Universal Credit claimants are being warned of tough new sanctions that could see their benefits cut if they fail to enter employment either within or outside of their preferred sector.
As part of the UK Government's aim to get 500,000 unemployed people back into work by June, the Department for Work and Pensions (DWP) has launched its new Way to Work scheme.
The initiative will see new rules in place that will mean Universal Credit claimants have a shorter time to find a job before facing sanctions.
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It has been condemned by union activists, food bank operators and single parent groups as a 'policy for poverty.'
A UK Government official stated: "As we move out of the pandemic, with restrictions lifted and life returning to normal, the Way to Work campaign will focus on getting job-ready people off Universal Credit and into work, rapidly filling vacancies which are at a record high."
As reported by Staffordshire Live, here's everything you need to know about the Way to Work scheme and the new sanctions.
When does the new policy begin?
The plan to get 500,000 people into employment by June officially launched on January 27.
The UK Government called it "ambitious UK plans to turbo-charge our national recovery from Covid-19".
How it works and what you will be asked to do
Universal Credit claimants have always had to agree to a 'claimant agreement' before they can start receiving money.
In this agreement, it is stated that they may face sanctions if they do not do what is required of them.
Sanctions refer to the reduction — or in some cases the complete removal — of an individual's benefits.
Claimants are all expected to put appropriate time and effort into finding employment — unless they are unable to do so due to health issues or a disability.
People who have a job are still able to receive Universal Credit as a 'top-up' to their primary income — which is the case with 2.3 million people, or around 40% of Universal Credit claimants.
However, under the new rules, claimants face tougher sanctions if they do not find work.
How Universal Credit cut hits your area
Before the Way to Work changes, Universal Credit claimants were given three months to enter into employment in their preferred sector before being sanctioned.
Under the new rules, however, sanctions may begin as early as four weeks if a claimant if found to not be making an appropriate effort to get a job, or if they turn down an offer of employment.
The £20-a-week Universal Credit cut is set to hit over one in three working-age families with children in more than 400 constituencies.
The DWP states Way to Work is "helping fill the record number of vacancies, supporting 'job-ready' people into the labour market and helping them progress into a career."
Who exactly will it target?
Way to Work is primarily targeted at Universal Credit claimants who are in the 'intensive work search' group.
These people will be expected to search more widely for available jobs beginning from the fourth week of their claim, instead of after three months.
The DWP said: "This clearer focus will ensure that, if people are not able to find work in their previous occupation or sector, they are expected to look for work in another sector and this will be part of their requirements for receiving their benefit payment.
"For the vast majority of people who are already engaging fully with Jobcentre Plus, this could be the extra support they need to secure a job. However, for the small minority who do not engage, the sanctions regime will operate as usual.
"They will be supported in this with more time spent face to face with a work coach to receive better, tailored support. We know work is the best way for people to get on, to improve their lives and support their families because people are at least £6,000 better off in full-time work than on benefits."
UK Work and Pensions Secretary Thérèse Coffey said: "Helping people get any job now, means they can get a better job and progress into a career.
"Way to Work is a step change in our offer to claimants and employers, making sure our Jobcentre network and excellent work coaches can deliver opportunities, jobs and prosperity to all areas of the country.
"As we emerge from Covid, we are going to tackle supply challenges and support the continued economic recovery by getting people into work. Our new approach will help claimants get quickly back into the world of work while helping ensure employers get the people they and the economy needs."
Chancellor of the Exchequer Rishi Sunak said: "It's important that everyone has the opportunity and support to find a good job to help them get on in life.
"That’s why we’re doubling down on our Plan for Jobs with this new campaign to harness the talent of jobseekers and support employers to fill vacancies, find work and create new opportunities.
"Together we will boost this country’s jobs-led recovery."
Building on the success of the flagship Kickstart Scheme, the DWP will "work with a wider range of employers to cement positive relationships and show them the good quality of candidates coming through Jobcentres."
This includes through direct engagement with employers across booming sectors like construction, haulage and logistics and social care, and over 350 jobs fairs mobilised across Great Britain in the coming months, the DWP said.
Major employers including Balfour Beatty, Whitbread Group, TalkTalk, Bourne Leisure, Ocado and Kier are already throwing their weight behind the campaign.
What employers said
Ian Nicholas, global managing director at Reed, said: "We’ve been working closely with the Department for Work and Pensions for a number of years and in the drive to get people into work, this is now more important than ever.
"Working closely with the DWP has provided us with valuable access to people looking for work. Those not already working closely with the Department should consider the benefits it can bring both for business and the UK economy."
Tony Ellender, head of professional development at Balfour Beatty, said: "Balfour Beatty is delighted to be working with DWP to promote our wide range of opportunities in construction."
Lisa Taylor, head of resourcing at Whitbread, said: "Many of those who have joined us from the Jobcentres during our time working closely together have gone on to build a successful career with us or maintain long term employment.
"At Whitbread, we passionately believe that by working together with Jobcentre Plus we can make a real difference to the lives of jobseekers in this country through our no barriers to entry and no limits to ambition approach, as well as being a force for good in our local communities."
Daniel Kasmir, chief of people and procurement at TalkTalk, said: "We are happy to be working with DWP in exploring all recruitment solutions to look to fill our vacancies and will continue to do so with this push for jobs."
Bleu Stessia, kickstart manager at Haven.com, said: "Work coaches have enabled us to link with over 50 Jobcentres across the UK supporting our parks from Scotland to Cornwall.
"Understanding the great opportunities in hospitality, the DWP has also provided extensive support for our recruitment programme referring candidates and providing, support for interviews, for assessment days and job fairs."