HC Deb 17 July 1979 vol 970 cc1280-2
6. Mr. Roy Hughes

asked the Secretary of State for Employment when he plans next to meet members of the Trades Union Congress to discuss unemployment problems.

Mr. Prior

I keep in regular contact with members of the TUC and we discuss a wide range of issues, including unemployment.

Mr. Hughes

Instead of attempting to restrict the hard-won rights of the trade unions, would it not be better to restrict the efforts of the right hon. Member for Leeds, North-East (Sir K. Joseph) whose demented policies, such as withdrawing financial aid to the hard-pressed steel industry, together with major cuts in assistance to development areas, are likely to exacerbate the already serious unemployment problem?

Mr. Prior

I hope that the hon. Gentleman, instead of making those unfounded attacks upon my right hon. Friend, will take time off to help his constituents and the country to achieve full employment, which is what his Government failed singularly to do.

Mr. Neubert

What explanation can my right hon. Friend give for the fact that at a time of high and increasing unemployment there are thousands of unfilled jobs throughout the country? In London, the Post Office is 2,000 short although the post service is notorious. What action will the Government take to get those people off unemployment benefit and into unfilled jobs?

Mr. Prior

There is not a large enough gap between what people can earn in a job and what they can obtain by not working. By restoring differentials and decreasing the amount of tax that is paid and, perhaps, in the long run, by bringing short-term benefits within the tax net, a better balance will be achieved.

Mr. Ashley

What special consideration is being given to the older unemployed worker who, especially in areas of high unemployment, is demoralised at the prospect of being unemployed for the rest of his life?

Mr. Prior

That is a serious problem. The job release scheme that was introduced by the previous Government, and extended towards the end of their period of office, is being maintained. That will help the older unemployed person. Other than that, only a general improvement in the state of the economy will result in older unemployed persons obtaining jobs.

Mr. Marlow

Reverting to the question asked by my hon. Friend the Member for Romford (Mr. Neubert) about the work-shy, will my right hon. Friend give consideration at some stage to the possibility of reducing unemployment benefit after a period of, say, six months to those who have been offered jobs and not accepted them although they could have done so?

Mr. Prior

We should keep the matter in proportion—[HON. MEMBERS " Hear, hear ".] When Labour Members start to cheer that sort of remark they should remember the great indignation that is felt by those who work hard about those who do not bother to work at all. The Government are trying to see that more people are called in for reviews of their unemployment benefit where they have refused to take jobs, in the hope that that will encourage them to make more effort.

Mr. Benn

Has the Secretary of State given consideration to the TUC argument about the flood of manufactured imports that are financed by our oil revenue that have led to a major balance of payments deficit, combined with the withdrawal of Government support for British industry? That withdrawal will accelerate de-industrialisation and ultimately prevent the country from earning its living or employing its people.

Mr. Prior

Without accepting the last part of the right hon. Gentleman's question, the House will remember that he was singularly unable to convince his own colleagues about his alternative strategy. Therefore, I do not know why he is trying to convince me.

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