Older Workers

Oral Answers to Questions — Work and Pensions – in the House of Commons at 2:30 pm on 24 January 2005.

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Photo of Jim Sheridan Jim Sheridan Labour, West Renfrewshire 2:30, 24 January 2005

What steps he is taking to encourage older workers into employment.

Photo of Jim Knight Jim Knight PPS (Ms Rosie Winterton, Minister of State), Department of Health

What steps he is taking to encourage older workers into employment.

Photo of Jane Kennedy Jane Kennedy Minister of State (Work), Department for Work and Pensions

Since 1997, over 1.1 million more people from that age group are in work, which accounts for more than half of the growth in employment over that period. Without question, that is because of a combination of the back-to-work help provided by Jobcentre Plus, new deal 50-plus and strong labour market conditions, all of which could so easily be placed in jeopardy.

Photo of Jim Sheridan Jim Sheridan Labour, West Renfrewshire

My right hon. Friend knows that many elderly workers are currently on incapacity benefit through no fault of their own because of injuries or illnesses that they have picked up during the course of their working lives. Will she offer an incentive to those with skills and experience to return to industries such as construction to help to train young people in the skills that we need in this country?

Photo of Jane Kennedy Jane Kennedy Minister of State (Work), Department for Work and Pensions

That is an interesting suggestion. My hon. Friend is right. Of the 950,000 people who claim incapacity benefit and severe disablement allowance, around a quarter would like to work—that is, those who are in the age group of over-50 to state pension age. Our pathways to work pilots are testing and developing the best ways in which to help those people to achieve their goals, and the initial results are very encouraging. However, my hon. Friend is right—this group of people has a wealth of experience and knowledge that could be harnessed in the labour market in the interesting way that he suggests.

Photo of Jim Knight Jim Knight PPS (Ms Rosie Winterton, Minister of State), Department of Health

The Minister may be aware that in September the fashion retailer, New Look, will close its distribution centre in my constituency, with the loss of 580 jobs to the Weymouth area. Many of those workers are older or of low skill. What help can the Department offer them to give them the belief that they have a future in work? Would a member of the ministerial team, ideally the Minister herself, be willing to visit New Look in the next couple of months to see the situation on the ground?

Photo of Jane Kennedy Jane Kennedy Minister of State (Work), Department for Work and Pensions

I am pleased to receive that invitation from my hon. Friend. I was not aware that the announcement about New Look had been made, but I know that Jobcentre Plus is standing by with a rapid response service to offer precisely the training for reskilling that my hon. Friend is calling for. The full Jobcentre Plus package of support is ready to help that company and those of its employees who face the uncertain future that he describes. I would be more than happy to visit his constituency to meet the workers affected.

Photo of Mr Bill Tynan Mr Bill Tynan Labour, Hamilton South

Has my right hon. Friend seen the latest political bulletin from Age Concern, which congratulates the Government with the words, "Queen's Speech Brings Good News for Older People"? That document refers to the mandatory retirement age. Will my right hon. Friend carefully consider the loss of skills and experience that results from the mandatory retirement age and think about creating some flexibility to allow older people to remain in the work force?

Photo of Jane Kennedy Jane Kennedy Minister of State (Work), Department for Work and Pensions

I have not seen the article, but I should obviously read it, because it would cheer me up. We know that 1 million people have already chosen to carry on working past state pension age, many of them in part-time work, and our research shows that people do want the choice and flexibility that my hon. Friend is calling for. Our Age Positive programme encourages employers to work towards that in the spirit, not just the letter of the law. To help them to do that, our campaign and its associated website strongly promotes the business benefits of employing older people as part of a mixed-age work force. The promotion of the benefits of employing people in this older age group is clearly beginning to be heard by businesses.