Tamar Wilner,
Regeneration & Renewal,
9 November 2009
An extension to a flagship scheme aimed at helping people come off incapacity benefit and start work failed to have any significant impact, a government-commissioned report has found.
The report, published by the Department for Work and Pensions (DWP),
found that the Pathways to Work scheme had a "weakly negative" impact in
the six areas where it was rolled out in April 2006.
In those six areas, people were one per cent less likely to be in paid
work 16 months after claiming for incapacity benefit than those in a
comparison area without the programme.
In contrast, the authors' earlier report on Pathways to Work pilot areas
found that the seven pilots had increased by seven per cent the
likelihood that a person in the area was in paid work 19 months after
asking about their entitlement to benefits.
The authors noted that the difference could be partly explained by the
first study including all those who enquired about incapacity benefit,
while the new study only includes people who made a claim. Varying
funding levels for Pathways could also be an important factor, they
added.
Report co-author Richard Dorsett of think-tank the National Institute of
Economic and Social Research said: "It's slightly disappointing not to
see the same signs of a definite effect in the expansion areas as in the
pilot areas. There is further work that needs to be done to see what's
going on."
A separate report released last month by the DWP found problems with
Pathways to Work schemes rolled out in 2007 and 2008. These schemes are
operated by private companies and third sector organisations, unlike
earlier schemes, which are run by Job-centre Plus.
The report found that the incentive structure for these "provider-led
Pathways" encourages them to focus on people considered "job ready",
leaving others poorly supported.
Asked to comment on the reports, minister for disabled people Jonathan
Shaw said: "As we continue to radically overhaul the welfare system, we
need to look again at the help we are giving people to move off sickness
benefits and into jobs."
He said a white paper would address these proposals, although the DWP
would not give a date for its publication.
- The reports are available via www.regen.net/doc
