Ambitious plan needed to get the economy moving again
As we all grapple with the impact of COVID-19 on our daily lives, it’s vital that politicians work together as far as possible to ensure the best possible outcome for families and communities across the country.
Throughout the crisis, Labour hasmadeclearthatwe’llpressthe government where things could be better.
Together with businesses and trade unions, we called for the introduction of the furlough scheme,butwealsourgedthegovernment to extend it and make it more flexible.
It’s welcome the government has now decided to extend the scheme to October, and help employees to go back to work parttime from August.
Working shorter hours will not only mean firms can adapt and keep going in challenging circumstances, but it will also reducetrafficandhelpworkerswith childcare responsibilities.
However, I believe this flexibility could be introduced sooner than August - it would represent a real boost to businesses and workers alike.
Nevertheless,weknowthatlife will not swiftly return to normal: the length of the immediate crisis rests upon the spread of the disease.
That’s why government needs to be clearer in its approach to adapting furlough in the long term.
We need to know when employerswillbeaskedtostartmaking contributions to the scheme and how much will be expected. Without information that gives businesses time to prepare, there is a risk we will see mass redundancies.
It’s also an opportunity to ensure that businesses receiving support under the revised scheme don’t use it for dividend payments or share buybacks.
I’mworriedthatthestatement from the Prime Minister on Sundayandwhatcameafterhassown confusion.
If the government wants to encourage a return to work, it must show greater leadership and make clear what the standards are for a workplace to be “Covid-safe” to all employers.
Manypeopleinourcommunity can’t work from home. If they are expected to return to work, they must have confidence that it is safe to do so, and know when to report any problems.
Above all, our country will need an ambitious plan that will not only protect jobs but create newones,tohelpgetoureconomy moving again, and to start planning for a better tomorrow.