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Select Committee on Public Accounts Ninth Report


2  Reaching the workless

9. To achieve the aspiration of 80% employment, many people who are economically inactive will have to be encouraged to seek work. Many of these economically inactive people are likely to live in workless households. There is, however, no systematic strategy underpinning outreach activity, with outreach services varying according to the resources which Jobcentre Plus has available in each area and activity by local partners. The reach of current programme 'gateways' is limited. For example, work-focused interviews do not target all workless people, only those who received Jobseeker's Allowance. The Department has begun to work with local partners to develop local solutions. The new City Strategy, for example, is working in 15 areas of the United Kingdom to promote innovative approaches to getting people back to work and to tailor local provision to the needs of the local labour market.[14]

10. Worklessness occurs chiefly in concentrated pockets in a small number of deprived communities across the United Kingdom, with 60% of all concentrations of worklessness occurring in 10% of wards. Jobcentre Plus needs to work closely with its local partners to tackle pockets of worklessness, but in many cases the sheer number of different parties and initiatives involved places a heavy burden on resources. For example, around 125 different bodies are involved in some 300 separate employment support programmes in Glasgow, and Jobcentre Plus district managers can have up to 27 Local Strategic Partnerships in their district.

11. Recent restructuring has improved the way that the Department and the Learning and Skills Council coordinate their work locally. The City Strategy is helping to provide more flexible and cost-effective services with, for example, work trials in City Strategy areas running for six weeks rather than the usual three weeks. Providing greater local flexibility on issues such as allowing people to train full-time while still receiving benefits will require primary legislation. The Department has advised City Strategy consortia to limit their requests for flexibilities to those changes that do not require primary legislation.[15]

12. Few partners of benefits claimants are participating in the voluntary New Deal for Partners, with only 200 people joining the programme every month. Jobcentre Plus is addressing low take-up by making more use of the telephone to remind partners to attend work-focused interviews. From April 2008, partners for whom a benefits claim is being made will be required to attend an interview every six months.[16]

13. When an individual is part of a larger workless household, caring responsibilities or parenting issues may need to be addressed before that person can get into and stay in work. These complex needs may involve a number of members of the household, not just the primary benefit claimant. Many partners do not consider looking for work because of wider problems within the family, such as caring responsibilities. The New Deal for Lone Parents has been successful as it has taken into account both individuals' job-seeking needs as well as parenting needs. Parents on other New Deal programmes are not routinely offered help with finding childcare or a job that fits with their caring commitments. The Harker report on child poverty recommended implementing a 'New Deal for Parents', which aligns support for lone and couple parents.[17]

14. Where Jobcentre Plus has advance warning of substantial job losses, it usually works with the Learning and Skills Council to prepare employment support and retraining packages to enable redundant employees to find new jobs. Our report on the closure of MG Rover found that the Department had been effective in arranging immediate support for former employees.[18]


14   Qq 4, 60 ; C&AG's Report, paras 2.23-2.28 Back

15   Qq 7-8, 20-21, 54-55; C&AG's Report, paras 1.7-1.8, 4.9-4.12 Back

16   Qq 57, 61-64, 80-81; C&AG's Report, paras 2.6-2.11 Back

17   L Harker, Delivering on child poverty: what would it take? Department for Work and Pensions ,2006 Back

18   Committee of Public Accounts, Fifty-seventh report of Session 2005-06, The closure of MG Rover, HC 1003; Q 17 Back


 
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