Public money is being thrown away on government-contracted scroungers

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A4E, accountancy, accountant, allowance, avoid, backbencher, bedroom tax, benefit, Big Four, business, cap, Coalition, company, Conservative, contract, council tax, Deloitte, Department, DWP, employment, Ernst & Young, ESA, EU, european union, feckless, firm, food bank, foreign, G4S, government, idle, immigrant, immigration, in-work, incentive, Ingeus, KPMG, lazy, lie, Maximus, Mike Sivier, mikesivier, minister, mislead, parasite, payout, Pensions, people, politics, PricewaterhouseCoopers, private, provider, reassessment, sanction, scrounger, skiver, social security, support, tax, taxpayer, Tories, Tory, Treasury, unemployment, unum, uprating cap, Vox Political, welfare, welfare to work, work, Work Programme, work-related activity, Workfare, Working Links, zero hours contract

It turns out that some people really do get to lie around all day, doing nothing apart from watching the money rolling in.

Bloody scroungers.

I’m sorry to swear – and you know I’m not usually rude – but these Work Programme provider companies really get my goat.

The revelation that companies such as Ingeus, A4e and Working Links were getting undeserved ‘incentive’ money (see also the BBC’s article), rather than being paid by results as has been claimed loudly and repeatedly by Tory ministers and backbenchers, is nothing new to Vox Political – we first pointed out the problem in November 2012, more than 18 months ago.

You see, not only has this been going on ever since the Coalition government established welfare-to-work in its current form –

Not only have government ministers and backbenchers been lying to you about the payouts given to the profit-driven privately-owned provider companies –

Not only have these companies been sucking down on your hard-earned taxpayer cash as though they had done something to earn it –

But the people they were supposed to be helping – people who have been forced into ever-greater poverty by the benefit uprating cap, arbitrary and unfair benefit sanctions, the bedroom tax, the £26,000 cap on benefits for families, the imposition of council tax on even the poorest households (in England at least), the stress of continual reassessment (if they are ESA claimants in the work-related activity group), the humiliation of having to visit food banks and who knows what else…

The people who are desperate to get any kind of paying job, despite the fact that zero-hours contracts could make them worse-off than unemployment, due to the effect on in-work benefits, despite the fact that those in-work benefits are also being squeezed hard, and despite the fact that there are at least five jobseekers for every job that becomes available…

These are the people that government ministers, backbenchers and the right-wing press keep victimising with their endless attacks on “skivers”, “scroungers”, the “feckless”, the “idle” and the “lazy”!

If I was unemployed and my MP had been caught slagging me off while praising these good-for-nothing so-called work programme ‘providers’, I would make it my business to bring them before the public, lock them into some medieval stocks and pelt them with rotten vegetables. Public humiliation is the least they should get for this continual insult to common decency.

But wait! There’s more.

It turns out that, not only are these work programme providers a bunch of lazy good-for-nothing parasites, but many of them are also a bunch of foreigners who’ve come to the UK to take our jobs!

Ingeus is Australian. G4S is part-Danish. Maximus is American.

It seems that all the politically-fuelled and media-driven anger against immigration into the UK from the rest of the European Union and beyond may be designed to distract us all from the fact that foreign firms are immigrating here to take government jobs that should be yours, and to steal your tax money.

Nobody can say they’ve earned it, after all.

But let us not be unfair. It would be wrong to concentrate on welfare-to-work providers when all of government is riddled with foreign interlopers.

Look at the Treasury, where the ‘Big Four’ accountancy firms have been re-writing tax law to suit their tax-avoiding corporate clients for the last few years. They are Deloitte (American), PriceWaterhouseCoopers (part-American), Ernst & Young (part-American) and KPMG (Dutch).

And then there is the huge, criminal, foreign firm that has been advising the Department for Work and Pensions on ways to privatise the welfare state since the mid-1990s – a firm so controversial that there is currently a moratorium on the mention of its name in the national mainstream media. It is an American insurance giant called Unum.

The best that can be said of these five corporations is that – at least to the best of our knowledge – they do work for a living.

… In their own interest – not yours.

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Cometh the hour, time for a party

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anti, aristocracy, aristocrat, benefit, business, co-operative, Coalition, companies, company, condition, corporate, corporation, corporatist, derogatory, divisive, election, employee, employment, Europe, firm, government, health, holiday, ill, incentive, inclusive, income floor, International Workers Day, investment, living wage, low-wage, Mandatory Work Activity, Mike Sivier, mikesivier, Nobby Fulsom, Parliament, partnership, pay, politics, profit, rights, safety, satire, say, share, sick, sick pay, tax, top down reorganisation, trade, transatlantic, TTIP, Underpaid Peoples Independence Party, unemploy, Unite, UPIP, Work Programme, Workfare

A new political party has been launched – on International Workers’ Day – to represent the interests of people whose opportunities in life have been restricted because they earn low wages.

The Underpaid People’s Independence Party – UPIP – will campaign for better pay, better rights and a better say on behalf of all those who currently earn less than they need in order to pay their own way.

The new party has announced several policies already:

• A living wage for every working person, ensuring that the overburdened benefit system does not subsidise greedy corporations
• A guaranteed ‘income floor’ for all British citizens, ensuring that those who do not work because of illness or unemployment are able to live with dignity
• The guarantee of employee benefits including sick pay, holiday rights and both lower and upper limits on the number of hours worked
• Strengthened – and rigorously-enforced – health and safety regulations for all workplaces, to limit the number of workplace-related illnesses and disabilities
• An end to corrupt ‘workfare’, ‘work programme’ or ‘mandatory work activity’ schemes that allow governments to collude with corporations in forcing citizens to work for no payment other than benefits that are subsidised by other working people
• Tax incentives to encourage all companies to transform into co-operatives, with responsibilities and profits shared among the entire workforce

UPIP founder Nobby Fulsom, a former mineworker, said Britain’s hardworking poor had suffered for too long under neoliberal profiteers, and the time had come for a party they could all enjoy.

“I have stayed underground for too long; now is the time for working people to stand tall,” he said.

But he admitted: “It is too late for us to field any candidates in the European election.

“If we could, we would be opposing the Transatlantic Trade and Investment Partnership that would push workers on both sides of the Atlantic into ever-worsening conditions of employment.

“Europe should be pushing for an agreement that will guarantee the best possible conditions for all workers. The fact that the EU doesn’t seem interested in supporting its constituents poses questions about its own role, and that is why we support a top-down reorganisation of the European Union, with authority granted to nobody unless they can prove they started their careers at the lowest level and worked their way up, rather than just walking in from a position of privilege.”

Mr Fulsom said it was not true that members of UPIP had been posting anti-corporatist Tweets on the internet, nor had they been targeting members of the aristocracy with derogatory remarks.

“UPIP is an inclusive party,” he said. We believe in uniting people – not in the divisive rhetoric of the Coalition government or certain minority parties with similar initials to our own.

“Any corporate executive who is willing to turn his organisation into a co-operative is welcome to join us, as is anyone from a family of wealth who accepts that the people who made that cash for them are entitled to the opportunities they and their forebears enjoyed.”

He added: “We don’t want much, but what we want is fair – for everybody, not just those with a private education and independent wealth.”

Undoubtedly, UPIP will have a great deal to say about the current election campaign and the future direction of British politics.

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Jobseekers told to do more to find (non-existent) work

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benefit, benefits, bullied, bully, Coalition, Conservative, Democrat, Department, diminish, double standard, draconian, DWP, employment, esther mcvey, fraud, government, harass, identity, incentive, jobseeker, Jobseeker's Allowance, JSA, Liberal, Mike Sivier, mikesivier, minister, Pensions, people, politics, poverty, pretend, protect, repressive, Richard Hutton, sanction, scrounge, scrounging, search, self employ, sex work, shirker, social security, support, tax credit, theft, thief, thieves, Tories, Tory, training, undermine, Vox Political, welfare, work, work experience, Work Programme, Workfare

Esther McVile: The employment minister, who claims adamantly that changes to housing benefit do not constitute a ‘bedroom tax’, is pictured complaining about a so-called ‘tunnel tax’ in her own constituency in a blatant display of double standards.

WARNING: This article has been edited using the ‘Guide to DWP euphemisms’ published by Richard Hutton, and with inspiration from it.

New rules coming into force at the end of the month mean jobseekers will have to do more to find work – even though there are currently five of them for every job available – the Department for Work and Pensions has announced.

Simply ‘signing-on’ for benefits will be a thing of the past under the draconian and repressive new rules.

Employment Minister and double-standards queen Esther McVey has hailed the new rules as undermining the range of support available, which helps diminish aspects of the social security system so that it no longer protects anybody from being left impoverished – in this case by making sure people cannot start claiming Jobseeker’s Allowance (JSA) by just signing-on without first humbling themselves before the Tory-led government.

She said: “With the economy growing, unemployment falling and record numbers of people in work, now is the time to start expecting more of shirkers if they want to claim benefits. It’s only right that we should push people who are unemployed into such a depth of poverty that even ‘in-work’ poverty is a step-up.

“This is about taking support away from people and undermining the range of support available to them so they can hit rock bottom faster. In return, we will give people as much harassment as possible, to make them stop scrounging or face sanctions, because we know from employers that we have to break people’s spirit before they’ll work for a really low wage.”

To prepare for their first interview with a Jobcentre Plus adviser, people looking for work will be told they will not even be able to sign as unemployed until they have prepared a CV, set up an email address – even though they might not have a computer on which to use it – and registering with the government’s discredited jobs website Universal Jobmatch, which will expose them to identity thieves and exploiters looking for sex workers. This change will make it possible to exploit people as soon as they start their JSA claim.

People who don’t tow the line will receive more harassment from their Jobcentre Plus adviser – weekly rather than fortnightly – to ensure they can be cleared off the books via sanctions if it proves impossible to push them into poverty work.

All new JSA claimants will also now have a quarterly review with their adviser, who will try to find a reason to impose sanctions and get them off the books.

These new measures are being introduced as figures show the number of people claiming Jobseeker’s Allowance fell by over 363,000 on the year, the largest annual fall since 1998. This shows that the system of sanctions, putting people on Workfare to hide the fact that they are unemployed, and asking them to pretend that they are self-employed in order to fraudulently claim tax credits instead, is working.

The government is committed to sanctions and the vast majority of people are bullied off JSA quickly – more than 75 per cent of people end their claim within six months. Every working day Jobcentre Plus advisers shout at 98,000 interviews jobseekers and there are a range of ploys available to push them off the system. These include:

• Hiding them on the Work Programme
• Referring them for ‘training’ by companies that provide the minimum help available, take the money and run
• Putting people on pointless ‘work experience’ that won’t lead to a job but will clear them off the claimant count
• Fooling people with ‘incentives’ that mean nothing
• Getting people to pretend they are self-employed.

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Bad apples?

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Meet the new boss: Richard Caseby – no connection with any ‘bad apples’ at News UK or the government. Let’s hope it stays that way.

The highly confrontational former managing editor of both The Sunday Times and The Sun has been named as the new director of communications at the Department for Work and Pensions.

Richard Caseby takes over after former comms boss John Shield was hired by the BBC last September.

Gosh, what an incestuous world we live in! The BBC, now confirmed as little more than a mouthpiece for the Conservative Party in its political news content, hires the former press officer for the Tory-run DWP. The DWP then hires an executive from Rupert Murdoch’s News UK, previous home of – oh, yes – former Number 10 press supremo Andy Coulson, currently on trial for criminal offences allegedly committed while he was employed by the same firm!

Murdoch, the government, the BBC – these people like to stick together, and they like to put their people in positions of influence.

There is no evidence – to my knowledge – that could link Mr Caseby to any criminal behaviour at News UK. It is to be hoped that any ‘bad apples’ who worked there did not manage to spoil the whole bunch. It would be wrong to consider him guilty of any wrongdoing merely by association with his previous employer.

And we should not automatically consider him to have been elevated to this position – in which, as a government employee, he should be impartial and not partisan – because he may be ideologically aligned with the Conservatives.

That being said, I shall certainly be watching this character like a hawk.

It seems he has gained a reputation for being “outspoken” and “forthright” – Roy Greenslade in The Guardian recounts an occasion when a columnist for that paper had mistakenly reported that The Sun had doorstepped a Leveson Inquiry lawyer, writing that such activities were equal to “casually defecating on his lordship’s desk while doing a thumbs-up sign”.

In response, Mr Caseby sent a toilet roll to Guardian editor Alan Rusbridger along with a note saying: “I hear Marina Hyde’s turd landed on your desk.”

Of his new roll – sorry, role – at the DWP, Mr Caseby said: “Welfare reform and the introduction of Universal Credit represent the biggest transformation programme in the UK. It is fundamentally about changing culture and behaviour to make sure there is always an incentive to work.

“This is a huge and inspiring communications challenge and I’m delighted to be joining the DWP team to help in the task.”

Clearly he is already getting the hang of the lingo: “tranformation”, “changing culture and behaviour”, and “always an incentive to work” are all DWP catchphrases – probably because they don’t mean anything.

A “transformation” programme can turn a good system into the substance he mentioned in his Guardian note.

“Changing culture and behaviour” does not mean improving standards of living – in fact the evidence shows the exact opposite.

And the idea that DWP cuts mean there is “always an incentive to work” has been disproved to the point of ridicule. Iain Duncan Smith’s changes have hit low-paid workers more than anybody else and wages have been dropping continuously since the Secretary-in-a-State slithered into the job back in 2010.

Universal Credit has been the subject of so many expensive write-offs and relaunches that a campaign was launched earlier this week, called ‘Rip It Up And Start Again’, seeking an end to the fiasco.

This is the arena into which Mr Caseby has stepped.

He’d better tread carefully.

If he puts just one foot wrong, he might just get his head bitten off.

Shame on you, Job Centre! Getting people off the dole isn’t getting them into work!

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abuse, allowance, appointment, ban, barrier, benefit, benefits, claim, committee, Commons, compulsory job guarantee, condition, Dame Anne Begg, death, Department, dole, drug, DWP, employment, ESA, esther mcvey, FOI, food bank, Freedom of Information, government, hardship, homeless, Iain Duncan Smith, IB, Incapacity Benefit, incentive, interview, job, Job Centre, Mike Sivier, mikesivier, mortality, payer, paying, Pensions, people, placement, Plus, politics, Rachel Reeves, sanction, sign on, signpost, social security, support, tax, unemployment, Vox Political, welfare, work, worker, Workfare

One of Vox Political‘s many astute commenters made an extremely good point about government schemes to get people (a) off the dole and (b) into work. They said the fundamental question we should be asking the DWP is: “How many people have you turned into productive taxpaying workers who do not claim any benefits at all?”

It is as though they were prescient and could predict the way the debate has developed this week, firstly with the bogus DWP press release that has allowed some of us to suggest that we should judge the DWP by results, not targets; and now with the declaration by the Commons Work and Pensions committee that Job Centre Plus staff should be rewarded for the number of people they get into work, not just the number they get off the dole.

It seems this is an idea whose time has come.

Employment minister Esther McVey’s time – like that of her boss Iain Duncan Smith – has been and gone. Do not expect her to do anything about this.

Job Centre staff are currently given incentives to get benefit claimants off the dole, and this has led to wholesale abuse of the system of sanctions which can mean people are banned from claiming benefits for three whole years after a third ‘offence’.

People have been sanctioned because the dates on which they applied for jobs did not tally with the number of jobs they were supposed to seek every week – as the Job Centre week starts on Tuesday.

They have been sanctioned for arriving late at their signing-on appointment – because a job interview overran.

They’ve been sanctioned because they didn’t apply online for a job, as advised, because the job had ‘expired’.

They have been sanctioned while on Workfare because signing on – as advised by the Job Centre – made them late for the placement.

They have even been sanctioned for failing to apply for jobs, after they had succeeded in getting a job.

The Work and Pensions committee has diplomatically described this as a “haphazard” approach to assessing claimants, saying many were referred for sanctions inappropriately, or “in circumstances in which common sense would dictate that discretion should have been applied”.

Common sense has no place in a Job Centre overseen by a Conservative-run DWP. The people who work there are under the cosh, just as much as the claimants. They have a target to meet – five per cent of jobseekers off the books every month, unless I am mistaken (perhaps readers could provide the correct figure if I am).

Sanctioning rates in the year to October 2012 stood at 4.2 per cent, so staff were failing to hit this target – but after a sterner regime was introduced in that month, sanctioning increased to five per cent.

The system has been particularly cruel on younger claimants. In the year to October 2012, the sanction rate for those aged 18-24 was eight per cent, per month.

The number of sanctions in the year to 30 June 2013 was around 860,000 – the highest number in any 12-month period since statistics began to be published in their present form in April 2000.

The committee also said the DWP needed to monitor financial hardship suffered by claimants who lose their benefits. This could include publishing information on the number of claimants “signposted” to food banks by Job Centres and the reasons given for this action.

It is as if Dame Anne Begg (who chairs the committee) has been reading this blog. Readers will know that part of Vox Political‘s Freedom of Information request about incapacity/ESA claimant mortality referred to the well-being of those who had been thrown off-benefit altogether.

I can tell you now that the DWP does not monitor what happens to these people, nor does it have any plan to do so in the future. They are thrown to the wolves.

Dame Anne was quoted in The Guardian, saying: “JCP must be very clearly incentivised to get people into work, not just off benefits.

“The processes by which JCP currently establishes claimants’ needs are haphazard and prone to missing crucial information about a person’s barriers to working, including homelessness and drug dependency. A more thorough and systematic approach to assessing claimants’ needs is required.”

She added: “Whilst conditionality is a necessary part of the benefit system, jobseekers need to have confidence that the sanctioning regime is being applied appropriately, fairly and proportionately and the government needs to assure itself that sanctioning is achieving its intended objective of incentivising people to seek work.”

This is exactly what Vox Political has been saying since Rachel Reeves described Labour’s compulsory job guarantee policy on finding work for claimants, last week. Reeves’ words were derided by visitors to certain blogs who said she was as bad as the Conservatives. Now that some flesh is appearing on the bones of her strategy, we can see that this was undeserved.

According to the BBC, ministers cited the recent fall in unemployment to say the system was working, but they failed to mention what their intention was.

Was it working in getting people into jobs?

Or was it only working in getting people off-benefit, as claimed by the committee?

If people were going into jobs, were they real jobs, or fake “self-employed” jobs of the kind that the BBC itself investigated last year, intended only to get claimant numbers down?

What about the rise and rise of Workfare schemes, in which claimants are knocked off the unemployment statistics but continue receiving an equivalent amount to JSA – from the DWP – for a full week’s work, effectively subsidising commercial firms?

It seems likely that ministers will be reluctant to answer those questions.

While institutions like the BBC are determined to broadcast inaccurate stories based on falsified figures supplied by those ministers, it seems they have no incentive to do so.

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Peter Oborne is right to support the 50p tax rate

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… but wrong about many, many other matters.

The Torygraph‘s chief political commentator was right to come out as a supporter of Ed Balls’s pledge to raise the top tax rate back to 50p in the pound.

He was right to say it was “profoundly shaming and offensive” for Conservative voters – especially those who are not super-rich – when George Osborne lowered the top rate to 45p, two years ago.

He was right when he wrote that “to make the rich richer at the same time as making the poor poorer – what George Osborne has been doing – is simply squalid, immoral and disgusting.

“Any decent human being must surely feel sick in the stomach that he is taking this action at the same time as cutting the amount of tax paid by people earning more than £150,000.”

To that, let’s add a point about the kind of people who are benefiting from the lower tax rate – the kind of people who take home around £1 million a year in basic pay, who are promised bonuses of up to twice those yearly salaries, and who caused the financial crisis that has allowed Osborne to pursue his policy of impoverishing the poor.

That’s right: George Osborne’s 45p tax rate is a £100,000 extra bonus, every year – in gratitude for all their help, one must presume – for bankers.

Oborne is also right to say that Labour’s decision in the 1970s, to impose a top tax rate of 83p in the pound, was a huge mistake – for whatever reasons. It genuinely drove people out of the country, whereas at 50p they just grumble and threaten to go.

All of the above being said, Oborne continues to espouse some utterly wrong-headed nonsense. He claims that “the Conservative Party is not an interest group which represents only the very rich” when all of its actions since getting into office in 2010 demonstrate ample proof that a minority group representing only the very rich is exactly what it is.

Oborne actually puts in print: “The Coalition government has devoted a great deal of effort to lowering the living standards of the poor. I support this project.”

It’s great to see a Tory voter actually admitting this, but imbecilic behaviour for a columnist who (one presumes) wants people to respect his point of view.

He goes on: “I believe that Gordon Brown’s welfare state forced some people into a life of dependency… There have been many people on welfare who need much more of an incentive to return to work.”

Wrong, wrong, wrong.

The reason many people are without jobs and claiming benefit is, there are almost five jobseekers for every job. This is a situation created by the Tory-led government in order to keep wages low; with so many people clamouring for jobs, people who do have work but are on the bottom rung of the employment ladder can’t ask for a raise – they would be jettisoned and replaced by a jobseeker (most likely on lower basic pay than the original holder of the job).

Nobody was forced into a life of dependency by Gordon Brown; the vast majority of unemployed people genuinely want to improve their situation with a job that allows them to avoid claiming benefits – and it is good that the Labour Party, if returned to office next year, will work hard to bring the Living Wage into force for all working people.

You see, Mr Oborne and his ilk conveniently forget that the vast majority of people whose living standards have been hit by the Tory war on the poor are in work. They are so poorly-paid by George Osborne’s corporate friends that they have to claim tax credits – or, as I like to call them, Employer Subsidy – and housing benefit – otherwise known as Landlord Subsidy.

That’s improper use of our tax money. We should not be subsidising fat corporates with our hard-earned taxes, so they can deliver ever more swollen dividends to their shareholders; and we should not be subsidising greedy landlords who charge multiples of what their properties are worth to tenants who have nowhere else to go if they want to keep their pittance-paying job.

It is valid to criticise Gordon Brown for allowing this to happen, but who knows? Maybe this figurehead of neoliberal New Labour was using tax credits as a stop-gap, intending to persuade corporate bosses round to the Living Wage in good time. We’ll never know for sure.

There remains a strong argument that government schemes to get people into work should have checks and balances. As underwriters of these schemes, we taxpayers need assurances that the firms taking part will not abuse their position of power, using jobseekers until the government subsidy runs out and then ditching good workers for more of the unemployed in order to keep the cash coming. That is not a worthwhile use of our cash.

We also need assurances that participants won’t drop out, just because life on the dole is easier. I was the victim of several personal attacks last week when I came out in support of Labour’s compulsory job guarantee, because they hated its use of sanctions. I think those sanctions are necessary; there should be a penalty for dropping out without a good reason.

In a properly-run scheme, those sanctions should never be put into effect, though. That means that any government job scheme needs to be driven, not by targets but by results.

Look at the Welsh Ambulance Service. Targets imposed by the Welsh Government mean that ambulances are supposed to arrive at the scene of an emergency within eight minutes – even if they are 20 minutes’ fast drive away, on the wrong side of a busy city like Cardiff, when they get the call. This means the Welsh Ambulance Service faces constant attack for failure to meet targets.

But what kind of results does the service achieve? Are huge numbers of Welsh patients dying, or failing to receive timely treatment because an ambulance arrives a minute or so after its target time? No. There will, of course, be some such occasions but those will most likely be the result of many contributory factors.

So: Results-driven schemes will put people into jobs and improve the economy; there is no need to impoverish the poor; the very rich never deserved their tax cut; and Ed Balls is right to want to re-impose the 50p rate.

The Conservatives are wrong to attack poor people; there is no need to impose further cuts on social security as part of Osborne’s failed austerity policy; and these things show very clearly that the Tories are a minority-interest party supporting only the extremely rich.

In the end, I find myself agreeing with one more comment by Mr Oborne; Ed Balls really has “given ordinary, decent people a serious reason for voting Labour at the coming election”.

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