Departmental Reorganisation (Hansard, 19 March 2002)

§ Mr. Darling

The Department for Work and Pensions was set up last year to bring together the Government's Welfare to Work programme and to ensure a far better focus on the people we serve. As part of this programme of reform, I am setting up two new executive agencies in April: Jobcentre Plus, which will deliver an integrated, work-focused service to benefit claimants of working age and to employers; and The Pension Service, which will deliver a service dedicated to today's and tomorrow's pensioners.

In consequence of these changes, the Benefits Agency and the Employment Service will close on 31 March. The Department's other executive agencies (the Child 240W Support Agency and The Appeals Service) will continue. Disability and carer benefits will be delivered by a distinct business—the Disability and Carers Service—which will work closely with both Jobcentre Plus and The Pension Service. The Child Benefit Centre will form a separate business until its transfer to the Inland Revenue in April 2003.

The targets I have set Jobcentre Plus and The Pension Service for 2002–03 are given below.

Further information on Jobcentre Plus and The Pension Service plans for 2002–03 is contained in their business plans, copies of which have been placed in the Library.

I am also publishing today a departmental framework which sets out the main roles and accountabilities of each part of the Department, including its executive agencies, and the shared values and ways of working which ensure that the Department delivers a common agenda of reform. The framework incorporates the roles of each of the Department's executive agencies and replaces traditional free-standing agency framework documents.

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Targets

Jobcentre Plus

Jobcentre Plus performance will be measured against the following targets¹Job outcomes: To achieve a total points score of 6,656,000, based on job entry outcomes Jobcentre Plus achieves. Business delivery: To ensure that specified key Jobcentre Plus business processes are delivered efficiently, accurately and to specified standards in 93.4 per cent. of cases checked (with a Jobcentre Plus management objective that no district will fall below 85 per cent. by the end of the year). Fraud and error: By March 2003 to reduce losses from fraud and error in working age income support and jobseeker's allowance to no more than 7 per cent. of the monetary value of these benefits paid during the year. Employer outcomes: At least 85 per cent. of employers placing their vacancies with Jobcentre Plus will have a positive outcome. Customer service: To achieve a 79 per cent. customer service level in the delivery of the standards set out in the customers and employers charters (with a Jobcentre Plus management objective that individual regions will achieve specified levels by the end of the year).

The Pension Service

The Pension Service's performance will be measured against the following targets: Customer service: To improve customer service in line with the standards set out in The Pension Service customer charter². Accuracy: To achieve an accuracy rate of 94 per cent. on awards of MIG and of 98 per cent. on awards of retirement pension. MIG claims processing: To complete processing of MIG claims on average within 10 working days from the date the necessary evidence is received. Fraud and error: To make progress in reducing the value of MIG fraud and customer error towards an overall reduction of 20 per cent. by 2004. Winter fuel payments: To issue winter fuel payments for 2002–03 (all automatic payments and successful claims received before 20 September 2002) by Christmas 2002. Retirement pension forecasts: To provide 95 per cent. of retirement pension forecasts within 40 days of receipt of the request. Performance levels: To establish a baseline of performance across The Pension Service, to enable the setting of performance variation targets in 2003–04. Sickness absence: To reduce the average sickness absence rate to 9.4 days by December 2002. ¹ A full explanation of the Jobcentre Plus targets is contained in the performance agreement, copies of which have been placed in the Library. ² The Pension Service customer charter will be published in April, to coincide with the launch of The Pension Service.