Youth Contract General
Real Job Guarantee
£1bn worth of money to support: £600m scheme to support: - 160k wage subsidies - 250k work experience placements - 20k apprenticeship incentive payments for SME - Extra support from Job Centre+ advisers - Careers interview for everyone that wants one - £126m for disengaged 1617 year olds in England - Weekly signing from month 5-9 on JSA - 100k part-time jobs for six months, which at National Minimum Wage cost around £400m
Wage Subsidy Specific When?
Type of Job Sanctions
- After 9 months on JSA through the Work Programme. - Young people could make use of the job anytime between 9 months and 24 months. - Some harder to help young people access the Work Programme after 3 months and can benefit from the wage subsidy at that point - Permanent job in predominantly the private sector - Those on a wage subsidy job are employed. They are under no sanction from the state but they must fulfil the obligations in their employment contract. - Those dropping out of work voluntarily are not eligible to receive JSA for up to 26 weeks (existing rules)
- Young people would be ‘guaranteed’ a job at 12 months on JSA.
- Unclear, but claim that bulk will be in the private sector. - Those not participating will face consequences, including benefit sanctions. - That means no one would be eligible to claim JSA after 12 months as all will be offered a job. - Unclear how they will treat those on the programme. As working 25 hours, they should leave benefit – therefore the state can place no benefit sanction on them. - Also unclear that if they leave benefit (by working 25 hours) then the state cannot enforce other conditions on
- Youth Contract gives support with real jobs and is tied into the Work Programme, with incentives for providers to ensure jobs are sustained and young people stay for well over six months.
them. - There is no current way of enforcing other conditions, despite claims that their being on a programme would allow for sanctions, unless branded not as employment but a Govt training scheme. - These are fully paid-for jobs – so there is no guarantee that the job stays on once the Government money stops, returning young people to JSA again.