1. The Work Programme Tuesday 7th September 2010

2. This presentation will cover…..
The Work Programme
Overview of the Work Programme
Framework Agreement for the Provision of Employment Related Services
Commissioning the core Work Programme
Voluntary and Community Sector involvement
Question and Answer Session

3. What is the Work Programme?
The Work Programme will radically simplify the back to work system
An integrated package of support will provide personalised help for a range of customers
Delivery partners will have longer to work with individuals and greater freedom to decide the appropriate support for them
We will offer stronger incentives for delivery partners to work with the harder to help, paying providers out of benefit savings
We aim to have the Work Programme in place nationally by the summer of 2011

4. Specialist Disability Provision Mandatory community activity
Jobcentre Plus Offer
Will include broadly similar core and mandatory provision
Will also include a menu of support options, including: skills support; work experience; voluntary activity; peer to peer support etc.
Many of the employment pledges in the Coalition Agreement (Work Clubs, Work Together) will be accessible via Jobcentre Plus.
Timeline
Core Work Programme
Specialist Disability Provision
An integrated, personalised welfare-to-work programme for a range of customers
Contracted out, almost all funding for additional sustained outcomes
Differential prices
Two year programme with continuing provider support and payments
Work Choice will launch on 25 October 2010 and will provide an improved service to disabled people with complex barriers on contracted out basis – higher proportion of funding for sustained outcomes than now.
Decisions regarding other Specialist Disability Programmes are ongoing.
Mandatory community activity
Currently looking at whether people who remain unemployed for a long period of time could undertake some form of community activity to get back into the habits and routines of working life

5. Key design features
DWP is committed to giving specialist suppliers the freedom to tailor support that works
Effective supply chain management will be expected from lead suppliers
We anticipate that the majority of customers who move to the Work Programme would do so on a mandatory basis
We anticipate that all mandatory customers will spend a fixed period on the programme

6. Framework Agreement for the Provision of Employment Related Services
The commercial vehicle through which the Work Programme will be delivered.
Will be an umbrella commercial arrangement which sets out some terms of agreement on future contracts
Individual contracts will be let via mini-competitions once the framework agreement is in place
Organisations who submitted an Expression of Interest as a Prime Provider or as a member of a consortium have been invited to tender

7. Why use a Framework?
Using a Framework offers commercial and operational advantages
More efficient and responsive
Simplify and significantly reduce the time and cost involved
Drive up performance and value for money
Accessible to other contracting authorities

8. Lots The framework agreement will be divided into 11 lots
         
The DWP expect to appoint between 3 and 8 organisations to each Lot
Organisations may compete to be included in one, all, or any combination of the Lots
Contracts let may cover the whole of the area comprised within a Lot or a smaller area within a Lot
Indicative value of contracts £0.3 billion - £3 billion per year
Average individual contract values estimated £ million per year
North  East  
London
North  West
South  East
Yorkshire  and  
The  Humber
South  West
East  Midlands
Wales
 West  Midlands
Scotland
East  of  England

9. Award criteria likely to include
Good financial standing;
Ability and capacity to manage large and diverse supply chains;
Willingness and ability to take on greater capital and supplier management risk;
Ability to support all claimant groups who are or may be capable of working;
Providing innovative/black box solutions for all services that they are invited to deliver under this framework.

10. Pricing design principles
Payment should be exclusively or largely for delivering results and that payment should normally be made after the results have been delivered
We should, where possible, avoid paying for customers who would have moved off benefits without help
The price paid for employment outcomes should be set to make it worthwhile for delivery partners to help each group of customers

11. Timetable for implementation
Our intended timeline for implementation is as follows:
Date
Action
By end of June 2010
Start Framework competition
November 2010
Framework let
December 2010
Work Programme competition starts
Spring 2011
Work Programme implementation starts
Summer 2011
Work Programme implementation complete

12. Voluntary and Community Sector involvement
Shortlist of primes
Events to bring together primes with potential sub-contractors
What primes need to demonstrate in their tender
The Merlin Standard

13. Work Programme
Any Questions?

14. Further Questions for the Work Programme
If you have any questions that you wish to ask about the Work Programme, these can be posted via the following address
To see questions and answers already posted, the Q&A log can be accessed via The Work Programme page on the Supplying DWP website:
o%2Dwork%2Dservices/work%2Dprogramme/