The DWP Secretary answered various questions online from citizens focusing primarily on the Welfare Green paper and various issues related to it such as geetting the long term unemployed back to work, education opportunities and carers and many more.
James says: Hi, it’s James Purnell here, and we’re about to start. Thanks for logging on and I’m looking forward to hearing what you think about our proposals for welfare reform.
Richard Price: James, do you see greater roles for health professionals such as doctors, nurses and pharmacists in helping those out of work for health-related reasons making a return to work?
James replies: Yes, that’s exactly what we’re trying to do - I’m glad you asked that. At the moment, we have a medical test called the Personal Capability Assessment, which we (and many in the medical profession) think is not identifying correctly the people who should be on Incapacity Benefit. So, we consulted a wide range of groups: organisations of and for disabled people, individuals, people in the medical profession. We’re introducing a new test, called the Work Capability Assessment, which focuses much more on what people can do, rather than waht they can’t. This will be adminstered, as now, by medical professionals on contract to the DWP.
But we also want to work with the medical profession to help people stay in work - much better for them, and for the taxpayer. So we are:
* piloting what we call a ‘Fit for Work’ service, which would work with companies to help people stay healthy
* piloting having Jobcentre Plus advisers in GP’s surgeries to help people get better by going back to work
* working to reform the medical certification system so that it reflects the recent evidence that work is generally good for people’s health….
Cain: Why do retired disabled people not recieve the same benifits as those that are not yet retired. I refer to car tax and insurance and indeed the supply of car? We are just as disabled as the younger person.
James replies: There have always been different benefits - Attendance Allowance for those who claim after retirement, and DLA for those who claim before. They reflect the different circumstances of people at different stages of their life. We also pay more money to the poorest disabled older people - by having premia in Pension Credit. And we’ve introduced targeted support for older people - such as the Winter Fuel Payment, free TV licences and free bus travel.
So we recognise the needs of older people, though we know that many are feeling the pinch at the moment. That’s why in the last Budget we increased the Winter Fuel Payment for this year, for example.
Ross Evans: How can we help people off incapacity and other benefits and back into work without persecuting those who have legitimate problems, many of whom are poorly educated thanks to generations of neglect?
James replies: We’re going to abolish Incapacity Benefit (IB) and replace it with a new benefit called the Employment and Support Allowance.
We will migrate everyone on IB on to this new benefit between 2010 and 2013. So, we want to reassess everyone currently on Incapacity Benefit. Those who are able to work will go on to Jobseeker’s Allowance or straight in to work.
Those with the greatest needs will go on to ESA and get a higher level of benefit, and will be able to volunteer for our Pathways to Work programme, which helps people improve and manage their health condition, and look for work.
Everyone else would go on to the standard ESA rate, and get personalised support to get back in to health and back in to work. This support will be based on the Pathways to Work programme, which we know has helped many people improve their health - over 64,000 have already found work through Pathways.
Anyone on IB who is reading this can volunteer for Pathways now by contacting their local Jobcentre Plus.
All this underlines our commitment not to write anyone off and help people who haven’t been given the right support.
Read more on our proposals in the Green Paper
Jonathan Hurley: when will the permitted earnings be increased.I started supported employment in 2003 and I could work 4and a half hours to earn my £20. due to the welcome increases in the minimum wage I can now only work 3 and a half hours, why wasn’t the minimum wage taken into account when setting the permitted earnings.
James replies: From October 2008, new claimants will be able to do 16 hours of permitted work at the minimum wage - £88.50 a week at the moment. So, for existing claimants, that will apply as you move on to the new ESA benefit between 2010 and 2013.
david: You recently visited Rochdale’s Lower Falinge estate. What contribution would you be expecting from within, rather than from without, that community and how will be government be supporting that?
James replies: I really enjoyed my visit - and was impressed by the efforts that local people were putting in to helping people on the estate get back in to work. Government can’t do this all by itself - we can create the right support and incentives, but only individuals can decide how they want to take up those opportunities. Community groups can help by making sure people who are out of work find out about the support on offer - such as training or our Pathways to Work programme. And many community groups also provide services themselves - such as the childcare and IT coaching you can get in Lower Falinge. Most people on IB are really keen to work, and local community groups can help people make that transition.
When I was leaving the estate, by coincidence (I think), there was a Jobcentre Plus bus on the estate, to help people find out about the support we provide. We need both - the state and local communities working together.
emma ayres: As a lone parent im keen to go back to work once my children are older. But there seems to be a push for me to take any low paid job. So what help will you be giving lone parents to enable them to enter employment which will give us long term work and a future prospects, not just low paid low esteem work? and provide childcare around un social hours?
James replies: We totally agree with you - we want to help lone parents get in to work but also get on at work. That’s why we have an In Work Credit - £40 a week (£60 in London). But we also want to help lone parents get training and get more money - so Jobcentre Plus advisers are now there to help you after you get in to work and to take up training opportunities. The Government helps with that too - our Train to Gain initiative will pay for many of the costs of that training.
You’re quite right to mention childcare - we’re increasing childcare, for example through schools offering childcare before and after school It’s worth asking what childcare is available in your area. It’s often more than people realise.
ann demaret: I would like to know why, in this climate of excessive prices for food, petrol,gas,electricity etc etc inflation etc why we are still have no increase in our rates of social security- how do you expect us to live if the average man in the street can’t?
James replies: I’m slightly confused by your question - social security rates do go up, in line with prices or earnings for Pension Credit.
But you’re right to say that prices are going up which is why we’ve tried to do more to help - higher Winter Fuel Payments and spending a billion pounds in the last Budget on helping families with children.
Albertina McNeill: I am concerned that efforts to get people with mental health problems off incapacity benefit and into work before they are ready will cause relapses in their conditions. What is the government doing to ensure that a) they are being assessed with their best longterm interests in mind and b) that they receive ongoing support once they drop out of the benefit safety net?
James replies: This is a very good point. The Pathways to Work programme seeks to help people with mental health problems manage their condition - and also learn how they could do that in work. So, we try to give people those skills. We’re also increasing the ‘talking therapy’ that is available, for people who would find that valuable.
But we also need to remove the stigma around mental health - and want to help change the culture of work so that we can help more people with mental health work.
Finally, we’ve changed the benefit rules so that if people come off IB and then go in to work, but find their condition deteriorates or re-occurs, then they can go back on to their old benefit at the previous rate.
I hope that’s helpful.
David Lidiard: Are all persons on incame surport to undergo medical test to see if they are able to work and what about the persons on longtearn IS.
James replies: People who are soley on Income Support won’t go through a medical test. That will apply to people on Incapacity Benefits - between 2010 and 2013, we will reassess everyone with our new medical test. Those with the greatest needs will be able to get a benefit rate which is higher, as a result.
Adam Skinner: Which of the welfare reform models in operation internationally would you regard as a role model for future provision in the UK? Are we seeking to move towards an American model where individual states have considerable autonomy in relation to welfare provision and support is offered for a limited period only to engender a strong work ethic across society or a more protective centralised Scandinavian model?
James replies: I think we need to learn the best from different countries. So, we’re not adopting some of the time-limiting proposals from America, where people can lose their benefits after 5 years, regardless of their condition at the time. We’re worried that would increase child poverty, as it seems to have done in some American states.
We do think that some aspects of their reforms worked - especially the emphasis on people doing full-time activity. in fact, that’s something we’ve also done here as part of the New Deal, and we think the evidence shows it helps people get back in to the work habit and back in to work.
But it’s worth remembering that the United States has a lower percentage of people in work than we have. So these reforms are particularly inspired by the few industrialised countries that do have higher employment rates - such as the Netherlands and Denmark. They have systems that are generous, but require people to work in return for that support. That’s what we’re trying to do here.
Carole Reilly: People are not wanting to go to work whilst the benefit system is providing more than they would earn. What are you going to do about this ?
James replies: Making clear that there’s no choice between working and claiming. If there’s a job there, people should take it. If not, they can have their benefit sanctioned.
But the great majority of people are better off for being in work - thanks in part to our tax credit system and the £40 a week extra we give to certain groups for the first year after they get back in to work.
oldpeculiar: In light of the WRGP, can the Minister give assurances that those in receipt of Carers Allowance will NOT be required to undertake WFAs and/or be referred to private sector or charity assessors? Given that Carers are to be encouraged, not forced, into looking for work does he think that in time a “Carers Discrimination Bill” will be put before Parliament to make it illegal for all employers to refuse to employ someone on the grounds that they have Caring responsibilities?
James replies: In light of the WRGP, can the Minister give assurances that those in receipt of Carers Allowance will NOT be required to undertake WFAs and/or be referred to private sector or charity assessors? YES
Not sure about whether there will be a Bill along those lines - in fact, I’d imagine that would be illegal already, but there again I’m not a lawyer.
DAVID BROWN: hi james, having been assessed and now exempted from incapacity benefit pca due to high rate care dla and having my own doctor saying i will never be able to work again are you now changing the rules for the severly disabled?
James replies: We want to give the severely disabled higher benefits and more support. So, those who are reassessed and have the greatest needs will get a higher benefit rate - by between £5 and around £16 a week. And they will be able to volunteer for Pathways to Work, but not required to do so. I hope that helps.
Jon Doyle: If your going to force people to work for dole shouldn’t they be paid minimum wage? otherwise isn’t it effectively slave or forced labour?
James replies: I don’t agree - this is about saying that if people are claiming benefits, then full-time activity is a good way of helping them get back in to work. It’s once they are working, that they would then be able to benefit from the minimum wage we introduced. We don’t want to reduce that incentive to work.
vicki finch: i am a wheelchair bound disabled person who gets carers allowance and DLA. how will the new incapacity benefit reforms effect me as i have been told i dont qualify for incapacity benefit as i havent earnt enough national insurance?
James replies: Without knowing your exact circumstances, it’s hard to answer. But it sounds like nothing much would change - we’re not changing DLA or the way carers are treated through this Green Paper.
louise: How are you going to deal with drug addicts. Simply docking their benefits will cause them to steal for their drugs therefore making the problem worse.
James replies: We want to pilot a new approach. We already know that lots of people on benefits take up treatment programmes but we want to help more to do so. Where we know that someone has a drug addiction problem - to crack cocaine or opiates - we will offer them treatment and require them to draw up a personal rehabilitation plan. They would be required to follow that plan, with the possbility of a sanction if they don’t. Drug addiction ruins families and scars conmmunities - and it’s surely better for taxpayers’ money to go into treatment rather than drug dealers’ pockets?
mick: when are you going to tackle the abuse of the disability allowance dla. i.e people getting cars for nothing wrong with them. I see them every week getting out of there car then walk about town market
James replies: It’s worth saying that DLA is overall a very good benefit - it helps around 2.9 million people, and it’s really important that it pays disabled people whether they are working or not. That is society’s recognition that it has a duty to help with the extra costs of disability.
But anybody who defrauds the system is taking money away that could be spent on people who are genuinely disabled, and we want to reduce that fraud. We’ve cut fraud to the lowest level ever recorded.
James Alexander: Hi James, I think one of the key mechanisms for getting people back into work, especially in times of economic slowdowns is to invest in education.
What role do you see colleges and other education providers playing as part of this package of reforms to encourage people to develop new skills for employment?
James replies: That’s absolutely right - and I’m working with John Denham, the Secretary of State who is in charge of skills provision, to use both our budgets more effectively to help people get skills, get in to work and get on at work. We recently published a strategy called Work Skills to do exactly that, and you may be interested in looking at it.
ray edmiston: With your reply to Jon Doyle, you are effectively creating a stigmatised system, which you are supposedly against, how can you square this with the law of the land, concerning NMW and EU regs, given that, work is work, or is that until you deem it to be not work but ‘full time activity’?
James replies: Thanks for replying - it’s not about stigmatising anyone. It’s about helping them get back in to work. It doesn’t help anyone to say that they can claim benefits indefinitely and get further and further away from the labour market. That works well for example when people are on the New Deal - it’s the same principle here.
Louisa Peacock: What will employers get out of hiring the long-term unemployed - what’s in it for them?
James replies: The answer’s simple - good employees. That’s why over 3,000 employers have signed up to our Local Employment Partnerships - where they agree to look to give jobs to people from disadvantaged groups, and in return we offer help such as pre-employment training or work placements, so people can prove themselves and try out the job in question.
Rosemary: There are many carers who for one reason or another do not claim Carers Allowance but still care full time.Can Mr Purnell confirm that in these circumstances the said carers will be exempt from the new rules.
James replies: People on Carers’ Allowance will not be required to work, as now.
Paul Booker: I would first like to say this sounds excellent, I really feel for the first time in 10 years that you are listening to us. Will there be a softly softly approach to those that don’t turn up to duty or will you cut benefits??
James replies: We’re very clear - if people abuse the system, they will be sanctioned, up to losing their benefits for 6 months. The longer people are on benefits the more we will expect of them. But that’s also because we know that our support works - whether our help for the unemployed or disabled people, it gets more people in to work, meaning more money for them and less expense for the taxpayer.
nigel pivaro: Hello James,The Green Paper states 73 per cent of claimants who have received sanctions do not repeat their behaviour. What will you do about the 27 per cent that do not learn and continue to fail to meet their basic obligations.
How will community work be tailored so participant claimants avoid being confused with criminals carrying out their communty service order sentences?
James replies: Hi Nigel, hope you’re well.
Of the other 27 per cent, the large majority only ever get sanctioned twice. And 40 per cent of those who do get sanctioned tell us they think it was fair. The goal is not to sanction people - it’s to get them to take up the support that we know helps them back in to work.
On your point re community work - the whole idea is to get people back in to work. Our providers will be paid by the results they achieve in getting people back in to work, so their incentive will be to look at activity which gets people closer to the labour market. We don’t want to stigmatise anyone.
Jayne Simms: The emphasis of your recent proposals is clearly on the worthwhile aim of getting the long term unemployed into work. However, there doesn’t seem to be a great deal of policies that will directly impact on child poverty; can you confirm whether eradication of child poverty is still a priority for the government and what proposals are being considered to tackle it.
James replies: Yes! And the Green Paper announced that we would now allow parents on benefits to keep all of the maintenance payments they get from their ex-partner. Together with the rest of our welfare reforms, we expect that will help up to 200,000 children out of poverty.
And you may know that we announced a billion pounds extra spending in the Budget - together with previous measures, that should take about 500,000 children out of poverty.
Virginia Wakely: One of the worst things for lone parents is finding local affordable housing - this goes a long way by itself in boosting morale and self-esteem and also becomes a major factor in encouraging people back to work where their children can attend a local school. Will housing be taken into account during this welfare reform?
James replies: Yes, we’re working with the Department for Communities and Local Government on how housing and employment policies can dovetail to achieve exactly that. We’re planning to bring proposals forward later this year. This is a very important area.
samuel: i am currently claiming DLA and income support, and intending to start college in september. If i am in education, how will the new system affect me.
James replies: It’s hard to answer without knowing your exact circumstances. Your DLA won’t be affected - and we’ve made it easier for people to train and retain their benefits. Maybe ask your Jobcentre Plus adviser? There may also be a range of student support available.
James says: Right, I’m off now. It’s been really interesting getting your views - if you want to reply to our consultation, then you have until 22nd October to do so. Email welfare.reform@dwp.gsi.gov.uk or visit www.dwp.gov.uk/noonewrittenoff
Moderator says: That’s all we have time for today. Thanks for your questions.
