Mr. J. T. Priceasked the Minister of Social Security if she is aware of the criticism which exists among insured persons about the administration of wage-related benefits, particularly in those industries, such as the textile industry in particular, where short time is in operation; and what steps she proposes to take to improve the administration.
§ Mrs. HartLegislation provides that the earnings-related supplement to unemployment benefit should not be payable during periods of short-time working. This is part of a deliberate policy by the Government to concentrate unemployment benefit on the wholly unemployed and to leave to industry itself the responsibility for devising arrangements to cover short periods of temporary suspension of employment. This policy will become fully operative in March 1969 when flat-rate unemployment benefit will no longer be payable during periods of short-time working.
I am of course aware that there has been some criticism of this new approach not, as far as I know, of administration. If my hon. Friend has any such point in mind I will gladly look into it, in consultation with my right hon. Friend the Minister of Labour, if he will let me have details.
Mr. J. T. Priceasked the Minister of Social Security if she is aware that the operation of the waiting days prevents workers, particularly in those industries, such as the textile industry, where short time is in operation, from obtaining any benefit under the wage-related sections of the National Insurance Act, although such contributors have paid contributions on that basis; and what steps she proposes to take to meet these complaints.
§ Mrs. HartThe provisions of the National Insurance Act, 1966 were deliberately framed to prevent earnings-related supplement from being paid to workers on short time and the level of the graduated contributions required to finance these earnings-related supplements was fixed accordingly.