Temporary Employment Subsidy (Hansard, 22 November 1977)

§ Mr. Noble
asked the Secretary of State for Employment how many staff are employed in processing temporary employment subsidy claims in the North-West.

§ Mr. Golding
As at 18th November, 23 staff were employed in processing temporary employment subsidy claims in the North-West.

§ Mr. Noble
asked the Secretary of State for Employment how many applications there have been for temporary employment subsidy supplement since its introduction (a) by industry and (b) by region and how many have been approved.

§ Mr. Golding
I regret I am unable to give information in the precise form requested.
As at 30th September 1977, the number of applications for TES (Supplement) received were as follows:

Received Approved

Northern 17 5

Yorks and Humberside 49 21

South East 83 20

South West 49 31

Midlands 112 53

North West 190 76

Wales 53 34

Scotland 66 35

Total 619 275

Details of approved applications for supplement, also at 30th September 1977, analysed by industry and region are shown in the attached schedule.

§ Mr. Noble
asked the Secretary of State for Employment what are the criteria for granting temporary employment subsidy; and what are the criteria for granting the temporary employment subsidy supplement.
716W

§ Mr. Golding
The criteria for granting TES are that in the opinion of my right hon. Friend the Secretary of State for Employment:

(a) There is evidence of a decision in good faith to declare a redundancy affecting 10 or more workers in an establishment;

(b) The company has begun consultations about the redundancies with the trade union(s) concerned, has notified the Department of the threatened redundancy in accordance with the provisions of the Employment Protection Act 1975, and the application is jointly signed by the company and the trade union representative(s) concerned;

(c) The company is not insolvent or about to become insolvent;

(d) The provisions of any Government pay policy in force at the time of the application are adhered to.
The criteria for granting the supplement are the same as those above with the added proviso that without further subsidy, the company would be obliged to declare redundancies.

§ Mr. Noble
asked the Secretary of State for Employment what is the current real value of a temporary employment subsidy payment, expressed as a percentage of its value when the scheme was introduced.

§ Mr. Golding
The current real value of the present subsidy of £20 per week per job maintained expressed as a percentage of the original subsidy of £10 per week is 150 per cent.

§ Mr. Noble
asked the Secretary of State for Employment how many firms have exhausted their entitlement to temporary employment subsidy (a) since introduction and (b) since April 1977.

§ Mr. Golding
As at 11th November 1977 (a) 1,856 establishments had exhausted payment of TES since introduction and (b) 1,156 since April 1977.

§ Mr. Noble
asked the Secretary of State for Employment how many jobs have been saved by temporary employment subsidy since its introduction by region and by industry.

§ Mr. Golding
Since the inception of the scheme some 344,000 jobs have been supported with 60,000 in the pipeline under consideration. Details of jobs supported by TES, by industry and region, as at 30th September 1977—the latest available figures—are shown in the schedule below:
717W

NUMBER OF WORKERS IN APPROVED APPLICATIONS BY INDUSTRY AND REGION 18TH AUGUST 1975–30TH SEPTEMBER 1977

Northern Region Yorkshire and Humberside South East South West Wales Midlands Region North Western Scotland Totals Jobs supported at 30th September 1977 (estimate)

1. Agriculture, Forestry, Fishing 70 82 419 89 407 161 26 644 1,898 984

2. Mining and Quarrying 256 65 10 1,302 189 108 160 50 2,140 1,110

3. Food, Drink and Tobacco 446 1,221 841 858 807 1,128 812 2,684 8,797 4,555

4. Coal and Petroleum Products — — — — — 230 — — 230 —

5. Chemicals and Allied Industries 118 1,056 508 35 529 188 1,269 118 3,821 1,980

6. Metal Manufacture 509 195 257 216 630 3,151 1,115 1,171 7,244 3,752

7. Mechanical Engineering 1,147 1,144 2,398 1,147 1,223 2,307 4,031 2,220 15,617 8,087

8. Instrument Engineering 28 98 299 682 423 419 212 427 2,588 1,342

9. Electrical Engineering 1,135 2,317 2,921 420 2,576 3,582 2,267 1,618 16,836 8,718

10. Shipbuilding and Marine Engineering 40 369 1,405 208 43 — 828 1,247 4,140 2,146

11. Vehicles 120 330 169 21 316 3,468 716 548 5,688 2,946

12. Metal Goods Not Elsewhere Specified 329 1,815 1,475 172 956 3,787 3,743 1,188 13,465 6,973

13. Textiles 3,890 7,709 396 1,513 3,316 17,106 31,588 7,561 73,079 41,314

14. Leather, Leather Goods and Fur 395 1,054 1,002 70 113 454 810 1,187 5,085 2,634

15. Clothing and Footwear 8,161 12,009 8,999 1,572 5,161 13,866 22,559 11,364 83,691 43,130

16. Bricks, Pottery, Glass, Cement etc 115 366 43 380 548 3,761 1,581 792 7,586 3,929

17. Timber, Furniture etc 1,789 1,362 3,542 1,009 643 2,127 3,168 1,603 15,243 7,894

18. Paper, Printing and Publishing 142 953 8,608 1,828 582 1,078 2,904 1,439 17,534 9,079

19. Other Manufacturing Industries 356 279 403 387 1,729 787 1,699 682 6,322 3,275

20. Construction 542 909 2,015 1,979 641 2,009 1,641 2,302 12,038 6,233

21. Gas, Electricity and Water — — — — — 20 — — 20 —

22. Transport and Communication 20 234 620 164 137 356 598 126 2,255 1,170

23. Distributive Trades 155 639 1,590 705 359 1,710 2,731 1,121 9,010 4,667

24. Insurance, Banking, Finance and Business Services 15 44 10 22 15 90 301 41 538 286

25. Professional and Scientific Services — — 146 74 32 20 62 63 397 211

26. Miscellaneous Services 234 418 2,601 849 646 856 1,032 385 7,021 3,635

27. Public Administration and Defence — — — — — — — — — —

Totals 20,012 34,668 40,677 15,702 22,021 62,769 85,853 40,581 322,283 170,050

718W 719W

TES (SUPPLEMENT)

WORKERS IN APPROVED APPLICATIONS 30TH MARCH 1977–30TH SEPTEMBER 1977

Northern Region Yorkshire and Humberside South East South West Wales Midlands Region North Western Scotland Totals

1. Agriculture, Forestry, Fishing … — — — — 74 — — 14 88

2. Mining and Quarrying … — — — 10 — — 35 — 45

3. Food, Drink and Tobacco … — 535 — 262 — 12 40 — 849

4. Coal and Petroleum Products … — — — — — — — — —

5. Chemicals and Allied Industries … — — — — — 16 30 — 46

6. Metal Manufacture … — — — — — 348 29 23 400

7. Mechanical Engineering … 100 — 95 — 113 47 33 83 471

8. Instrument Engineering … — — — 52 — — — — 52

9. Electrical Engineering … — — 107 — 11 217 — 6 341

10. Shipbuilding and Marine Engineering … — 33 — — — — — 37 70

11. Vehicles … — — — — 119 49 — — 168

12. Metal Goods Not Elsewhere Specified … — — 18 10 446 68 270 — 812

13. Textiles … 372 505 15 460 47 1,610 2,281 720 6,010

14. Leather, Leather Goods and Fur … — — — — 10 — — — 10

15. Clothing and Footwear … 406 567 86 101 1,169 1,357 2,004 1,357 7,047

16. Bricks, Pottery, Glass, Cement etc. … — — — 32 11 — — 70 113

17. Timber, Furniture etc. … 31 — — 97 — 90 110 — 328

18. Paper, Printing and Publishing … — — 895 342 86 11 419 12 1,765

19. Other Manufacturing Industries … — — 12 — 517 — 30 — 559

20. Construction … — — 75 73 40 56 22 — 266

21. Gas, Electricity and Water … — — — — — — — — —

22. Transport and Communication … — — — — — 14 71 — 85

23. Distributive Trades … — — 69 80 10 36 204 121 520

24. Insurance, Banking, Finance and Business Services … — — — 10 — — — — 10

25. Professional and Scientific Services … — — — — — — — — —

26. Miscellaneous Services … — 14 — 52 14 35 107 25 247

27. Public Administration and Defence … — — — — — — — — —

Totals … 909 1,654 1,372 1,581 2,667 3,966 5,685 2,468 20,302

720W 721W

§ Mr. Noble
asked the Secretary of State for Employment what is the estimated saving to the Exchequer in unemployment benefit as a result of temporary employment subsidy.

§ Mr. Golding
It is not possible to quote a figure for unemployment benefit savings, as this would depend on the wages, personal circumstances, etc., of the workers who, but for TES, would have claimed unemployment benefit. The saving is, however, considerable.

§ Mr. Noble
asked the Secretary of State for Employment what is the cost of the temporary employment subsidy from the introduction of the scheme to the latest available date.

§ Mr. Golding
I regret that I am unable to give information in the precise form requested.
As at 11th November 1977, the estimated cumulative total of subsidy cash commitment—assuming 12 months' payment in each case for the main scheme and six months' payment for the supplement scheme—is £332 million. Actual expenditure as at 31st October was £197 million.

	Received	Approved
Northern	17	5
Yorks and Humberside	49	21
South East	83	20
South West	49	31
Midlands	112	53
North West	190	76
Wales	53	34
Scotland	66	35
Total	619	275

NUMBER OF WORKERS IN APPROVED APPLICATIONS BY INDUSTRY AND REGION 18TH AUGUST 1975–30TH SEPTEMBER 1977
		Northern Region	Yorkshire and Humberside	South East	South West	Wales	Midlands Region	North Western	Scotland	Totals	Jobs supported at 30th September 1977 (estimate)
1.	Agriculture, Forestry, Fishing	70	82	419	89	407	161	26	644	1,898	984
2.	Mining and Quarrying	256	65	10	1,302	189	108	160	50	2,140	1,110
3.	Food, Drink and Tobacco	446	1,221	841	858	807	1,128	812	2,684	8,797	4,555
4.	Coal and Petroleum Products	—	—	—	—	—	230	—	—	230	—
5.	Chemicals and Allied Industries	118	1,056	508	35	529	188	1,269	118	3,821	1,980
6.	Metal Manufacture	509	195	257	216	630	3,151	1,115	1,171	7,244	3,752
7.	Mechanical Engineering	1,147	1,144	2,398	1,147	1,223	2,307	4,031	2,220	15,617	8,087
8.	Instrument Engineering	28	98	299	682	423	419	212	427	2,588	1,342
9.	Electrical Engineering	1,135	2,317	2,921	420	2,576	3,582	2,267	1,618	16,836	8,718
10.	Shipbuilding and Marine Engineering	40	369	1,405	208	43	—	828	1,247	4,140	2,146
11.	Vehicles	120	330	169	21	316	3,468	716	548	5,688	2,946
12.	Metal Goods Not Elsewhere Specified	329	1,815	1,475	172	956	3,787	3,743	1,188	13,465	6,973
13.	Textiles	3,890	7,709	396	1,513	3,316	17,106	31,588	7,561	73,079	41,314
14.	Leather, Leather Goods and Fur	395	1,054	1,002	70	113	454	810	1,187	5,085	2,634
15.	Clothing and Footwear	8,161	12,009	8,999	1,572	5,161	13,866	22,559	11,364	83,691	43,130
16.	Bricks, Pottery, Glass, Cement etc	115	366	43	380	548	3,761	1,581	792	7,586	3,929
17.	Timber, Furniture etc	1,789	1,362	3,542	1,009	643	2,127	3,168	1,603	15,243	7,894
18.	Paper, Printing and Publishing	142	953	8,608	1,828	582	1,078	2,904	1,439	17,534	9,079
19.	Other Manufacturing Industries	356	279	403	387	1,729	787	1,699	682	6,322	3,275
20.	Construction	542	909	2,015	1,979	641	2,009	1,641	2,302	12,038	6,233
21.	Gas, Electricity and Water	—	—	—	—	—	20	—	—	20	—
22.	Transport and Communication	20	234	620	164	137	356	598	126	2,255	1,170
23.	Distributive Trades	155	639	1,590	705	359	1,710	2,731	1,121	9,010	4,667
24.	Insurance, Banking, Finance and Business Services	15	44	10	22	15	90	301	41	538	286
25.	Professional and Scientific Services	—	—	146	74	32	20	62	63	397	211
26.	Miscellaneous Services	234	418	2,601	849	646	856	1,032	385	7,021	3,635
27.	Public Administration and Defence	—	—	—	—	—	—	—	—	—	—
	Totals	20,012	34,668	40,677	15,702	22,021	62,769	85,853	40,581	322,283	170,050

TES (SUPPLEMENT)
WORKERS IN APPROVED APPLICATIONS 30TH MARCH 1977–30TH SEPTEMBER 1977
			Northern Region	Yorkshire and Humberside	South East	South West	Wales	Midlands Region	North Western	Scotland	Totals
1.	Agriculture, Forestry, Fishing	…	—	—	—	—	74	—	—	14	88
2.	Mining and Quarrying	…	—	—	—	10	—	—	35	—	45
3.	Food, Drink and Tobacco	…	—	535	—	262	—	12	40	—	849
4.	Coal and Petroleum Products	…	—	—	—	—	—	—	—	—	—
5.	Chemicals and Allied Industries	…	—	—	—	—	—	16	30	—	46
6.	Metal Manufacture	…	—	—	—	—	—	348	29	23	400
7.	Mechanical Engineering	…	100	—	95	—	113	47	33	83	471
8.	Instrument Engineering	…	—	—	—	52	—	—	—	—	52
9.	Electrical Engineering	…	—	—	107	—	11	217	—	6	341
10.	Shipbuilding and Marine Engineering	…	—	33	—	—	—	—	—	37	70
11.	Vehicles	…	—	—	—	—	119	49	—	—	168
12.	Metal Goods Not Elsewhere Specified	…	—	—	18	10	446	68	270	—	812
13.	Textiles	…	372	505	15	460	47	1,610	2,281	720	6,010
14.	Leather, Leather Goods and Fur	…	—	—	—	—	10	—	—	—	10
15.	Clothing and Footwear	…	406	567	86	101	1,169	1,357	2,004	1,357	7,047
16.	Bricks, Pottery, Glass, Cement etc.	…	—	—	—	32	11	—	—	70	113
17.	Timber, Furniture etc.	…	31	—	—	97	—	90	110	—	328
18.	Paper, Printing and Publishing	…	—	—	895	342	86	11	419	12	1,765
19.	Other Manufacturing Industries	…	—	—	12	—	517	—	30	—	559
20.	Construction	…	—	—	75	73	40	56	22	—	266
21.	Gas, Electricity and Water	…	—	—	—	—	—	—	—	—	—
22.	Transport and Communication	…	—	—	—	—	—	14	71	—	85
23.	Distributive Trades	…	—	—	69	80	10	36	204	121	520
24.	Insurance, Banking, Finance and Business Services	…	—	—	—	10	—	—	—	—	10
25.	Professional and Scientific Services	…	—	—	—	—	—	—	—	—	—
26.	Miscellaneous Services	…	—	14	—	52	14	35	107	25	247
27.	Public Administration and Defence	…	—	—	—	—	—	—	—	—	—
	Totals	…	909	1,654	1,372	1,581	2,667	3,966	5,685	2,468	20,302