was just as true for the low paid. Their affairs were not simple and they had to contend with complex rules that often treated people with the same economic circumstances in quite different ways for tax, national insurance and a series of benefits. For example,

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“Tax lies at the heart of the social contract between individual citizens and the state. If that contract were to break down, the nation would be infinitely poorer for it. ” the starting point for NIC was not the same as the starting point for paying income tax, or if you are self-employed you had to pay two types of NIC, Class 2 and Class 4, only one of which entitles you to contributory benefits.

LITRG had just completed some modelling of recent changes. They had discovered that if you are paying tax and NIC, while claiming tax credits plus housing benefit and council tax support, a person could end up retaining only 4p for every additional £ of income. He hoped that the current review of NIC and tax might lead to a more rational and fairer system but until it did they would continue to lobby for changes.

was engaged in “tax management” and it was essential to distinguish this from illegal tax evasion or abusive schemes to avoid tax.

The reliefs included things like group relief, Capital allowances, Losses carried forward, and R&D tax credit. Rob commented that these and other reliefs were there as a delivery mechanism for broader social and economic policy objectives – such as encouraging investment, innovation and environmentally friendly practices, and creating employment.

Diarmid O’Sullivan of Action Aid: corporate tax competition isn’t always a good thing.

Rob Fontana-Reval of the CBI: it’s essential to distinguish between “tax management” and illegal tax avoidance.

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ob accepted some companies had been guilty of unacceptable tax avoidance and the CBI did not support such behaviour. However, it was not the case all companies did this. Having an effective tax rate below the headline rate usually meant companies were using tax rules in ways that Parliament had set out. A company responding to such incentives, by claiming deductions against its corporation tax bill,

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F

inally, Diarmid spoke about corporate tax competition and the belief this was good, attracting foreign inward investment which helped create jobs. Unfortunately this was not always the case and there was evidence this competition threatened a race to the bottom. In fact in some countries, especially developing ones, tax competition was supplemented by grants and incentives. He also questioned whether it was true that a pound of profit spent or distributed by a private company will necessarily produce more benefit to society than a pound of tax revenue spent by the state, which is debatable (because companies

and states have different ends).

He said that charities were particularly concerned at what the IMF had described as spillover effects. This meant that the economic costs of corporate tax competition were felt much more acutely in developing than in developed countries. One reason for that was the fact developing countries relied much more on corporate tax than did developed countries. Diarmid said tax policy had to recognise that tax competition has been one of the primary drivers, possibly the biggest driver, of tax avoidance. Poorer countries have far fewer resources to confront this problem than richer countries.

The panel discussion There was a panel of four, all with wide experience of tax and politics: David Gauke MP, Financial Secretary to the Treasury Rob Marris MP, Shadow Financial Secretary to the Treasury Heather Self, Partner at Pinsent Masons Tony Wallace, President of ARC As might have been expected the members of the panel did not agree with each other, or accept all the myth busting. David Gauke praised HMRC’s compliance record over the last five years and the record results it achieved. He agreed HMRC had to be properly resourced and also that customer service standards had been unacceptable earlier in the year. But he believed the current figures were much better. Further, the move to arcnews

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TAX MYTHS

“Tax competition is possibly the biggest driver of tax avoidance. Poorer countries have far fewer resources to confront this problem than richer ones.”

digital personal tax accounts would remove much of the 40mn phone calls made to HMRC. He did not take up Helen’s challenge to stop the cuts!

The Minister agreed on the need for simplification for the low paid and said that the increase in the personal tax allowance should go a long way towards achieving that. He supported the CBI view on tax rates and tax reliefs, but disagreed with Diarmid on the possible negative effects of tax competition, saying the UK supported international reforms to the tax system.

Rob Marris agreed that HMRC should be fully resourced and that we should build on its record of bringing in additional yield. He thought there had been too big a reduction in staff numbers and quoted figures from the House of Commons Library in support. David Gauke challenged him on the numbers and there was a light hearted moment of Ministerial scrutiny, before he concluded that a number was too high (see picture above).

Rob also supported the LITRG paper, and much of what Diarmid had said. He accepted the CBI views but felt that the whole tax system was too complex and this created opportunities for clever accountants to find loopholes. He said that Parliament needs to look at whether tax reliefs do what they are designed to do. In that context he supported changes to tax relief for pensions – a view Gareth Hills (FDA President) later expressed concern over.

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said that in general accountants did not look for loopholes but tried to work with clients to achieve good commercial outcomes. She felt HMRC was still reacting to public criticism of a few years ago but challenged HMRC to move on and be slicker in its decision making, to trust in the judgement of its senior staff.

One of her examples of over governance involved staff muting a call from HMRC as it is was felt to be OTT. This led Jim Harra (HMRC DG for Business Tax) to argue that governance was certainly needed but that he was grateful for that feedback!

Tony reminded the audience that HMRC does a great job. However he was concerned that cuts in the order of 21% would present HMRC with a significant challenge to meet all that was asked of it. He said whatever the shade of the current or any future government they could rely on the professional support of the civil service. But the civil service needed the resources to make that delivery a reality, cut after cut made that ever more difficult.

to review reliefs and simplify – asking for all the lobbying to stop to let it happen. Robin Williamson said they would stop when they had achieved their goals.

But Stephen Herring (Institute of Directors) challenged whether HMRC was underfunded, saying it seems to be well-off compared to the IRS. Helen Baird-Parker commented that it was just not possible to compare the two organisations as the tax codes and administration of tax was so different between the two countries. She invited him to suggest what HMRC should stop doing, or do less of.

Wallace, also responding, reminded the audience that when subject to scrutiny by the National Audit Office in relation to what had been delivered from the £917 reinvestment in 2010, as Paul Appin pointed out; £18 had been generated for every pound spent, with areas like Large Business generating a return on £62 to one. A return on investment of that scale would make any business happy so why not invest in the skills of HMRC.

The audience reaction

As the meeting came near to the 11.30 finish nobody was in a hurry to go and it continued until nearly 11.45. Reaction on Twitter and elsewhere has been very positive.

Attendees asked what our theme for the next event was and could they be added to the mailing list now, to make sure they got it into their diary. The event was videoed so we will be seeing how we can make that available to members and attendees – although I think arcforum might collapse under a two-hour video upload.

But before that video goes live, you can follow the comments via #ARCTaxMyths

There was a lot of support for the view HMRC had to be properly funded. Paul Aplin (Chair ICAEW Tax Faculty Tech Committee and HMRC Admin Burdens Advisory Board) said that he was not completely convinced by the digital agenda but if he was offered an 18:1 return on investment then why would you not go for it? John Whiting (OTS) pointed out that he was a Board member for a UK tax authority with a 98% success rate in call handling. He raised some laughs when he admitted that Revenue Scotland only had 42 staff. But his point was the need

Where next?

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CHRISTMAS 1904: THE RITZ, STOCKPORT

All our yesterdays Jeremy Burrows takes another look back through the pages of Quarterly Record, the magazine of the Association of Inspectors of Taxes.

IN THE BEGINNING The Quarterly Record, the magazine of the Association of Tax Surveying Officers, was first published in December 1904. Quarterly Record No. 1 begins with a piece under the title “Introductory”, of which the following are extracts.

In accordance with the resolution adopted at the annual meeting on 28th May, 1904, we have much pleasure in presenting to members of the Association the first number of its official magazine. The first effort must necessarily be a modest one, seeing that the idea is new and that it must take time for its existence, and the fact that its pages are open to members generally, to become known...

It is proposed, as far as possible, to include a

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series of articles bearing particularly on the practical work of a Surveyor’s district, with suggestions as to the best and easiest way of dealing with the most important branches. These will be of special use to Junior and Assistant Surveyors.

All surveyors are earnestly requested to send in to the Committee from time to time during the quarter personal matters of general interest that come under their notice...

It is confidently anticipated that future numbers will contain interesting and instructive contributions from many sources, but the present number can contain little more than a brief record of the work of the Committee since the General Meeting, thus satisfying in some measure a want which appears to have been widely felt among the members. arcnews

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QUARTERLY RECORD

100 YEARS AGO As the First World War progressed, increasing social opprobrium was heaped on fit young men of military age who were not wearing uniform; and in 1915 the government began issuing the Silver War Badge to servicemen who had been discharged as being no longer fit for service. My own great grandfather was among the first 1,500 recipients. By the end of the war, over half a million had been awarded. The idea of the badge was that it could be worn on civilian clothing, and would tell anyone that the wearer had “done his bit” and should not be treated as a shirker. It wasn’t long before the idea was posited that war badges should also be issued to others who were “doing their bit” but not in uniform; and the following appears in the “Current Topics” section of the Quarterly Record for July 1915.

On the 31st August the Association addressed a letter to the Board on the subject of “War Badges.” Its wording reflects to some extent, though, we are afraid, hardly adequately, the strong feelings of our younger members, who, on account of their inability to display some token that they are

War Badges The announcement that badges are to be supplied to those who have been refused permission to enlist meets part of a grievance, but it is not clear why our Department should receive this partial supply only, while the Valuation Department, whose work is not precisely connected with the War, receives them without qualification. No reasons are given for the difference of treatment.

The editorial in the Quarterly Record for October 1915 then followed up on the issue as follows.

on Government War Service, have been for some months past subject to odious social persecution in that connection. It is to be feared that this question has been regarded as one of minor importance, the consideration of which might safely be deferred. It should be quite clear from the Association’s letter that this is not at all the view of the officers affected, and that the protracted delay over the issue of the Badges is giving rise to an increasing feeling of exasperation which militates against the smooth working of the Department which

is so necessary at this critical time, and may, if continued, lead to resignation of badly needed men.

The letter itself was also reproduced and read as follows: WAR BADGES I am directed by the Committee to refer to my letter to the Board of the 3rd June last and to your reply of 29th June.

The Annual General Meeting was unanimously of opinion that in the circumstances in which the Department has found itself since August last, these badges should have been issued as a matter of course, and the refusals in cases where applications had been made for them evoked strong feelings of surprise and disappointment.

Since that time the position of members of military age has become increasingly invidious in the eyes of the general public, both on account of the increased gravity of the national needs, and of the apparent readiness with which war badges have been issued in other outdoor Departments of the Public Service; and great indignation is expressed at the prolonged continuance of the very unmerited disability under which they labour.

My Committee feel convinced that the Board will view with sympathy the unfortunate position in which their officers are placed in this matter, and I am accordingly to express a confident hope that steps may be taken to secure a satisfactory issue at an early date.

I am, Sir, Your obedient Servant, J W Dodd, Honorary Secretary 25

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<<

100 YEARS AGO: JULY 1915

100 YEARS AGO, CONTINUED The following extracts are taken from a letter dated 12 July 1915, written by an Assistant Surveyor of Taxes who had managed to join up before the Board’s prohibition on enlistment took effect, and was serving in Gallipoli. His letter was reproduced in the Quarterly Record for October 1915.

Personally, I have been one of the fortunate ones “slightly wounded,” thereby gaining four weeks’ rest and change. I went down to Alexandria and have been back just over a week now. ...

During the advance I got a bullet through the sleeve, and another one caused an explosion in the breech-chamber of my rifle, but I got safely across and it was an hour or so later, when we were repelling a threatened attack by the enemy, that some fragments

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of a bullet struck my face. No great damage was done, but blood flowed rather freely, so I walked down to the rear to get patched up, and was surprised to find myself on board a ship, which sailed next morning with a full cargo of hospital cases. I had only five days in hospital, and then was moved to the base detail camp to re-fit and await next draft returning here. It made a very welcome change and I enjoyed looking round the town in the evenings; there was also good bathing to be had, indeed I have done more sea-bathing this year than in any other year of my life. When in rest camp we can go bathing almost every day ...

We have had almost uninterrupted sunshine since we landed, but fortunately there is a good supply of water where we are. A man can have his own little well in the firingline if he cares to dig a foot or two

below the bottom of the trench.

Life in the trenches is very dreary and uninteresting except for occasional spasms of excitement when it is thought that an attack may be made; the chief of our privations is loss of sleep: it is too hot to sleep in the daytime and at night rest has to be subordinated to the necessity of keeping watch. In the rest camp we stand easy most of our time, but have few means of recreation, and frequently have to go out with working parties both by day and by night.

You will gather that we look forward very eagerly to the end of our task here. This development into trench warfare makes the end seem much more distant, but, of course, it will come sooner or later, and I hope to see a victorious entry into Constantinople before long.

There is one thing certain, and that is that the Turks are far more fed up than we are. I hope that they speedily decide that the game is not worth the candle and give it up. arcnews

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50 YEARS AGO: JULY 1965

50 YEARS AGO The digital revolution – which brought us eventually to Building Our Future – began for the Inland Revenue with the publication in 1963 of the Report of the Committee on Automated Data Processing, which resulted in the decision to acquire a computer and install it in East Kilbride where it would be used for P.A.Y.E. bulk processing. This was not quite the department’s first computer, as the Statistics and Intelligence section had been using computers since 1957. The East Kilbride computer was, however, the first computer to be used for processing taxpayer records and data. The Quarterly Record for October 1965 printed a lengthy piece under the title “East Kilbride – The Computer” from which these extracts are taken.

A computer can handle almost any kind of information – names, addresses, values, rates, quantities, formulas – any information in fact which can be coded in numbers. It can carry out the normal arithmetic arcnews

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functions of addition, subtraction, multiplication, and division, but because it automatically performs long sequences of operations without interventions from outside, and can also choose between two courses of action while doing do (i.e. make logical decisions), it becomes a very versatile and flexible piece of equipment and much superior to the conventional accounting machine or electronic calculator. When these facilities are added to the ability of the computer to work at electronic speeds in the order of millionths of a second (micro-seconds) then it is not surprising to find that here is a machine, which if properly used, is capable of dealing with a great mass of information – two million taxpayers’ records for example! – in such a way that answers can be found to a large number of questions and results produced in a very short space of time.

In the East Kilbride project it will be possible for the computer to examine, one by one, each of the two million P.A.Y.E. records in Scotland daily, to decide if any

need to be amended, and if so, to update about 43,000 of them – all in the space of about three hours.

How is this sort of thing done?

Computers have no will of their own; they cannot start themselves; they cannot go out and find their own problems and how to solve them; they have to be supplied with information and told (or instructed) how to find the answers. In fact, human beings have to decide what is to be done and how it is to be done.

There follows a four page description of how a computer functions.

The high-speed printers which are used with modern computers are capable of printing one line containing up to 160 characters in 60 milliseconds. The overall speed is thus in the region of 1,000 lines of print per minute. Speeds such as this are necessary to keep up with the computer and where a heavy printed output is expected, as will be the case when deduction cards are produced on the East

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Kilbride computer, it is not unusual for two or three printers to be run simultaneously. The printers are electro-mechanical machines and their action is controlled by the computer which emits output information in the form of the electrical pulse train previously mentioned. When a pulse pattern,

representing a character reaches the printer, a print hammer is energized or â&#x20AC;&#x153;firedâ&#x20AC;?. Lines of print and complete forms can be produced very quickly by this method. It will be possible for example to print a form P2 in one second or less.

It is necessary in many computer jobs to produce output in a form

which can be used for reprocessing by the computer. This can be done by directing the pulses of output data to card or papertype punches, or to magnetic-tape transports. These pulses actuate small cutting knives in the punches, or energize a writing head on the tape-transport and convert the output data to a pattern of holes on cards or paper-tape or magnetized spots on magnetic tape. The results generated by the computer, therefore, can be created externally in a form suitable for input.

A computer, then, is an expensive and complicated piece of equipment, and its use for P.A.Y.E. work will relieve the staff of many routine and repetitive jobs. It is not, however, a miracle worker; it has no heart; it has no soul; it cannot think. In fact it is governed and controlled absolutely by man. Its advantages are that it is fast, automatic, versatile, and accurate. Properly used it becomes an extremely useful and powerful weapon with which to combat the increasing pressures of office life.

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QUARTERLY RECORD

25 YEARS AGO The Quarterly Record for December 1990 contained the report of the 1990 AGM. Motion 8 was a rule change motion proposed by Bristol Centre “That the rules of the Association be altered by deleting the words “by Committee” in the second sentence of Rule 41.

Arne Arenstein (Bristol Centre) – For those of you whose knowledge of Rule 41 does not extend beyond knowing that it comes after Rule 40 and possibly before Rule 42; it concerns the nominations for election of the Honorary Officers.

The sentence we seek to amend states “nominations of members for election to any Honorary Officer post under Rule 39 may be made by Committee by any District Council or by not less than two members”.

Deleting the words “by Committee” therefore redraws the Committee’s right to nominate people. The rights of the Committee members as individuals will obviously not be affected. The effect of the motion, then, takes away the official seal of approval that can be given to a candidate in an election.

I can think of no valid reason for maintaining the current position. I’ve heard only two arguments in favour of it. The first is that Committee members are often asked for advice as to who to vote for, and of course as individuals they’ll still be able to give that advice, there’s nothing to stop anybody approaching any member of Committee and asking, so I don’t think that argument really helps – has anything in its favour.

The other argument I have a bit more sympathy for, is that members, seeing who Committee support, might on occasion decide that’s a good enough reason to vote for the other person. The membership arcnews

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“This Eastern Europe thing is all very well but I don’t think it applies to the AIT. We’ve never been too democratic.”

has, of course, recently shown their independence from Committee on such matters. I don’t think there’s any more to say on that point, but it’s hardly a good reason to maintain the current position. The change we seek is only a small one in one way – it’s only two words being deleted – but the effect will be to improve the democratic nature of the Union’s structure. I don’t know if the Committee will support this motion, but I hope they will and follow the democratic principles of the new leaders of East Europe rather than the leader in Westminster. I ask you to support the motion.

Committee did not support the motion, as the next speech shows.

Jack Lomas (Committee) – Very nice to see one of our younger members coming up here with some revolutionary ideas. This Eastern Europe thing is all very well but I don’t think it applies to the AIT. We’ve never been too democratic, and I don’t really think we should be as democratic as he wants us to be. The Association’s always worked along the idea that people are initially elected to Committee as general members of Committee knowing what goes on or doesn’t go on, and then sort of eased up in the hierarchy forthwith to the post of Honorary Secretary or perhaps Vice President, and the real stars go

on to be President, Past President.

This situation has been going as long as I’ve been in the Association and many years before, and it does work.

People have known who Committee would like to be the officers, and who would like to be in the Association for the next two years, and I think to make the members outside London aware, people who are perhaps not current Committee members. But this is perhaps a good thing. We are saying, the current Committee are saying, “These are the people who will best serve the Association in our view”. What you would do by taking away this right, it would be a freefor-all – we could have a situation where none of the existing Officers or none of the people thought of perhaps as would-be Officers would be elected the following year – people who have not been on Committee at all, would maybe become Vice Presidents, become President, it could be anything. ...

Three further Committee members (Tom Bryson, Will Richardson and Ben Newton) spoke to the motion. Tom Bryson, with the express permission of Committee, spoke against the Committee line and supported the motion, whilst Will Richardson and Ben Newton opposed it. The voting was too close to call without a count; but in the event the motion was defeated by 45 votes to 40.

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Building our Future Leaders Eva Braniff sees some reasons for optimism in HMRC’s plans to develop its next generation of leaders.

T

hursday 12 November saw many of our members faced with some very difficult and challenging messages and future choices. It’s probably fair to say that in Belfast, the regional announcements held less fear for us than those outside the city and beyond. We were however very aware of the implications for our friends and colleagues working in offices that will ultimately close.

Some good news was therefore very welcome the following day when we learned that that our four TPDP 2011 trainees had all met the required standard for advancement to Grade 7.

The superstitious amongst us may have reservations about associations with Friday 13th. For the TPDP 2011 cohort and their BLMs any such concerns proved unfounded.

In fact, for HMRC and the Tax Academy it was a landmark day which marked the first Grade 7 programme to achieve 100% success at the final report stage.

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“Since 2012 the graduate technical recruitment programme has ramped up significantly with around 200 tax professionals being recruited each year.”

Congratulations to all concerned!

It’s encouraging to see that we are now beginning to reap the benefits of HMRC’s plans to recruit meaningful numbers of Grade 7 Tax Professionals and address the much talked about and fast approaching demographic time bomb. In 2011 there were only around 30 graduates recruited onto the tax professional programme. Hardly a drop in the ocean many will say but at least it was a start, especially when compared with the preceding

20 years when recruitment was more often stop than start.

I’m going to show my age now but, in the good old days before PMR and the Civil Service Competency Framework, we were required to demonstrate various skills including ‘foresight and planning’ as part of the performance assessment process. What a pity the organisation itself didn’t pay more attention to this particular skillset and seek to implement succession planning in good time rather than waiting until the last possible moment. In the spirit of positive behaviours let’s call it a case of ‘better late than never’ rather than ‘too little, too late’.

Since 2012 the graduate technical recruitment programme has ramped up significantly with around 200 tax professionals, give or take, being recruited each year. The 2012 cohort is due to advance to Grade 7 in mid-July 2016. Meanwhile recruitment for the Tax Specialist Programme (TSP) in September 2016 closed on 24 November. arcnews

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TRAINEE ISSUES

So by the time this edition of arcnews goes to press, hopeful candidates will be undertaking Stage 2 of the selection process.

For HMRC, a successful outcome for the current recruitment programme will see maximum uptake of places.

But what will a place on the programme look like for the eager new recruits? I sincerely hope the current review looking at the modernisation of TSP for 2016 is not just about cutting costs.

The technical training offered

by HMRC has always been held in extremely high regard, both internally and externally.

Yes, the programme needs to be modernised to meet the demands of a fast changing digitally evolving organisation. But it also needs to retain its gold standard position as a robust and respected development programme which

produces well rounded and highly capable Grade 7 senior leaders.

In recent years I have watched many experienced colleagues retire.

Generally they skip lightly out the door, never looking back and taking with them an often irreplaceable wealth of knowledge and expertise.

In my office, the trainee community now outnumbers experienced tax professional Grade 7s by about six to one. Call me cynical, but I’m not convinced this ratio presents the best learning opportunity for our tax professionals and senior leaders of the future, especially when experienced Grade 7s are already busy completing an ever increasing range of specific wider competences now required to ‘achieve’. At risk of platitude overload, some would say it’s a case of ‘I told you so’. As a member of the BLM community, I prefer however to take a positive forward look.

As BLMs, we are passionate about ensuring the best learning environment possible for the trainees we manage and delivering equality of development opportunity.

For that reason we continually have to work to overcome the obstacles presented by lack of experienced coaches and constant change. We do this by effective collaboration and seeking innovative ways to ensure that we give our trainees the learning experience they deserve.

My positive optimistic self tells me that surely there will come a time when the organisation recognises these collective efforts and gives me (and my fellow ARC members) a fair day’s pay for what is often significantly more than a fair day’s work. I’m not sure however that adopting the approach ‘good things come to those who wait’ is a sound basis for expecting adequate remuneration

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arcnews

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As ARC prepares to launch its own website in 2016, Helen Baird-Parker tackles the diversity issues raised by the HMRC Intranet comments section.

Don’t feed the trolls “A boiling magma pit of bad opinions, poorly articulated philosophy and chronic contrarians…. The comments section. …the last time somebody suggested you read a comments section, it wasn’t because they expected you to find anything enlightening, enriching or fun in there.” (Popbitch Magazine,“Trash Talk”, September 2015).

HMRC recently took the decision to introduce a comments section on news articles on the HMRC Intranet. Many have been surprised by the tone of the comments, and the strength of feeling expressed.

But should we be? Isn’t this just how the internet works? How do we navigate the perils, pitfalls, and genuine benefits of enabling free dialogue in a work environment when people are used to expressing themselves in a particular polemical fashion in comment sections on the internet? ARC has had the Forum for years, and members will be aware that it has, on occasion, been a high heat environment where we debate controversial topics passionately. The downside can be, I’m afraid, that some people would rather not contribute because they fear the type of response they may get. ARC has always valued the tool though as enabling free flowing debate between members across our whole organisation.

You may or may not be aware

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that ARC members are now increasingly called upon by HMRC to wade into sometimes vitriolic debates on the Intranet to try to maintain the balance and put the HMRC point across. There can be a strong steer as to what it might be helpful to put there. It can be an uncomfortable place to be, but this is considered part of our role as senior leaders in the organisation.

Is it reasonable to say whatever we like on the Intranet in the name of freedom of speech, or should we also be free not to speak because we don’t like being attacked on the Intranet? Is this a faux-democracy of those that shout the loudest?

ARC is looking to introduce a similar feature on our own website which is under development, so now feels like a good time to talk about this issue. My firm view is that we all need to think carefully about how we come across to others when we’re posting at work.

As ARC’s Diversity Officer, I’ve been particularly interested, and sometimes dismayed, by the reaction to certain diversity themes which have been promoted on the Intranet. A case in point was the October article on the Embrace programme, which generated seven pages of comments, not all of which were terribly edifying. In my personal life, posting to my friends and family on Facebook, and to the world at large on

Twitter, I’ve noticed that diversity themes attract more than the usual share of internet ire. If you say anything about feminism in particular, or anything perceived as supportive of “positive discrimination” in general, you can expect to cop a lot of flak. It can be nasty, it can be ignorant, but most of all it’s just really wearing. It can feel as though the intention is just to pick a fight, to deliberately upset you, but mainly just to shout you down, drown you out, or get you to shut up because some people don’t like what you are saying. That doesn’t feel like freedom of speech to me.

And so I’ve been thinking about why certain people, often the ostensibly privileged majority, feel that they are being disadvantaged by diversity and feel that it’s OK to go on the offensive to explain this online. Do they realise how they come across to others? Often on the internet you’ll hear people ask you to “check your privilege”.

What they mean is that you might not realise just how advantaged you are in life – it might not feel like you are – but there are often other people experiencing other things that you don’t have to. We all have some privilege in life, to a greater or lesser degree.

Here’s a quick privilege check.

Can you see plenty of people with your characteristics (your gender, ethnicity, sexuality, ability arcnews

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HMRC INTRANET

or disability, age, or religion) represented in all aspects of life around you? For example, do you see people with your characteristics:

`` In positions of political power, here and around the world?

`` Represented in popular sport? `` In senior positions in public life – on boards of companies, religious institutions or running the Civil Service? `` In certain types of profession or job – from banker to checkout assistant? `` In the media, on TV, in film, in popular music? `` In educational establishments and universities? `` In the criminal justice system – sitting in judgement or on the receiving end of it? `` Does it make the news, or has it made the news in recent years the first time someone with your characteristics did one of these things?

What about people who are not like you – do you see plenty of them too? Where do you see them?

Now, think about the relative power or lack of power each of those things might give in life. Even if you feel that personally you’re not very privileged, if you’re seeing arcnews

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a lot of people with characteristics like yours in positions of relative power all around you, then you’re benefitting indirectly by having the status of someone who is relatively powerful in society – even if you don’t feel like it, or if there are lots of other things about you that people can’t see. For example, I am personally quite privileged. I’m a London lawyer with a double-barrelled name. You probably don’t know that I left school at age 16 and worked in a shop, and that I didn’t acquire my status until later in life. But that doesn’t matter when it comes down to brass tacks, because when I did come to apply for university I knew how to do it.

My familiarity with how our society works, and my English name, definitely made it much easier for me than it has been, for example, for one of my close friends whose family emigrated from Pakistan in the 1970s and whose parents don’t speak English. Doors open for me a little bit more easily – even if it hasn’t always felt like it personally. I have benefited from the privilege of my personal characteristics.

Being asked to share those benefits more equally doesn’t mean that I am being disadvantaged

– it is just attempting to give us all access to societal benefits, which some people already have more automatically than others. Some people would need a bit of a leg up to access some of the benefits I accessed in my life with relative ease. Not giving me an extra leg up isn’t discriminating against me – I already had a head start.

So, when someone posts on the internet about how efforts to close some of the gaps between the privileged and the less privileged in society are unfair and discriminatory towards them, a person who ostensibly already has all of that privilege, depending upon how they choose to express themselves, it can sometimes come across as ignorant and unpleasant. Let’s all think before we type. It might be OK to pour out your strongest feelings unchecked in the comments section of a newspaper, but maybe in the workplace we need to think a bit more carefully about what we are saying, and how it might affect our colleagues. It’s OK to have a view and to express your opinion, but we should think about how we do it in a properly professional, respectful way in a work environment, and how other people may interpret our comments

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Committee’s roles CONSULTATIONS ARRANGEMENTS AND TEAMS NAME

CONSULTATION /BUSINESS AREA(LEAD IN BOLD)

PORTFOLIO

BUSINESS PLAN

Tony Wallace – President CLO: Manchester & Nottingham

Chief People Officer Chief Finance Officer Corporate Finance Corporate Communications CPO Finance CPO HR Policy & Operations

Strategic oversight Stakeholder Management Organisation & Recruitment Terms & Conditions External tax group Facilities Time Pay Ways of Working Equal pay

Oversight

John Parkhouse – Deputy President CLO – 100PS & Brighton

PT Change PT Process Transformation BT Change E&C Change B&C Change CFO Organisational Development

Stakeholder Management Pay Terms & Conditions Ways of Working Change

Business Focus

Helen Baird-Parker – Officer CLO – Legal & Governance

Solicitors Office

Equal Pay Diversity and Inclusion

Diversity and Inclusion

Eugene Mitchell – Treasurer CLO – Glasgow

Tax Assurance Commisioner

SCS

Oversight

Finance HR – Tax Assurance Commisioner

Treasurer

Sols-PT and Corporate Tax Services Tax Litigation Sols-Business Tax Sols-Business change,caseworkers and Cross Cutting

BT Operations Commisioners Advisory Accountant Lawrence Hutton – Officer CLO-Hull & Leeds

Business Tax Lead BT- Financial Performance & Change

Jegs/Jesp/Applications Website project team

Member Engagement

External Stakeholders

External Focus

Graham Flew – Officer Benefits and Credits CLO – Cambridge & Leicester (Euston Tower, Temp) PT Operations Customer Products and Processes B&C Operations B&C Customer Strategy & Policy Universal Credit B&C Finance B&C HR

Deputy Treasurer PMR AGM Dinner Procedures sub Committee Facilities Time Casework support

Organisation

Julie Blayney – Officer CLO – North East

arcnews Diversity and Inclusion Members below G7 Website project team

Business Focus

Large Business BT-HR Iain Campbell – Officer CLO – Edinburgh

Personal Tax PT Finance PT HR CDIO-Security &Information

E&C FIS

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arcnews

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CONSULTATIONS ARRANGEMENTS AND TEAMS NAME

CONSULTATION /BUSINESS AREA(LEAD IN BOLD)

Vicky Johnson – Officer CLO – Bristol

Chief Digital and Information Officer Training and Professionalism Casework Lead Financial Operations CFO Finance Interrnal Audit Commercial Government Banking CDIO- Finance CDIO-HR Aspire CDIO-Account & Portfolio Management

Blair Gardner Jim Rogers CLO – Reading & South Coast David Cooper CLO – Sheffield Eva Braniff CLO – Northern Ireland

Jeremy Burrows CLO – Gloucester & Oxon & Bucks Amy Carr CLO – Preston & Liverpool

PORTFOLIO

BUSINESS PLAN

Members Priorities

Website project team

Member engagement

KAI RIS Mid size SME IT – Delivery CDIO-Technology CDIO – Digital CDIO-Development, testing & operations Debt Management & Banking

Change

Members priorities

SRM Website project team CPD arcnews

Members Priorities

Casework

External Focus

Specialist Personal Tax

Diverstity and Inclusion Casework Members below G7 External focus

Diversity & Inclusion

Diversity & Inclusion

James Ewington CLO – West Midlands

HMRC Central Customer Strategy Central Policy Tax Professionalism & Assurnace

Paula Houghton CLO – Norfolk & Suffolk (South Wales – Temp)

BT – Business Customer & Strategy BT-Corporation Tax, International and Stamps

Organisation and Recruitment T&S President’s Office Information ARC H&S Website project team

Organisation

Steve McFarlane

BT/Customs Counter-Avoidance Indirect Tax Workforce Planning

Business Workforce Management arcnews

Business Focus

Frances Hunter CLO – London BCD (South West – Temp)

Tax Free Childcare ESS CFO-Change Programme

Green Issues Business Workforce Management

External Focus

Spencer Munn

Civil Service Resourcing

Members below G7 Training and Professionalism (James, Julie and Spencer)

Member engagement

arcnews

Members Priorities

Will Richardson CLO – Croydon (London South)

External Focus

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arcnews

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