All lone parents with children over the age of one should be obliged to seek work or face losing their benefits, under measures recommended in an independent review commissioned by Secretary of State for Work and Pensions James Purnell and published on 2 December 2008.
The review, undertaken by Professor Paul Gregg of Bristol University, examined the current regime of benefit sanctions to recommend how sanctions could be toughened to push more people into work. It recommends that "virtually no-one" should be able to claim benefits without being required to actively seek work; only those with severe health conditions or disabilities or lone parents with children in their first year should be exempt from conditionality.
For small businesses, the proposed welfare reforms may result in the opportunity to gain access to a larger pool of experienced and committed staff willing to work part-time.
As the economic downturn makes the operating environment increasingly difficult for small businesses, many will be looking to rely increasingly on part-time staff as part of their survival strategy. Employers recognise that employing part-time staff not only has the benefit of reducing costs, but also gives access to high calibre pool of candidates that may not be able to work full-time because of family commitments.
John Wright, chair of the Federation of Small Businesses, speaking in
New Start, said “Small businesses are proving resilient in the face of tough economic conditions because of their flexibility to adapt to changing market conditions. Many small businesses are retaining, not letting go of, staff – and hiring part-time staff is an excellent way forward for small businesses to manage growth in their economic environment. The talent pool of women returners can offer small businesses a viable way to grow their businesses.”
Read the report: Realising Potential