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Workplace battleground: Labour and Tories at war over employment

cameronmaths

Labour is forging forward with new plans to improve work prospects and the skills of those seeking employment, while the Conservatives are plunging backward with proposals to penalise people who lack the ability to speak basic English.

Already right-wingers in the media have been trying to undermine the policies announced by Rachel Reeves in a speech to the Institute of Public Policy Research. They say Labour is planning to strip people of their benefits if they don’t take classes to improve their English and Maths skills, if necessary.

This talk of punishment for people who need help is completely wrong-headed. If someone can’t get a job because they can’t read, write or do their sums, then they should get help. Of course they should.

One has to wonder what has gone wrong in our schools, to lead to this situation. Perhaps Michael Gove would like to take responsibility? No, didn’t think so.

In fact, the plans announced by the Shadow Work and Pensions Secretary are perfectly reasonable – especially in contrast with the latest Tory madness, but we’ll come to that soon enough.

We already know that the centrepiece of Labour’s economic plan is a compulsory jobs guarantee for young people and the long-term unemployed.

This means anyone over 25 who has been receiving Jobseeker’s Allowance for two years or more, and anyone under that age who has been receiving the same benefit for one year or more would get a guaranteed job, paying at least the minimum wage, for 25 hours a week – coupled with training for at least a further 10 hours a week.

This is perfectly reasonable. If you have been looking for work for more than a year, and couldn’t get it yourself, then the extra income provided by such a placement (especially coming in line with Labour’s plan to increase wages, in order to really make work pay, rather than depressing benefits and putting everyone in poverty, which is Conservative policy) will be welcome.

It doesn’t mean that people will have to put their own ambitions on hold. The best advice I ever received was to get a paying job during the day, in order to put food on the table and clothes on my back, and work on what I really wanted to do in the evenings. Eventually, with perseverance, it should be possible to replace the day job with what you really want to do.

Most of the jobs are likely to be in small firms where, once a company has invested six months in a new recruit, the chances are they will want to keep them on after the subsidy has ended.

The jobs guarantee would be fully funded by repeating the tax on bankers bonuses – they were in the news recently, when it was announced that these people would be receiving unearned bonuses worth twice as much as their salary so they’ve definitely got the cash to spare – and a restriction on pension tax relief for those on the very highest incomes.

But – of course – putting people into a job isn’t much good if they don’t have the knowledge of English and Maths that most of us use without thinking in our everyday lives.

In her speech, the Shadow Work and Pensions Secretary said: “The shocking levels of English and maths among too many jobseekers are holding them back from getting work, and trapping them in a vicious cycle between low paid work and benefits.

“Nearly one in 10 people claiming JSA don’t have basic English skills, and over one in ten don’t have basic maths. IT skills among jobseekers are even worse; nearly half don’t have the basic email skills which are now essential for almost any job application.

“And we know that this keeps people out of jobs: those out of work are twice as likely than those in work to lack basic English and Maths,” she said, proving that her own lack in that area hasn’t held her back. Twice as likely as those in work, Rachel.

She said research has shown that, when people who lack these skills do get jobs, they too often find themselves in short term or temporary work, with a swift return to benefits. Nearly one in five of those who have made multiple claims for unemployment benefits have problems with reading or numeracy.

The response: “A new requirement [will be] for jobseekers to take training if they do not meet basic standards of maths, English and IT – training they will be required to take up alongside their jobsearch, or lose their benefits.

“[We] will ensure that people’s skills needs are assessed, and basic skills gaps addressed, from the start of a Jobseeker’s Allowance Claim, not after months and years of neglect.”

Contrast this with the Conservative Party’s latest plan to hammer immigrants and people on benefits – announcing a new policy of repression every week ahead of the election in 2015, according to politics.co.uk

It seems right-wing Australian election chief, and tobacco lobbyist, Lynton Crosby thinks this kind of bully-boy behaviour will make the Tories more popular! Don’t laugh.

This comes after satirical radio comedy The Now Show featured a sketch in which people tried to justify xenophobic attitudes without saying the words “I’m not racist, but…”

Let’s try the reverse – putting those words into the new policies announced on politics.co.uk:

“I’m not racist, but we should strip benefits from anyone who can’t speak English!” (Does this include the English people who can’t speak their own language properly, who Labour plan to help?)

“I’m not racist, but we should axe the service telling people about benefits in foreign languages!”

“I’m not racist, but we should end translation services in benefits offices!” (According to politics.co.uk, David Cameron is very keen on that one).

The site said “Iain Duncan Smith is understood to already be working on them”. (He’s not racist, but…)

Tory backbencher and former scandal Liam Fox tried to justify this lunacy by saying: “The ability to speak English is one of the most empowering tools in the labour market and we should be encouraging as many people as possible to learn it.” By cutting off their income? How does that work?

Plans to focus on the government’s increasingly racist tough anti-immigrant message come despite warnings that a reduction in immigration would make it harder for Britain to pay back its national debt.

The site said that, last week, a long-awaited report into benefit tourism had to be shelved in secret, after failing to find any evidence of it.

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A few words on the large government-funded corporations who don’t pay their taxes

[Picture: Another Angry Voice}

[Picture: Another Angry Voice}

Apologies are due to readers for the fact that new articles have been few and far between this week; Vox Political creator Mike Sivier has been occupied with other concerns including work at the Citizens Advice Bureau and campaigning to be a Labour candidate in the 2015 election. Normal service will resume (hopefully) on Monday.

In the meantime, here’s some information from a VP reader (who very kindly asked not to be credited) on some of our favourite private companies with entire fists – never mind fingers – in the public sector pie.

With around half of all public sector spending now paid to private companies, lets look at some facts about the four largest recipients – Serco, Capita, Atos and G4S.

In total, they have received more than £4 billion of taxpayers’ money in the past year, making a cumulative profit of £1.05 billion. This means that, if the work had been carried out within the public sector, the taxpayer would have saved more than a quarter of the money used. That’s a lot of money!

With Corporation Tax currently standing at 23 per cent, let’s look at how much tax they paid: £75 million (around 7.5 per cent).

But the situation is actually worse than that! This is only the tax paid by Capita and Serco.

Atos and G4S paid no tax at all.

Furthermore, none of these companies has successfully delivered the public services they were contracted to carry out, despite having been paid anyway. Did G4S successfully manage security at the 2012 Olympics, or was that the British Army? Did Capita provide adequate court translation services? Has Atos carried out work capability assessments for Employment and Support Allowance in a professional and unproblematic manner? What about Serco and out-of-hours GP services?

These firms have been content to take taxpayers’ money but avoid paying tax on it, and then provided botched services. Two of them – Serco and G4S – are currently under investigation by the Serious Fraud Office for overcharging on electronic tagging of offenders.

It seems we were paying for these companies to monitor 3,000 phantom offenders. They were charging for 18,000 while only 15,000 were being monitored.

Coalition Justice Secretary and part-time clown Chris Grayling told MPs in July that an external audit had revealed the overcharging, which included bills for tracking the movements of criminals who had moved abroad, who were back in prison, who had had their tags removed and even, in a few cases, those who had died.

Even so – and despite sanctions against the companies as a result, the scenario presented in the image (above) is still possible, thanks to the Coalition government.

Outsourcing – a good deal for taxpayers? You decide…

(Source: http://www.theguardian.com/politics/2013/nov/12/public-sector-paid-outsourcing-firms-4-billion-pounds)