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Is the government's welfare-to-work programme working? Is the government's welfare-to-work programme working?
(10 days later)
Figures released this morning give the first indication of the success, or otherwise, of the government's flagship – and controversial – welfare to work programme, which aims to help 2.4 million long-term unemployed people and sickness benefit recipients find work.Figures released this morning give the first indication of the success, or otherwise, of the government's flagship – and controversial – welfare to work programme, which aims to help 2.4 million long-term unemployed people and sickness benefit recipients find work.
As this Social Market Foundation analysis explains, the scheme, described by the Department for Work and Pensions as a "revolution in back to work support", is designed to pay providers, including A4e and G4S, only when they succeed in getting unemployed people into sustained employment.As this Social Market Foundation analysis explains, the scheme, described by the Department for Work and Pensions as a "revolution in back to work support", is designed to pay providers, including A4e and G4S, only when they succeed in getting unemployed people into sustained employment.
The figure just released by the government reveals a 3.5% average performance for the group, falling short of the 5.5% target. This was predicted by many, including the BBC's Nick Robinson, who wrote earlier this morning that the statistics suggest "as many unemployed are getting sustainable jobs as if the Work Programme had never existed". He explains:The figure just released by the government reveals a 3.5% average performance for the group, falling short of the 5.5% target. This was predicted by many, including the BBC's Nick Robinson, who wrote earlier this morning that the statistics suggest "as many unemployed are getting sustainable jobs as if the Work Programme had never existed". He explains:
"A minimum target was set for those firms. They should get sustainable jobs for five in 100 job seekers. For months there has been speculation that they will miss that figure as stories have emerged of charities and firms involved with the scheme hitting financial problems, with some going bust …The 5% target was what the Treasury calls the deadweight cost.""A minimum target was set for those firms. They should get sustainable jobs for five in 100 job seekers. For months there has been speculation that they will miss that figure as stories have emerged of charities and firms involved with the scheme hitting financial problems, with some going bust …The 5% target was what the Treasury calls the deadweight cost."
He goes on to say that a well-placed government source does not accept that the scheme, launched in 2011, is a failure. Instead, the source claims, it is still "on track", the next set of figures will be better and the work programme is cheaper than the schemes it replaced.He goes on to say that a well-placed government source does not accept that the scheme, launched in 2011, is a failure. Instead, the source claims, it is still "on track", the next set of figures will be better and the work programme is cheaper than the schemes it replaced.
Meanwhile, the Guardian reports that the companies involved are striking back at suggestions they are failing in their task. Chris Blackwell, the managing director of Maximus, which holds £180m of the work programme, said the suggestion that just one in 20 long-term unemployed people had got permanent jobs via the scheme was "just wrong. It's a complete misrepresentation of the data. The figures are looking at just the first few months of the scheme and do not give an accurate picture of what's happening with the work programme". Meanwhile, the Guardian reports that the companies involved are striking back at suggestions they are failing in their task. Chris Blackwell, an industry expert who will next year take up a position as managing director of Maximus, which holds £180m of the work programme, said the suggestion that just one in 20 long-term unemployed people had got permanent jobs via the scheme was "just wrong. It's a complete misrepresentation of the data. The figures are looking at just the first few months of the scheme and do not give an accurate picture of what's happening with the work programme".
Jackie Long of Channel 4 – which last month revealed that A4e, one of the biggest work programme contractors whose head Emma Harrison quit amid fraud investigations into the firm, was failing to meet the government's minimum target – says "the key figures to look out for are how many people on the programme have actually got what are known as "sustainable" jobs", that's work which has lasted for three or six months, depending on the individual's status within the programme."Jackie Long of Channel 4 – which last month revealed that A4e, one of the biggest work programme contractors whose head Emma Harrison quit amid fraud investigations into the firm, was failing to meet the government's minimum target – says "the key figures to look out for are how many people on the programme have actually got what are known as "sustainable" jobs", that's work which has lasted for three or six months, depending on the individual's status within the programme."
To add to the swirl of claim and counter-claim, the Social Market Foundation has just tweeted, "If you're looking at #workprogramme figs, be aware that 1st yr is 12 months, not 14 as the DWP figures suggest. Performance actually 2.5%"To add to the swirl of claim and counter-claim, the Social Market Foundation has just tweeted, "If you're looking at #workprogramme figs, be aware that 1st yr is 12 months, not 14 as the DWP figures suggest. Performance actually 2.5%"
What do you think of the figures released this morning, and the welfare to work scheme in general? Do you have personal experience of it? Is it working, or not?What do you think of the figures released this morning, and the welfare to work scheme in general? Do you have personal experience of it? Is it working, or not?
• This is a Comment is free experiment – tell us if you would like to see a "Debate of the day" every day• This is a Comment is free experiment – tell us if you would like to see a "Debate of the day" every day
• This article was amended on 29 November 2012 because the original described Chris Blackwell as the managing director of Maximus. Blackwell will take up this position next year.