HC Deb 22 April 1998 vol 310 cc807-9
6. Mr. Nick St. Aubyn (Guildford)

What assessment he has made of the impact of Government policies on the employment prospects of the under-25s in Wales. [38004]

The Parliamentary Under-Secretary of State for Wales (Mr. Peter Hain)

Under the new deal, modem apprenticeships and our planned national traineeships, young people in Wales now have the best opportunity in generations to get and keep a job.

Mr. St. Aubyn

Does the Minister regret the fact that the new deal has now been launched nationwide without sufficient time having been given to examine the experience in pathfinder areas such as that in Wales? Does the Minister agree with the Labour Chairman of the Select Committee on Education and Employment who warned at a recent public hearing with the Minister for Employment, Welfare to Work and Disability Rights that, owing to the problem that new dealers might take away job opportunities from those already looking for work, after six months, "new deal" might become a dirty word on the street?

Mr. Hain

I am not sure where the hon. Gentleman has been. The pathfinder experience in south-west Wales has been very good. We found 1,500 jobs pledged for youngsters who previously had no hope of a job. A total of 350 employers have given those pledges and there is a real prospect now of people being given opportunities when they never had them before. We are confident that 17,000 places on the new deal will be filled in the coming year and that will give a fantastic opportunity of a lifetime to people whom the Conservative party abandoned over 18 miserable years.

Mr. David Hanson (Delyn)

Does my hon. Friend agree with the manager of my local Employment Service who said that the new deal in Wales was the best scheme that he had ever seen in the 35 years that he had worked in the service? Will my hon. Friend comment on the number of people who are taking up the new deal in Wales and on the number of companies that are involved? When is the new deal likely to be extended to over-25s in Wales?

Mr. Hain

The new deal will be extended to over-25s in June. That will give them an opportunity from which young people throughout Wales now benefit by the thousand. The new deal is a very exciting programme for young people and businesses, and, for the first time in a generation, it gives Employment Service officials the opportunity to help people into work, rather than simply push them aside and off the claimant figures. The new deal is a unique combination of skills, high-quality training and high-quality job experience. That should be supported, not denigrated, by every hon. Member.

Mr. Dafydd Wigley (Caernarfon)

I wish the new deal well, but does the Minister accept that there are two prerequisites for it to succeed? The first is that there are long-term permanent jobs into which people can slot after having their training and going through the new deal. The second is that there is an adequate number of proper trainers, which is being undermined by the reduction in money that is available in Wales for training and enterprise councils. How will he ensure that those two requirements are met so that the new deal will succeed?

Mr. Hain

The right hon. Gentleman rightly raises specific points. The first issue is whether there is a permanent job at the end of the new deal programme. If the employability of those in Wales who are participating by the thousand in the new deal is increased, as it will be, their prospects of a job will be greatly enhanced. In addition, businesses in pathfinder areas that have taken on new deal participants find that the programme gives them opportunities to develop their businesses and thereby offer those individuals permanent jobs.

On training, we have injected additional resources through the new deal. That should make up any fall in overall provision through the TECs.

Mr. John Smith (Vale of Glamorgan)

Will my hon. Friend join me in congratulating Liz Marsh of the Employment Service and Vale of Glamorgan council on the launch of new deal contracts last Friday, which will result in 160 under-25-year-olds getting jobs in my constituency? Will he join me in thanking the 73 employers who have expressed an interest in taking part in the new deal?

Mr. Hain

Yes, I will join my hon. Friend in congratulating all those involved in the Vale of Glamorgan and throughout Wales. Conservative Members should join us in ensuring that the new deal works. Labour Members, in common with some Opposition Members, are taking part in launches to get businesses involved and to ensure that the new deal is a success throughout the country. Conservative Members should be doing the same, rather than moaning and groaning about the once-in-a-lifetime opportunity that this Government are giving young people.