New jobs benefit to launch next Spring

A new benefit to support young people starting a new job after a period of  unemployment will be introduced next Spring.

The Job Start Payment is a new payment to help young people with the cost of starting a new job.

The £250 payment, or £400 for people with children, will help towards travel, clothing, lunches or other costs associated with work.

In its first year, around 5,000 young people could benefit from this financial support.

Social Security Secretary Shirley-Anne Somerville said:

“It was great to meet with young people at the Prince’s Trust who have experienced unemployment to hear how this new payment will make a difference.

“Getting a new job after being unemployed can represent a massive turning point for young people. But it can also bring its own short term financial pressure, having to cover new costs like travel or childcare, while waiting for that first pay cheque. We know this can be a barrier that prevents some young people starting or keeping a new job.

“Evidence shows that unemployment rates for young people in Scotland are higher than for those over 25 and that young people not in education, training or employment are at higher risk of poor physical or mental health. By creating this new payment we are investing in the people of Scotland, supporting more young people into work and towards better outcomes.

“From next Spring, with the co-operation of the UK Government this new payment will help ease that transition.

“The Job Start Payment is an example of how we are delivering social security benefits differently in Scotland.

Background

• the payment will be delivered by Social Security Scotland and paid to 16-24 year olds.
• young people will eligible if they are starting a new job after being unemployed for at least six months.
• they will need to have been offered a job that is expected to average 16 hours or more over a 4 week period and live in Scotland on the day that the job offer is made.
• they will also need to have been receiving Jobseekers Allowance, Income Support, Employment and Support Allowance or Universal Credit for at least 6 months before they were offered the job.
• young people who are care leavers will be eligible until their 26^th birthday and do not have to meet the 6 months requirement for unemployment or receipt of a qualifying benefit.
• this will be the eighth benefit to be administered by Social Security Scotland following on from Carer’s Allowance Supplement, Best Start Grant Pregnancy and Baby Payment, Best Start Grant Early Learning Payment, Best Start Foods, Funeral Support Payment and Young Carers Grant which will be introduced this autumn.