Welfare to Work Green Paper

Response to Welfare to Work Green Paper Keith Faulkner, Managing Director of Working Links

 

Working Links, a public private voluntary organisation which has helped many thousands of long-term unemployed people back into work in Britain, welcomes the Green Paper. It is a timely and important demonstration of the Government’s commitment to address both economic growth and significant social issues such as child poverty, building on the consultations since the original “new deal for welfare” published in January 2006 and the valuable work of David Freud published earlier this year.

 

The benefits of employment are widely acknowledged to be huge and far reaching. They include fiscal savings, a more competitive economy, lower crime levels, increased self esteem, improved health, a higher life expectancy and the list goes on.

 

Whilst we recognise the success of the New Deal in significantly reducing unemployment, we know that a new approach is now needed if the Government is to achieve its ambitions of an 80% employment rate and an end to child poverty.

 

Welfare to work programmes must be responsive to an individual’s needs and we have long advocated that people be offered an individually tailored, flexible package of support to help them into work. Our experience shows that the majority of the barriers jobseekers face are not easily identifiable and it is therefore often difficult to immediately determine the most appropriate support. One of the best indicators of those who are likely to require additional support is the area in which they live. In areas which have levels of economic activity well below average people are far more likely to suffer disadvantage and a range of barriers. Furthermore, there is often an inter-generational culture of worklessness in these areas which needs addressing. This suggests that solutions to the problem of worklessness must be locally driven recognising the differing character and needs of communities. This reinforces the importance of the City Strategies now at the pathfinder stage in 15 locations.

 

As a public, private and voluntary partnership, we know the value of increased partnership between these sectors and recognise the special value and experience each of them has to offer. We understand the need for Treasury saving to precede provider reward and accept that the private sector has a role to play in taking risk on behalf of Government.

Keith Faulker - Working Links MD

However, concerns have been raised that smaller providers risk being ‘squeezed out’ of the kind of market envisaged by Freud. We recognise the important contribution of many smaller providers who often have specialised expertise and can be particularly successful in reaching some of the so called ‘harder to help’ groups. We believe that the role of larger organisations is to draw on this capability while shielding smaller providers from the more rigorous demands and commercial risks of professional procurement processes and helping them contribute even more fully within their communities. Government should favour such arrangements in taking forward the commissioning of their welfare proposals.

 

We are strongly supportive of the Government’s ambition to eliminate child poverty and believe that in a country such as the UK it cannot be acceptable that 2.8 million children still live in relative poverty. We would therefore welcome an opportunity to use our experience in moving people into employment and then helping them achieve in work progression, in order to lift them and their families out of poverty.

 

Working Links recognises that supporting people into employment alone is not enough. Individuals must also be helped to sustain their jobs and progress in the workplace. Public agencies and providers must therefore be able to work with people moving into employment over much longer periods.

 

We understand the importance of balancing rights and responsibilities and welcome the debate around conditionality. However, any moves towards greater compulsion must be accompanied by additional support otherwise sanctions will serve only as ‘sticking plasters’, not addressing the real barriers which prevent people moving into employment.

 

As these proposals continue to be developed and rolled out, we will work with the Government to ensure that genuine and lasting solutions are found that will benefit not only disadvantaged individuals and communities but the economy and country as a whole