The jobless who would rather lose benefits than work

Almost two thirds of benefits claimants referred to a mandatory work scheme do not turn up because they either take a job or stop claiming welfare, figures have shown.

By James Kirkup, Deputy Political Editor

8:45PM GMT 19 Nov 2012

The Department for Work and Pensions said 6,000 people were stripped of benefits after refusing to take part in a work scheme and trying to go on claiming welfare. Government sources said the figures showed the lengths to which some claimants will go to avoid working.

Mark Hoban, the employment minister, has published figures for the mandatory work activity scheme.

Under the rules, unemployed people judged to lack the personal skills required to find and keep a job must do work placements in exchange for benefits.

Critics say the scheme amounts to forced labour. Ministers say it helps the jobless develop personal discipline and other habits required for employment. Between the start of the scheme in May last year and August this year, more than 90,000 claimants have been referred to the Mandatory Work Activity scheme by Jobcentre staff.

Of those, little more than 33,000 began work placements. Of the remaining 57,000, some found work, while others chose to stop claiming benefits.

Anyone referred to the scheme who does not complete a work placement is liable to have benefits stopped. Mr Hoban said that in the first year of the scheme, 6,230 people had refused to take up a work placement but continued to claim Job Seekers’ Allowance, which was subsequently denied.

Mr Hoban said the figures proved that the scheme was helping push people off benefits and into work.

“Some people will go to great lengths to avoid having to get a job,” he said. “But sitting at home on benefits doing nothing is not an option for those who are fit and capable of work.

“We will give jobseekers all the help and support they need to try to find work, but in return they have an obligation to use our help to get ready for a job.”

Placements under the scheme typically last a month. Sanctions are in place for those who fail to last the course.

Anyone who fails to complete their first placement can lose their allowance for three months. A second incomplete placement means a six-month ban. A third offence can lead to a three-year ban. Despite ministers’ praise for the work scheme, watchdogs fear that the system is open to abuse by contractors.

Roles are arranged by private companies, who get up to £600 for each claimant they put into a placement.

The Commons public accounts committee warned earlier this year that contractors could claim for candidates and placements that did not exist.

 

 

Young professionals expect a pension of £30,000

Thatcher's children have great expectations for later life, but currently only one in 10 saves for retirement.

By Rebecca Choules

3:27PM GMT 21 Nov 2012

Young people in Britain are saving nearly one fifth of their monthly disposable income, which is more than any other age group. However, only 12pc are using this money to save for retirement, according to research by asset manager BlackRock.

The study revealed that 31pc of 25-34 year-olds expect to retire on an annual income of more than £30,000 a year. This is higher than the national average salary, which currently sits at £26,100.

To achieve a retirement income of £30,000 a year, those aged 25 today and retiring at 65 would need to put aside £4,950 a year to accumulate a pot of £599,967, assuming an annualised return of 5pc.

If they wait until 35 to start investing, they will have to save £9,000 – or twice as much – each year to reach the same goal at the same rate of return.

The increasing financial pressure of everyday living, coupled with leisure spending and fears for their future security, appears to be conflicting with young people's ideas about their retirement.

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Those aged 25-34 believe that the UK job market and uncertain job security pose the greatest risk to their financial well-being, with just under half, or 48pc, saying they put money aside in case of emergencies.

The research revealed other financial priorities that were favoured over pensions; 32pc of those asked claimed they were saving to buy a property, and 27pc are planning to spend their money on a holiday. One in ten of those asked said they were saving for a new car.

Despite pension savings coming low in the list of financial priorities, it seems pension planning still has a place on the radar for those aged 25-34. Over half, or 56pc, said they were planning or saving for old age. However, only 12pc said they were specifically saving for retirement, and only 4pc of their money is being invested.

Interestingly, 82pc of those aged 25-34 were interested in building on their financial knowledge.

Tony Stenning, head of UK retail at BlackRock, said: “Britons are facing a savings challenge. We’re living longer and saving hard from an early age, but near term needs and uncertainty about the future mean that 79pc of these thrifty 30s are saving in cash and forgetting long term financial security.

"Cash is a safety blanket but, with record low interest rates, Britons could do more to protect their savings against the negative impact of inflation, and consider investing for a better return while understanding any potential risk of moving into other asset classes.

”Mr Stenning added: “The stark reality is that putting something aside for old age has become a necessity. But our established savings culture should enable people to plan ahead.

"By starting early and saving regularly Britons will help themselves build a bigger retirement pot more in line with their expectations for a reasonable income and lifestyle in later life

 

 

Текст 1

Practice 1. Choose the key sentence in each paragraph.

Practice 2. Re-read the text to find out the author’s main idea:

1. Businesses with lower cost are usually more efficient.

2. Agricultural marketing in western countries provides big support to farmers.

3. Agricultural marketing implies various activities connected both with farmers and buyers.

4. Agricultural marketing should provide farmers with profit.

Practice 3. Make a review of the text.

 

Agricultural marketing covers the services involved in moving an agricultural product from the farm to the consumer. Numerous interconnected activities are involved in doing this, such as planning production, growing and harvesting, grading, packing, transport, storage, agro- and food processing, distribution, advertising and sale. Some definitions would even include “the acts of buying supplies, renting equipment, (and) paying labor", arguing that marketing is everything a business does. Such activities cannot take place without the exchange of information and are often heavily dependent on the availability of suitable finance.

Marketing systems are dynamic; they are competitive and involve continuous change and improvement. Businesses that have lower costs, are more efficient, and can deliver quality products, are those that prosper. Those that have high costs, fail to adapt to changes in market demand and provide poorer quality are often forced out of business. Marketing has to be customer-oriented and has to provide the farmer, transporter, trader, processor, etc. with a profit. This requires those involved in marketing chains to understand buyer requirements, both in terms of product and business conditions.

In Western countries considerable agricultural marketing support to farmers is often provided. In the USA, for example, the USDA operates the Agricultural Marketing Service. Support to developing countries with agricultural marketing development is carried out by various donor organizations and there is a trend for countries to develop their own Agricultural Marketing or Agribusiness units, often attached to ministries of agriculture. Activities include market information development, marketing extension, training in marketing and infrastructure development. Since the 1990s trends have seen the growing importance of supermarkets and a growing interest in contract farming, both of which impact significantly on the way in which marketing takes place.

 

Text 2

Practice 1. Choose the key sentence in each paragraph.

Practice 2. Read the text to find out the author’s main idea:

1. Contract farming offers many benefits to agricultural producers.

2. Buyers usually purchase products at a pre-determined price.

3. Buyers also give support to agricultural production.

4. Farmers provide established quantities of a specific agricultural product.

Practice 3. Make a review of the text.

Contract farming is agricultural production carried out according to an agreement between a buyer and farmers, which establishes conditions for the production and marketing of a farm product or products. Typically, the farmer agrees to provide established quantities of a specific agricultural product, meeting the quality standards and delivery schedule set by the purchaser. In turn, the buyer commits to purchase the product, often at a pre-determined price. In some cases the buyer also commits to support production through, for example, supplying farm inputs, land preparation, providing technical advice and arranging transport of produce to the buyer’s premises. Another term often used to refer to contract farming operations is ‘out-grower schemes”, whereby farmers are linked with a large farm or processing plant which supports production planning, input supply, extension advice and transport. Contract farming is used for a wide variety of agricultural products.

Contract farming is one of the different governance mechanisms for transactions in agrifood chains. The use of contracts (either formal or informal) has become attractive to many agricultural producers worldwide because of benefits such as the assured market and access to support services. It is also a system of interest to buyers who are looking for assured supplies of produce for sale or for processing. Processors are among the most important users of contracts, as they wish to assure full utilization of their plant processing capacity. A key feature of contract farming is that it facilitates backward and forward market linkages that are the cornerstone of market-led, commercial agriculture. Well-managed contract farming is considered as an effective approach to help solve many of the market linkage and access problems for small farmers.

 

 

Text 3.

Practice 1. Choose the key sentence in each paragraph.

Practice 2. Read the text to find out the author’s main idea:

1. Contract farming is becoming more popular in the whole world nowadays.

2. In case of contract farming buyers get more advantages than farmers.

3. Buying firms are more powerful than farmers.

4. Farmers can take big risks within contract farming.

Practice 3. Make a review of the text.