In the White Paper, Raising Expectations and Increasing Support: Reforming Welfare for the Future, the Government announced those receiving benefits would have to have to attend job interviews and unemployed people would be expected to do four weeks activity after being out of work for a year.
The White Paper also outlined plans to help disabled people get into the workplace. They are to be given greater choice and control over the support they receive.
Purnell said: "Now is the right time to introduce these fundamental reforms. When times are tough you give people more support not less.
"We will not repeat the mistakes of the 1980s and 19902 when thousands of people were moved away from employment by condemning them to a life on incapacity benefits. This only makes it harder for them to find work and get their lives back on track."
Commenting on the White Paper, John Atkinson, associate director at The Institute for Employment Studies, said: "The approach to use benefit sanctions to move people capable of work towards employment at an early stage is sensible and welcome; the longer they are out of work the more difficult it is to get back in and the sooner they begin to prepare for re-entry, the easier they are likely to find it."
And the Employers' Forum on Disability (EFD) also welcomed the Government's plans for welfare reform, but highlighted the importance of employers taking the step to hire disabled staff.
EFD chief executive Susan Scott-Parker said: "Employers need to understand the business case for hiring employees with disabilities. Around 900,000 disabled people in the UK want to work but have limited access to the labour market.
"In these challenging economic times, it is more important than ever for employers to have access to the widest talent pool possible when recruiting staff. Back-to-work services for disabled people need to act as a channel to help employers reach this talent pool."
Claimants told: Work for your money
Work and pensions secretary James Purnell announced virtually everyone who is unemployed will have to do something in return for their benefits money.
