HC Deb 23 April 1970 vol 800 cc126-7W
40. Mr. Edelman

asked the Secretary of State for Employment and Productivity what steps she is taking to ensure that workers at the Handley Page Aircraft Company obtain early payment of wages and related sums outstanding to them at the time of the collapse of the company; and what action she is meanwhile taking in order to mitigate the hardship from which these workers are suffering.

Mr. Dell:

The responsibility for dealing with preferential claims lies with the receiver and manager. I understand that the company is preparing a statement of affairs and that as soon as this has been delivered to the receiver and manager and examined by him he will make a statement relating to the position generally.

In the meantime my Department has made guarantee redundancy payments to most of the workers eligible for them and hopes to make them shortly in the remaining eligible cases.

My Department will continue its efforts to help those who need assistance in finding other employment.

Mr. Edelman

asked the Secretary of State for Employment and Productivity to what extent the code of conduct established by her Department requiring employers to consult with their workers before declaring large-scale redundancies was applied in connection with the closure of the Handley Page Aircraft Company.

Mr. Dell:

The booklet " Dealing with Redundancies " issued by the Department in 1968 urges that in the normal course of events there should be the fullest consultation with trade unions before a final decision is taken to close a factory or substantially reduce its labour force, and that detailed arrangements to give effect to such a decision should be fully discussed with union officials. I regret that the recommended consultation is did not take place in connection with this closure, but I understand that the company was confronted by serious and immediate financial difficulties.