HC Deb 11 June 1980 vol 986 cc191-2W
Mr. Nicholas Winterton

asked the Secretary of State for Industry what is the average level of redundancy payments to each man made redundant at every steel plant in the United Kingdom enforcing redundancies since 3 May 1979.

Mr. Adam Butler

[pursuant to his reply, 10 June 1980]: This information is not available in the form requested. Redundant steel workers may receive one or more of the following payments :

  1. (i) statutory redundancy pay under the Employment Protection Act. A steel worker with average earnings in 1979–80 aged 40, with 15 years service, would receive some £1,450. The British Steel Corporation and some private sector employers enhance this statutory entitlement with a supplement of about 50 per cent.
  2. (ii) support benefits for a period of 78–130 weeks depending on age, under a joint Government-ECSC scheme. These pay-

statistical service. The numbers of statistical forms issued by the two Departments in 1978 and 1979, together with projected figures for 1980, are given in the table below. Comparable information for January-April is not available

ments vary with the individual's circumstances and it is not possible to give average payments at particular plants until the end of the benefit period. These payments are heavily weighted in favour of older workers: typically total payments to a man aged 55 or over would be £4,500.

  1. (iii) At some BSC plants, an additional severance payment has been agreed. These payments differ from plant to plant and may include different provisions for recognition of length of service. The level of these payments is a matter for the corporation, but I understand that the average level of BSC severance payments in the year to 31 March 1980 was about £3,500.