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 CIPD PRESS RELEASE 21 July 2008

Employer attitudes to the 'core jobless' are key to welfare
reform agenda

The Chartered Institute of Personnel and Development (CIPD)
welcomes the Government's "support and responsibilities" approach
to welfare reform. However, the institute believes that the range
of support and incentives offered should be individually tailored
to the different jobless groups given the range and extent of
employer discrimination towards jobless groups. Those with a
criminal record, a history of mental or physical illness, drug or
alcohol dependence, or who are homeless face particular difficulty
in finding jobs.

Gerwyn Davies, Public Policy Adviser, said: "CIPD research shows
that employers are more than three times as likely to deliberately
exclude those with a history of drug illness or alcohol problem
than those with who have been on long-term incapacity benefit. The
Government needs to reflect this in their incentives framework to
ensure that those who win contracts to help people find jobs do not
simply cherry-pick from the more employable groups, such as lone
parents. Equally, the Government needs to provide more support to
those who are more likely to be excluded to improve their
employability, such as drug addicts. It's therefore encouraging to
see that drug addicts being offered support and treatment in return
for benefits."

Davies adds, "Simplifying the complex benefits system and providing
support to the core jobless will be the key to getting people back
into work. The proposal to create a system of two benefits through
employment support allowance for those with medical problems and
Jobseekers Allowance, for those who are fit to work, is a big step
forward."

On the proposals to increase the involvement of private and
voluntary organisations to help people to find jobs, Gerwyn Davies adds:
"Welfare to work schemes should be based on what works in practice. If
the private sector can deliver better outcomes for individuals and
employers than Whitehall then we should embrace that change. There
is nothing wrong with firms profiting from placing people in long
term employment; provided that the system is equitable and takes
account of the different and complex challenges we face in targeting
specific jobless groups."

Notes to editors:
* Gerwyn Davies is available for interview
* The Chartered Institute of Personnel and Development (CIPD)
has over 130,000 members and is the leading professional
institute for those involved in the management and development
of people.

CIPD press enquiries:
Gregor Ridley /Christian Zarro
CIPD Press Office
151 The Broadway, London SW19 1JQ
020 8612 6400