Employment Grant Scheme: Revision

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A decision made 12 June 2013:

Decision Reference: MD-S-2013-0054
Decision Summary Title :	Employment Grant Scheme		Date of Decision Summary:	12 June 2013
Decision Summary Author:	Operations Director		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:
Written Report Title :	Employment Grant Scheme		Date of Written Report:	12 June 2013
Written Report Author:	Operations Director		Written Report : Public or Exempt?	Public
Subject: Employment Grant Scheme
Decision(s): The Minister decided to revise the non statutory Employment Grant Scheme that provides financial support to employers in recruiting locally qualified people who are registered as long-term unemployed into permanent employment.
Reason(s) for Decision: Unemployment is still rising and the need remains to support those who require the most help to get back into work. The Employment Grant provides access to sustainable employment for people who have been registered as long term unemployed. The grant offers £7,200 to employers providing a permanent or long term contract to someone who is locally qualified and registered as unemployed for a year. The scheme was originally implemented from May to December 2012 however due to its success this has continued and it has now been running for a year. Following a review the changes summarised below have been made taking into account employer feedback: 1. The amount of quarterly interim payments has increased from £500 to £1,000 (reducing the final payment to £4,200). 2. Increased flexibility on contracts for the first three months of employment, allowing employers the option to provide zero hours or temporary contracts before converting to permanent. 3. Access to up to £500 value of training need for a new employee to fulfil their role. 4. Access to free, professional human resource advice on statements of employment and employer obligations for employers with five employees or fewer. 5. The long term contract requirement has been reduced from 18 months to 12 months 6. The scheme is ongoing (subject to review) until 31 December 2015 in line with the Medium Term Financial Plan.
Resource Implications: Funding will be provided from the existing budget held by the Social Security Department for the Back to Work Programme.
Action required: Operations Director to implement changes to the Employment Grant Scheme.
Signature:		Position: Minister
Date Signed:		Date of Decision (If different from Date Signed):