REC response to youth employment announcement by the government: ‘Sensible steps, but so much more to do’

Commenting on the expansion of policies by the DWP to tackle the UK’s growing youth unemployment problem, the Recruitment and Employment Confederation (REC) Chief Executive Neil Carberry said:

“This is a sensible package of measures to support young people, who should be the focus of apprenticeship systems. If hiring subsidies are well-designed, they can help firms to support those young people who take a little longer to get up to speed after a period out of work. And shorter courses being funded by the Growth and Skills Levy is something all businesses have asked for. The new Apprenticeship Units are a positive step in this regard, but only a first step. A wider range of courses need to be covered for the Levy to really be a skills policy, rather than just a tax.

“Government programmes like these do help, but it is employers who create jobs. So, government must also show it backs businesses to create the jobs we need. The youth unemployment crisis is being exacerbated by a cost of employment crisis the government has left untackled for too long. It is time for more decisive action to get young people into work by making taking a chance on young people more practical for firms, from employment tax costs to the approach taken to new employment rights.”

Notes to editors

1.     In its Overcoming Shortages report, economic modelling for REC found that the labour market restricted by skills and labour shortages could cost the economy anywhere between £30 billion and £39 billion every year – equivalent to losing almost the entire current defence budget or two Elizabeth Lines annually.