If the Work Programme works, why pay employers up to £2275 at week 26?
Why is the government providing additional funding for work Programme providers to pay employers to keep a young person employed at week 26?
Providers can offer employers the incentive of up to £2275 if they pay the young person at least minimum wage for up to 26 weeks.
This means the providers get paid for the job start and also extra funding because the young person has stayed in work for a longer retention period.
However young people will have to wait on average at least 9 months prior to been referred to the Work Programme and then the additional time it takes them to find employment.
Would tax payer’s money not be better spent by offering employers the incentive from day one of the young persons claim? Avoiding paying extra money to the government’s flagship welfare to work provision providers.
Given the current climate employers might be more inclined to take staff on with this incentive but why not offer the support sooner rather than later? Young people might find employment sooner and they may not be claiming benefits as long.
Please will someone explain the logic behind this?