Transcript Scenarios for job outcomes - Industrial Communities Alliance
What are the solutions?
Tony Wilson, Policy Director Centre for Economic & Social Inclusion
@tonywilsoncesi
I’m tempted to say ‘The Future Jobs Fund’...
I’m tempted to say ‘The Future Jobs Fund’... but it did work
Four priorities
1.
2.
3.
4.
Demand Support Working together Learning
1. Increasing the demand for jobs – a role for Intermediate Labour Markets
“Waged temporary work of community benefit for the long-term unemployed, with support to move into the mainstream labour market”
(Marshall and Macfarlane, 2000) • • • • Real, subsidised, jobs Best results for those with barriers to work Need to align personal support, training, employer support and transition to open labour market Some good examples of ‘expansionary’ models – social enterprises, supply chains • But expensive – and can be risks if badly designed
A role for wage subsidies?
• Probably don’t increase net employment...
• But evidence of long-run benefits for those who get them • However, very few people do!
• Across Youth Contract, “Six Month Offer”, New Deal Employment Option, Employer NICs holiday – usually fewer than 10,000 subsidies taken up per year • And between a third and two thirds of up-take is for employment that would have happened anyway
The bigger prize is economic development
• • £3.2bn Regional Growth Fund 24 Enterprise Zones • Evidence on things like this is mixed • And unemployed residents rarely/ never see the benefits • But doesn’t mean we shouldn’t try
“Companies benefiting from the Regional Growth Fund and Enterprise Zones should be expected to support local residents that are out of work – including through high-quality work experience, traineeships and engaging with re employment services”
Wilson, T. and Bivand, P. (2014)
Equitable Full Employment,
TUC
2. Improving support
• • Our assessment of the Work Programme: • Performing in line with previous programmes for the long-term unemployed • At a much lower cost: £600 per participant per year (about half of Flexible New Deal) • Doing (far) less well for disadvantaged groups, areas, those with health conditions • Seen as a mandatory programme with tough conditions – not attractive Beyond Work Programme, fragmented and often very limited support
• • •
Why the Work Programme is not enough
Older and disabled people fare worse Particularly those with mental health conditions Funding – and performance – lower in weaker labour markets
We need to do more, and do it better, for those furthest from work
Focusing on disability...
http://bit.ly/fitforpurpose
We estimated that just one in ten receiving employment support
4.2 million disabled people out of work 3.6 million with ‘work limiting’ disability or health condition We estimate: Work Programme: Work Choice: Local provision/ progs: 363,000 20,000 ? Low thousands Complex landscape – for providers, participants, employers Reduced funding – and/ or low take-up Often poorer outcomes, compared with non-disabled peers But growing priority – health, social services, employment
We have a good idea of what works, around:
•
Personalisation
• Right level of support, tailored to needs, with • enough time Holistic approach – not (just) about health and employment • • Effective
partnerships Alignment/ integration
with health services Different form of
employer engagement
agency’ approach – ‘individual-based’ as well as ‘employment Intervening at the
right time Highly skilled advisers
... with small caseloads
But we’re not there at the moment
•
Low investment
• We estimate that Work Programme funding per ESA claimant is now £550 per ESA claimant, cf. planned £1,200 •
Poor alignment by/ with health services
• • • Often not available or only to those in secondary services Delays in access – making things worse Poor assessment, diagnosis and referral •
Silo commissioning (and not evidence led)
Employment as route to recovery Employment as the objectives • But some green shoots
Get back to solutions!
• Lessons for national government • Design of payment by results • • • Service specification (De)centralisation of commissioning Broadening reach • For the rest of us: • Influencing commissioning in health, skills, employment • • Using our ESF/ LEP power Evidence-based, adviser-led, supportive programmes that link with other provision • Identify, engage, enrol, support
3. Working together
• • Not just about economic development Nor health, skills, employment • • • Critically, tackling deprivation and supporting those impacted by welfare reforms Scope for all of us to better align services provided through voluntary sector, housing, advice, employment...
And not just about signposting and referring – integrating support and case management
Three key aspects – no one organisation can do it all
Income Employment support Housing Welfare rights Money advice Debt advice Financial products Help find jobs Employer engagement Training Networks Childcare Supply chain Financial mgt Engaging landlords Transitional support Resettlement/ mobility Integrated case management, data sharing, joint working
4. Lastly – learning as we go.
We’ve tried quite a lot in the last decade
New Deal NDY|P, ND25+, NDLP, NDM, NDP...
Employment Retention and Advancement POEM JRRP Flexible New Deal Over-50s Outreach Employment Zones Mandatory Work Activity Fair Cities Six Month Offer Routes into Work Work Choice Community Action Programme New Deal for Disabled People Pathways to Work Progress2Work/ LinkUP
Work Programme
Action Teams for Jobs
Future Jobs Fund
WORKSTEP
So: we need to continue to test and learn
• • • • • But need to set those tests up in the right ways • • Testing an intervention for a group And/ or testing a funding or delivery model Build on what’s gone before Use mixed methods, synthesise Look outwards Evaluate what’s already being done (e.g. FSF) • And challenge culture that ‘nothing works’ • Or that success is a positive 2-year Benefit-Cost Ratio...
What are the solutions?
Tony Wilson, Policy Director Centre for Economic & Social Inclusion
@tonywilsoncesi