Agenda item

Report of the Executive Director of Place

The Business, Economy and Enterprise Scrutiny Board (3) considered a report of the Executive Director of Place, which set out proposals for the future of the Employment Support Services (TESS).

The Board noted that the report had previously been considered by the Cabinet Member for Business, Enterprise and Employment at his meeting held on 7^th September 2015 and the Cabinet Summary detailing the additional recommendations made by the Cabinet Member was circulated to Board Members in advance of the meeting. 

The TESS provided a supported employment service for people with learning difficulties, autism, physical/sensory impairments and people with severe and enduring mental ill health.  The service successfully helped secure permanent employment.

The report set out a number of options for the future of the service, which included externalise the service through a form of Social Enterprise; merge the service with another local authority delivering supported employment provision; or to close the service on 31^st December 2015.

However, the recommended option was to work in partnership with others to develop a sustainable model for supported employment delivery in Coventry.  This would create a city-wide vision for supported employment, developed with investment from partners and providing a clearly defined role for the City Council and stakeholders in steering future delivery.  Efficiency of approximately £70k could be delivered in the service so an ongoing resource of £262,056 would be required to support the option.  This would also allow the Council and partners to modernise the service and develop a pan-disability model of delivery to address unmet need. 

Discussions were underway with a range of partners, including the Clinical Commissioning Group, Jobcentre Plus and the voluntary sector regarding the proposals and the Council’s Public Health and Adult Social Care sections were engaged in the development of the recommended option.  However, whilst meeting the vulnerable customer group is regarded as crucial with each agency, an ongoing budget has not yet been secured.

The Board noted that European Social Fund grant was being sought but would be limited to meeting only half of the costs of any activity, with the other half being ‘matched’ by the applicants own resources. It was unlikely to provide the same level of resource per individual that was currently delivered for TESS customers.

In considering the report, the Board were concerned that the cost of delivering a job outcome for a TESS customer was £8,640 against the cost to the public purse of supporting an unemployed job seeker with learning disabilities of £15,000 per year, excluding housing benefit or health and social care support costs, which could be significant.  The Board were of the view that an approach should be made to Central Government for funding of the service and that, given the savings potential, the model should be shared nationally as good practice.

RESOLVED that the Business, Economy and Enterprise Scrutiny Board (3) recommend that the Cabinet Member for Business, Economy and Employment:

1.  Pursue funding from Central Government to address the costs of supporting this vulnerable group.

2.  Share Coventry’s model as good practice nationally to highlight the savings potential.