Youth Unemployment sand the Future Jobs Fund - Work and Pensions Committee Contents


Written evidence submitted by Creative Development Consultancy

Traditionally those who have a talent for creative work tend not to have the time or inclination to keep on top of the day to day tasks. Many don't want the responsibility of taking on a new person, full time and need to examine the situation more closely before committing. At first they want an extra pair of hands; someone who has the right skills and an understanding and love of the work they do and the potential to become a long term staff member

In our experience those in the creative sector are very careful about who they chose to work with. They tend to have a very strong work ethic and committment to training and supporting their staff. They take their responsabilities very seriously. Because of this culture we have build many successful relationships with employers and forged long term opportunities for placing suitable young people where they will be greatly valued. We work as advisers in The University of the Arts and many graduates who have been looking, without success, for work for some time return to the advice sessions. We also work with community projects which attract many young people looking for work experience. These are the people we would like to help.

The Creative Industries sector:

  • contributes 6.4% GVA and has grown by an average of 4% from 1997 to 2006 compared to 3% of the whole of the economy;
  • contributes a greater proportion of GDP than any other nation according to a recent OECD study [52];
  • accounted for £16 billion of exports in 2006 equating to 4.3% of all goods and services;
  • employs an estimated 1.98 million people, equating to 6.78% of the working population. Of these, 1.15 million work within creative companies across 157,400 registered businesses (2008) and the remaining 800,000 work in a creative capacity in other non-"creative industry" sectors.

In recent years, creative employment has been growing at 2%, comparing favourably with a 1% average for the whole economy.

We are writing to submit our evidence regarding the success of FJF in terms of our own experience.

1.  THE EXTENT TO WHICH THE FJF HAS SUCCEEDED IN MATCHING NEW WORK EXPERIENCE OPPORTUNITIES TO YOUNG UNEMPLOYED PEOPLE.

The response we received for our client base to the offer of interns funded by FJF was very well received.

We expect to create 60 jobs throughout the year in London and the south east., concentrating on regeneration areas We work with small arts organisations and small social enterprises . Both of these groups are often approach by people who want to gain experience by acting as an intern. We are also often asked if we know of anyone who would be suitable to fill a post from some specialist recruitment agencies. As well as our own clients.

We work with a network of 350 business in Kings Cross who fit this description 17% have said they have an interest in expanding their workforce in this way.

Creative Exchange, is running a programme in partnership with the Brighton and Hove Business Forum There is a keen awareness from the city that the creative sector must be supported in order to ensure the economic recovery of the area. It has attracted local industry experts, local businesses local sponsors who are keen to put their name to this initiative. The programme is supporting over 300 businesses. A quarter of these businesses have expressed a desire to build capacity in this way.

We work with several charities who expressed an interest of providing places for one or two people.

We have a client who owns seven office buildings . This organisation had hope to place a young person in each if these to work on reception, we had then hoped to offer the service to each of the businesses in the building.

2.  STRENGTHS AND WEAKNESSES OF THE FJF PROGRAMME FROM THE PERSPECTIVE OF PROVIDERS (INCLUDING IN THE THIRD SECTOR), EMPLOYERS AND YOUNG UNEMPLOYED PEOPLE, AND PARTICULARLY IN RELATION TO THE LONG-TERM SUSTAINABILITY OF EMPLOYMENT OPPORTUNITIES

Strengths

Young people in this sector are very keen to work. They do approach organisations such as ours or the business themselves.

FJF was the clear and uncomplicated offer; employers understand the value of the offer. They appreciated the fact that they would be supported throughout the first six months and that the young person would be mentored by someone who understood their industry. This programme is easy to adminster and realistic programme with good payment points and realistic paperwork.

Weaknesses

The only weakness was the marketing of the programme. We are very aware that this sector is largely unaware or not attracted to government support. They would never consider approaching a Job Centre to increase their workforce. By the same token a young person wanting to work in that sector would not approach a Job Center Not one employer we spoke to had heard of the programme until we mentioned it.

3.  THE LIKELY IMPACT OF THE DECISION TO END THE FJF IN MARCH 2011 RATHER THAN MARCH 2012

We can only comment as potential deliverers of FJF via the 3SC contract, as we had an allocation to deliver 30 jobs We still have these jobs ready and waiting and the job descriptions written. We cannot match the jobs and employers to young people without an extension to the contract and this work will be wasted. We are still engaged with employers in the hope that this will be reinstated and have still the interest from employers and the young people targeted, We had already begun to build relationships with the local job centres and were planning to meet with then to assist them in understanding the needs of the sector The impact of the decision to end FJF in March 2011 has meant the loss of 70 jobs in the Brighton area (which we know of) where advertised positions remain unfilled due to lack of capacity within the 3SC and other supplier's contracts.

We had intended to deliver this programme in Hastings together with a local enterprise agency where the unemployment figures are even higher .In both towns there are many cases where more than one generation from each family has become accustomed to the culture of unemployment.

The impact on the growth of the economy and the lack of faith in the government decision not to support young people back to work can only be imagined.

The employers to whom we spoke when marketing FJF and when helping them to create jobs all said that without the input of FJF support and wage subsidy, they were reluctant to take the first step of engaging with marginalised young people and raising their hopes in case they could not fulfil their obligations. These employers will not create jobs, in our opinion, without the support of specialist FJF contract holders who understand the sector, and financial incentive.

We sincerely hope this excellent and worthwhile programme will be reinstated.

11 August 2010



 
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