HC Deb 15 April 2002 vol 383 cc343-5
1. Lawrie Quinn (Scarborough and Whitby)

What plans he has to help employees of companies affected by large-scale redundancies to find new work. [45011]

11. David Cairns (Greenock and Inverclyde)

What plans he has to help people affected by large-scale redundancies to find new work. [45021]

The Minister for Work (Mr. Nicholas Brown)

We have developed the rapid response service to support people affected by significant redundancies and help them make the transition to sustainable new jobs. This enhanced service allows a flexible response based on local need. I am pleased to announce that, on 1 April, the rapid response service became fully operational, supported by a further £6 million investment over two years.

Lawrie Quinn

I thank my right hon. Friend for that answer. He might recall the major threat of a factory closure in my constituency just under a year ago. Indeed, his Department helped considerably in creating a renaissance for the factory's prospects. However, many people still faced redundancy and a lot of those who came to my surgery thought that the Government should work closer with the citizens advice bureaux and local agencies that have local knowledge to help them through that difficult period when they have just been made redundant and are looking for new work. Can the Minister comment on working in conjunction with local agencies to help people to find their way back into work?

Mr. Brown

My hon. Friend makes a fair point and I am grateful for what he says about the work of officials in difficult redundancy rounds. Although it may not seem like it at the time, it is the case that those who are in work mostly go on to get further work. However, it is right that the Department is able to help. It is also right that we co-ordinate our work with other agencies. Indeed, part of the extra £6 million is intended to do exactly what my hon. Friend requests.

David Cairns

My right hon. Friend will be aware of the threat of job losses at the Coalport and Faslane bases on the Clyde. Although I believe that such job losses are neither inevitable nor necessary, will he confirm that if they materialise, his Department will work at once with the Scotland Office, the Scottish Executive, the management and unions to form a lower Clyde jobs taskforce along similar lines to the successful upper Clyde taskforce that followed recent redundancies and threats of redundancies in the upper Clyde last year?

Mr. Brown

First, let me sympathise with my hon. Friend. Representing a shipbuilding constituency myself, I know how difficult the threat of major redundancy rounds can be to communities that rely on a single large employer. I pledge that the Department will work with others to do what we can to help in the event of a redundancy round, although I understand that work is being done within the industry on the viability of the business, so we are not in that situation yet. The Department is in touch with others who have an interest in the event of a major redundancy round, including the agencies of the Scottish Parliament and of local government. If the help is needed, it will be there.

Annabelle Ewing (Perth)

The Scottish National party shares the anxieties about the potential job losses at Faslane and Coalport. The Minister referred to significant redundancies. Presumably he accepts that redundancies on a numerically smaller scale may none the less have a greater marginal impact on small communities. Does he also accept that the real issue concerning jobs in Scotland and elsewhere in the United Kingdom will not be solved until the Government start to address the underlying structural problems that face business in the UK, including their high-pound policy and the infliction of the highest fuel taxes in the industrialised world?

Mr. Brown

May I say gently to the hon. Lady that more people are in employment in our country than ever before? If it is the policy of the Scottish National party to oppose defence expenditure, how does she hope to preserve defence jobs?

Rachel Squire (Dunfermline, West)

Does my right hon. Friend share my deep regret at the recent closure of Scotland's only deep coal mine and the loss of 500 jobs? Will he join me in welcoming the rapid partnership that developed between the Employment Service, Scottish Enterprise Fife, Fife council, the Department of Trade and Industry, the Scottish Executive, the mining unions and many others to give those men every possible assistance in training and job opportunities? Does he agree that those miners have many skills and special qualities and that their needs should continue to be prioritised by the Government and the partnership in the weeks ahead?

Mr. Brown

As I told my hon. Friend the Member for Greenock and Inverclyde (David Cairns), I understand how difficult these major redundancy rounds are. Shipbuilding and coal mining communities rely on a single, focused employment base, and when that is jeopardised the situation for the local community becomes very difficult. I can confirm that the Department's officials are working very closely with agencies of the Scottish Parliament and with Fife council to do everything that we can to help people who are displaced into other employment opportunities. We know that the opportunities are there, and my hon. Friend is right to draw attention to the experience and skill base in the industry.

Mr. Dennis Skinner (Bolsover)

I associate myself with the remarks made by my hon. Friend the Member for Dunfermline, West (Rachel Squire) on Scottish mining jobs. Will the Minister take into account the fact that most large-scale redundancies come out of the blue, and the Government have to react to them?

May I also tell my right hon. Friend that when colleges go into a review—this is not his Department, but he should listen carefully—it means that the Government may indirectly cause large-scale redundancies? There is one such college in my constituency, North Derbyshire tertiary college, and I hope that it is imprinted on the mind of every Minister. Instead of closing it down and causing large-scale redundancies, the Government should save it.

Mr. Brown

I always listen particularly carefully when a matter being put to me is not my responsibility, in case I inadvertently give a commitment that I should not. The fairest thing that I can say to my hon. Friend is that I will draw his remarks to the attention of the appropriate Minister. He has made his point, and he is right to say what he does about redundancy rounds, whether they occur in education or in traditional heavy industry.

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