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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
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