The organisations will work together to share intelligence and knowledge, providing better access to support, information and advice for anyone facing redundancy.
The agreement outlines how Insolvency Practitioners dealing with struggling businesses will work with Jobcentre Plus offices to develop a tailor-made plan for each situation. This will help to ensure that those affected by redundancy will be given rapid access to information and services that will help them claim benefits, identify new job opportunities or get access to training.
Welcoming the agreement, employment minister Jim Knight said: "It is important that we don't just wait for someone to lose their job before we start to help them. The pre-redundancy service Jobcentre Plus offers has helped thousands of people get new jobs quickly - stopping a short-term difficulty becoming a long-term problem.
"It is essential that we work with R3 and the Insolvency Service to make sure even more people get help before they are out of work. I am hugely grateful to Phil Wilson and R3 in facilitating this agreement."
Sedgefield MP Phil Wilson, who set out practical steps each organisation could take to help employees when they face redundancy and strengthen their relationship, has developed the agreement along with the organisations.
Ian Lucas, minster for the Department for Business, Innovations and Skills, added: "In these difficult times it's important that Government works with the insolvency profession to help people cope with the effects of redundancy and get back into work as soon as possible. This memorandum is an important part of that process and builds on the work the Government has already done to help workers and families cope with the economic downturn."
Jobcentre Plus to work with insolvency services to help people facing redundancy
Jobcentre Plus, the Insolvency Trade Body, R3 and the Insolvency Service have joined forces to develop a system to share information about possible job losses in struggling companies, helping to ensure that people threatened with redundancy are offered support quickly and efficiently.
