HC Deb 19 July 1982 vol 28 cc26-8W
Mr. Latham

asked the Secretary of State for Employment whether he will make a statement on the results of his Department in achieving the Government's policy programme since his predecessor's reply to the hon. Member for Melton on 8 July 1981, Official Report, c. 131.

Mr. Tebbit

During the past year, my Department has continued to contribute to the Government's strategy to achieve a sound economy, tackle the underlying causes of unemployment and create the conditions for growth.

We have continued and increased the help given through the Department and the MSC under special measures to groups hardest hit by unemployment. In 1981–82, 550,000 young people entered the youth opportunities programme, an increase of 53 per cent. over the previous year, and this year the programme will cater for 630,000. By the end of May 1982, we estimated that about 210,000 people were being helped through the temporary short-time working compensation scheme, job release scheme, community industry and the community enterprise programme.

Two new schemes were introduced during the year—the young workers scheme and the enterprise allowance scheme. The young workers scheme provides an incentive to employers to take on young people at realistic wage rates reflecting their lack of training and relative inexperience. By the end of May 1982 some 60,000 young people were covered by the scheme. The enterprise allowance scheme, which is being piloted in five areas, encourages prospective entrepreneurs by providing an allowance to unemployed people who wish to start a business but might otherwise be deterred by loss of unemployment or supplementary benefit.

I announced in November 1981 my intention to reduce the number of statutory industrial training boards from 23 to 7, thereby reducing costs and bureaucracy, and the necessary statutory orders have subsequently been laid. The White Paper "A New Training Initiative: A Programme for Action" (Cmnd. 8455), published in December, endorsed the strategy put forward by the MSC for modernising skill training and broadening access to adult training including an "open tech" programme due to start this autumn.

I have also announced a new £1 billion a year youth training scheme, guaranteeing from September 1983 a full year's foundation training for all 16 year old school leavers without jobs. The scheme, which is based on the proposals of the youth task group, will also cover many young people in employment as well as retaining priority for the unemployed.

The Employment Bill, now in the final stages of its passage through Parliament, constitutes a further step in the reform of our industrial relations law. It increases the safeguards for the individual against the abuse of industrial power and provides a more balanced framework of law.

Among other provisions, the Bill makes unfair dismissal for non-union membership in an existing closed shop where this has not been approved by an overwhelming majority of the employees concerned voting in a secret ballot. It increases substantially the compensation for those unfairly dismissed in closed shops and anyone so dismissed because of trade union pressure will in future be able to seek compensation directly from the trade union as well as from the employer. The Bill makes unlawful the practice of requiring contractors to employ only trade union members. The immunity enjoyed by trade unions is being brought into line with those of their individual members and the definition of a trade dispute, now unacceptably wide, is being narrowed.

The Government remain committed to maintaining the level of assistance for disabled people, despite constraints on resources, and the MSC is currently reviewing its services to see how best this can be done. During the year the commission, Ministerial colleagues and I participated in action to promote the fuller integration of disabled people under International Year of Disabled People auspices at community level, and, for example, as part of the commission's own Fit For Work Campaign.

My Department has continued to represent or to co-ordinate the United Kingdom interest in the various activities of the European Community concerning employment. These include the European social fund, under which the United Kingdom was allocated some £141 million in 1981.

The efficiency and cost-effectiveness of my Department's services have been kept under close scrutiny. In the unemployment benefit service, the training services and the work permit scheme changes have been identified which will lead to significant improvements in efficiency. The MSC's employment service has also been the subject of a review, which has recommended a number of changes and economies designed to improve efficiency.