Select Committee on Work and Pensions Appendices to the Minutes of Evidence


APPENDIX 6

Letter to the Committee from the Employment Disability Unit (EDP 09)

  I am the Manager of the Employment Disability Unit (EDU) which is joint funded by the three Local Authorities in Tayside (Angus Council, Dundee City Council and Perth and Kinross Council).

  The aim of the Employment Disability Unit is to create employment opportunities for disabled people and to support people with disabilities into work.

  The Employment Disability Unit has achieved a fair amount of recognition where it has won national and international awards for Supported Employment for People with Mental Illness, Supported Employment for People with Learning Difficulties and Good Practice in the Promotion of Equal Opportunities for Disabled People.

  The Unit was the only organisation in the UK to pilot both the Supported Employment Development Initiative (SEDI) and the New Deal for Disabled People (NDDP).

  Over the past 10 years the Employment Disability Unit has successfully placed almost 1,000 disabled people into open employment. More recently the Unit has increased its Supported Employment service and attracts more than 200 disabled people each year who are in receipt of Incapacity Benefits and who are interested in employment.

  As Manager of this initiative I have carried out research in Norway, Ireland, USA and Sweden. I have also delivered keynote addresses and analysis throughout the UK and Europe.

  I have been the Chairman of the Scottish Union of Supported Employment (SUSE) since 1997. The Scottish Union of Supported Employment is an umbrella organisation for some 95 organisations in Scotland (and England) and provides its members with a range of support services. The Scottish Union of Supported Employment has held Four National Conferences on Supported Employment and last year organised the fifth European Union of Supported Employment which was held over four days in Edinburgh. This international event was attended by 620 delegates from 37 countries and provided a variety of speakers and workshops related to employment issues for disabled people.

  I am also the author of "Employing People with Disabilities" which was recently published by the Chartered Institute of Personnel and Development.

  The issues that are to be raised by the inquiry into employment for disabled people are relevant and pertinent. I have a wide range of experience of working with Jobcentre Plus (and previously Employment Service), Department for Work and Pensions (previously Department of Education and Employment) and the Scottish Executive regarding national programmes and policies concerning employment issues for disabled people.

  I have attached[4] three papers which underline the particular problems of why so few disabled people enter employment:—

    (a)  Letter to MP's submitted 6 June 2002 outlining concerns regarding Government Programmes for disabled people. (Annex A)

    (b)  Letter to M P's submitted 24 July 2002 outlining concerns regarding welfare benefit issues for disabled people. (Annex B)

    (c)  Statistics for the 23 month NDDP pilot carried out by the Employment Disability Unit. (Annex C)

  Additionally, I have attached a paper[5] providing an overview of the employment programme in Norway with a particular emphasis on our equivalent of Supported Employment, Workstep, Sheltered Workshops and Rehabilitation. I consider that much of the good practice in Norway is transferable to the United Kingdom.

  I have, over the past few years, held discussions with Ministers at both Westminster and Holyrood and I would be only too pleased to contribute to your oral evidence sessions regarding this very important enquiry.

  I look forward to hearing from you in the near future.

Michael J Evans

Manager, Employment Disability Unit

Chair, Scottish Union of Supported Employment

Secretary, European Union of Supported Employment

20 December 2002

Annex A

  I am writing to you to express our views with some areas of concern that have arisen for member organisations of the Scottish Union of Supported Employment.

  The Scottish Union of Supported Employment (SUSE) is a membership organisation representing the interests of supported employment providers and other organisations involved in social inclusion issues. Its remit is to promote and campaign to raise the profile of supported employment in Scotland. Our membership is made up of organisations from the voluntary and statutory sectors, employers and individuals.

  A topic of great concern to many of our members has been the recent tendering exercises for services funded by the Employment Service, namely, Work Preparation, the New Deal for Disabled people and Workstep.

  Our members have raised many issues regarding the way in which these tendering exercises were undertaken and main areas of discontent were as follows:—

    —  Very short lead times to complete tenders. Both the Workstep and Work Preparation tenders were issued at the beginning of December. The Work Preparation tender had to be returned by the 7 January, Workstep by 18 January. The Christmas and New Year holiday period added to the difficulties.

    —  Lack of detailed feedback on why tenders were not successful. To date most organisations have had no feedback from the Work Preparation tender exercise.

    —  Funding formulae which are so output driven as to make it impossible for many organisations to consider participation. The New Deal for Disabled People was an example where even large national voluntary organisations would not risk the financial implications of participating.

    —  A perceived lack of understanding by the Employment Service of the business and finance needs of voluntary sector organisations in particular. Last year some Disability Services Teams in Scotland stopped referrals to Work Preparation almost overnight. With no referrals for three to four months many organisations suffered severe financial problems.

    —  The result of the recent Work Preparation tendering exercise in, for example, South and East Scotland means there are only two mainstream providers in that area. Of these two providers, one only operates in the Lothians while the other is based in Berwick, meaning some people in the Scottish Borders will have to travel to England in order to get a service. Another issue is that there are no specialist mental health or learning disability providers in many parts of Scotland. Moreover the significant reduction of Work Preparation Contract Providers has resulted in little or no choice for service users.

  Members of SUSE can give many more examples from around Scotland regarding the adverse effect that these exercises and decisions have had on services and service providers and we would welcome the opportunity to discuss these issues further with you.

  There are also concerns over the use of initiating pilot projects (ie New Deal for Disabled People—Innovative Schemes and Supported Employment Development Initiative) and then largely ignoring the good practise and evaluation recommendations.

  SUSE member's services make a significant contribution to the social inclusion agenda but their ability to do this is increasingly compromised by a lack of understanding on the part of the Employment Service, of the impact of their strategic decision making.

  I am sure you will agree that strategies which effectively meet the needs of individuals with a disability, or those disengaged from the employment market, must not be compromised and I look forward to hearing from you on this matter.

6 June 2002

Annex B

  I am writing to you to express our views on some areas of concern that have arisen for member organisations of the Scottish Union of Supported Employment.

  The Scottish Union of Supported Employment (SUSE) is a membership organisation representing the interests of supported employment providers and their organisations involved in social inclusion issues. Its remit is to promote and campaign to raise the profile of supported employment in Scotland. Our membership is made up of organisations from the voluntary and statutory sectors, employers and individuals.

  SUSE recognised a need for a working party to be set up to research the welfare benefit issues due to increasing concerns constantly being raised by the membership. Over the last 18 months, the working party have met on several occasions throughout Scotland and have liased with members to identify and establish why current welfare benefits are proving to be a barrier to employment.

  We have identified that although Permitted Work allows people to earn up to £66.00 per week, the reality of the situation is that people who are in receipt of Income Support lose benefits on a pound for pound basis if they receive over £20.00 through Permitted Work. This is a common occurrence given that people in receipt of Permitted work must receive the National Minimum wage. It is also the case that many disabled people are restricted to working under five hours per week, which means they earn up to £20 per week and can continue to receive Income Support.

  At present, the fear of losing income support and related benefits such as Housing Benefit, Prescription Charge Exemption reduces the potential "stepping stone" to achieving employment. A package of support to assist progress from receiving Welfare Benefits to finding appropriate employment is a requirement of this particular client group.

  Moreover, many disabled people are wary of the Linking Rule, as it does not guarantee an automatic return to incapacity benefits. Where individuals decide to work 16 hours or more there is an identified fear of losing benefit entitlement in the long term should they become unwell. Although the two year Linking Rule provides some protection for those on certain benefits, the level of disability may find that some people would benefit from this time being extended and made easier to access. Further complications in relation to the new Transitional Housing Benefit may also mean that any earnings could affect service user's packages of care.

  The following recommendations are the result of consultation with members and disabled people and may help address some of the concerns and negative implications regarding Permitted Work, Linking Rules and encouraging disabled people to consider employment.

    —  There is a need for discussion, perhaps through a select committee, to consider and address the benefit issues.

    —  Remove time limits and introduce Guaranteed Linking Rules for people with a recognised disability or health problem. More flexibility is needed to encourage people to consider employment when they suffer fluctuating levels of health.

    —  Lower the threshold at which Disabled Person Tax Credit can be accessed.

    —  Introduce a form of Transitional Benefit or Income Guarantee to ensure that no one finds himself or herself financially worse off by moving in to employment.

  The issues surrounding benefits are one of the main barriers when progressing people off incapacity benefit and into employment. The New Deal for Disabled People and other government programmes will continue to yield low outcome figures until the "benefit barrier" is acknowledged and addressed.

  The Scottish Union of Supported Employment strives to effect change, which will enhance the employment opportunities for service users and we look forward to an early response and an opportunity to further discuss these concerns.

24 July 2002

Annex C

New Deal For Disabled People—Innovative Schemes

Final Report No 23—June 2001

  This pilot has now come to an end after a 23 month period. The original completion date was 31 July 2000 however the project was granted two further extensions to 30 June 2001.

  The following tables reflect the actual achievements against our target figures.
TargetActual
No of Clients192421

No of Work Experience Placements
115158

No of Open Employment Outcomes
  77   98

No of Voluntary/Therapeutic Outcomes
  38  73

No of Supported Employment Outcomes
  —  16


  In addition to this a further 47 Clients have progressed onto training or further education.

  A final summary of the range of disabilities and referral sources included in the project are as follows:

Disability:
Key:
No of Clients %Physical Disability Breakdown: %
PHYPhysical Disability 191  46Limb Damage 13


LD
Learning Disability   61  15Spinal Damage 17


MEN
Mental Disability   97  23Glandular   1


SEN
Sensory Disability   31    7Viral   4


ADD
Addiction     4    1Respiratory Disease 10


LDF
Learning Difficulty   37    8Heart Condition   6


421 Digestive System  3


Diabetes  4


Epilepsy  7


Arthritis  4


Brain Injury10


Lymphatic System  1


Neurological20


Referral Sources:
SourceNumber of Referrals
Employment Service143 34%


Medical/N H S Establishments
9021%


Self (includes former Clients)
7317%


Social Work Departments
50 12%


Colleges
27   6%


Careers Service
15   4%


Adverts/Mailshots
14   3%


Training Providers
  8   2%


Benefits Agency
  0   0%
421


  The clients who accessed the project were in receipt of the following benefits:
BenefitNumber of clients
Incapacity Benefit105 25%


Severe Disability Allowance Plus Income Support
  7117%


Income Support
  66 16%


Job Seekers Allowance
174 41%


Statutory Sick Pay
  5   1%
Total421


Employment Outcomes/Benefits
BenefitNumber of clients
Total Clients Open Employment
Incapacity Benefit105 11


Severe Disability Allowance Plus Income Support
  71  6


Income Support
  66   7


Job Seekers Allowance
174 73


Statutory Sick Pay
  5   1
Total42198


Employment Outcomes:

  A total of 187 moved into some form of employment. The following reflects more accurately the type of outcome achieved.
OutcomeNumber of clients
Open Employment9148%


Open with Tapered Wage Subsidy
  73%


Workstep/Supported Employment Programme
169%


Therapeutic
41 22%


Voluntary
32 17%
Total187


Geographical Breakdown:
Number of clients
Dundee20047%


Perth
137 33%


Angus
  84 20%


  Overall, the project has performed extremely well and has exceeded all its targets. Surprisingly, given that this was a Department of Social Security Scheme, there were no referrals from the Department of Social Security. Moreover, despite this project delivering beyond its expectations there have been no visits or meetings with the policy makers of either the Department of Social Security, Department for Education and Employment, Benefits Agency or Employment Service. This is a concern as this pilot was intended to shape future Government policy.

  Overall, what the project has shown is that, given the necessary support, encouragement and advice, unemployed people with health problems and disabilities can secure appropriate employment. The one factor, however, that this approach is reliant on is individuals being willing to change from often being solely reliant on benefits to an attitude where they want to work. Not only for the financial incentive but also the other intrinsic values and benefits relating to work.


4   Printed as Annexes A-C. Back

5   Not printed. Back


 
previous page contents next page

House of Commons home page Parliament home page House of Lords home page search page enquiries index

© Parliamentary copyright 2003
Prepared 15 April 2003