The complex environment of benefits involves all sorts of perverse incentives, but here's one that is both stark & (up until now seemingly) under-recognised:
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The complex environment of benefits involves all sorts of perverse incentives, but here's one that is both stark & (up until now seemingly) under-recognised:
for 16-17 year olds living at home, an apprenticeship (which is part of Govt. attempts to get young people into work or training) results in their families losing a chunk of benefits as they become 'independent workers' not children for benefits purposes.... disincentivizing them from training!
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The complex environment of benefits involves all sorts of perverse incentives, but here's one that is both stark & (up until now seemingly) under-recognised:
for 16-17 year olds living at home, an apprenticeship (which is part of Govt. attempts to get young people into work or training) results in their families losing a chunk of benefits as they become 'independent workers' not children for benefits purposes.... disincentivizing them from training!
@Emeritus Prof Christopher May
"joined up thinking"... -
@Emeritus Prof Christopher May
"joined up thinking"...yes, lack thereof....
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The complex environment of benefits involves all sorts of perverse incentives, but here's one that is both stark & (up until now seemingly) under-recognised:
for 16-17 year olds living at home, an apprenticeship (which is part of Govt. attempts to get young people into work or training) results in their families losing a chunk of benefits as they become 'independent workers' not children for benefits purposes.... disincentivizing them from training!
@ChrisMayLA6 Yes another example where universal basic income (UBI) for all people 16 and older would make things far simpler for everyone.
That is including the benefits agencies themselves.
This sort of thing also happens in Norway too. One benefit to a specific group gets raised above a certain threshold as a result of the new national budget.
This results in other benefits being reduced leaving vulnerable people worse off.
UBI could remove most of these examples of unintended claw-backs.
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R relay@relay.mycrowd.ca shared this topic
