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Long-term Jobseekers Allowance claimants will be given the
guarantee of a job or work placement as part of the Government’s
radical next stage of welfare reform.
Publishing a Command Paper – Building Bridges to Work, the
Government will offer all JSA claimants who have been out of work
for two years a guaranteed job or work placement to prevent long
term unemployment as the economy recovers. Claimants will be
required to take up the offer if they cannot find other work to
make sure people who lost their jobs during recession aren’t left
to a life on benefits.
Alongside this, the Government is today laying regulations to
abolish old style Incapacity Benefit and announcing new measures
for those on sickness benefits. From October all Incapacity
Benefits claimants will be reassessed with a new Work Capability
Assessment which looks at what they can do and what help they
need, rather than on whether they could do their previous job.
More people are expected to be found fit for work and they will
be given extra intensive support from Day one to help them into
work. People moving onto the new style Employment and Support
Allowance will also be given more personalised help with stronger
conditions attached so they can prepare to return to work in future.
Today’s measures will help deliver over £1.5bn pounds in savings
from welfare reform over the next four years that are now built
into the Treasury budget plans.
Government action has already kept unemployment much lower than
expected, and the number of people on sickness benefits has fallen
slightly during the recession compared to big increases in the 80s
and 90s.
Work and Pensions Secretary of State, Yvette Cooper said:
“As the economy recovers, we have to make sure no one is left
behind. In the 80s and 90s too many people were abandoned to long
term unemployment or sickness benefits, pushing families into
poverty, devastating communities and hurting the economy and the
taxpayer too. That's why it is more important than ever
to press ahead with extra help and welfare reform.
“This is a "something for something" approach
which gives people more help alongside a responsibility to take it
up so that no one who is fit for work is left to a life on benefits.
“Getting people back to work is good for families, boosts local
economies and helps the public finances too.”
Additional help to disabled people will be made available with
the creation of a new Work Choice programme from October as well
as expanding the Access to Work programme.
The new employment support including the Jobseekers Guarantee
will be funded within DWP existing budgets by reshaping the help
for long term unemployed through Job Centre Plus and changing the
£300m Pathways programme which is not flexible or cost effective enough.
The Command Paper outlines:
- A new guarantee for the long term unemployed of a job or work
placement – with a requirement to take it up for those who have
been unable to find work for more than two years. Jobs will be
provided through extending the Future Jobs Fund as well as private
sector and voluntary sector internships and work placements.
- A major overhaul of support and conditions for those on long
term sickness benefits including the abolition of old style
Incapacity Benefit, and over 10,000 long term claimants each week
to be reassessed according to the new Work Capability Assessment
which looks at what they can do not what they can’t.
- Changes to the Work Capability Assessment to take better
account of people’s ability to adapt to their disability, as well
as to be more sensitive to fluctuating conditions such as ME and
multiple sclerosis.
- For those whom it would be unreasonable to expect them to move
towards work, the ESA Support Group provides additional financial
support without the back-to-work activity.
- New personalised support, conditions and timetables for
reassessment for those who are currently not fit for work but may
be able to work in future – so they can prepare for work.
- Increased investment and a guaranteed place on Work Choice for
ESA customers who have been on benefit for more than 2 years and
who want to work.
- Extra intensive help for those found fit for work who have been
out of work for years to get them early access to the training and
work experience they need to get a job – including support to help
manage heath conditions in the work place and specialist help in
looking for and applying for jobs.
The Government expects that the reforms to Incapacity Benefit and
Employment Support Allowance will deliver over £1.5bn of savings
over the next five years and these are built into the Treasury
plans. This is on top of £14bn savings from lower than expected
unemployment and a further £1.5bn savings from getting more lone
parents into work.
Notes to Editors
1) The Building Bridges to Work Command paper can be found at: www.dwp.gov.uk/publications
2) For more information about the Governments welfare reforms
please visit www.dwp.gov.uk
Contacts:
Department Work and Pensions
Phone: 020 3267 5144
NDS.DWP@coi.gsi.gov.uk