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| Ministers want low-paid workers to put in more hours | Ministers want low-paid workers to put in more hours |
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| A new frontier of the battle over the welfare state is being opened up as employment ministers look for ways to target the working poor by asking 1 million in-work recipients of tax credits to do more to boost their earnings. | A new frontier of the battle over the welfare state is being opened up as employment ministers look for ways to target the working poor by asking 1 million in-work recipients of tax credits to do more to boost their earnings. |
| Under the proposals, jobcentre staff will have powers to withdraw universal credit if claimants are deemed to be doing too little to increase their earnings. | Under the proposals, jobcentre staff will have powers to withdraw universal credit if claimants are deemed to be doing too little to increase their earnings. |
| Ministers are considering more frequent interviews at jobcentres, and even requiring people to move to different jobs to reduce the size of the benefit bill. | Ministers are considering more frequent interviews at jobcentres, and even requiring people to move to different jobs to reduce the size of the benefit bill. |
| It will be the first time that the government will have intervened in this way with tax-credit recipients in work, and marks an extension of its commitment to end "the something for nothing" culture. | It will be the first time that the government will have intervened in this way with tax-credit recipients in work, and marks an extension of its commitment to end "the something for nothing" culture. |
| The reforms would be phased in as the universal credit pilots start to spread nationwide. The proposals are still in their infancy, but suggest ministers believe another wave of welfare reforms will be necessary. The Department for Work and Pensions has just finished a consultation asking for ideas on what demands the state can make of in-work recipients of universal credit to increase their earnings. | The reforms would be phased in as the universal credit pilots start to spread nationwide. The proposals are still in their infancy, but suggest ministers believe another wave of welfare reforms will be necessary. The Department for Work and Pensions has just finished a consultation asking for ideas on what demands the state can make of in-work recipients of universal credit to increase their earnings. |
| Policy Exchange, the leading right-of-centre thinktank on labour market reform, is proposing that about 1.3 million recipients of universal credit be required to attend a jobcentre once a quarter, but that conditions could be tightened in some cases. In its consultation, the DWP said 11 million individuals will be claiming universal credit, of whom five million will be in employment. | Policy Exchange, the leading right-of-centre thinktank on labour market reform, is proposing that about 1.3 million recipients of universal credit be required to attend a jobcentre once a quarter, but that conditions could be tightened in some cases. In its consultation, the DWP said 11 million individuals will be claiming universal credit, of whom five million will be in employment. |
| The DWP says the aim is to "generate innovative pilot proposals that will test what is effective in supporting earnings progression for those who could reasonably be expected to earn more". | The DWP says the aim is to "generate innovative pilot proposals that will test what is effective in supporting earnings progression for those who could reasonably be expected to earn more". |
| The DWP believes its proposals will lead to 1m-2.5m extra hours being worked by those already in employment. | The DWP believes its proposals will lead to 1m-2.5m extra hours being worked by those already in employment. |
| Setting out the need to adopt a new approach, the DWP says: "The current jobseeker's allowance caseload will be joined by current claimants of tax credits/housing benefit who are working less than could reasonably be expected." | Setting out the need to adopt a new approach, the DWP says: "The current jobseeker's allowance caseload will be joined by current claimants of tax credits/housing benefit who are working less than could reasonably be expected." |
| It adds: "The Welfare Reform Act enables us to place a wide range of mandatory requirements on this group (eg work search, work availability and work preparation requirements). Any requirement must be intended to help them find work, more work or better-paid work." | It adds: "The Welfare Reform Act enables us to place a wide range of mandatory requirements on this group (eg work search, work availability and work preparation requirements). Any requirement must be intended to help them find work, more work or better-paid work." |
| The government says a million people will be affected. Claimants will be defined as "working, could do more", according to a formula based on wages, working hours and children's age. In discussing what could be reasonably required of this group, the DWP asks: "Should we require claimants to move job, and when might this become appropriate? Eg, where claimants agree? Where other avenues (additional job, more work with same employer) have proved unsuccessful?" | The government says a million people will be affected. Claimants will be defined as "working, could do more", according to a formula based on wages, working hours and children's age. In discussing what could be reasonably required of this group, the DWP asks: "Should we require claimants to move job, and when might this become appropriate? Eg, where claimants agree? Where other avenues (additional job, more work with same employer) have proved unsuccessful?" |
| The DWP says success will be measured through increasing sustained employment and earnings levels, by an increased amount of time in paid employment; by increasing earnings for universal credit claimants – including movements off universal credit and towards financial independence from state support; and by the amount of time a claimant has earnings that lift them out of the targeted groups. | The DWP says success will be measured through increasing sustained employment and earnings levels, by an increased amount of time in paid employment; by increasing earnings for universal credit claimants – including movements off universal credit and towards financial independence from state support; and by the amount of time a claimant has earnings that lift them out of the targeted groups. |
| For the first time, it will be possible for the department to work with individuals to help keep them in work and – where appropriate – support and encourage them to increase their earnings and move towards self-sufficiency. | For the first time, it will be possible for the department to work with individuals to help keep them in work and – where appropriate – support and encourage them to increase their earnings and move towards self-sufficiency. |
| The DWP guide adds that due to the large numbers of new people with which jobcentres would have to engage, "ministers are particularly interested in proposals that exploit new technology". | The DWP guide adds that due to the large numbers of new people with which jobcentres would have to engage, "ministers are particularly interested in proposals that exploit new technology". |
| The Policy Exchange report found that only 30% of part-time workers who expressed a desire for full-time work were actively looking for full-time work. | The Policy Exchange report found that only 30% of part-time workers who expressed a desire for full-time work were actively looking for full-time work. |
| In addition, only one-in-five part-time workers on working tax credit were actually seeking additional hours. | In addition, only one-in-five part-time workers on working tax credit were actually seeking additional hours. |
| Policy Exchange recommends that all new in-work claimants of Universal Credit should be required to attend an initial claim interview at a job centre where a conditionality regime should be set up to ensure the individual is doing all they can to increase their hours and earnings. | Policy Exchange recommends that all new in-work claimants of Universal Credit should be required to attend an initial claim interview at a job centre where a conditionality regime should be set up to ensure the individual is doing all they can to increase their hours and earnings. |
| It suggests that in-work claimants would be required to attend a quarterly meeting at a job centre to be reminded of their responsibility to try to increase their earnings. Sanctions would be applied for failing to attend. | It suggests that in-work claimants would be required to attend a quarterly meeting at a job centre to be reminded of their responsibility to try to increase their earnings. Sanctions would be applied for failing to attend. |
| It also proposes that Measures of Jobcentre performance would be changed to encourage staff to help claimants into long-term sustainable work, rather than simply getting them off Jobseekers Allowance. | It also proposes that Measures of Jobcentre performance would be changed to encourage staff to help claimants into long-term sustainable work, rather than simply getting them off Jobseekers Allowance. |
| Policy Exchange says this new target group are two-thirds female, just over half are over 45 years old, and nearly 45% of the group has relatively low qualifications or no formal qualifications at all. | Policy Exchange says this new target group are two-thirds female, just over half are over 45 years old, and nearly 45% of the group has relatively low qualifications or no formal qualifications at all. |
| Chain reaction | |
| Morrisons recently signed up TV duo Ant & Dec as the face of the brand, but it might have been tempted to choose David & George. The Bradford-based supermarket chain has become first choice destination for politicians wanting to burnish their credentials at difficult moments. | |
| On Tuesday, George Osborne chose a Morrisons distribution centre in Kent to explain his welfare policy, asserting to the assembled workers in his new demotic: "I wannit fixed". | |
| The chancellor even borrowed Morrisons' slogan – "every penny matters" – to apply to his own fiscal housekeeping. | |
| Three years ago David Cameron, then leader of the opposition, stood in the same spot and told workers: "You are going to see a lot more of me." | |
| The chain, famous for its pie counter, is not just a Tory hang-out: Gordon Brown made a speech at Morrisons HQ in 2009 and turned up at a store to kick off his doomed 2010 election campaign | |
| Politicians regularly express admiration for the "John Lewis model", but few would be keen to be pictured in its upmarket sister store, the Pippa Middleton-employing Waitrose. | |
| Cameron visited Waitrose once to present a "big society" award in early 2012 – but pictures of the PM "popping in" to Morrisons for some essentials quickly followed. Gwyn Topham |