Member Article

Universal Credit welcomed by Manchester and Cheshire employers

Last week the Government introduced its Universal Credit benefit scheme to parts of Greater Manchester and Cheshire, which were the first areas in the UK to try the new system.

Universal Credit is replacing the old benefits system, which stipulated a 16 working hours limit on people who received benefits.

According to the Government, the new system will benefit employers and workers by giving greater flexibility, and allowing employees to receive an appropriate benefit payment even if they work more than 16 hours a week.

The Government hopes this will incentivise people into work, and ensure no one is worse off working than on benefits.

The system was introduced in Ashton-under-Lyne on Monday ahead of it being received in other areas of Manchester this summer, and a national rollout in October.

The Department for Work and Pensions said employers in Greater Manchester and Cheshire have welcome the scheme, and it will be easier to recruit staff under Universal Credit, which replaces the six main out-of-work benefits into one monthly payment.

Phil Eckersley, managing director of Home Instead Senior Care in Wigan, said: “Universal Credit system will have a direct positive effect on my business.

“It will enable jobseekers and employees to work as much as they wish around their family and dependents’ commitments.

“The abolition of the 16-hour rule will allow us to give more jobs to those who in the past would have found it financially unviable to work variable hours due to their benefit payments under the previous system.

“It will also improve our service, allowing us to respond rapidly to short-term high demand whereby staff will have the impetus to work extra as it will be worth working.”

This was posted in Bdaily's Members' News section by Miranda Dobson .