Threat to benefits of a million part-timers
MORE than a million part-time workers getting benefits to top up their incomes could lose state handouts if they refuse a chance to work more hours, it was revealed yesterday.
The punishment is being considered when the new Universal Credit begins next year.
It replaces half-a-dozen key benefits and ministers have promised it will be much simpler and will ensure people are always better off in work.
Universal Credit will require people to sign a “claimant commitment” outlining the obligations on them.
For the estimated 1.25 million workers who could reasonably be expected to earn more but choose not to, that could include pledging to seek and prepare to do more or better-paid work, under proposals being considered.
Work and Pensions Secretary Iain Duncan Smith said: “The benefits system is effectively keeping claimants in part-time work as people know the state will come along and top up their wage.
“We can’t continue to pay people who are perfectly capable of working a few more hours or even full-time but choose not to. It’s unaffordable and flies directly in the face of our reforms.
But we will expect those who can do more to take steps to improve their situation
“We will absolutely continue to support people who cannot work full-time, be it because of caring responsibilities, illness or because they can’t find a full-time job.
“But we will expect those who can do more to take steps to improve their situation.
“It will help give people the final push into complete independence from the welfare state.”