§ Mr. Carter-Jonesasked the Secretary of State for Social Services if he will review his Department's policy regarding the non-payment of redundancy earnings-related benefits for the full period to pensioners who are compelled to retire because of redundancy just prior to the statutory retirement age; and if he will make a statement.
§ Mr. OrmeEarnings-related supplement to unemployment and sickness benefits was introduced in 1966 to provide a cushion against loss of earnings resulting from temporary interruption of employment; and it ceases when a person reaches minimum pensionable age. Payment of the supplement for the full six months to a man made redundant, say, three months before minimum pensionable age would put him in a better position than a person who retired at minimum pensionable age and who received no earnings-related supplement. The principle of earnings-related benefit for retirement pensioners is of course well-established; the former graduated pension scheme was introduced on 1961, and the present Government's recent pensions legislation will in due course provide a substantial earnings-related element in the pension.