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PSA 8. Maximise employment opportunity for all

Vision

Employment is up by more than 2.6 million since 1997. Unemployment has fallen substantially, and the economic inactivity rate has fallen. Welfare to work programmes such as the New Deals, delivered by Jobcentre Plus and a wide range of partners, have made a real impact.

Despite the successes of the last decade however, a number of challenges remain particularly in helping the most disadvantaged individuals and families. The Government's aim is now to take further steps towards the long-term aspirations of an employment rate equivalent to 80 per cent of the working age population and eradicating child poverty.

The goal of full employment matters for people because the chance to work opens up opportunities to progress, to develop and to participate fully in society - people in work are often healthier, and more fulfilled, than people who are not. It matters for society because the poverty linked to worklessness divides our communities and deprives too many children of a fair chance in life. It matters for the national economy because it supports economic growth. And full employment matters for the taxpayer because the cost of welfare diverts funds that could be used elsewhere.

Achieving full employment means working with employers to open up more job opportunities to long-term jobless people. It means matching increased support with additional responsibilities. And it means doing more to integrate employment and skills services for benefit recipients to help ensure that long-term jobless people have the skills and attributes they need to succeed in gaining their fair share of the employment opportunities that are available.

Measurement

To measure progress on increasing employment opportunity for all over the CSR07 period, a total of four indicators will be measured.

Indicator 1 - An increase in the overall employment rate taking account of the economic cycle
Indicator 2 - A narrowing of the gap between the employment rates of the following disadvantaged groups and the overall rate: disabled people, lone parents, ethnic minorities, people aged 50 and over, those with no qualifications, those living in the most deprived local authority wards
Indicator 3 - A reduction in the number of people on working age out-of-work benefits
Indicator 4 - A reduction in the amount of time people spend on out-of-work benefits

Target by 2011

Targets for each indicator have been set as follows:

Indicator 1 - Movement in excess of sampling variability, i.e. +/- 0.3 percentage points on the employment rate.
Indicator 2 - Policy will be judged successful if there is upward movement on the indicator in excess of sampling variability.
Indicators 3 & 4 - Any downward movement in the indicator over period of CSR07.