Ms McLaughlin was responding to a letter from British Treasury Minister Kemi Badenoch, who restated the government’s decision to close the furlough scheme in September.
She had requested a targeted extension for those sectors in special difficulty, such as aerospace.
Aerospace is a key industry and major employer in the North of Ireland, which faces a long recovery period after pressures during the coronavirus pandemic.
Hundreds of local jobs have been lost in the sector in recent years.
Said the Foyle MLA: “I met with Thompson Aerospace’s trade union representatives last month, who explained to me that while the company has a strong order book, the pandemic means a delay in order fulfilment.
“The result is that jobs are at risk unless furlough can be extended.
“This sector has already experienced huge job losses during the pandemic and without action we could see the loss of hundreds more well-paying jobs, which are scarce enough as it is.
“Other countries have adopted policies of targeted support for specific industries, in which financial help is provided for an extended period alongside enhanced training.
“This type of assistance would be enormously helpful for our aerospace industry and workers.
“The rejection of this measure by the British government risks unnecessary redundancies of skilled, experienced, workers and the need for employers to train new staff closer to the time when orders will be fulfilled.
“This is a policy of obstinacy over pragmatism.”Tags: