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Welfare Reform

My Lords, I was having lunch with somebody on Monday who was involved in a company that was placing people in employment. The company was paid a retainer and then a success fee after 13 weeks if the person was still in a job. He rather surprised me by saying that one of the burdens put upon the company was to find the unemployed in the first place. He actually had to send people around areas where people might not have work and identify the unemployed. Is that a case of data protection? It is extraordinary that his company could not be helped by being given the list of people claiming benefits, so that it could at least visit them and ask about it. To follow up on the point about sanctions made by the noble Baroness, Lady Thomas of Winchester, from the Liberal Benches, I am unclear what happens if somebody refuses to respond to any of these initiatives. Do they get all their benefit removed? Do they then find themselves on the street begging? I do not quite understand how the sanctions systems work and would be grateful if the Minister would make that clear.