Thursday 07 Nov 2013 @ 14:20
Department for Work and Pensions
Printable version E-mail this to a friend

Benefit sanctions – ending the ‘something for nothing’ culture

Latest figures show Jobseeker's Allowance claimants who failed to do enough to find work had their benefits payments suspended 580,000 times.

Jobseeker’s Allowance (JSA) claimants who have failed to do enough to find work, turned down jobs offered to them, or not turned up to appointments have had their benefits payments suspended 580,000 times since new tougher rules were introduced in October last year, new figures published 6 November 2013 show. In each month this is roughly 5% of the number of people claiming JSA.

The new JSA sanctions regime, which was introduced in October 2012, encourages people to engage with the support being offered by Jobcentres by making it clearer to claimants what they are expected to do in return for their benefits – and that they risk losing them if they don’t stick to the rules. It also makes sanctions more proportionate: with shorter sanctions for minor offences and tougher ones for repeat offenders. Repeat offenders can lose benefits for up to 3 years.

Minister for Employment Esther McVey said:

This government has always been clear that in return for claiming unemployment benefits jobseekers have a responsibility to do everything they can to get back into work. We are ending the something for nothing culture.

People who are in a job know that if they don’t play by the rules or fail to turn up in the morning, there might be consequences, so it’s only right that people on benefits should have similar responsibilities. We always make the rules very clear – it’s only right that there is a penalty if people fail to play by them.

The publication details the number of sanctions imposed from when the new regime was introduced in October 2012 up until June 2013.

The figures show that there has been a rise in the number of sanctions compared to last year. Between November 2012 (the first full month of the new sanctions) and June 2013 there were 553,000 sanctions. This compares to 499,000 between November 2011 – June 2012.

The number of the most severe sanctions (refusing employment, leaving employment voluntarily or losing employment through misconduct) has reduced – almost halving compared to last year.

The most common reason for a JSA sanction (36%) was a failure on the part of the jobseeker to actively look for work. A further 30% were sanctioned because they failed to participate in employment programmes (including the Work Programme) designed to help people back to work and 20% were sanctioned because they didn’t have a good reason for missing a meeting at the Jobcentre.

The statistics also show the number of sanctions given for people in the work-related activity group for Employment and Support Allowance (ESA). People in this group are expected to be able to return to work in the future and so have to attend support programmes as a condition of receiving their benefits. The figures show that from 3 December 2012 to June 2013 there were 11,400 sanctions for people in this group mainly because they didn’t take part in the programmes designed to help them move closer to getting a job.

The government is now introducing the Claimant Commitment for anyone making a new claim for JSA. The commitment will see jobseekers having to account more clearly for their efforts to find work in order to receive their benefits. It will roll out in around 100 jobcentres a month until it’s fully implemented across the country in the spring.

More information

Read the full statistical release.

Sanctions are used as a last resort and the DWP has put in place a comprehensive monitoring regime to ensure that sanctions are always and only applied where appropriate to do so.

The decision to impose a sanction is taken by an independent decision maker – and everyone has the right to appeal. Crucially, people are always made aware of their right to appeal before any sanction is imposed.

People who are in genuine need can apply for hardship payments.

The new JSA sanctions regime, which was introduced from 22 October 2012 has the following sanctions:

  • higher level sanctions (for example for leaving a job voluntarily) will lead to claimants losing all of their JSA for a fixed period of 13 weeks for a first failure, 26 weeks for a second failure and 156 weeks for a third and subsequent failure (within a 52 week period of their last failure)

  • intermediate level sanctions of 4 weeks for a first failure, rising to 13 weeks for a second or subsequent failures (within a 52 week period of their last failure) may be applied following a period of disallowance for not actively seeking employment or not being available for work

  • lower level sanctions (for example for failing to attend an adviser interview) will lead to claimants losing all of their JSA for a fixed period of 4 weeks for the first failure, followed by 13 weeks for subsequent failures (within a 52 week period of their last failure)

The new sanctions regime for people on ESA in the Work Related Activity Group (WRAG) was introduced from 3 December 2012. Under the new rules ESA claimants in the WRAG who fail to comply with the conditions for receiving benefit receive an open ended sanction, followed by a fixed period sanction when they re-comply. The fixed period sanction will be 1 week for a first failure, 2 weeks for a second failure and 4 weeks for a third and subsequent failures in a 52 week period.

Press Office

Caxton House
Tothill Street
London
SW1H 9NA

Media enquiries for this press release – 0203 267 5161

Follow DWP on:

Serco is here to make things happen and provide vital public services.