Expanding Horizons: How can human and physical infrastructure policies help cities improve the economic fortunes of their residents? Naomi Clayton 1 st July 2011

City Collaboration Research How can human and physical infrastructure policy improve the economic fortunes of residents in less economically successful areas by strengthening links to neighbouring areas and towns? Report 1 – Changing barriers to employment and the implications for the Work Programme Report 2 – More detailed look at transport policies and their potential role in helping overcome barriers to work

The geography of low-skilled jobs is changing Change in regional share of employment in low skilled occupations (skills levels 1 and 2), 1991 to 2001 Map A: Local authorities in E&W Map B: English cities

But worklessness remains highly concentrated – often in inner cities Source: NOMIS 2011, DWP Benefits

The nature of jobs is also changing Source: NOMIS 2011, Annual Population Survey, residents analysis, 2004 and 2009 data

The balance between supply and demand for jobs amongst low skilled occupations across local areas Job Balance Level 1 Oct04-Sept07 Job Balance Level 1 Oct07-Sept10

The balance between supply and demand for jobs amongst high skilled occupations across local areas Job Balance Level 4 Oct04-Sept07 Job Balance Level 4 Oct07-Sept10

But spatial horizons of those in work vary significantly… Percentage of residents working and living in the same Local Authority area Low-skilled occupations High-skilled occupations

Influenced by a range of factors… Supply side barriersDemand side barriers Personal CharacteristicsSocio-economic barriers Employer recruitmentLocal labour demand External factors - Education - Professional qualifications - Work Experience - CV / interview skills - Soft skills - No-work culture - Childcare - Age - Sex - Race - Health - Private transport - Public transport - Job accessibility - Cost of transport - Housing Employer discrimination (real or perceived) based on: - Work experience - Postcode - Length of unemployment - Age / Sex / Race - Recruitment area - Job density - Employment growth - Sectors - Occupations / skills - Nature of work offered (part- time / full time / shift work ) Place Job search horizons

Summary -Spatial mobility, qualifications and skills are becoming more important -Mobility has always been a part of the working life of the higher-skilled – now becoming more important for the lower-skilled -Multiple barriers to spatial mobility meaning that the lower-skilled tend to be less mobile

Implications -Partnership across policy areas and with other delivery agencies is crucial (City Pathfinders) -Implications for policy relating to jobs, skills, transport and planning, and housing -Addressing any of the barriers to employment in isolation is likely to be insufficient -Continue to improve skills and qualifications – responding to the needs of local employers (NYPD) -Importance of in-work progression across the whole workforce -Working with LEPs, local planning authorities, transport providers to ensure jobs are accessible -Improving the mobility of social housing tenants – providing strategic input -Exact approach dependent on local labour market conditions, as well as individual needs (intelligence and flexibility)

Additional slides

A note on definitions… The analysis categorises jobs into four different skills levels according to occupation: Level 1: Elementary jobs (inc. labourers, bar staff, farm workers, cleaners) Level 2: Administrative and secretarial occupations, personal and customer service occupations, sales occupations, and machine operatives Level 3: Associate professionals and skilled trade occupations Level 4: Managers and professional occupations Analysis focuses on skills levels 1 and 2 as these closely relate to the occupations often sought by jobseekers (majority seek elementary occupations or sales and customer service occupations) A word of caution: Same occupational title used for a very different set of skills requirements by different employers (e.g. corner shop manager versus global bank manager)

How does the number of jobs compare to the number of people? Job Balance Level 1 Oct04-Sept07 Low-skilled occupationsHigh-skilled occupations Job Balance Level 4 Oct04-Sept07

How does the number of jobs compare to the number of people in Manchester city-region?