EMPLOYMENT experts could be automatically allowed into insolvent firms to talk to staff facing redundancy, following a North-East MP’s campaign.
Sedgefield MP Phil Wilson started his campaign in January, after an insolvency practitioner denied Jobcentre Plus access to a factory in his constituency.
Now Employment Minister Tony McNulty and Work and Pensions Minister James Purnell are working with insolvency trade body R3 to formalise a new agreement.
It is understood that Nick O’Reilly, president of R3, was enthusiastic about his members working closely with Jobcentre Plus.
A letter from Mr McNulty to Mr O’Reilly states: “James Purnell has expressed his desire to reinforce commitment by formalising a partnership agreement between R3 and Government. He is also keen to ensure that Jobcentre Plus fully addresses Phil Wilson’s concerns.”
The agreement would mean R3 members would be given support by Jobcentre Plus in return for them being allowed access to firms in administration.
It is understood that R3 has already circulated Jobcentre Plus contact numbers to its members.
Mr Wilson said: “I am delighted the Government and R3 are addressing this in a positive way. It is vitally important that people facing redundancy are treated with dignity.
“The national strategy will help the main agencies and organisations work together to provide employees with access to Jobcentre Plus as quickly as possible, ensuring those made redundant re-enter the jobs market sooner not later.
“I will work with all those concerned to make sure the initiative is a success.”
Mr Wilson said research showed that the sooner people who are made redundant or lose their jobs make contact with Jobcentre Plus and other agencies the better their chances of getting work. In January, Mr Wilson tabled an Early Day Motion in the Commons on the issue, which won the support of 92 MPs.
On April 21, he introduced a Ten Minute Rule Bill, which outlined the problem that some insolvency practitioners worked with Jobcentre Plus, while others did not.
The partnership would include a Jobcentre Plus toolkit for R3 members outlining available services.
R3 would also provide Jobcentre Plus with contacts for administrators with a national presence to help them secure contacts in each company
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here