A review of labour market interventions for problem drug users

1. A review of labour market interventions for problem drug users • Mike Stewart, Director, Inclusion

2. Evidence • users of Class A drugs significantly less likely to be in work • duration of unemployment associated with the number of drugs used • six major areas of disadvantage: lack of education and skills, health, social disadvantage, provision of support services, engaging with employers and support professionals, stigma • mental health and crime significant barriers • Problem drug users’ experiences of employment and the benefit system Department for Work and Pensions, Research Report No 640, Linda Bauld, Gordon Hay, Jennifer McKell and Colin Carroll 2010

3. Types of interventions • light touch assessment, referral and support • life and social skills • vocational training • volunteering • job preparation/work trials/interview techniques; • waged employment and training: supported employment, Intermediate Labour Markets, Social Enterprises, self employment • job brokerage

4. Pre-70s • residential projects • remote locations • on site work or training directly to service users. • independently funded • perceived as integral to treatment • would now be called supported employment or social enterprises

5. 1980/90s • funding and operational silo’s • supported housing and training providers • mainstream interventions for disadvantaged groups • some drug services developed interventions to support their service users • employment support relied on individual projects and their leadership • flexibility of mainstream employment and training programmes squeezed out

6. 90/00s • interventions across government departments • New Deal included commitment to help people with drug problems • First UK drug strategy referenced employment • DATs provided a mechanism to support employment activity • DIP includes a specific emphasis on employment • But funding and delivery mechanisms still did not support development

7. progress2work • launched September 2001 • recognition of need for ring-fenced funding • strategic and co-ordinated inter-agency approach • effective interventions should reflect local circumstances and capacity • does not prescribe who should deliver and how • the only public mainstream labour market intervention for problem drug users anywhere

8. Tackling problem drug use,NAO, March 2010 • Drug strategy prioritises employment and builds on p2w model. Will that survive? • c13,000 pa • expensive • success rate low and below target • Jobs target 20%: 20% 2006-07, 15% 2008-09 • 13 weeks or more 8% • cost per long term job £11,600 • NAO: • ensure new programme evidence based and demonstrates value for money.

9. The Work Programme: Principles • Single, personalised welfare-to-work programme for all client groups • Contracted out, almost all funding for additional sustained outcomes • Differential prices based on customer group • Longer programme, with payments for potentially up to two years • N.B. Mandatory Community Activity for all jobseekers who spend two years unemployed during a three year period.

10. The Work Programme: Design • payment for results after delivery • avoid paying for unnecessary help • price for jobs worthwhile to help each group of customers • no specification as to how it should be done • price paid should not exceed benefit savings