Title Page
Contents
The Authors 15
Abbreviations and acronyms 17
Glossary of terms 19
Summary 21
1. Introduction 35
1.1. Introduction 35
1.2. Summary of first-year impacts 37
1.3. Policy background 38
1.3.1. Lone parent policy changes - 2008 40
1.4. Research on retention and advancement in work 42
1.5. Design of the ERA programme 44
1.6. The lone parent target groups 46
1.6.1. New Deal for Lone Parents 46
1.6.2. Lone parents receiving Working Tax Credit 47
1.7. The ERA service model 47
1.7.1. Work-related services 48
1.7.2. Financial incentives 49
1.8. The random assignment design and the intakeprocess 50
1.9. Implementing ERA 53
1.9.1. The ERA sites 53
1.9.2. Technical Advisers 55
1.9.3. Timeline of ERA implementation 55
1.10. Scope of the ERA evaluation 57
1.11. The remainder of this report 58
2. Sample and sites 61
2.1. Introduction 61
2.2. National economic context 61
2.3. The ERA Sites 64
2.3.1. Local economic and demographic characteristics 65
2.3.2. Population 68
2.3.3. Major industries 68
2.3.4. Unemployment levels and trends 69
2.3.5. Benefits receipt levels and trends 70
2.3.6. Summary of economic trends across the districts 70
2.4. The research sample for this report 70
2.4.1. Characteristics by target group 70
2.4.2. Characteristics by target group and district 73
2.5. Data sources 75
2.6. Summary and conclusions 77
3. Implementing a postemploymentintervention 79
3.1. Introduction 79
3.2. Programme implementation and delivery 80
3.2.1. Operating within the context of Jobcentre Plus 80
3.2.2. The structure and management of ERA 81
3.2.3. The promotion of ERA in the districts 82
3.2.4. The support given to staff 83
3.2.5. Evolving expertise on advancement 83
3.2.6. When was ERA programme delivery at its best? 84
3.3. Programme delivery as ERA came to an end 86
3.3.1. Weaning customers off ERA 86
3.3.2. Post-ERA customer contact 86
3.3.3. Reductions in staffing 87
3.3.4. Staff morale 88
3.4. Conclusions 88
4. Use of ERA's post-employment services and financial incentives 89
4.1. Introduction 89
4.2. Patterns of engagement with Jobcentre Plus 91
4.2.1. In-work contact with Jobcentre Plus 91
4.2.2. Patterns of engagement among the programme group 93
4.2.3. Customer attitudes towards Jobcentre Plus staff 96
4.3. Types of in-work support provided by Jobcentre Plus 97
4.3.1. Retention-focused support 97
4.3.2. Advancement-focused support 99
4.3.3. EDF payments 101
4.4. Customers' receipt of ERA's in-work financialincentives 103
4.4.1. Employment retention bonus 104
4.4.2. Training fees and bonus 109
4.5. Conclusions 115
5. Impacts of ERA on labourmarket and otheroutcomes 117
5.1. Introduction 117
5.2. The expected effects of ERA 118
5.3. ERA's impacts on work and earnings 122
5.3.1. NDLP 122
5.3.2. WTC 134
5.4. ERA's impacts on benefits receipt 135
5.4.1. NDLP 135
5.4.2. WTC 137
5.4.3. Alternative tests using administrative data 137
5.5. Retention and advancement 139
5.5.1. NDLP 139
5.5.2. WTC 146
5.6. ERA's impacts on training 146
5.6.1. NDLP 146
5.6.2. WTC 150
5.7. ERA's impacts on taking steps towards advancement 151
5.7.1. NDLP 152
5.7.2. WTC 155
5.8. ERA's impacts on children's well-being 155
5.8.1. NDLP 156
5.8.2. WTC 156
5.9. Conclusions 156
6. ERA's impacts acrossdistricts and subgroups 159
6.1. Introduction 159
6.2. ERA's economic impacts across districts 160
6.2.1. NDLP 160
6.2.2. WTC 165
6.3. ERA's impacts on receipt of services and incentivesacross districts 169
6.3.1. NDLP 169
6.3.2. WTC 172
6.4. ERA's economic impacts across subgroups 173
6.4.1. NDLP 174
6.4.2. WTC 184
6.5. ERA's impacts on receipt of services and incentivesacross subgroups 184
6.5.1. NDLP 184
6.5.2. WTC 190
6.6. Conclusions 195
7. Lone parents' workjourneys and ERA'seffectiveness 197
7.1. Introduction 197
7.2. ERA's goals and participants' experiences in work 198
7.2.1. Retaining employment 198
7.2.2. Taking on full-time work 199
7.2.3. Combining training with work 201
7.3. Work journeys and ERA support 202
7.3.1. Steady work journeys 203
7.3.2. Broken work journeys 204
7.3.3. Advanced work journeys 205
7.3.4. Changes over time 208
7.4. Conclusions 209
8 Next steps in the ERAevaluation 211
Appendix A. Data sources 213
Appendix B. Non-response analysis for thetwo-year customer survey 217
Appendix C. Implementation features of ERA districts 229
Appendix D. Patterns of pre-employmentassistance 235
Appendix E. Customers' contacts with Jobcentre Plus, receipt of help and advice and receipt of Emergency Discretion Fund and bonuses 239
Appendix F. Effects of ERA on childcare use and child well-being 247
References 251