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Labour promises extra £120 for workers who lose long-term jobs Labour promises extra £120 for workers who lose long-term jobs
(about 5 hours later)
People who lose their jobs could be paid an extra £20 a week in benefit for six weeks under a Labour Government if they had been in work for four or five years.People who lose their jobs could be paid an extra £20 a week in benefit for six weeks under a Labour Government if they had been in work for four or five years.
Rachael Reeves, the shadow Work and Pensions Secretary, said today that she was determined to "reinforce and renew" the "contributory principle" in the benefits system. Her plan could increase the £71.70 a week adult rate of Jobseeker's Allowance (JSA) to more than £90 a week to cushion the impact of people becoming unemployed. Rachael Reeves, the shadow Work and Pensions Secretary, said
In her first major policy speech in her post, she told the IPPR think tank: "We need to look at how we can better reflect records of contribution in the benefits people are entitled to…In recent years we've seen more people rely on the system who've not claimed in years." today that she was determined to "reinforce and renew" the
The IPPR is to study the cost of options to increase the initial rate of JSA for people who have built up a record of national insurance contributions. "contributory principle" in the benefits system. Her plan could
Ms Reeves said: "If this can be done in a cost neutral way by extending the period people need to be working and paying national insurance to qualify for contributory JSA it would be a very valuable step forward. increase the £71.70 a week adult rate of Jobseeker's Allowance
"A higher rate of JSA  paid for the first six weeks of unemployment to those who have lost their jobs after perhaps four or five years in work could be a big help in cushioning the immediate financial impact of redundancy and give them a better chance of getting back into work and back on their feet sooner. (JSA) to more than £90 a week to cushion the impact of people
"And it would be a powerful way of restoring that understanding of collective insurance against unemployment that was such an important impulse behind Beveridge's original plan but which today has been all but lost from sight." becoming unemployed.
Ms Reeves confirmed plans, revealed in an interview with The Independent, for all newly-unemployed people to take a "basic skills test" in English, maths and computers within six weeks of claiming benefit.  If they failed the test and refused training, they would lose their JSA. In her first major policy speech in her post, she told the IPPR
Answering questions after her speech, Ms Reeves denied that the jobless would be punished if they failed to pass the test after a few weeks of training.  She said: "We are not going to penalise somebody if they struggle with English and maths." think tank: "We need to look at how we can better reflect records
The shadow Work and Pensions Secretary told BBC Radio 4's Today programme: "These are tough policies. We are requiring people to do something for their benefits. But they are also fair, because they are giving the support to people to get back to work. We have got record levels of long-term youth unemployment. We need to help people get the skills they need to get into work, and then stay in those jobs." of contribution in the benefits people are entitled to…In recent
years we've seen more people rely on the system who've not claimed
in years."
The IPPR is to study the cost of options to increase the initial
rate of JSA for people who have built up a record of national
insurance contributions.
Ms Reeves said: "If this can be done in a cost neutral way by
extending the period people need to be working and paying national
insurance to qualify for contributory JSA it would be a very
valuable step forward.
"A higher rate of JSA  paid for the first six weeks of
unemployment to those who have lost their jobs after perhaps four
or five years in work could be a big help in cushioning the
immediate financial impact of redundancy and give them a better
chance of getting back into work and back on their feet sooner.
"And it would be a powerful way of restoring that understanding
of collective insurance against unemployment that was such an
important impulse behind Beveridge's original plan but which today
has been all but lost from sight."
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Ms Reeves confirmed plans, revealed in an interview with The
Independent, for all newly-unemployed people to take a "basic
skills test" in English, maths and computers within six weeks of
claiming benefit.  If they failed the test and refused
training, they would lose their JSA.
Answering questions after her speech, Ms Reeves denied that the
jobless would be punished if they failed to pass the test after a
few weeks of training.  She said: "We are not going to
penalise somebody if they struggle with English and maths."
The shadow Work and Pensions Secretary told BBC Radio 4's Today
programme: "These are tough policies. We are requiring people to do
something for their benefits. But they are also fair, because they
are giving the support to people to get back to work. We have got
record levels of long-term youth unemployment. We need to help
people get the skills they need to get into work, and then stay in
those jobs."