§ Mr. Shepherd
asked the Minister of Pensions and National Insurance what study she has made of the probable effect of the abolition of the earnings rule in respect of retirement pensions; and whether such abolition would increase or decrease the number of persons over pensionable age likely to engage in full-time employment.
§ Miss Herbison
The available evidence suggests that the existence of the earnings rule has very little effect on individual decisions to continue in full-time employment after minimum pensionable age. Abolition of the rule would involve abolition also of the retirement condition, and this might well lead a proportion of the 350,000 people at present deferring retirement and earning pension increments to abandon full-time employment in favour of part-time work and pension.