Stuart Gentle Publisher at Onrec

Contractor Umbrella News: Despite government incentives, less than half of firms plan to hire young workers

A recent report has shown that just 46% of businesses are planning to take on a young person in 2021 – this is despite new government incentives to do so

Over 1,000 employers were surveyed by the CIPD for their Covid-19 and the youth labour market report. It looked into the likely impact of new incentives to boost provision of traineeships, apprenticeships, and six-month work placements through the Kickstart scheme.

Interestingly, the findings revealed that many employers don’t tend to take on young people, with 28% admitting that they hadn’t hired an education leaver to a first job in the last two or three years. For those that do, they were more likely to take on university graduates than college and school leavers.

Lizzie Crowley, senior skills adviser at the CIPD, commented on the findings, “Employers and the Government need to meet each other halfway to improve employment prospects for young people who’ve been hit hardest by the pandemic. 

“On the one hand, our report makes it clear that the Government’s incentives to improve apprenticeships don’t gar far enough, particularly given that many employers don’t have a strong track record on them. Equally, not enough employers are aware of traineeships to take advantage of the incentive on offer.

“On the other hand, employers also need to look beyond graduates and rethink how they are investing in, and developing, young people. Not only can apprenticeships and traineeships be a great way of creating a young talent pool but, at a time when there’s a jobs crisis, they can give young people a much-needed foot in the door.”

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