§ Mr. Neil Hamiltonasked the Secretary of State for Energy whether he will make a statement on redundancy terms for mineworkers following the expiry of the present redundant mineworkers' payment scheme on 29 March 1986.
§ Mr. Peter WalkerThe generous benefits available under the redundant mineworkers payments scheme have enabled the National Coal Board to maintain its policy of not making redundant men who wish to continue to work in the coal industry, while carrying through the extensive restructuring that is needed to secure the industry's future viability. The coalminers' dispute, in addition to the other damage which it inflicted on the industry, delayed that necessary restructuring. Against that backgroud, I have concluded that it would be right for the present to maintain broadly the present level of scheme benefits. I have also concluded that it would be right to make available additional weekly benefits to men aged 50 or over on redundancy whose total weekly benefits would otherwise248W be seriously reduced by their failure, through deficient national insurance contribution records in 1984–85, to qualify for unemployment benefit or sickness benefit at the standard rate. Men who receive this additional weekly benefit will, however, have their lump sum benefits under the scheme reduced in recognition of their having failed to pay full national insurance contribution.
In summary, my proposals are as follows.
Weekly basic benefit and pension supplement paid to men aged 50 or over on redundancy will continue as under the present scheme; there will be a new basic benefit table, calculated as in previous years. It will continue to be a condition for receipt of these benefits that the beneficiary is unemployed or sick; but it will no longer be a requirement that he qualifies for unemployment benefit or sickness benefit.Redundant mineworkers who qualify for less than the standard rate of unemployment benefit or sickness benefit as a result of a deficient national insurance contribution record for 1984–85 will, subject to certain conditions, be eligible for a sum equal to the difference between benefit at the standard rate and the benefit, if any, to which they are actually entitled. The equivalent of unemployment benefit will continue to be paid under existing rules to men aged 50 or over on redundancy after they have exhausted their entitlement to unemployment benefit.Lump sums payable to men aged 50 or over will be calculated as under the present scheme, but they will be reduced by £600 for those who qualify under the new provisions outlined above for additional weekly scheme benefits at the standard rate of unemployment benefit or sickness benefit, and by £550 for those who qualify for additional weekly scheme benefits at a lower rate.Lump sums payable to men aged under 50 on redundancy will continue to be calculated as under the present scheme.Intitlement to contributory benefits under social security legislation or to statutory redundancy payments under employment legislation will not be affected by these proposals.I shall in due course lay before the House for approval a draft order incorporating these proposals. They do not affect the operation of the present scheme, which expires on 29 March 1986.