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Ministers drop work experience scheme sanctions Ministers drop work experience scheme sanctions
(40 minutes later)
The government has agreed to end all sanctions for youngsters opting out of a controversial work experience scheme. Ministers have dropped the threat of sanctions for unemployed youngsters on a controversial work experience scheme.
Businesses had expressed concerns about the programme - which sees 16-24-year-olds on job seeker's allowance doing up to eight weeks' unpaid work. It follows a meeting with dozens of firms with concerns, after criticism it amounted to "unpaid forced labour".
They volunteer for the scheme, but if they later dropped out they faced having their benefits docked. Some employers had pulled out of the scheme - in which 16- to 24-year-olds on jobseeker's allowance do up to eight weeks' unpaid work but keep benefits.
The announcement came as dozens of firms met ministers, following protests by the Right to Work campaign. It is voluntary but those who dropped out after the first week risked having their benefits docked for a fortnight.
Critics say the scheme amounts to "unpaid forced labour" for many young unemployed people - but Work and Pensions Secretary Iain Duncan Smith accused groups protesting against it of being "anarchists". Following Wednesday's meeting with firms, the government said that rule would be dropped - although sanctions would still apply in cases of gross misconduct.
The work experience programme allows young jobseekers to keep their benefits if they do an unpaid work placement. They may also get travel or childcare expenses. Employment Minister Chris Grayling said the change would help companies but insisted that opponents of the scheme were "completely misguided".
But anyone who cuts a placement short after more than a week may have their benefits stopped for two weeks. Critics say the scheme amounted to "unpaid forced labour" for many young unemployed people and the Right to Work campaign group had led protests - including a sit-in at a Tesco store.
'Trotskyites''Trotskyites'
Business leaders met Employment Minister Chris Grayling to discuss their concerns and it has emerged that the threat of sanctions on those who drop out would be removed, to reassure firms. The work experience programme is one of a range of work placement schemes run under the government's "Get Britain Working" policy - it allowed youngsters on benefits to accept short-term work experience placements, which were unpaid but could include travel or childcare expenses, and keep their benefits.
But those who dropped out of the scheme after a probationary period of one week could have faced having their benefits docked. The government says that only happened in 220 cases out of 34,200 people taking part between January and the end of November 2011.
During Prime Minister's Questions, David Cameron said 200 small- and medium-sized companies had expressed an interest in joining the scheme in recent days.During Prime Minister's Questions, David Cameron said 200 small- and medium-sized companies had expressed an interest in joining the scheme in recent days.
He urged firms to "stand up against the Trotskyites" protesting against it.He urged firms to "stand up against the Trotskyites" protesting against it.
And Work and Pensions Secretary Iain Duncan Smith said protesters were "completely out of touch" and the scheme was "brilliant", adding: "People volunteer to do it and we have a queue of kids desperate to do it."
Chief executive of Barnardo's Anne Marie Carrie, who was at the meeting on Wednesday, told BBC Radio 4's World At One: "We discussed frankly what has gone wrong in public perception about this scheme.
"Work experience is a vital lifeline for some of the most disadvantaged young people in this country. They've been failed by the education system, they've been failed by the care system and they cannot easily find employment in this tough climate."
'Absolutely degrading'
She said she was "delighted" at the news that the sanctions would be dropped as she was worried that they could threaten the future of the scheme, which was a "valuable lifeline for some of the most vulnerable".
Burger King, bookshop Waterstones and electrical retailer Maplin have left the scheme, while Sainsbury's says individual stores which took part are no longer doing so, as it is not company policy.Burger King, bookshop Waterstones and electrical retailer Maplin have left the scheme, while Sainsbury's says individual stores which took part are no longer doing so, as it is not company policy.
Tesco says it will start to pay those on work experience and guarantee a job when placements go well, and baker Greggs says it does not want people to lose benefits if they fail to complete their placements.Tesco says it will start to pay those on work experience and guarantee a job when placements go well, and baker Greggs says it does not want people to lose benefits if they fail to complete their placements.
Fashion chain Matalan has suspended its involvement pending a review.Fashion chain Matalan has suspended its involvement pending a review.
But former Marks and Spencer chief Sir Stuart Rose told the BBC that, if he had a child who was long-term unemployed, he would put them into the scheme. Mark Dunk, an unemployed activist with the Right to Work group told the BBC: "If you go and do work you're making money for those companies, why can't they pay? It's absolutely degrading to... do exactly the same job as someone else but not be paid."
The government says that between January 2011, when the scheme started, and the end of November 2011, 34,200 people took part, and just had their benefits docked.
Mr Duncan Smith called the programme "brilliant", adding: "People volunteer to do it and we have a queue of kids desperate to do it."
On the protesters, he said: "This bunch of anarchists, half of them who are are unemployed, actually need to be cleared out of the way."
For Labour, shadow employment minister Stephen Timms said he backed the theory behind the scheme - but said there was a "complete muddle about whether this is a voluntary scheme or not because job centres are telling people it's compulsory".For Labour, shadow employment minister Stephen Timms said he backed the theory behind the scheme - but said there was a "complete muddle about whether this is a voluntary scheme or not because job centres are telling people it's compulsory".
The CBI employers' group said business support for the scheme was "hardening" but called for greater "clarity" over the possible removal of benefits. The CBI employers' group said business support for the scheme was "hardening" but had called for greater "clarity" over the possible removal of benefits.
Have you been affected by any of the issues raised in this story? Send us your comments and experiences using the form below.Have you been affected by any of the issues raised in this story? Send us your comments and experiences using the form below.