by René Lavanchy
The Government must make the welfare state “relevant” to the recession by guaranteeing a job for everyone out of work for a year, former Work and Pensions Secretary James Purnell said this week.
Mr Purnell has joined the TUC, the Demos think tank and his ex-welfare advisor Professor Paul Gregg in writing to his successor Yvette Cooper last week calling for jobseekers to be offered six month’s paid work, in order to prevent a repeat of the mass unemployment that persisted after the 1990-91 recession.
He told Tribune: “It’s a way of making a welfare state [that] actually protects them in ways that are relevant against the risk that exists now.
“No-one should be unemployed more than a year. It’s definitely affordable. In the medium term it would save money; it would make the welfare state more effective. All the evidence is what really works in getting people back to work is this approach.” It would draw a clear divide between Labour and the Tories’ “stick and stick” approach, he added.
The Welfare Reform Act Mr Purnell steered through parliament before his resignation makes benefits more conditional on jobseeking or “work related activity”.
TUC general secretary Brendan Barber said: “A job paying decent wages for at least six months provides the kind of experience employers want and gives an unemployed person the best possible chance of getting back to work.”

