Labour to guarantee a job to the unemployed
10 March 2014
Labour will guarantee a job to unemployed young people for the whole of the next parliament should it come to power at next year’s General Election, shadow chancellor Ed Balls will announce later today.
Mon, 10 Mar 2014Labour will guarantee a job to unemployed young people for the whole of the next parliament should it come to power at next year’s General Election, shadow chancellor Ed Balls will announce later today.
Under the scheme, 18-to-24-year-olds who have been out of work for a year will be offered a taxpayer-subsidised job lasting six months, with those who refuse losing benefits.
Firms and voluntary sector groups would provide 25 hours' employment a week at the National Minimum Wage – with the government paying the wages and employers' National Insurance.
Another £500 per employee would be supplied towards training, which would be compulsory for participants, and administration costs.
Balls will say later today: "We've got to put this right. So if Labour wins the next election we will get young people and the long-term unemployed off benefits and into work.
"But it will be a tough contract – those who can work will be required to take up the jobs on offer or lose their benefits. A life on benefits will simply not be an option."
Labour says it would pay for this by taxing bank bonuses and changing tax rules for the pensions of high earners.
People earning more than £150,000 would get only 20% tax relief on pension contributions, instead of the 45% they receive now.
Under the scheme, 18-to-24-year-olds who have been out of work for a year will be offered a taxpayer-subsidised job lasting six months, with those who refuse losing benefits.
Firms and voluntary sector groups would provide 25 hours' employment a week at the National Minimum Wage – with the government paying the wages and employers' National Insurance.
Another £500 per employee would be supplied towards training, which would be compulsory for participants, and administration costs.
Balls will say later today: "We've got to put this right. So if Labour wins the next election we will get young people and the long-term unemployed off benefits and into work.
"But it will be a tough contract – those who can work will be required to take up the jobs on offer or lose their benefits. A life on benefits will simply not be an option."
Labour says it would pay for this by taxing bank bonuses and changing tax rules for the pensions of high earners.
People earning more than £150,000 would get only 20% tax relief on pension contributions, instead of the 45% they receive now.
