Research is published today by the Department for Work and Pensions on the Department’s commissioning model for contracted employment provision. The Commissioning Strategy introduced in February 2008 set out significant changes to the way the Department commissions and manages welfare to work provision. It sets out requirements of the prime provider model, where contracted organisations in turn manage a supply chain of smaller and specialist providers to deliver the service. Providers were offered larger, longer contracts in order to encourage investment, and a reduced level of prescription in terms of how they deliver their service. In response providers are paid on the basis of outcomes in order to provide clear financial incentives to get customers into sustained employment. This research examines the impact of this model.
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