Shadow chancellor Ed Balls explained that the proposed scheme will be paid for by restricting the tax relief on pensions for those earning more than £150,000 a year.
This will create a £1 billion fund that will be given to employers to meet the cost of hiring the 130,000 people in the UK who have been out of work for two years or more.
Under the plan, the long-term unemployed would be given 25 hours a week positions, which would be paid at the national minimum wage, with jobs lasting a minimum of six months and people who do not accept the offer of a suitable job may have their benefits cut.
The Treasury criticised the plans and said that Labour is trying to spend the same money twice and the government's own plans have already helped thousands of people get jobs.
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Source: The Sales Director News