I've thought carefully about this scheme and come to an obvious conclusion.
I'd rather pay for a work-shy long-term unemployed person to do something rather than pay a work-shy long-term unemployed person to do nothing.
If he/she can't find work on the Island then he/she is probably either too lazy or too fussy. In either case he/she should leave to seek employment elsewhere. After all, hundreds of enterprising job-seekers from the EU have found the Isle of Man and taken employment that he/she has rejected.
So, are you suggesting someone should uproot family and move to the UK etc., in the hopes of finding work?
People who reject job offers lose their jobseekers allowance (which is nothing new).
A lot of unemployed are of the older generation nowadays, not just neets and training would be a waste of time, as they usually have a lot of experience/qualifications already. The IT market is dead for the over 30's. Why pay £30k per year to an older person, when you can get a post grad for £18k?
Could the government not offer the jobseekers allowance to smaller companies, as a wage help if they take on an unemployed person, or help with the cost of training/qualifications to help someone into a position? The long term savings could make it worthwhile.