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The Effect of Pathways to Work on Labour Market Outcomes

Published online by Cambridge University Press:  26 March 2020

Richard Dorsett
Richard Dorsett*
Affiliation:
Policy Studies Institute
*
e-mail: r.dorsett@psi.org.uk
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Extract

This article summarises the recent evaluation of Pathways to Work – a package of reforms aimed at encouraging employment among people claiming incapacity benefits (Belway et al., 2007). The results show an increase of over 7 percentage points in the probability of working about a year and a half after the start of claim. The probability of not claiming incapacity benefits was also increased initially but this effect later reduced to just 1½ percentage points. The findings suggest Pathways to Work may contribute to the Government's aim of increasing the employment rate. They provide less encouragement with regard to the aim of reducing by 1 million the number claiming incapacity benefits.

Keywords

Pathways to Workevaluationdifference-in-differencesemploymentsickness and disabilityH43J14J64J68
Type
Articles
Information
National Institute Economic Review , Volume 202 , October 2007 , pp. 79 - 89
Copyright
Copyright © 2007 National Institute of Economic and Social Research

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Footnotes

This paper mostly summarises analysis reported in Bewley et al. (2007). This earlier research was funded by the Department of work and Pensions. I thank Helen Bewley for helpful comments.

References

Bailey, R., Hales, J., Hayllar, O. and Wood, M.(forthcoming), Incapacity Benefit Reforms Pilot Findings from Wave I of the Survey of Customers, DWP Research Report.Google Scholar
Bewley, H., Dorsett, R. and Haile, G. (2007), The Impact of Pathways to Work, DWP Research Report 435.Google Scholar
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