Management and Administration of Contracted Employment Programmes - Work and Pensions Committee Contents


Memorandum submitted by Papworth Trust (EP 01)

ABOUT PAPWORTH TRUST

  1.  Papworth Trust is a disability charity and registered social landlord, whose aim is for disabled people to have equality, choice and independence. Papworth Trust helps over 17,000 disabled people every year through a wide range of services including employment, vocational rehabilitation, housing and personal support.

  2.  Our employment service focuses on delivering programmes and opportunities for disabled people to obtain and retain employment, and we also provide career development services to support disabled people to reach their career goals and support employers to retain and develop disabled staff. Papworth Trust has over 20 years of experience of delivering employment programmes for disabled people. During that time, we have delivered a range of services including the Supported Placement Scheme, WORKSTEP, Work Preparation Programme, New Deal for Disabled People and Pathways to Work. From October 2009, we will begin to deliver services for the Government's new employment programme, Flexible New Deal (FND). To date, our involvement in the delivery of employment programmes has been as a sub-contractor. In 2008-09, we helped over 3,000 disabled people to find and retain work.

  3.  Papworth Trust welcomes the opportunity to give evidence to the Work and Pensions Select Committee Inquiry into the management and administration of contracted employment programmes, and share with you our thoughts and experience on how to eliminate the potential for fraudulent activity within the system.

Are there sufficient safeguards in place to prevent providers from making fraudulent claims for outcomes they have not achieved?

  4.  Papworth Trust recognises that whatever system is in place there will always be a degree of risk that it is open to abuse. As such there is a balance to be had between the cost of reducing risk and the cost of the risk itself. We believe that a range of balanced measures can be undertaken by the Government and the employment programme provider to reduce the likelihood of fraudulent activity occurring.

  5.  Papworth Trust believes there is a need for the Government to urgently develop a national electronic operating system to track when jobseekers move off benefits and into work which is easily updated and readily accessible. We believe the current system is too paper-based, and any changes made are subject to significant time delay before the system can reflect this. We understand the Department for Work and Pensions (DWP) is in the process of moving to a new system, Provider Referrals and Payments (PRaP), but this is yet to happen across all of the programmes. We would therefore call upon the DWP to focus resources into developing this system so that it can be implemented as soon as is practically possible. We appreciate that whatever system is used changes will always be subject to some degree of time lag. However the Government should try to minimise this lag by ensuring it has the most up-to-date technology in place.

Is there sufficient protection for employees who raise concerns about their employers' delivery of a contracted employment programme?

  6.  The level of protection given to employees who raise concerns about the delivery of a contracted employment programme is entirely dependent on the individual employer. Papworth Trust believes this "lottery" must end and that every employer should be encouraged to have a separate quality assurance process and a whistle-blowing policy in place to give staff freedom to raise concerns without fear of reprisal. Ensuring such measures are in place could form part of the evaluation for providers during the tender process.

  7.  At Papworth Trust, we operate a "public information disclosure policy" which is made available to all members of staff. We are committed to ensuring that any malpractice is prevented and immediately dealt with should the need arise. Papworth Trust employees are encouraged to disclose any malpractice that they become aware of and we ensure that anybody who does come forward is able to do so in a discreet manner and is protected from punishment, victimisation and harassment following their disclosure of information.

  8.  We strongly believe that all providers should be encouraged to operate similar policies to provide employees with a procedure that allows them to raise concerns about malpractice in the workplace through a fair and discreet route.

Do DWP and the National Audit Office effectively monitor the accuracy of providers' management information systems, provider performance against targets, and the evidence on which provider payments are claimed?

  9.  Papworth Trust believes that the DWP is overly dependent on the prime provider or sub-contractor providing the outcome rates of a particular programme rather than relying on independent results. From our involvement in stakeholder meetings with the DWP, we have seen an emphasis placed on providers to give updates on their job outcomes. It would be preferable to use current data from a national electronic operating system, for example PRaP, as the measure of performance to ensure there is always consistency. Under the current system whereby the provider gives the update rather than Department officials leading and driving targets, we have noticed inconsistencies in the level of monitoring of employment programmes. Whereas one employment programme can be subject to high levels of scrutiny by the DWP, they can have a very relaxed approach towards the management of other employment programmes. We believe this inconsistency should be rectified to ensure that all employment levels are subject to similar levels of management and administration.

  10.  As mentioned above, Papworth Trust believes there needs to be an electronic system in place which can demonstrate provider performance, level of job outcomes and client information and which can be easily updated and readily accessible. The paper based system which is currently in operation means a significant time lag is incurred when updating information and as such the system is unable to provide accurate information in a speedy manner.

How has the centralisation of contract management in DWP impacted upon the role of Jobcentre Plus and both provider and customer experience of outsourced employment programmes?

  11.  Papworth Trust has welcomed the centralisation of contract management in the DWP. Our experience to date has been positive, believing the centralisation has enabled the inspectors to have a more holistic view of the progress being made from programme providers. Under a localised system, the role of Jobcentre Plus can only ever allow for performance to be judged on a local perspective. However, a centralised system allows other measures such as national indicators and competitor performance to be taken into account. We therefore believe centralisation has had a positive effect on contract management and would urge this to continue to be rolled out nationwide.

Will contract management in the prime contractor model be transparent and effective in monitoring quality throughout the supply chain, and in maintaining a role for sub-contractors?

  12.  In the past Papworth Trust has been extremely fortunate in being invited to attend all meetings with the DWP alongside our current prime contractor. However, we appreciate that this is not a guarantee and could change in any new relationships we form with new contractors. The present system is entirely dependent on the wishes of the prime contractor, and to a large extent the size and role of the sub-contractor. We would like this to change and believe there should be a clear link between the DWP and the larger sub-contractors, in essence to provide DWP with visibility of the performance across the contract and see what value prime contractors are adding. This could also provide a clear route for sub-contractors to raise concerns and in some circumstances "whistle-blow" should any malpractice occur, thereby removing the need for other systems such as the Merlin project currently being developed.

September 2009






 
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