One of the observed potential negative side effects of public assistance benefits has been the lowering of the able bodied population`s will to work. Accordingly, the maximization of labor activities as well as the securing of basic living conditions...
One of the observed potential negative side effects of public assistance benefits has been the lowering of the able bodied population`s will to work. Accordingly, the maximization of labor activities as well as the securing of basic living conditions for the working population stand out as important policy objectives of public assistance. Therefore, this study aims to compare the work incentive strategies of the Korean and British Public Assistance programs in the four dimensions of eligibility, benefits, employment support services, and administrative systems in order to forge feasible and effective work incentive strategies, drawing from the experiences of the U.K. According to the reference point of the U.K., the following conclusions can be drawn: first, work incentive strategies should be introduced to employed persons as well as unemployed persons in order to accomplish the objectives of continuing the former`s work as well as promoting the latter`s return to work. Second, strategies should not be introduced only in the dimension of employment support services but also in the dimensions of eligibility and benefits in order to obtain the expected effect of work incentive strategies. Third, the strategies should be differentiated according to the working status of public assistance beneficiaries. The eligibility criteria and benefit calculation of employed persons should be increased according to an increase in their earned incomes in order to increase their working hours and earned incomes. For unemployed persons, rigid eligibility criteria and benefit calculation should be applied, and effective employment support services should be provided. Fourth, simultaneously, effective employment support programs appropriate to beneficiaries` characteristics should be developed, and administrative systems should be efficiently reformed in order to maximize the effect of employment support services.