The Redundant Mineworkers (Payments Schemes) (Amendment and Consolidation) Order 1996

Explanatory Note

(This note is not part of the Order)

This Order establishes under the Coal Industry Act 1977 a Scheme which amends and consolidates the Schemes established by the Redundant Mineworkers and Concessionary Coal (Payments Schemes) Orders 1983,1984 and 1986 (the “earlier schemes”). The earlier schemes are for the payment of benefits to mineworkers, workers at coking plants and other coal industry employees made redundant (1) on or after 6th April 1983 and before 1 st April 1984 (2) on or after 1st April 1984 and before 30th March 1986 and (3) on or after 30th March 1986 and before 29th March 1987. The Order (subject to certain transitional provisions) revokes and supersedes the earlier schemes.

Each of the earlier schemes has been amended on a number of occasions and a number of provisions of each are spent.

One of the benefits payable under the earlier schemes, under their Articles 9 substituted in 1989, is a benefit payable in certain specified circumstances to persons who are not entitled to unemployment benefit for certain specified reasons. The implementation of the Jobseekers Act 1995 will make it no longer possible for the benefit payable under the earlier schemes to be linked to unemployment benefit. Instead those entitled to receive benefit will continue to receive the sum currently payable and where applicable the dependant’s allowance, those sums being indexed to the percentage increase in the income support personal allowance for a single claimant aged not less than 25. In parallel with the implementation of the Jobseekers Act 1995, the change just described will come into effect from 7th October 1996. Until that date the present payments of the equivalent to unemployment benefit will continue by virtue of the transitional provision in the Order.

The definition of employment or self-employment in Article 8(2) has been changed from more than 16 hours to 16 hours or more and the calculation of benefit will be by reference to a 7 instead of a 6 day week, in order to bring it into line with Income Support.

Another of the benefits payable under the earlier schemes is a payment equivalent to incapacity benefit. The Scheme provides for payment of such a benefit, including payments during a break in claim lasting 57 days by coal industry employees who first claimed sickness benefit before 13th April 1995 and who wish to claim incapacity benefit from the Department of Social Security.

Like the earlier schemes, the Scheme also provides for a pension supplement and for the payment of the cost of a Class 3 national insurance contribution.

The termination dates of the earlier schemes remain the same for those entitled under those schemes and are 3rd April 1999 for those eligible under the 1983 Scheme, 3 1st March 2001 for those eligible under the 1984 Scheme and 30th March 2002 for those eligible under the 1986 Scheme provided, in each case, the coal industry employee does not earlier reach the age of 65 in the case of a man or the age of 60 in the case of a woman.