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


APPENDIX 11

Memorandum submitted by the Mental After Care Association (MACA) (EDP 17)

SUMMARY OF EVIDENCE

  1.  It would be quite wrong to assume that incapacity benefit represents a hiding place for significant numbers of false claimants. This is especially true of people with mental health problems, who can take a long time to develop the confidence to start thinking about working again, and may have been damaged by poor workplace experiences in the past. In addition, people with mental health problems can experience significant fluctuations in their capacity. The benefits system needs to be flexible enough to allow for this.

  2.  The serious worry of some mental health clients about losing benefits must not be underestimated. The incapacity benefit system needs more security (in terms of fallback arrangements) to encourage people out of it.

  3.  JobCentres lean more heavily towards helping more able people, rather than more "difficult" ones. Jobs suggested to the latter will be very basic, low-paid work, regardless of the person's real ability and skills. People with enduring mental health problems can therefore receive a less good service.

  4.  JobCentres should be much more proactive in networking and linking directly with (a) disabled groups and people with special needs where, through a process of association and learning, they will become more able to help service users back into work, and (b) specialist independent and voluntary service provider training organisations that can provide employment training and support.

  5.  There may be some merit in reconsidering whether resources spent on paying the private sector to deliver employment services for people with disabilities would not be better spent on increasing the numbers of, and disability training of, Disability Employment Advisers and other staff within Job Centres.

  6.  There is a widespread belief among many employers that people with mental health problems are incapable of working productively. We would advocate that resources are committed to tackling employers' doubts in a pragmatic way. Assurances could include, for example, written confirmation that if a person with a mental health problem requires specialist support at work then a local mental health service provider will immediately provide it. A financial incentive might be subsidising a person with a disability at work by paying for all their training needs. What should not be forgotten in all this is that it is ten times harder (and more expensive) to get people with a disability back to work than to support them while they are in employment.

FULL EVIDENCE

1.   Do the high numbers claiming incapacity benefit represent hidden unemployment?

  1.1  Yes—but it would be quite wrong to assume that incapacity benefit represents a hiding place for significant numbers of false claimants. This is especially true of people with mental health problems, who can take a long time to develop the confidence to start thinking about working again, and may have been damaged by poor workplace experiences in the past. In addition, people with mental health problems can experience significant fluctuations in their capacity. The benefits system needs to be flexible enough to allow for this.

  1.2  The serious worry of some mental health clients about losing benefits must not be underestimated. The incapacity benefit system needs more security (in terms of fallback arrangements) to encourage people out of it. They must believe there is a guaranteed benefits safety net if they try to get work and fail. The Job Seekers' Allowance is not seen as a "reliable" benefit by many of our clients, or a "move-on" from incapacity benefit.

  1.3  Our own experience, working with mental health service users who wish at some point to regain employment, is that in general the chances of re-employment for people on incapacity benefit are broadly similar, regardless of how long they have been claiming the benefit. Some 10% might be in a position to seek employment; another 10% require short-term support before being ready; the remaining 80% require medium to long-term treatment, support, motivational guidance and training.

2.   What is or should be the role of JobCentre Plus? Are they doing enough actively to engage people with disabilities in finding suitable work? Are initiatives such as WorkStep successful?

  2.1  Our experience is that JobCentres lean more heavily towards helping more able people, rather than more "difficult" ones, and that jobs suggested to the latter will be very basic, low-paid work, regardless of the person's real ability and skills. People with enduring mental health problems can therefore receive a less good service.

  2.2  JobCentres are not doing enough to link people with mental health problems with the more intensive range of services and support that is available to help prepare them for work. These include mental health and drug and alcohol misuse services. One MACA project manager who has run an employment training scheme for some years has suggested that he cannot recall either himself, or any other local service provider, ever being approached by anyone from his local Jobcentre. Any relationship between the service provider and the JobCentre has come from him and his staff. An additional problem is in the high turnover of JobCentre staff, resulting in a lack of continuity and difficulty in maintaining a mutually beneficial relationship.

  2.3  He cites two case studies. In the first, where his approach had resulted in established lines of communication, one client on incapacity benefit was permitted to return to college full-time whilst remaining on the benefit. This was arranged as part of his recovery programme and, after discussion, resulted in the agreement of the JobCentre. In the past this would not have been permitted under benefit rules. However the Disability Employment Advisor (DEA) and their manager have now been moved elsewhere and the established link broken.

  2.4  In the second, another client on incapacity benefit wanted to get a job. He contacted Jobcentre Plus to arrange an appointment with the DEA. At the meeting he was referred on to the New Deal 25+ representative who tried to persuade him to join the New Deal 25+ programme. The client explained that he had completed the previous New Deal programme and that it had not resulted in him obtaining employment. When he asked what guarantee of employment could they provide, there were none. Subsequently the client declined New Deal 25+ and is currently seeking employment on his own accord.

  2.5  The client in question presents as being of very low intelligence whereas in reality, despite some mild learning difficulties, he is a very capable individual, keen and committed to finding employment. It may be that because JobCentre staff have little experience of working with people with different "special needs" they consequently find it difficult to identify those people who are more likely to be work ready. We believe there is a substantial number of missed employment opportunities resulting from a lack of understanding of mental health issues by JobCentre staff.

  2.6  From this, we would argue that JobCentres should be much more proactive in networking and linking directly with (a) disabled groups and people with special needs where, through a process of association and learning, they will become more able to help service users back into work, and (b) specialist independent and voluntary service provider training organisations (such as MACA) that can provide employment training and support to help people with mental health problems attain their goal of employment. In practice, this means DEAs and other JobCentre staff mapping their local services and service user groups and taking time to visit them and establish enduring relationships. Jobcentre Plus may wish to consider placing specialist outreach workers to work alongside statutory heath-care and specialist voluntary employment agencies at grass roots level to develop their understanding of the wide range of needs of disabled people in order for them to assist people according to their individual needs.

  2.7  We would also suggest that any Employment Service contract with an independent employment agency should have written into it a requirement to establish such networks. Unless the process of effective networking begins, in order to address the artificial barriers between themselves and other statutory and voluntary agencies, Jobcentre Plus will fail to meet Government objectives. Only through a process networking and co-working will Jobcentre Plus and their preferred providers begin to understand how to address the complex needs of people with disabilities, special needs and other health problems. A successful example of joined-up work involving many agencies is the Dependency To Work (D2W) initiative in London, in which MACA provides the mental health input.

3.   The New Deal for Disabled people: have the lessons been learnt from earlier pilots? How might it be made more effective?

  3.1  In our experience, earlier New Deal programmes concentrated mainly on IT training courses. Quite a few of our clients find IT isolating, and we believe there is a need for more vocational training opportunities.

  3.2  Some of our clients who are on incapacity benefit are reluctant to join New Deal 25+ as they are afraid they may not be able to fulfil the requirements of the scheme, thus resulting in the potential loss of income and/or a change in their benefits. Presentation of the New Deal to people with disabilities need to emphasise the advantages of the scheme and also the safeguards built into the system to ensure no financial loss will be incurred.

  3.3  Interviews with clients may not always be as friendly and welcoming as they might. They may be compulsory, but this means they should be even more sensitive to the difficulties faced by people with disabilities, and in particular mental health problems. The emphasis must be to stress that the client is not on the scrapheap but that there are real opportunities for worthwhile and fairly paid employment to aim for.

4.   The role of the private sector in delivering employment services for people with disabilities and health problems

  4.1  The private sector (including the independent and voluntary sector for this purpose) can, through its close ties with other local organisations, sometimes access services that the statutory sector cannot. But our experience suggests that private contractors, like Job Centres themselves, can fail to network to best effect with organisations that could help clients with mental health problems get back into work. They may also be too driven by financial considerations and targets, which tend to favour focusing resources on placing "easier" clients.

  4.2  There is a danger that some clients with mental health problems are sent to contracted New Deal service providers who may lack the depth of knowledge of problems faced by this group of people. By the same token, we know, for example, of a mental health voluntary sector organisation contracted to provide a New Deal service that was inappropriately sent clients with disabilities the organisation was not best placed to support and help, such as a hearing impairment.

  4.3  On balance, there may be some merit in reconsidering whether resources spent on paying the private sector to deliver employment services for people with disabilities would not be better spent on increasing the numbers of, and disability training of, Disability Employment Advisers and other staff within Job Centres.

5.   Are the needs of particular groups of people with disabilities and health problems adequately catered for? Should employment projects be more inclusive and adapt to individual need rather than be aimed at people with specific disabilities?

  5.1  We have already noted above that Job Centres and other employment agencies may tend to concentrate on placing "easier" clients. This can work to the disadvantage of people with mental health problems, who may be considered "difficult" even though they may have many skills and a good deal of work experience. We have also noted that people with mental health problems can often be offered only poorly paid an unattractive work, ignoring their skills and past experience.

  5.2  Employment projects should definitely be fully inclusive to meet the needs of all people with a disability, and adapt to individual need. They must focus on the needs of the individual and not continue to segregate people according to their disability "label" as has traditionally happened.

  5.3  Many people have complex needs (for example a mental health problem linked to a history of drug or alcohol misuse, and perhaps a physical disability as well). No standard service or single-speciality provider is going to be able provide support into employment for this group—one size does not fit all. That is where the networking and good co-working between different agencies becomes so vital.

  5.4  The arrangements need to be extremely flexible to take into account the changing capacity of people with mental health problems, who may be well one week and unwell the next. Generally speaking, this places this group apart from people with a physical or sensory disability.

6.   The tax credit and benefits system: is it too complex for the circumstances faced by people with disabilities? Should it be reformed to reduce financial disincentives to find work?

  6.1  The tax credit and benefits system is too complex for most people, whether they have a disability or not, although it can be a particular maze for people with mental health needs or a learning disability. (The Disability Living Allowance form in particular can be a nightmare to complete.)

  6.2  There is a need for a flexible benefits system that meets disabled peoples' concerns for their long-term employment prospects and supports them to sustain work in the longer term. For some people with mental health problems it is a significant achievement in itself simply to walk into a Job Centre, given concerns about potential loss of benefits and worries about taking up employment again. A "prescriptive" approach to people with disabilities (for example, a £40 per week subsidy for 12 months) does not allay their fears of unemployment beyond that time unless they are secure in the knowledge that the system responds quickly to any recurring health concerns. If the job does not work out their claim form benefit must be processed immediately and they must suffer no financial disadvantage (eg a lower level of benefits than before). If they do not feel assured about this, they will lack trust in the system and will not move beyond "go".

  6.3  The loosening of the rules regarding "permitted work" is welcome and yet in our experience only a few have taken this up. In one instance one of our clients was charged Council Tax and rent as a result of his permitted work income thus reducing the real term financial incentive. The same local authority also levied "poll tax" arrears against the client, reducing further the financial benefit from his permitted work earnings. Word gets around, and whilst this client is still working the disincentive is clear to others who remain deterred from seeking work as a result. It is evident from this that the benefits system needs to provide more incentives to work, alongside with clear guidance to other relevant agencies (for example local authorities) that those incentives are not part of any means testing, and are exempt under the "rules".

  6.4  In another instance, a client who has worked and sustained employment under "permitted work" for the past 14 months is now seeking to return to college to refresh his skills en route to a return to employment as a graphic designer. He saw his benefit stopped prior to last Christmas after failing a "medical" coincidentally requested shortly after he began "permitted work". He amassed £800 of benefit, rent and council tax arrears whilst his appeal was put through, which eventually succeeded and his benefits were reinstated. During the time his incapacity benefit was stopped the client was encouraged to apply, and then prevented from claiming Income Support because his "permitted work" earnings were taken into account, cancelling out any entitlement to income support.

7.   How does discrimination hinder the employment of people with disabilities?

  7.1  There is still a widespread belief among many employers that people with mental health problems are incapable of working productively, or will take an inordinate amount of sick leave. We should make no mistake in understanding that the large majority of employers are in business to make a profit. Social conscience may play a small part for some, but for people with more complex needs, the situation is very different. We have seen some improvement in attitudes over the years, and have supported specific mental health campaigns aimed at employers (such as the Department of Health's current Mind Out For Mental Health campaign). There are also noble exceptions. But employers' general understanding of mental health issues improves very slowly, and we do not believe it is ever going to be wonderful.

  7.2  Without long-term assurances and financial incentives most employers are reluctant to take on the financial risks and responsibility for certain types of disabled people. Particular disabilities such as a mental illness, or a history of substance misuse (where may have additional implications such as a criminal record) create additional barriers.

  7.3  We would therefore advocate that resources are committed to tackling employers' doubts in a pragmatic way. Assurances could include, for example, written confirmation that if a person with a mental health problem requires specialist support at work then a local mental health service provider will immediately provide it. A financial incentive might be subsidising a person with a disability at work by paying for all their training needs. What should not be forgotten in all this is that it is ten times harder (and more expensive) to get people with a disability back to work than to support them while they are in employment.

Simon Lawton-Smith

Head of Public Affairs

6 January 2003


 
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