Covid-19: Employment Support

Lord Hendy Excerpts

Thursday 19th March 2020 Lords Chamber

[Lord Callanan]

I think, again, the noble Lord makes a very good point. We have of course already announced extensions to statutory sick pay and the qualifying period. His points are well made and echo the points made earlier about freelancers. All the different sectors of the economy need to be looked at. We will do whatever it takes. We will put in place a comprehensive package and will announce details of that as soon as we are able to.

[Lord Hendy (Lab)]

My Lords, all legal categories of worker will need income protection in this crisis, but can the Minister say whether the income protection proposals will cover, in the mind of the Government, five particular situations? First, there are those who will be off sick with coronavirus: clearly, they will be entitled to statutory sick pay, even though it is a pittance at £94.25 a week—a figure that will have to be increased. Secondly, there are those who are self-isolating and are not sick—at least not yet—and will not be entitled to statutory sick pay because they are not sick. Thirdly, there will be those who are off work to care for others, including children shut out of school, who will never be entitled to statutory sick pay but who do need income protection. Fourthly, there will be those who lose their jobs because of the loss of trade by reason of Covid-19 or following advice from Public Health England or the Government. I remind the Minister that the Financial Times this morning said that over 200,000 people in restaurants and catering have already lost their jobs—have been laid off—since mid-February. I noted that the figure did not include air transport or the holiday trade; I saw in the newspaper yesterday that British Airways had served an HR1, and it has 30,000 employees. Income protection must cover those who have lost or may yet lose their jobs. Fifthly, will it cover those who are redeployed from existing work to do emergency work, social care work or other work, not just volunteers?

[Lord Callanan]

I thank the noble Lord for his question, which illustrates the complexity of the problem, all the different factors that need to be taken into consideration, and how there needs to be a cross-government response, across a number of departments and obviously backed by the Treasury with comprehensive financing. The answer to his question is: yes, all these matters are being looked at. We are looking at various international options and proposals and we will hopefully have something to announce very soon.