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


Written evidence submitted by Hampshire County Council

1.  EXECUTIVE SUMMARY

1.1.  This evidence is given by Hampshire County Council on behalf of the New Jobs, New Futures consortium. Furthermore, some consortium partners will be submitting their own evidence to the inquiry.

1.2.  The purpose of this paper is to provide supporting evidence to The Youth Unemployment and Future Jobs Fund Inquiry from the Provider, Employer and Employee perspectives in the delivery of the Future Jobs Fund in the Hampshire and Isle of Wight sub-region.

1.3.  This paper seeks to demonstrate the significant benefits experienced from all perspectives with specific reference to matching new work experience opportunities to young unemployed people and the sustainability of the future jobs fund.

1.4.  The New Jobs, New Futures Consortium has employed 679 young people. This equates to 90% of the agreed profile to the end of September 2010. The consortium is on target to deliver 100% of the agreed profile to the end of March 2011.

1.5.  Significant findings show that in Hampshire and the Isle of Wight 47% of those leaving Future Jobs Fund employment are going into employment. Whilst only 7% of those in Future Jobs Fund employment leave early.

1.6.  The impact of the decision to end the Future Jobs Fund in March 2011 rather than March 2012 has effectively reduced the vacancies available to young people by 900 positions.

1.7.  The Future Jobs Fund has engendered extremely successful partnership working and although lessons learnt are valuable, without the delivery of a joint programmes such as the Future Jobs Fund, these partnerships will diminish.

2.  INTRODUCTION

2.1.  Hampshire County Council is the lead accountable body for the "New Jobs, New Futures" project, a consortium initiative that covers the Hampshire and Isle of Wight sub-region, funded by the Future Jobs Fund. The New Jobs, New Future project is creating 900 real jobs for long-term unemployed 18-24 year olds and continues to 31 March 2011.

2.2.  In June 2009 unemployment figures among Hampshire's young people had nearly doubled from the previous 12 months. 5.5% per cent of the county's 103,000 18-24 year olds were out of work. Of these 5,600 unemployed young people, 754 had been Jobcentre Plus customers for over six months. In addition to this, vacancy numbers were shrinking; in Hampshire, the May 2008 rate stood at 10,234, by May 2009 this had shrunk to 7660.[34] The neighbouring authorities of Southampton, Portsmouth and the Isle of Wight were also noticing a considerable increase in youth unemployment and this prompted a joint consortium approach to the Future Jobs Fund.

2.3.  The New Jobs, New Futures consortium partners have significant experience in delivering European and Nationally funded employment and skills initiatives and have joined together from the public, private and third sector to deliver the New Jobs, New Futures project. The lead consortium providers are Hampshire County Council; Portsmouth City Council; Southampton City Council; Southampton Solent University; Wheatsheath Trust; Groundwork Solent; The City Growth Business Group; VT Training; and Community Empowerment Ltd. In addition to these partners, jobs are being delivered across a range of employers from all sectors. The consortium structure is shown in Annex I.

2.4.  The Future Jobs Fund is specifically intended to help those individuals that need the most support. In addition to long term unemployment Future Jobs Fund employees in Hampshire experience multiple barriers to work with 26% having a disability or medical issue; 9% having a positive CRB return and 80% having no formal qualifications beyond secondary education. The New Jobs, New Futures project provides a wide range of wrap-around support for individuals including personal development, vocational training, mentoring, job search and support to progress into permanent employment.

2.5.  The New Jobs, New Futures project sees partners creating job opportunities across a wide geographic area to deliver a variety of community benefits, fitting broadly into the following categories: Conservation and countryside; Environmental improvements and regeneration; Leisure, recreation and tourism; Improved community facilities and public places; Social enterprise support and development; and Sector support of hospitality, construction and tourism. The tangible practical improvements of creating these jobs will include better access to green space, safer and more welcoming urban centres, better access to and awareness of healthy lifestyles; improved leisure and recreational facilities; improved community facilities and more opportunities for young and older people.

3.  MATCHING NEW WORK EXPERIENCE OPPORTUNITIES TO YOUNG UNEMPLOYED PEOPLE.

3.1.  The job opportunities identified in the New Jobs New Future project were specifically selected to be suitable for young unemployed people with no or little work experience. Working closely with their assigned Jobcentre Plus Partnership Managers the consortium providers have developed opportunities to meet both the need of the employee and the employer.

3.2.  In preparation for the New Jobs, New Futures project on-flow data was produced to estimate the concentration of long term youth unemployment by geography over the period of the project. This data was used to create a monthly profile of job delivery across partners agreed with the Department for Work and Pensions

3.3.  The New Jobs, New Futures Consortium has employed 679 young people. This equates to 90% of the agreed profile to the end of September 2010. The consortium is on target to deliver 100% of the agreed profile to the end of March 2011.

3.4.  Those employees leaving employment before completing the duration of the Future Jobs Fund contract is recorded at 47. This equates to a overall employee turnover rate of just 7% compared to the average UK rate of 13.5% for employment generally[35].

3.5.  The success of matching new work experience opportunities to young unemployed people is attributed to a number of factors, these being:

  • 3.5.1.  Accurate profiling of job delivery by consortium partners and the Department for Work and Pensions: The Hampshire and Isle of Wight sub-region has a varied demographic with concentrations of youth unemployment. To ensure an equitable spread of opportunities on-flow data has been used to estimate where and when provision is more likely to be needed.
  • 3.5.2.  The creation and selection of suitable employment opportunities for young unemployed people by consortium partners and Jobcentre Plus Partnership Managers: A significant focus has been on developing roles that match both the need of the employer and that of the employee with jobs being specifically created to overcome some of the barriers faced by unemployed young people. The range of partners in the consortium has afforded diverse employment opportunities and experiences. In particular, the varied services delivered by the public sector has opened a range of opportunities to young people that would not otherwise be available.
  • 3.5.3.  The effective selection of candidates and support given to JSA claimants in taking up Future Jobs Fund opportunities by Jobcentre Plus: The New Jobs, New futures project has worked closely with Jobcentre Plus through all stages of recruitment. The invaluable partnership working between providers and the Jobcentre Plus Partnership Managers has enabled quick and effective selection of candidates.
  • 3.5.4.  The flexibility of the Future Jobs Fund criteria allowing providers to design project delivery to specifically support local need: With its rural, urban and coastal zones the Hampshire and Isle of Wight sub-region affords a diverse range of industries and as such project delivery requires multiple support options. The flexibility of the Future Jobs Fund has allowed bespoke delivery mechanisms to address need in a specific area.
  • 3.5.5.  The effective partnership working between the public, private and third sector to provide cross-sectoral support across the consortium area: The consortium has drawn on expertise from the public, private and third sector; sharing resources and expertise to deliver the project.
  • 3.5.6.  The high profile and recognition of the Future Jobs Fund gives organisations the tools to make tackling youth unemployment a priority: Being involved with the Future Jobs Fund has enabled organisations to pursue their aims of tackling youth unemployment. As well as giving organisations the resources to employ young people, the Future Jobs Fund has equipped them with the skills, experience and purpose to address this key issue.
  • 3.5.7.  Willingness of providers and employers to support young people into employment: All the consortium partners have come together to support unemployed young people through the Future Jobs Fund. This project is working with young people that are often not "work-ready". The good will of employers in providing extra support to these vulnerable employees who not normally be afforded such opportunities is essential in making the Future Jobs Fund a success.

4.  THE PROVIDER AND EMPLOYER PERSPECTIVE

4.1.  The employment opportunities created for the New Jobs New Future project have, in line with the Future Jobs Fund criteria, been additional posts providing a wide range of benefits to local communities. The discrete nature of the jobs means that the opportunities are time limited. The consortium partners have however found innovative ways of retaining staff beyond the initial six months Future Jobs Fund positions. In Southampton, for example, the Future Jobs Fund has contributed to 30 apprenticeships within the local primary care trust.

4.2.  With its rural, urban and coastal zones the Hampshire and Isle of Wight sub-region affords a diverse range of industries and as such project delivery requires multiple support options. The flexibility of the Future Jobs Fund has allowed bespoke delivery mechanisms to address need in a specific area.

4.3.  Although not all employees have been recruited "work-ready", the Future Jobs Fund allows for additional support to be given, in most cases making the employee an asset to the employer and adding value to the community initiatives they are involved in. Many employers have found alternative employment for their employee once the Future Jobs Fund opportunity is complete.

4.4.  The Future Jobs Fund has enabled closer working relationships between sectors and between multiple agencies. The Jobcentre Plus Partnership managers have facilitated new relationships between local authorities and Jobscentre Plus, which, whilst always in existence were often not coordinated.

4.5.  The delivery of the Future Jobs Fund is however hindered by the seemingly unnecessary duplication of processes and delays from other agencies. For example, the Future Jobs Fund delivery requires a quick recruitment process, however waiting on candidates to produce identification already supplied to Jobcentre Plus and the unnecessarily long wait for CRB check, does cause significant delays.

4.6.  Future Jobs Fund candidates often undertake extra support with Jobcentre Plus to move them towards work prior to taking up a placement. In some cases this intervention is clearly failing and results in a continuing need for intensive support during the Future Jobs Fund placement.

5.  THE EMPLOYEE PERSPECTIVE

5.1.  Current leaver data for the New Jobs, New futures project shows that 47% of employees are moving on to other employment following the completion of all or part of their Future Jobs Fund opportunity. This statistic clearly demonstrates the sustained improvement the Future Jobs Fund is making to the employment prospects of young people.

5.2.  The strengths of the new Jobs New futures project in terms of its impact on young people's lives have been observed and documented through numerous discussions held with FJF employees and their managers, these being:

  • 5.2.1.  Young people have been given an opportunity to learn and develop transferable skills to enable them to be more competitive in the labour market. The Future Jobs Fund is helping young people to adjust to work patterns and prepare them for the world of work.
  • 5.2.2.  Young people are not simply given a job, the approach of the Future Jobs Fund project equips them with skills to find a job and learn about the competitive job application process.
  • 5.2.3.  The Future Jobs Fund has seen placements in various industries, broadening young people's mind to the opportunities and career paths that they may have not previously considered.
  • 5.2.4.  The Future Jobs Fund improves young people's confidence, skills and knowledge within particular industries.
  • 5.2.5.  The Future Jobs Fund project breaks down barriers to employment for those young people faced with long-term unemployment, learning and other disabilities and/or troubled background increasing their chances of future employment.
  • 5.2.6.  The Future Jobs Fund gives young people financial independence allowing them to contribute to the economy.
  • 5.2.7.  Giving young people the opportunity to undertake work that genuinely benefits communities will engender a sense of community pride and ownership in participants long after the Future Jobs Fund programme.

5.3.   The anecdotal evidence given by the employees is strengthened by the leaver data showing an employment rate of 47%. Additionally this is supported by two case studies in Annex II

5.4.  The employee experience on the whole has been a positive one however the Short-term nature of a six month contract in some cases appears to be too short for young people to build solid transferable skills to enable them to compete confidently in the open labour market.

6.  Due to the successful delivery of the New Jobs, New Futures project Hampshire County Council was eligible to bid for further funding from the Future Jobs Fund. This would have equated to another 900 jobs for unemployed young people across the sub-region. The impact of the decision to end the Future Jobs Fund in March 2011 rather than March 2012 has effectively reduced the vacancies available to young people by 900 positions. The Future Jobs Fund has facilitated extremely successful partnership working and although lessons learnt are valuable, without the delivery of a joint programmes such as the Future Jobs Fund, these partnerships will diminish.

7.  The nature of the transition from the Future Jobs Fund to the Work Programme is unknown at this stage as consortium partners have had little or no involvement in the development of the Work Programme as there has been no consultation to date. Hampshire County Council is already working closely with the National Apprenticeship Scheme to deliver apprenticeships within the council and is applying to become an Apprenticeship Training Association. Apprenticeships will be an option to some Future Jobs Fund employees but there is nor formal transition.

17 September 2010



34   ONS - DWP. Back

35   CIPD 2010 Resourcing and talent planning survey. Back


 
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