Labour policy—false and true : $b A study in economic history and industrial economicsMacassey, Lynden Livingston
History
Labour policy—false and true : $b A study in economic history and industrial economics
Macassey, Lynden Livingston
Industrial policy -- Great Britain; Labor economics -- Great Britain; Labour Party (Great Britain)
The next deliberate step was the scheme of State insurance against
unemployment instituted by Part II of the National Insurance Act,
1911. It applied compulsorily to about 2½ million workmen in building,
shipbuilding, engineering, construction of works and vehicles,
iron-founding, and, to an extent, saw-milling, but not to non-manual
workers. The contribution per week was: employers, 2½_d._; workmen,
2½_d._; State, 1⅔_d._, the State contribution being thus one-fourth of
the whole. The benefit assured was 7_s._ per week for fifteen weeks, but
nothing during the first week of unemployment, and, when payable, only
at the rate of one week’s benefit for every five contributions paid. In
1916, the National Insurance (Part II Amendment) Act, 1914, brought in
under the scheme a further 1¼ million workpeople employed in certain
trades, principally metals and chemicals, and engaged in the manufacture
of munitions of war. At the Armistice, the scheme therefore only covered
some 3¾ million persons. This provision was wholly inadequate to meet
the unemployment which ensued. A scheme of free out-of-work donation
was instituted by the Government for both civilian workers and for men
and women discharged from the Forces. This scheme remained in operation
from November 1918, until November 1919, for civilians, and until March
1921, for ex-members of the Forces, and, in a few special cases, somewhat
longer.
The Present Scheme of 1920
It was plainly necessary to make further provision, so a Bill for
the extension of unemployment insurance was introduced in the House
of Commons, first in December 1919, and again in February 1920, and
passing into law in August as the Unemployment Insurance Act, 1920, came
into operation on November 8, 1920. It is the statute under which the
permanent National Unemployment Insurance Scheme is regulated—by it all
previous enactments relating to unemployment insurance are repealed. This
Act brings into insurance practically the whole industrial population,
and also non-manual workers whose remuneration does not exceed £250 per
annum. It excludes, however, agriculture and private domestic service,
and empowers the Minister of Labour to grant certificates exempting the
permanent employees of certain public undertakings, but, save in the
case of railway servants, the numbers engaged in such specially excepted
employments are not large. The total number of workpeople insured as the
result of this Act is about twelve millions. The contributions prescribed
by the Act of 1920 (since temporarily increased) are as follows:
Public-domain text, read in full here on John Shaqi.
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