Policy options for responding to youth unemployment in UK Second Transnational Exchange Workshop Employment routes at the local level Presentation by Jeremy Crook OBE Director of BTEG 16 May 2012

2 ABOUT BTEG A national charity established 21 years ago Our aim is to help improve, employment, self employment, skills and education rates in Black, Asian and Minority Ethnic (BAME) Communities Work with BAME and mainstream voluntary and community organisations (frontline and support organisations) and the private sector; and Central government departments: -Work and Pensions -Business, Innovation and Skills -Ministry of Justice

Cont’d Work with local groups to hear their views on how policy change can improve opportunities, quality of life and the life chances for their service users Two Government departments (DWP and BIS) have equality advisory groups comprised of external experts and practitioners and BTEG is a member of both groups.

UK YOUTH UNEMPLOYMENT “We must not underestimate the scale of the challenge million year olds are not in education, employment or training…we also know that disadvantaged and vulnerable young people are at greater risk of long term disengagement…” ( Ministerial Forward (John Hayes MP, Tim Loughton & Rt Hon Chris Grayling MP) MP,p2, Building Engagement, Building Futures: Our Strategy to Maximise Participation of Year Olds in Education, Training and Work, December 2012)

Labour Market: Year Olds LFS 2011, UK. ‘Total’ includes other ethnicities and unknown. Numbers in the chart show the number of people falling in each category (e.g. 57,000 Black unemployed year olds) The above figures were published by the Office for National Statistics in March 2012 Tables on page 5,6&7 prepared by DWP officials for EMAG 2012.

16-24 Year Olds: Male LFS 2011, UK. ‘Total’ includes other ethnicities and unknown. Due to the relatively small sample sizes and subsequent sampling variability, the figures by gender should be used with caution. Numbers in the chart show the number of people falling in each category (e.g. 33,000 Black unemployed men, aged 16-24)

16-24 Year Olds: Female LFS 2011, UK. ‘Total’ includes other ethnicities and unknown. Due to the relatively small sample sizes and subsequent sampling variability, the figures by gender should be used with caution. Numbers in the chart show the number of people falling into each category (e.g. 24,000 Black unemployed women, aged16-24)

Labour Market & NEETs (Feb 2012) EmploymentUnemploymentJSA claimants NEET (16- 24yrs) London67.50%10%4.30%N/A UK70.30%8.4%3.90%15.90% Source: Employment and unemployment figures obtained from LSEO, Feb 2012; JSA claimants from NOMIS, Feb 2012; NEET data obtained from Statistical First Release, Dept for Education Feb 2012.

Apprenticeships Starts England 2011 Ethnic categories2010/11 White109,66 (91.5%) Asian3,690 (3.1%) Black2,550 (2,1%) Mixed2,190 (1.8%) Others710 (0.6%) Not Known1,030 (0.9%) Total119,830 (100%) Source: Data Service, Oct 11

Overview of Government strategy Youth Contract Work Programme New Enterprise Allowance (40,000 individuals support) Localism - Local enterprise partnerships Regional Growth Fund (According to National Audit Office a job is costing between £5k and £200k)

Youth Contract In response to the challenge of youth unemployment the Government announced a £1billion Youth Contract to help young unemployed people get a job. The Youth Contract will provide nearly half-a-million new opportunities for years olds, including apprenticeships and voluntary work experience placements. It also marks a substantial increase in the support and help available to young people through the Work Programme, Jobcentre Plus and sector-based work academies.

Work Programme (WP) The WP is delivered for Jobcentre Plus by specialist organisations, called ‘providers’. Providers help clients to find and stay in work WP may include you taking part in activities to help you find work like: –work experience –training and further support The support you get will be tailored to your individual needs and circumstances. Your involvement in the WP will last up to two years. JSA claimants may have to take part in the WP after: 9 months - if you’re aged 18 to months - if you’re 25 or over

Key Issues Racial inequalities persist but no central or local government targets for closing gaps More local action required to promote young enterprise growth

Thank you