§ Mr. Ralph Howellasked the Chancellor of the Exchequer if he will compare the value of tax refunds paid during sickness to (a) a civil servant, (b) a member of Her Majesty's Forces, (c) a car worker
Weekly earnings whilst working £40 £60 £80 £100 Civil Servant … 6.50 2.20 — — Member of HM Forces … — — — — Agricultural worker … 6.80 710 6.95 700 Car worker … See Note 4 below Notes: 1. During short-term sickness civil servants would, on certain conditions, be paid their normal gross wage, in return for undertaking not to claim national insurance benefit. Since sickness benefit is not taxable, tax is not charged on an amount equal to the benefit that would otherwise be claimed, in order to ensure that civil servants are treated in the same way as other employees. 2. Members of HM Forces do not receive sickness benefit and on this account pay a lower rate of national insurance contribution. Sickness does not therefore directly affect their tax liability and refunds do not arise. 3. The agricultural workers have been assumed to be in receipt of premium payments and/or overtime pay to bring them up to the earnings levels shown. The employer is required by law to make up their income from sickness benefit to the level of the workers' minimum wage for a standard week of 40 hours over a limited period. (Employers may provide more sick pay if they wish.) The following minimum wage levels have been assumed:—
Earnings per week Grade Minimum weekly wage £40 … … … Ordinary … … … £39.00 £60 … … … Appointment II … … … £45.10 £80/100 … … … Appointment I … … … £48.15 4. For car workers, there are national agreements on wages, but the arrangements for pay whilst sick are a matter for negotiation between the two parties and I regret that no comprehensive information is available on which to base estimates of tax refunds.