Employment: Coronavirus

(asked on 7th July 2020) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, how many and what proportion of workers in each income quintile group have been (a) furloughed, (b) laid off or (c) had their (i) hours or (ii) pay reduced during the covid-19 outbreak; and if he will make a statement.


Answered by
Paul Scully Portrait
Paul Scully
This question was answered on 15th July 2020

We are actively monitoring the impact of Covid-19 on different groups in the labour market. The latest external estimates, from the Resolution Foundation think tank found that, of those surveyed in the UK between 6-11 May:

  • 33% of workers in the lowest quintile income group had either been furloughed (25%), lost their job (5%) or lost hours and pay (3%) due to coronavirus. This compares to 16% of those in the highest quintile income group, with 6% being furloughed, 3% losing their job and 7% losing hours and pay.
  • 40% of workers on zero hours contracts had either been furloughed (24%), lost their job (4%) or lost hours and pay (12%) due to coronavirus. This compares to 22% of all employees, with 15% being furloughed, 3% losing their job and 4% losing hours and pay.

Published HM Treasury analysis on the impact of Covid-19 on working household incomes found that Government interventions since March have supported the poorest working households the most (as a proportion of February income).

On 8 July, my Rt. Hon. Friend Mr Chancellor of the Exchequer announced a package of support to tackle the impact of Covid-19 crisis. This package provides £201m of new funding in 20-21 for skills provision and invests billions in a strong and coherent employment support offer. It provides the help people need now to swiftly find new work, while offering greater support for people who will find that journey harder.

Reticulating Splines