Welfare to work
A Department for Education and Employment case study

Page 1: Introduction

After the Second World War, the British welfare state was further strengthened. The welfare programme offered citizens an education, an opportunity to find a job, adequate housing, free healthcare and financial support in times of special need. The state guaranteed a certain minimum level of provision that did not depend on people’s ability to pay. If people wanted something better, then...
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Page 2: Unemployment and the economy

Economies change over time. Firms come and go, industries rise and fall, new jobs are created, old ones disappear. Some areas flourish, others decay. Throughout all this, people try to stay in work. Many succeed, but some don’t. The challenge to them and to the government is to find them another job before they lose heart, stop searching, and are lost from the labour force. Over the past...
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Page 3: Creating an action plan

All EU countries produce an Employment Action Plan. Its key themes focus on 'Work for those who can, security for those who can’t’ by: raising employment across the EU social inclusion opportunities for all. The Action Plan’s main aim is to help all people to find work, particularly for those where a long period of being without a job has left them feeling detached from the...
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Page 4: The modernised welfare state

The government believes that the best form of welfare for people of working age is to provide them with help to find work. This should raise not only their income but also their self-esteem, which in turn contributes to their health and well-being.The government’s employment policy is built around four key ideas: Employability - Helping people to find and keep a job involves: providing them...
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Page 5: ‘You can do it. We can help’

For people wanting to avoid dropping out of the labour market, some times are more risky than others e.g. leaving school, moving areas, being made redundant.The government’s policy is to provide extra support at such times. This support includes: Educational maintenance allowances (EMAs) - These encourage 16 and 17 year olds who leave school to continue in further education, thereby...
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Page 6: Conclusion

Does all this make a difference?  The new initiatives appear to be working. Unemployment continues to fall, and the number of people in work continues to increase. Independent evidence from NIESR shows that the net impact of New Deal is that unemployment is lower and employment is higher, and because of the impact of welfare spending and tax receipts, the New Deal has been close to self...
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