Select Committee on Economic Affairs Written Evidence


Memorandum by the Department for Work and Pensions (DWP)

Does Jobcentre Plus (JCP) help migrant workers from within the EU find jobs? If so, how has the experience of helping migrant workers find a job compared to helping the locally unemployed?

  On entering the UK, an EU migrant can access JCP self service employment services in the same way as a local unemployed person—they can look for work through the JCP website, through the self service job kiosks in JCP offices and through the Jobseeker Direct telephone service. As these services are of a self service nature, there is no information available on the extent to which migrant workers use them or on the outcomes of migrants' use of these services.

  Once an EU migrant has met the conditions[21] for claiming Jobseeker's Allowance (including having demonstrated that they have a right to reside and are habitually resident in the UK), they have the same rights of access to the full range of JCP services and employment programmes as a local unemployed person. They also have the same responsibilities to do everything they can to get themselves into work. Information is not available about the numbers of migrants accessing the New Deal, but the number of non-UK EU nationals claiming Jobseeker's Allowance is low[22].

  Jobcentre Plus translates its key leaflets into Arabic, Bengali, Chinese, Gujarati, Punjabi and Urdu and also provides an interpreter service where appropriate. It is also piloting a leaflet in Polish on the self service jobsearch support provided for migrant workers already in the UK, which seeks to channel enquiries to our e and phone routes.

  JCP is a member of the EURES network, the European network for promoting and supporting the mobility of workers which was founded in 1994. JCP discharges its obligations as a member of this group by providing a link from its vacancies website to the official EC mobility web site, by publishing information on living and working in the UK, and through a small network of 20 EURES advisers who offer advice on EU labour markets and seek to influence employers who use migrant labour to consider JCP priority customer groups by promoting its services and initiatives.

For jobs in sectors which have relatively large numbers of migrant employees—eg agriculture, catering and construction—why are these jobs not being filled by local workers? Do local workers refuse to do such jobs? Or in some cases is there a skills shortage that cannot be met by the local population? Do you find employers in some sectors prefer to employ migrant workers instead of locals? If so, why?

  Jobseekers Allowance customers cannot refuse a job offer without reasonable grounds, but in some sectors which have relatively large numbers of migrant employees the work available may not be appropriate/a realistic option for JCP customers for practical reasons.

  For example, agricultural work a long way away from population centres might be unsuitable for someone without their own transport—but still attractive to a migrant who is prepared to live on site. Hard physical work will not be appropriate for most Incapacity Benefits customers, and 12 hour night shifts would not be appropriate for many lone parents.

  In some sectors (construction, for example) shortages of specific skills are an issue. The Government recognises the importance of migration for these sectors but also recognises that there is more to do to enable local unemployed people to compete effectively for jobs.

  The newly established Migration Advisory Committee (MAC) and the UK Commission for Employment and Skills (CES) will play a joint role in identifying and addressing such skills shortages. The MAC by providing independent and evidence-based advice to Government on specific sectors and occupations in the labour market where shortages exist which can sensibly be filled by migration and the CES through its role in overseeing performance of the Sector Skills Councils, and by strengthening the role of employers in the development of a more integrated employment and skills service which is better tailored to meeting the needs of employers and thereby addressing skills shortages.

  Previous JCP investigations across a range of sectors have shown that there is strong anecdotal evidence that migrant workers are perceived by employers as harder working and more reliable and that they often have contacts and friends to recommend to employers, making the "grapevine" a common recruitment route. There is also anecdotal evidence that some employers choose to recruit directly in Eastern Europe or use recruitment agents who specialise in supplying migrants.

  As part of Jobcentre Plus support for employers, EURES advisers offer advice on EU labour markets and seek to influence employers who use migrant labour to consider Jobcentre Plus priority customer groups by promoting its services and initiatives. For a few employers with clear skill shortage vacancies, more comprehensive help is offered including putting them in touch with EURES services in other countries. At the request of member states, advisers also attend overseas events with the prime aim of reducing speculative migration to the UK. They do not support employers at these events.

  The recently introduced Local Employment Partnerships (LEPs) are aimed at strengthening the relationship between employers and Jobcentre Plus. Through the LEPs, Jobcentre Plus is working with an increasing number and range of employers to look at measures that can help support benefit claimants back into work. The measures include: offering work trials; working together with other partners on the design of pre-employment training, and agreeing guaranteed interviews for benefit claimants who complete this training; encouraging the mentoring of long term claimants by employees to help prepare them for work; reviewing application processes to ensure benefit claimants are not inadvertently excluded.

  In addition, Jobcentre Plus is analysing the occupational preferences of benefit claimants and comparing these to employers' job forecasts. This enables Jobcentre Plus to identify training/support needs and/or where they need to target efforts to secure additional jobs. Jobcentre Plus Account Managers work with employers to support their recruitment needs and discuss these at both a strategic national level and for specific recruitment exercises. Through these discussions there are opportunities to talk to employers who do recruit from the European Union and to look at how the employer can best fill their range of vacancies, always seeking to maximise the vacancies available to long term benefit claimants.

Many migrant workers appear to be doing jobs for which they are over-qualified. In your experience are there any particular reasons why migrant workers are not doing jobs that are better suited to their qualifications? Do you find that over time migrant workers take up jobs that are better suited to their qualifications?

  Evidence previously submitted to the House of Lords by the Home Office in partnership with DWP[23] includes some discussion of whether migrants are doing work for which they are over qualified. The evidence cites a study by external economists[24] which notes that many new arrivals initially move into lower level occupations than their skills would dictate, and states that this is something policy is addressing through initiatives such as English language training (ESOL), so that language does not represent a barrier to migrants putting their skills to maximum productive use.

  The evidence also cites an external study[25] which suggests that the labour market performance of foreign born workers changes with length of residence in the UK—possibly because they acquire additional skills specific to the UK economy, or tailor their existing skills to the UK labour market.

  External researchers (Dr Richard Dickens and Dr Abigail McKnight) are currently examining, using DWP data, the labour market progression of immigrants entering the UK in terms of their assimilation into the UK labour force. The findings of this research will be published in due course.

  Jobcentre Plus has not conducted any analysis of this issue, but there is some anecdotal evidence to suggest that some migrants take on jobs for which they are over-qualified. This may be because it is quicker and easier for migrants to access low-skilled work because of the nature of the recruitment processes involved. In addition, the difference in wage levels between, for example, the A8 countries and the UK may mean that low skilled work is an attractive option for many migrants, despite the fact that they may have higher skill levels than the job requires.

  From 2008, the Government will introduce a Points Based System (PBS) to replace the existing 80 different routes by which a non-EEA national can come to the UK to work, study or train. Central to the design of the new PBS are; a five tier framework, which will help people understand how the system works and direct applicants to the category that is most appropriate for them; a points-based approach to determining which migrants will be successful with their applications; and the inclusion of sponsors to help ensure that the system is not being abused. For non EEA nationals there is only a limited risk that highly skilled people (Tier 1 Highly skilled individuals to contribute to growth and productivity) would want to take up jobs that JCP client groups might take, and for other tiers the design of the PBS should make it unlikely that skilled people would be competing for jobs where there are no shortages.

30 November 2007




21   Conditions for accession state nationals differ from those which apply to other EU nationals. Back

22   Figures have been supplied to the EAC as part of the evidence the Office for National Statistics have submitted for the Inquiry. Statistical Evidence on the Economic Impact of Immigration. Full document available at: http://www.parliament.uk/documents/upload/EA235%20ONS.doc Back

23   The Economic and Fiscal Impact of Immigration, a report by the Home Office in partnership with DWP, available at http://www.parliament.uk/documents/upload/EA255%20Home%20Office.pdf Back

24   Dustmann, C, Fabbri, F, Preston, I and Wadsworth, J. (2003) The local labour market effects of immigration in the UK,Home Office Online Report 06/03, available at http://www.homeoffi ce.gov.uk/rds/pdfs2/rdsolr0603.pdf Back

25   Dustmann, C, Fabbri, F, Preston, I, Wadsworth, J. (2003) Labour market performance of immigrants in the UK labour market, Home Office Online Report 05/03, available at http://www.homeoffice.gov.uk/rds/pdfs2/rdsolr0503.pdf Back


 
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