Latest figures from the ONS show that from the three months to June, youth unemployment fell to 16.9%, although 767,000 young people are still out of work.
Despite the decrease, the Conferation of British Business – a member and supporter of The 5% Club – believes that current figures are still too high and argue that there is much work ahead in addressing the UK’s youth unemployment problem.
Speaking of the latest figures, CBI Director-General John Cridland said:
“It’s encouraging to see the unemployment rate has fallen to its lowest since 2008 with far more opportunities being created for young people.
“While disappointing this month, we would expect wage growth to pick up over time, but this can only go hand-in-hand with improving productivity.
“The latest figures are very upbeat, but we cannot ignore the fact that far too many young people are still out of work. Youth unemployment was rising even in the good times and is still high enough to fill Wembley Stadium over eight times.
“We cannot squander the talent of a generation and leave them at the back of the queue in life. Young people should be equipped with the skills they need to succeed and given the chance to show what they’re made of”.
To coincide with the release of the latest labour market statistics, The CBI launched a new report, titled Future Possible, that outlines how business, the Government and schools must re-double their efforts to prepare young people for work and deliver the career options and network of support they need. The report calls for:
- Government to create a network of Back to Work Coordinators who can offer young people a personalised service and bring together all the different support services they might need, bypassing the current disjointed system
- Business to pledge to work harder to routinely provide constructive feedback to young people who attend interviews or assessment centres and, for those who don’t make it to this stage, provide a general set of “top tips” for future applications
- Government to retain the age-related structure of the National Minimum Wage to help employers offset the higher costs of hiring young people, incentivising recruitment.
In the report, The CBI has paid tribute to The 5% Club:
“Industry-led bodies like the 5% Club are also a great way for business to commit to taking on more young people through these routes and seek support from companies further ahead on the journey”.
The report also calls on businesses to sign up to The 5% Club as way of showing commitment on the value of vocational education.
To read the Future Possible report, click here