Government should underwrite wages of workers at risk of losing their jobs - Peter Dowd

"The government also said it would 'expect' businesses to use the loan guarantees given to support workers, but an expectation is simply not good enough.

"It must be a requirement of loans given that no business will lay off workers, and the government should urgently bring forward a plan to underwrite the bulk of the wages of workers at risk of losing their jobs."
"This crisis is too significant, and the impact on people's lives is too serious, for any more delay."

Ends
Notes to Editors:

• The Economic Secretary to the Treasury John Glen, in response to a question by Shadow Treasury Secretary Peter Dowd, said in the House he would "expect" that loans given to businesses would be used to support workers.

• Denmark had its first coronavirus case reported on 27 February and NZ had its first coronavirus case on 28 February. Both countries announced significant wage replacement plans in the last week. The UK, which faces potentially bigger economic effects as a larger economy, had its first coronavirus cases reported on 31 January - and still has announced no plan to underwrite wages.