Bosses at the Department for Work and Pension have promised to 'leave no stone unturned' in tackling unemployment after it emerged that 85,000 people had left work since the start of the year. This makes Britain the only major economy with fewer people working than before the pandemic, after more than one million people dropped out of the workforce.
But despite this employment slump, pay increases across the economy have continued with the average salary going up by six per cent in the first three months of 2024. With a record increase in the National Living Wage to £11.44 and pay on the rise, the government is shifting focus to the long-term sick and disabled with reforms to Personal Independence Payments and sick notes.
However, multiple critics and even a DWP minister, have raised the likelihood that many of these reforms, designed to remove cash assistance from people and force them into work, could not be implemented before the next General Election - with little indication from Labour that they would continue the punitive proposals.
Separately, Mel Stride said today: "We will be making use of the 400,000 additional talking therapies within the NHS to help resolve mental health issues which is one of the key barriers to work."
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