Make work pay to help get people off benefits

Every hour that people work improves their chances of moving into full time employment and getting off benefits. It also generates income in the form of income tax and national insurance for the government.

The current benefits system discourages people from taking odd jobs, part time work or setting up their own businesses as:

- You can only earn £10 per week on Job Seekers with all other income being taken straight off your benefits.

- You have to work a minimum of 30 hours per week (16 for lone parents or the disabled) to qualify for Employed Person's Allowance.

We could ensure that people want to take any work that is available by combining the two benefits, getting rid of the hours cap and allowing people to keep a sensible percentage of any money they earn whilst on benefits.

This would save the Government money as every hour worked would reduce the benefits paid. It would also encourage people to work as they would also keep a fair percentage of any money that they earn.

A couple of examples of the problem with the current system:

- A single parent who is offered a cleaning job of 2 hours per night would only be able to keep £10 of their earnings despite working 10-14 hours per week.

- A single person with no dependents who is willing to take on any job having to turn down work as their bus fare would be more than they would earn working 28 hours per week.

Why the contribution is important

Changing the way benefits work would bring revenue into the government whist encouraging people to work.

by ManxLady on April 08, 2017 at 10:07AM

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Average score : 5.0
Based on : 3 votes

Comments

  • Posted by ManxLady April 08, 2017 at 10:16

    Note: The second example is incorrect as they would (hopefully) be earning more that their benefits amount, but would be correct if it were based on less hours per week.
  • Posted by ninjadispenser May 06, 2017 at 18:39

    It has GOT to be that folks earn more by working and so the benefits must be lower than the current minimum wage or the incentive is lost.It used to be that the job centre sent people for jobs that they were eligible to do.E.g. Shop work and they had to have a note from the prospective employer stating why they did not take them on for that person to further obtain benefits.Why did this stop? I can only guess that some bleeding heart liberal said it infringed their human rights in some obscure way.
    I know that people have to apply for so many jobs in a 2week period to get Jobseeker's Allowance but don't know how rigorous the checks are or is it just 'any' job.
    We currently have a shortage in the Hospitality sector which I am sure could be filled by our unemployed and often offers training to employees that could be of benefit in other areas of work, so why aren't they told to go for these jobs?
  • Posted by bindyk May 08, 2017 at 17:00

    I guess the hospitality sector turns it's nose up
    at the manx unemployed. Quite unethical and dispicable. That's why Skelly as given this sector work permit exemptions.
    I think that even immigrants will turn their noses up at such poor treatment and pay, anyways. The hotel management/owners only have themselves to blame!
  • Posted by Mario May 14, 2017 at 18:43

    I would quite like the government to give me free money in addition to earning a wage. Sounds great but someone has to pay for all these benefits. Do away with EPA as it just makes people rely on the state instead of actually bettering themselves.
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