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What’s the point in making young people work-ready if there are no jobs?
Helen Dickinson argues that preparing young people for work will not reduce youth unemployment unless government also helps create jobs. Ahead of Alan Milburn’s report on young people and work, she says rising employment costs and regulation are making entry-level roles harder to offer, leaving inexperienced applicants with fewer ways to gain the experience employers seek.
The article says nearly one million people aged 16 to 24 are not in education, employment or training, costing the economy an estimated £125bn a year. Retail provides 2.8 million jobs, but its employment costs are expected to rise by about £8.5bn between 2024 and 2027, while more than 120,000 roles have been lost. Dickinson calls for stronger incentives to work, measures to boost spending and a reversal of employer National Insurance rises; a retail work experience scheme has pledged 11,000 placements, aiming to help 100,000 young people into jobs.
In short
- Nearly one million young people are not in education, work or training.
- Dickinson says job creation must accompany work-readiness measures.
- Retailers have pledged 11,000 work experience placements.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Preparing young people with relevant skills and work experience can help them compete for available roles and meet employers’ needs. Placements such as the retail scheme may give inexperienced applicants a foothold, while stronger incentives to work could help people take up opportunities and reduce the economic and social costs of being out of work.
The case against
Training alone cannot solve youth unemployment if employers are creating fewer entry-level roles or cannot afford to offer them. Rising employment costs and regulation may make hiring harder, so government should also support job creation and demand, including by reviewing employer National Insurance rises; otherwise, young people may gain skills without finding work in which to use them.
Explained simply
Youth unemployment describes young people who want work but cannot find it. Some are not in a job, education or training, while others are studying or training and looking for work. Entry-level jobs can give young people their first experience, which employers often ask for when hiring.
Helen Dickinson leads the British Retail Consortium, which represents retail businesses. Retail is a major employer, including of young people, and the sector says higher employment costs and regulation can make it harder for businesses to offer jobs. Alan Milburn has been asked to report on young people and work, including the barriers they face.
The debate is about whether training and work-readiness schemes can help without enough vacancies for young people to enter. It also concerns the costs of youth unemployment for individuals and the wider economy, and what roles government and employers might play in creating opportunities.
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