Jobseekers on universal credit will need to look outside of their preferred sector after 4 weeks or their benefit payment could be reduced.

The change, which came into force yesterday, decreases the time frame from 3 months.

Introduced as part of the Way to Work campaign, ministers hope it will get 500,000 people jobs by June.

The initiative is focused on those who are able to work, but either are not working or are on a low income.

ONS recorded job vacancies had reached an all-time high of 1.2 million.

Work and Pensions’ Secretary Thérèse Coffey said: “Way to Work is a step in our offer to claimants and employers, making sure our job centre network and excellent Work Coaches can deliver opportunities, jobs and prosperity to all areas of the country.

“As we emerge from COVID, we are going to tackle supply challenges and support the continued economic recovery by getting people into work.

“Our new approach will help claimants get quickly back into the world of work while helping ensure employers get the people they and the economy needs.”

Claimants on universal credit are expected to receive more face-to-face time for “better, tailored support.”

Well-known companies such as TalkTalk and Whitbread Group are supporting the campaign.

Whitbread’s Head of Resourcing, Lisa Taylor, said: “Many of those who have joined us from the jobcentres during our time working closely together have gone on to build a successful career with us or maintain long term employment.

“At Whitbread, we passionately believe that by working together with Jobcentre Plus we can make a real difference to the lives of jobseekers in this country through our no barriers to entry and no limits to ambition approach, as well as being a force for good in our local communities.”

DWP also plan to work with thriving sectors such as construction, haulage and logistics and social care.

Chancellor of Exchequer, Rishi Sunak said: “It’s important that everyone has the opportunity and support to find a good job to help them get on in life. That’s why we’re doubling down on our Plan for Jobs with this new campaign to harness the talent of jobseekers and support employers to fill vacancies, find work and create new opportunities.

Together we will boost this country’s job-led recovery.”

However, the scheme has come under fire from Labour and Lib Dem members.

If claimants on universal credit are found to not make “reasonable efforts” in their job searching or turn down a job offer, they could face serious sanctions.

Lib Dem work and pensions spokesperson Wendy Chamberlain said: “This callous move could see skilled workers forced to accept insecure, short-term employment for fear of having the rug pulled out from under them, and create a cycle of unemployment.

“What is worse, these harsh sanctions could be applied within weeks of applying for Universal Credit – before people’s first payment even arrives.”

Labour’s shadow employment minister Alison McGovern criticised: “This announcement has more to do with trying to save the prime minister’s job than supporting people into work.

“It’s just tinkering at the edges – long-term unemployment is 60% higher than before the pandemic.

“People should be supported into good jobs that match their skills, which would give them a better chance to secure work long-term.”

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