Quantity over quality: a political economy of ‘active labour market policy’ in the UK

Abstract

This article offers a critical evaluation of recent ‘active labour market policy’ (ALMP) initiatives in the UK, focusing on the coalition government's Work Programme and its immediate antecedents. ALMP exemplifies a supply-side employment strategy, reorienting the state away from supporting labour demand and towards promoting the ‘employability’ of individuals within existing labour market structures. The article locates the rationale for this policy agenda within the wider politics of economic growth. Belying its status as a pioneer of ALMP, the UK spends very little on supply-side labour market interventions relative to other European countries. This can be explained with reference to the type of ALMP interventions prioritised in the UK, which in turn is explained by the growth model that ALMP is designed to sustain. The UK's growth model requires an abundance of low-paid jobs in the labour-intense and volatile services sector. Ostensibly, ALMP fulfils this requirement by ensuring that individuals are immediately available for work, marginalising concerns about pay and job quality. Moreover, ALMP also serves to inculcate the desirability of certain behaviours at the individual level. The coalition government's approach demonstrates an intensification rather than transformation of previous practice, indicative of its support for resurrecting the UK's pre-crisis growth model.

Keywords:

• labour market
• welfare-to-work
• Work Programme
• coalition government
• economic growth
• political economy

Acknowledgements

This article draws upon the working paper ‘The Hyper-Anglicisation of Active Labour Market Policy: Facilitating and Exemplifying a Flawed Growth Model’, published by Sheffield Political Economy Research Institute, University of Sheffield, in June 2014. I am grateful to Tony Payne and Colin Hay for comments on the working paper, and the anonymous reviewers of this article, although the usual disclaimers apply.

Notes on contributor

Craig Berry is a Research Fellow at the Sheffield Political Economy Research Institute (SPERI) at the University of Sheffield. He has extensive experience as a policy practitioner, having worked at HM Treasury, the Trades Union Congress and the International Longevity Centre, UK. He has published numerous articles in the fields of international political economy and British politics, and the monograph Globalisation and Ideology in Britain (Manchester University Press, 2011). His current research interests focus on the politics of economic recovery in the UK, and uneven economic development in Northern England.

Notes

1. Eurostat data (accessed 20 January 2014). http://epp.eurostat.ec.europa.eu/portal/page/portal/labour_market/labour_market_policy/main_tables.

2. See note 1

3. Eurostat data (accessed 20 January 2014). http://epp.eurostat.ec.europa.eu/portal/page/portal/employment_unemployment_lfs/data/main_tables. There is no data on claimant rates in Germany available.