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Welfare Reform on the Web (June 2000): Social Security - UK - New Deal

CONCERN OVER ENTRY RATE FROM NEW DEAL

P. Bivand

Working Brief, issue 112, 2000, p.8-9

Finds that the highest number of young people leaving the New Deal occurs during the Gateway phase: 165,000 have left over the whole period, including 76,100 to unsubsidised jobs. This is followed by numbers of leavers from follow through: 46,250, including 14,950 to unsubsidised jobs. There were 32,000 leavers from options, of whom only 12,000 went to unsubsidised jobs. There have been more than 238,000 moves to jobs by young people from the New Deal, but only 140,000 of those have been sustained, so more than two out of five of all moves to jobs have not produced a sustained move off benefit.

DETACHMENT FROM EMPLOYMENT MARKET STILL A PROBLEM

P. Bivand

Working Brief, issue 112, 2000, p.18-19

Highlights intractable problem of growing economic inactivity among men over 50. The government is responding through the ONE service which is intended to bring claimants of any benefit advice on the possibilities of working, and through the New Deal surplus.

HOW TO ERASE JOBLESS BLACKSPOTS

F. Field

Financial Times, Mar. 17th 2000, p.25

The government's welfare-to-work strategy needs to be supplemented by targeted policies to create jobs in economic black-spots. Firstly, the government could reduce or abolish employers' National Insurance contributions in severely depressed areas. Secondly, it could award large contracts to companies operating in areas of high unemployment.

JOBLESS OVER-25s FACE BENEFITS PENALTIES

R. Taylor

Financial Times, Mar. 28th 2000, p.2

Reports extension of the government's welfare-to-work programme to adults who have been unemployed for more than 18 months. They will go through an "intensive period" to remove barriers to their entry into the labour market such as time management communication, presentation and teamwork. They will also undertake a period of "full-time" work-based activity." based on their needs of subsidised employment, training, work experience, and help with job search and with moving into self-employment. Non-co-operation will be punished by loss of benefits.

LONE PARENTS TO GET EMPLOYMENT INCENTIVES

R. Taylor

Financial Times, March 22nd 2000, p.9

  • Lone parents with children over five will be offered back-to-work choices such as:
  • training for work with a 15 a week cash payment on top of benefits;
  • the choice of part-time work with the first 20 a week earned allowed without any cut in benefit;
  • part-time work with a guaranteed 155 for 16 hours a week or full-time work on guaranteed 214 a week.

The parents will be assisted with back-to-work costs and childcare.

NEW DEAL - NEW SANCTIONS

P. Bivand

Working Brief, issue 112, 2000, p.16-17

Article looks at the tougher New Deal sanctions regime that took effect on March 6th 2000, and at criticisms made by the Social Security Advisory Committee. It analyses the sanctions experience of the New Deal so far, and goes on to suggest ways in which the Employment service could implement the sanctions regime, seeking to build on its own Values statements, while avoiding undermining young peoples views of New Deal.

NEW DEAL TO BE EXTENDED TO THE LONG-TERM JOBLESS

B. Clement

Independent, March 22nd 2000, p.4

The government is to extend its New Deal programme to the long-term unemployed from April 2001. There will be four options: work, job-based training, work experience, and self-employment. The long-term unemployed would be helped with a 100 grant to ease the transition back to work and assistance with rent or a mortgage.

(See also Guardian, p.19)

VIEWPOINT: THE JOURNEY INTO WORK: AN INNOVATIVE APPROACH TO TACKLING LONG-TERM YOUTH UNEMPLOYMENT

R. Flude

Education and Training, vol. 42, 2000, p.6-15

Introduced the CASEPT (Computer-aided selection and evaluation psychometric test) programme which provides a radical and innovative way of working with long-term unemployed young people that utilises an integrative person-centred approach. The CASEPT programme achieved more than 70% of participants gaining sustainable employment in a demonstration project with the longitudinal study confirming that 50% remained employed after three years.

WORK FOR THOSE WHO CAN: IS THE NEW DEAL DELIVERING?

Anon.

New Review of the Low Pay Unit, no.61, 2000, p.11-13

Findings of recent research into the effectiveness of the New Deal for the young unemployed suggest that it will struggle to deliver in depressed areas if the programme operates in isolation from measures to stimulate job creation.

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