HC Deb 11 February 1981 vol 998 cc353-6W
Mr. Ralph Howell

asked the Secretary of State for Employment, further to his reply to the hon. Member for Keighley (Mr. Cryer), Official Report, 19 January, column 41, tabulating net incomes working full-time and on a four day week with and without temporary short-time working compensation, if he will recalculate net incomes, after taking into account tax refunds, assuming that short-time working commenced on 1 January 1981.

Mr. Peter Morrison

The following table shows the figures requested. I should stress that the figures relate to the assumptions given in the following table.

Working a Normal 5-day Week Working for 4 Days with UB for Workless Day Working for 4 Days with TSTWC for Workless Day
Rate of Pay Normal Pay Tax National Insurance Normal Net Pay 4 Days Pay Tax Tax Rebate (if any) National Insurance Net Pay UB for 1Day Total Net Money 4 Days Pay TSTWC for I Day Total for Week Tax Tax Rebate (if any) National Insurance Total Net Money
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17)
MARRIED MAN WITH DEPENDANT WIFE WEEK ENDING 23 JANUARY 1981
£40 40.00 — 2.70 37.30 32.00 — — 2.16 29.84 5.57 35.41 32.00 4.00 36.00 — — 2.43 33.57
£50 50.00 2.70 3.38 43.92 40.00 — 0.30 2.70 37.60 5.57 43.17 40.00 5.00 45.00 1.20 — 3.04 40.76
£60 60.00 5.70 4.05 51.25 48.00 2.10 — 3.24 42.66 5.57 48.23 48.00 6.00 54.00 3.90 — 3.65 46.45
£70 70.00 8.70 4.73 56.57 56.00 4.50 — 3.78 47.72 5.57 53.29 56.00 7.00 63.00 6.60 — 4.25 52.15
£80 80.00 11.70 5.40 63.90 64.00 6.90 — 4.32 52.78 5.57 58.35 64.00 8.00 72.00 9.30 — 4.86 57.84
£90 90.00 14.70 6.08 69.22 72.00 9.30 — 4.86 57.84 5.57 63.41 72.00 9.00 81.00 12.00 — 5.47 63.53
SINGLE PERSON WEEK ENDING 23 JANUARY 1981
£40 40.00 3.90 2.70 33.40 32.00 1.30 — 2.16 28.54 3.44 31.98 32.00 4.00 36.00 2.70 — 2.43 30.87
£50 50.00 6.90 3.38 39.72 40.00 3.90 — 2.70 33.40 3.44 36.84 40.00 5.00 45.00 5.40 — 3.04 36.56
£60 60.00 9.90 4.05 46.05 48.00 6.30 — 3.24 38.46 3.44 41.90 48.00 6.00 54.00 8.10 — 3.65 42.25
£70 70.00 12.90 4.73 52.37 56.00 8.70 — 3.78 43.52 3.44 46.96 56.00 7.00 63.00 10.80 — 4.25 47.95
£80 80.00 15.90 5.40 58.70 64.00 11.10 — 4.32 48.58 3.44 52.02 64.00 8.00 72.00 13.50 — 4.86 53.64
£90 90.00 18.90 6.08 65.02 72.00 13.50 — 4.86 53.64 3.44 57.08 72.00 9.00 81.00 16.20 — 5.47 59.33

ASSUMPTIONS USED IN CALCULATING ABOVE TABLE

A. Where it is shown that a person is receiving part wages and part compensation under the Temporary Short Time Working Compensation (TSTWC) Scheme or part-Unemployment Benefit (UB) it has been assumed that the person is working a 4 day week—the most common pattern of short time working supported by the TSTWC scheme.

B. ERS is not included in column (12) as no ERS is payable in respect of UB payments made while an employee is on short time working unless the employee has been without work for eighteen consecutive days—in which case the firm would not be eligible for TSTWCS compensation.

C. The National Insurance contribution have been calculated on the basis that the employers are not contracted out.

D. The income tax has been calculated on the basis that the weekly rate of pay has remained unaltered from 6 April 1980 to 23 January 1981. It has also been assumed that there are no personal allowances other than those quoted in the hon. Member for Keighley's original question (official report 19 January 1981 column 41).

E. As the question specifically states short-time working should start on 1 January 1981 there is no UB due in respect of short-time working in that week column (12) as the workless day in that week would count towards the three waiting days.

F. It has been assumed that the employer has already made all his statutory guarantee day payments for the quarter.