§ Mr. Flanneryasked the Secretary of State for Employment (1) what criteria were used to determine which companies were in financial difficulties under the Employment Protection (Consolidation) Act 1978; and what checks were made to establish whether the criteria were being met;
(2) what was the average interest rate, if any, that was charged to companies which made repayment under section 106(3) of the Employment Protection (Consolidation) Act 1978;
(3)what was the average length of time which lapsed before repayment was made by employers under section 106(3) of the Employment Protection (Consolidation) Act 1978;
(4) how much money was recouped in 1980 under section 106(3) of the Employment Protection (Consolidation) Act 1978;
(5)how many payments were made in 1980 by the redundancy payments fund in accordance with section 106(1) and 106(2) of the Employment Protection (Consolidation) Act 1978; and what was the total paid out under these provisions;
(6) how many redundant persons were covered by sections 106(1) and 106(2) of the Employment Protection (Consolidation) Act 1978 in 1980.
§ Mr. Peter MorrisonDuring 1980, 42,757 employees received a total of £34,930,000 in redundancy payments made direct from the redundancy fund under section 106 of the Employment Protection (Consolidation) Act 1978. Such payments are made where an employer can provide, through a bank statement or auditors' report, proof of his inability to make statutory redundancy payments or where an employee cannot obtain payment of an industrial tribunal award; all applications are rigorously scrutinised. The employer's share of the payment is recovered as far as, and as soon as, his resources permit. In 1980 the amount recovered totalled £1,698,184. No interest is charged on these payments.