The Department for Work and Pensions has published its 'Get Britain Working' white paper, which intends to increase the UK's employment rate to 80% and help people out of economic inactivity.
What's in the paper?
There are a number of areas of interest for hospitality in the paper:
- 1
National Careers Service
The Government intends to overhaul Jobcentres and bring them together with the National Careers Service. This work will be backed by £55m in funding.
It aims to help people get into work, stay in work, build skills and progress in their career.
- 2
Youth Guarantee
A ‘Youth Guarantee’ aims to ensure every 18-to-21-year-old in England has access to an apprenticeship, training or education opportunities to help them find a job.
There will also be eight youth trailblazer areas set up across the country. This will have £45m of funding to help those most at risk of falling out of education and employment, by matching them with opportunities for education, training or work.
- 3
Growth and Skills Levy
The Government’s manifesto commitment to reform the Apprenticeship Levy into a Growth and Skills Levy will have £40m worth of funding.
It aims to deliver new foundation and shorter apprenticeships in key sectors.
Our response
Kate Nicholls, Chief Executive of UKHospitality, said: “Hospitality is proud to offer jobs for everyone – from working parents and students, to people with disabilities or those looking to re-enter the workforce.
“Many of the proposals in this white paper can benefit hospitality and further that work. The focus on young people, through the Youth Guarantee, is positive, particularly as hospitality gives so many people their first job and a path to progress from bar to board.
“The commitment to overhaul the Jobcentre system is also encouraging. That work must focus on the employment requirements of local businesses if it is to fully to benefit those communities.
“The transformation of the Apprenticeship Levy is a long-standing priority for hospitality and much needed. We now need to see a clear timetable for reform and that all relevant sectors are included in the testing of Foundation Apprenticeships.
“Hospitality can help the Government achieve its aim of getting those economically inactive back into employment and I would urge them to permanently roll out our skills pilot to accelerate this. That pilot was extremely successful, generating an 85% completion rate with 80% of people now employed in hospitality.
“While this white paper is largely positive, the elephant in the room is the detrimental impact the changes to employer National Insurance Contributions will have to employment in the sector. We need to see that urgently addressed with action to mitigate the impact on team members working lower hours.”