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Figures released today show that the Tory-led Government's Work Programme has got only 2.3 per cent, or two in every hundred, applicants into jobs.
Ed Miliband MP, Leader of the Labour Party, said:
"Today we've learnt that the Work Programme turns out to be a miserable failure. It's just not working.
"It's not working because over the first year of the Work Programme just over two in every hundred people have been getting a job.
"And estimates are that if the Work Programme didn't exist five in every hundred would be getting a job.
"Why isn't the Work Programme working? Because to reform welfare, which is what everyone wants to see, you've got to have government and people playing their respective roles, shouldering their responsibilities. A One Nation approach.
"We've said in relation to young people, we shouldn't be letting then languish out of work, we should be getting them jobs.
"We should be working with employers and saying government will pay the wages, if you pay the training and mobilise business across this country to get our young people working again.
"That's the way we can really reform welfare, pulling together as One Nation and each taking and delivering on our responsibilities.
"What we've seen from this Government today is a failure to reform welfare. Welfare bills are going up not down, not because of generosity in relation to welfare from this Government, but because their plans aren't working."
Liam Byrne MP, Labour's Shadow Work and Pensions Secretary, said:
"Today's figures reveal the Work Programme is comprehensively failing. We were promised a welfare revolution and what we've got has been exposed as worse than doing nothing.
"Welfare bills are over £20 billion higher than expected because this Government has failed to get Britain back to work and now George Osborne has been forced to take £14 billion off tax credits to help foot the bill. Now we know why. The recovery has been throttled, the Government's welfare revolution has failed and Britain's strivers are being asked to foot the bill.
"This is deeply, deeply disappointing news. On the DWP's own benchmarks, just 2.3 per cent have found a 'job outcome'. That is under half the rate the DWP said could be achieved by doing nothing. Meanwhile long term unemployment has soared by over 200,000.
"George Osborne must now take the big steps we propose to drive down unemployment and start with a big plan to get our young people into work."