Youth Unemployment in the Interim Report

Youth Employment Commission June 2014

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Content

Index Page No Youth Employment Commission Chair’s Foreword 3 Executive Summary 4 Introduction 9 Youth Unemployment – European Perspective 12 Youth Unemployment in UK and the Black Country 15 Not in Education, Employment or Training 14 Black Country Local Enterprise Partnership 17 Third Sector 19 Talent Match 21 Work Experience Schemes 22 Plymouth City Council – 1000 Club 24 Schools Colleges and Connexions 27 Future First and Sandwell Metropolitan Council’s Job 31 Junction Findings 34 Recommendations 37

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Foreword

Councillor Chris Worsey – Chair of Youth Employment Commission

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Executive Summary

The Youth Employment Commission was established in direct response to the level of unemployment amongst young people in Sandwell and the surrounding areas of the ‘Black Country’ where it identified the need to focus on better employment prospects for young people living in the Black Country.

The overall aim of the Youth Employment Commission was to review the Council’s and the wider partnership approach when delivering outcomes in relation to Youth Employment.

In order to achieve the aims of the Commission it was decided they would:-

(a) explore the issues around youth unemployment for 16- 24 year olds within all the Boroughs of the Black Country, working with public sector organisations, the business community, schools, colleges, young people’s groups and any other interested parties to develop an understanding of the reasons for the levels of youth unemployment, its implications now and for the future, and what can be done to improve the situation for young people seeking employment and entering work;

(b) explore the perceptions of local businesses (predominately Small and Medium Enterprises) around youth employment and their expectations of the agencies involved in reducing youth unemployment;

(c) identify how the Council may use its strategic role to influence and encourage the improvement and development of the approach to youth unemployment by working closely with the relevant agencies and organisations and local businesses to improve employment prospects for young people.

4 ILO Unclassified Findings

From July to September 2013, 965,000 young people aged 16-24 were unemployed in the UK and the unemployment rate was 21.0%. Of these 282,000 were unemployed for 12 months or more.

From July to September 2013, there were 1.07 million young people (aged from 16 to 24) in the UK who were Not in Education, Employment or Training (NEET)

In Sandwell 15.6% (1,146) of young people were identified as not in education, employment or training.

The Commission was made aware that there were gains to be obtained from identifying those young people at risk of becoming NEETS. Early interventions were six times more likely to be cost effective.

A screening tool had been developed, in Sandwell which took into account measurable risk factors that identified those young people still at school that were likely to become NEET – not in education, employment or training.

NEET risk factors varied according to geographical areas, for instance, the lack of car ownership in rural localities was much more significant, than for those living in suburban areas which had access to public transport.

Early interventions in relation to those not in education, employment or training were six times more likely to be cost effective.

There were difficulties in obtaining the required screening information from some schools and academies, as well as, getting the schools to ask students relevant questions, which would identify those that were likely to become not in education, employment or training.

The Local Enterprise Partnership also identified four critical areas for skills that related to work force development opportunities; unemployment; apprenticeships and young people

The Black Country Local Enterprise Partnership wanted to establish, as part of ‘skills for the future’, a Black Country-wide

5 ILO Unclassified Education Business Partnership to encourage more business people to serve as school and college governors.

Although there were 13,380 apprenticeships in the Black Country, another additional 7,783 apprenticeships were needed.

Businesses needed a high quality workforce with the appropriate skills, but there were significant gaps, especially at National Vocational Qualification (NVQ) level 3.

There was a need to work with schools to alter the current perception of manufacturing industries.

‘Talent Match’ was a new project to target specific groups of young people in the Black Country, aged between 18-24 years old, who have been out of work, training, or education for at least twelve months, such as, disabled young people, members of travelling families and young offenders.

‘Talent Match’ would be based at six Hubs set up in geographical hotspots throughout the Black Country.

These hubs would engage with local employers, local voluntary and community organisations to develop local boards or forums and act as ambassadors drawing on local contacts such as local businesses, Further Education colleges, MPs and councillors.

The Work Experience Programme, launched in 2012, achieved 157 work placements where 45 people managed to obtain permanent work. Since its launch, it has built on its success and 190 people were offered placements in 2013.

The Plymouth City Council ‘1000 Club’ started in September 2012 planned to recruit 1000 businesses that would be committed to support young people into work and offered a single point of access where businesses could receive unbiased advice.

In January 2014 Plymouth had received the support from 904 employers and they had provided 2,319 opportunities for young people and current projections indicate that the 1000 Club will reach its target of 1000 businesses by April 2014.

Private schools and universities effectively harnessed the talent, time and support of former students via their alumni, and it was felt this could benefit state schools.

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Former students from state schools that provided talks at their school assemblies, about their experiences after leaving school proved to be inspirational and provided a role model for current students.

Over 120,000 young people had benefited directly from the alumni workshops that had been held in the past year and 78% of students said they wanted to work harder after meeting former students.

Sandwell Metropolitan Council’s pilot scheme ‘Job Junction’ intends to bring together schools, employers and strategic partners to deliver constructive, relevant careers guidance and support. The plan is to raise expectations and build aspirations for both the business sector and young people and this will include primary schools to achieve this at a young age.

There were also benefits for the community where parents, carers, and local residents could use the ‘Job Junction’ to develop their interview technique, prepare their Curriculum Vitae or access live vacancies.

Recommendations

1. That the Leader of the Council, in consultation with the Area Director - Regeneration and Economy, Sandwell Metropolitan Council, be requested to formally write to schools and academies in Sandwell (with YR9 pupils) to ask that they contribute, in a timely fashion, to the dataset information required by Sandwell’s Senior Educational Psychologist and the Connexions Service which would identify those students that are at risk of becoming NEET - not in education, employment or training.

2. That in order to support businesses, the relevant Chief Officer in each local authority in the Black Country write to their respective colleges requesting them to provide courses relevant to the needs of local businesses, such as engineering.

3. That the relevant Chief Officer in each local authority in the Black Country request schools in their respective area to make themselves more accessible to local businesses to enable them to act as ambassadors either in the role of a

7 ILO Unclassified business governor or by inviting them to provide information to young people about the work they do and the career prospects they can offer.

4. That the relevant Chief Officer in each local authority in the Black Country request schools and colleges in their respective area to encourage and support local businesses to take on more apprentices and to offer, where possible, opportunities for students to visit their premises to learn about the working environment.

5. That to ensure ‘Talent Match’ are able to help those young people that have been out of work, education or training for more than twelve months, local authorities and councillors of the ‘Black Country’ be encouraged to support the work of ‘Talent Match’.

6. That the Area Director – Regeneration and Economy, Sandwell Metropolitan Council, investigate the feasibility of building on the existing work arrangements with private sector employers, Job Centre Plus and the Black Country Local Enterprise Partnership to develop Plymouth City Council’s 1000 Club Model for Sandwell, with the intention to bring together employers and job seekers in Sandwell and this to be made available on the web.

7. That the Chamber of Commerce, Local Enterprise Partnership and the Black Country Consortium develop a Black Country wide strategy to work with schools and colleges and to encourage more businesses to offer work experience placements.

8. That the Area Director – Regeneration and Economy, Sandwell Metropolitan Council, conduct a feasibility study to ascertain whether Sandwell Metropolitan Council, by working with Future First, could potentially enhance the ‘Job Junction’ career aspirations programme within Schools.

9. That in the event of any enhancements being identified arising from Recommendation 8 above, consideration be given to rolling out the careers aspirations programme to all secondary schools in the borough, possibly through Future First or another provider, subject to European procurement/tendering regulations.

8 ILO Unclassified 10. That the relevant Chief Officer in each local authority in the Black Country consider writing to all secondary head teachers of schools in their respective area recommending that they undertake individual discussions with representatives of Future First or other similar providers to ascertain whether their school would benefit from a careers aspiration programme.

Introduction

According to the UK Commission for Employment and Skills, youth unemployment in the UK is just below the average of our European partners, at around 22%, but it is rising and has been since 2005. The level of youth unemployment in Sandwell has been identified as a significant challenge for the Borough.

As well as young people perhaps not having the necessary education or skills to obtain meaningful work, changes in the labour market, recruitment practices and lack of social contacts have been identified as possible causes for being unemployed. This suggests that there have been structural causes beyond the current economic situation where:-  The labour market has been changing in ways that impact negatively on young people;  Recruitment practices make it increasingly difficult for young people to get a foot on the ladder.

The Youth Employment Commission was established in direct response to the level of unemployment amongst young people in Sandwell and the surrounding areas of the ‘Black Country’ and they identified the need to focus on better employment prospects for young people living in the Black Country.

The overall aim of the Youth Employment Commission would be to review the Council and wider partnership approach to delivering outcomes in relation to Youth Employment. This would be in accordance with the aims and objectives of Sandwell Council in partnership with partner agencies and representatives from the Black Country boroughs.

This review would also support Sandwell’s Scorecard priority ‘Great People’ - our children, Sandwell’s future and ‘Great Prospects’ - investing in businesses, people and jobs, with a view to sustaining continuous improvement in the economy of the Black

9 ILO Unclassified Country and providing better prospects for young people in the Borough.

The Commission will be reviewing youth employment for the next two years and it was agreed that there would be an interim report after the first year. This was to ensure any recommendations made during this year would be dealt with in a timely manner to ensure they remained pertinent to the employment needs of young people.

In order to achieve the aims of the Commission it was decided they would:-

(a) explore the issues around youth unemployment for 16- 24 year olds within all the Boroughs of the Black Country, working with public sector organisations, the business community, schools, colleges, young people’s groups and any other interested parties to develop an understanding of the reasons for the levels of youth unemployment, its implications now and for the future, and what can be done to improve the situation for young people seeking employment and entering work;

(b) explore the perceptions of local businesses (predominately Small and Medium Enterprises) around youth employment and their expectations of the agencies involved in reducing youth unemployment;

(c) identify how the Council may use its strategic role to influence and encourage the improvement and development of the approach to youth unemployment by working closely with the relevant agencies and organisations and local businesses to improve employment prospects for young people.

The members of all the authorities represented on the Youth Employment Commission agreed they would submit the findings and recommendations from this review to their respective Cabinets for consideration.

The objectives of the Commission were to:

a) Understand the extent of youth unemployment in Sandwell and the Black Country. b) Understand the causes of youth unemployment.

10 ILO Unclassified c) To take into account equality and diversity matters in relation to youth employment. d) Understand the barriers that can prevent young people obtaining meaningful employment. e) Understand what career choices are being offered to young people and whether the careers advice they receive, meet their needs. f) Identify what courses were being offered in local schools and colleges and what type of employment prospects young people had after completing these courses. g) Establish how effectively schools, colleges and businesses, with other relevant partner organisations, work together to ensure relevant courses are offered to meet the needs of young people and businesses locally. h) Assess how young people are made aware of the job opportunities available to them - whether businesses locally are proactive in raising awareness such as visiting colleges or schools. i) Understand what the local businesses recruitment expectations are and whether the education and training young people receive, matches the employer’s needs. j) Assess whether the information and training young people receive at schools and colleges helps prepare them for work and ensures they are work ready. k) Assess what work placements opportunities young people have, the relevance of what is being offered, what they learn and whether it prepares young people for meaningful employment when leaving school or college. l) Explore whether young people, that are interested, could be given the opportunity to develop the entrepreneurial skills to start a business or become self employed. This to include the training, Government Grants/funds and support that is readily available for young people in Sandwell and the Black Country? m) Identify the types of apprenticeships and training schemes that are available in Sandwell and the Black Country and whether there would be scope for local businesses - including Councils to provide more apprenticeships and assess whether these could be for a longer term. n) Assess what is needed to make Sandwell and the Black Country more attractive to new businesses starting up in the area. o) Consider any current and future relevant Government legislation or policy, relating to youth unemployment,

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They agreed to include the following in the scope:-

 Young people from 16 – 24 years including those with disabilities and learning difficulties  The views and experiences of young people when trying to obtain careers advice, work placements, training and employment  The views of businesses within Sandwell and Black Country area  The views of Schools and Colleges within Sandwell and Black Country area

The following was excluded from the scope:-

 Adults from 25 years to retirement age.

Youth Unemployment – European Perspective

According to the information provided by the European Commission (Eurostat) the economic crisis had adversely affected the young more than other age groups. From the beginning of 2009 the gap between the youth and the total unemployment rate had increased, where at the end of 2012, the youth unemployment rate was 2.6 times greater than the total rate for all those unemployed. This meant that more than one out of every five (over 20%) of young people in Europe were not employed, but were looking and available for a job.

Broken down by country the youth unemployment rate was particularly high in Greece (55.4 %), Spain (53.2 %), Portugal (37.7 %), Italy (35.3 %), Slovakia (34.0 %) and Ireland (30.4 %).

Germany (8.1 %), Austria (8.7 %) and the Netherlands (9.5 %) were the only Member States where the youth unemployment rate was below 10 %.

In October 2013, the youth unemployment rate had risen to 23.7 % for the 28 states of the European Union. The lowest rates were again observed in Germany (7.8 %), Austria (9.4 %) and the Netherlands (11.6 %), with the highest rates in Greece (58.0 %), Spain (57.4 %) and Croatia (52.4 %).

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Youth Unemployment in the UK and the Black Country

In July to September 2013, 965,000 young people aged 16-24 were unemployed in the UK and the unemployment rate was 21.0%. Of these 282,000 were unemployed for 12 months or more.

Unfortunately the information on youth employment relating to Sandwell, and Wolverhampton only includes young people aged 18-24 years and cannot be directly equated to the national 16-24 figures for July – September 2013.

However, figures for those claiming Job Seekers Allowance in November 2013 showed that the Black Country has a higher percentage of claimants than the West (6.3%) or the UK (5.1%), with Wolverhampton having the highest percentage of claimants (11.1%) closely followed by Sandwell (10.6%).

Local Number % West UK Authority Unemployed Midlands % % Sandwell 3015 10.6 Dudley 2350 9.3 6.3 5.1 Walsall 2255 9.3 Wolverhampton 2750 11.1 Table with 18-24 year olds that were claiming JSA by local authority in November 2013 (nomis official labour market statistics)

The Commission received information about those on Job Seekers Allowance and were made aware that in some Black Country wards young people represented a third of all Job Seeker Allowance claimants and when non-claimants were added to the figures, the total unemployment for this age group increased significantly by 26%.

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Not in Education, Employment or Training - NEET

According to UK National Statistics in November 2013 for July to September there were 1.07 million young people (aged from 16 to 24) in the UK who were Not in Education, Employment or Training (NEET), which was down 19,000 from April to June 2013 and down 28,000 from a year earlier

The percentage of all young people in the UK who were NEET was 14.9%, and just over half (55.0%) of all young people in the UK who were NEET were looking for work and available for work and therefore classified as unemployed. The remainder were either not looking for work and/or not available for work and therefore classified as economically inactive.

The following table provides information by Black Country Authority of those who were NEET at the end of 2012

Authority 16-18 16-18 16-18 Not Known Estimate Estimate Known Number Number % % Dudley 11,063 730 6.6 24.7 (1) Sandwell 11,210 710 6.3 7.9 Walsall 9,852 630 6.4 6.0 Wolverhampton 8,937 610 6.8 6.6 (1) The proportion 16-18 is more than 50% above average. It is possible that either the number or proportion is inaccurate.

Risk Factors for NEET

It was reported that in Sandwell 15.6% (1,146) of young people were identified as not in education, employment or training.

Sandwell’s Senior Educational Psychologist and a personal adviser from Sandwell Connexions provided the Commission with information about a screening tool they had specifically developed for Sandwell. This screening tool took into account measurable risk factors which identified those young people still at school that were likely to become NEET – not in education, employment or training.

These risk factors were tested and those factors that showed a statistical significance in identifying those young people at risk

14 ILO Unclassified were taken forward. It established that risk factors varied according to geographical areas, for instance, the lack of car ownership in rural localities was much more significant, than for those living in suburban areas which had access to public transport.

The Commission was made aware that there were gains to be obtained from identifying those young people at risk of becoming NEETS. Early interventions were six times more likely to be cost effective, because those that were not in education, employment or training were more likely to:-

 become parents under the age of 18 years old;  have 60% more drug use;  20 times more likely to commit crime;  50% were more likely to have poor health and  10 years less life expectancy.

From the findings of the study identified the following risk factors that were specifically relevant for Sandwell:-

 Accommodation issues;  Low Motivation;  Behaviour issues;  Unemployment in family;  Poor Basic skills;  Known to Youth Offending Team;  School attendance < 80%;  Learning Difficulties and Disability.

These factors were found to correctly identify over half the vulnerable young people, three years, before they left education. Those identified at risk, were given additional support such as home visits, monthly contact via texts and enrichment activities focussing on employment.

The Connexions Service in Sandwell is present at all schools and collects information relating to risk factors plus information relating to behaviour and attendance. They would like to be able to do more, such as family interventions, but this is dependent on further funding.

The Commission were made aware that there were some difficulties in obtaining information from some schools and

15 ILO Unclassified academies, as well as, getting the schools to ask students relevant questions, which would identify those that were likely to become not in education, employment or training. They were also made aware that although some schools/academies offered to obtain this information they did not always provide it in a timely manner, which meant the information could no longer be used.

To assist the Connexions in obtaining this information the Commission recommended:-

‘That the Leader of the Council in consultation with the Area Director – Regeneration and Economy, be requested to formally write to schools and academies in Sandwell (with YR9 pupils) to ask they contribute, in a timely fashion, to the dataset information required by Sandwell’s Senior Psychologist and the Connexions Service which would identify those students that are at risk of becoming NEET – not in education, employment or training.’

A letter was sent on the 12th November 2013 (See Appendix 1) and the feedback received from the Connexions Service was very positive. Following the letter, many schools contacted the Connexions Service to ensure they asked the questions required and to ensure they provided the dataset information in a timely manner.

Recommendation 1 That the Leader of the Council, in consultation with the Area Director - Regeneration and Economy, Sandwell Metropolitan Council, be requested to formally write to schools and academies in Sandwell (with YR9 pupils) to ask that they contribute, in a timely fashion, to the dataset information required by Sandwell’s Senior Educational Psychologist and the Connexions Service which would identify those students that are at risk of becoming NEET - not in education, employment or training.

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Black Country Local Enterprise Partnership

The Commission received an overview on the Black Country Local Enterprise Partnership’s (LEP) objectives in developing the skills of young people in the Black Country, these were:-

 to improve Black Country business competiveness;  to raise employability, education and skills;  to transform the infrastructure and environment.

The Local Enterprise Partnership also identified four critical areas for skills that related to work force development opportunities; unemployment; apprenticeships and young people.

They reported that the attainment levels for children within Key Stage 2 relating to English and Maths had improved over the past five years in the Black Country and even though there had been improvements in those attaining 5+ A*-C grades, this was still lower than the national average.

There were also improvements with children within Key Stage 4, but there were still 47 Black Country schools (56%) that performed below the national average.

The priority of the Local Enterprise Partnership was to establish a Black Country Schools Collaborative, ‘skills for the future’ by:-

 implementing a programme to reverse the deterioration in the performance of primary schools;  providing targeted support for the 12 worst performing secondary schools;  and developing an early warning system to spot declines in performance of good performing schools.

As part of ‘skills for the future’, a Black Country-wide Education Business Partnership the Local Enterprise Partnership also wanted to encourage more business people to serve as school and college governors.

There were 13,380 apprenticeships in the Black Country, but the Local Enterprise Partnership made the Board aware that another additional 7,783 apprenticeships were needed in the following sectors of high manufacturing; advance manufacturing transport

17 ILO Unclassified technologies; environmental technologies; business services; building technologies and enabling sectors.

Apprenticeships were seen as a way of taking forward skills for the future as most manufacturing industries were dominated by an aging workforce. Businesses needed a high quality workforce with the appropriate skills, but there were significant gaps, especially at National Vocational Qualification (NVQ) level 3. Also there was a need to work with schools to alter the current perception of manufacturing industries.

From a survey of Black Country businesses, the Local Enterprise Partnership had established that:-

 just under one half (45%) of Black Country businesses, in the last 12 months, needed to recruit staff;  almost one half (47%) of businesses felt they would be in a position to offer structured in-house training to employees, such as apprenticeships, in the next two years;  business size had a bearing on the availability and propensity to offer training;  1 in 7 businesses currently employed graduates and this figure had risen to roughly one in two for medium/large businesses.

To conclude, the Local Enterprise Partnership’s priorities were to work closely with the Black Country colleges; use existing supply chain relationships to encourage Black Country businesses to invest more in training and build on the success of their ‘Skills Factory’ by extending its scope from high value manufacturing to cover all growth sectors.

To address the concerns raised the Commission proposed that the following recommendations would be taken forward to discuss with schools and colleges when they meet later in the year, to ensure that:-

(a) Colleges provide courses that were relevant to the needs of local businesses such as engineering;

(b) Schools made themselves more accessible to local businesses, to enable them to act as ambassadors either in the role of a business governor or by inviting them to provide information to young people about the work they do and the career prospects they can offer;

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(c) Schools and colleges encourage and support local businesses to take on more apprentices and to offer, where possible, opportunities for students to visit their premises to learn about the working environment.

Recommendation 2 That in order to support businesses, the relevant Chief Officer in each local authority in the Black Country write to their respective colleges requesting them to provide courses relevant to the needs of local businesses, such as engineering.

Recommendation 3 That the relevant Chief Officer in each local authority in the Black Country request schools in their respective area to make themselves more accessible to local businesses to enable them to act as ambassadors either in the role of a business governor or by inviting them to provide information to young people about the work they do and the career prospects they can offer.

Recommendation 4 That the relevant Chief Officer in each local authority in the Black Country request schools and colleges in their respective area to encourage and support local businesses to take on more apprentices and to offer, where possible, opportunities for students to visit their premises to learn about the working environment.

Third Sector

The Commission received a presentation from the Chief Executive of Sandwell Council of Voluntary Organisations (SCVO) about the work they had been leading on to help improve youth employment opportunities in the Black Country. They were not employment specialists, but supported organisations that provided young people with help to obtain work.

They conducted a mapping exercise as part of ‘Talent Match’ that was being set up to understand what provision there was to support young people that were not in employment, education and training (NEET). The plan was this service would offer tailored support and look at a blend of approaches to address service areas that were poorly provided for.

19 ILO Unclassified This mapping exercise identified 224 local support organisations in the Black Country that could provide support to young people that were not in education, employment or training (NEET). They were given a link to a survey via e-mail for completion. Follow-up telephone calls were made to those that had not responded to ensure:-

 the survey had been received;  the survey was relevant to their organisation and  a new e-mail or link was obtained when contacts had left and fill in gaps when information was missing.

From this, 81 profiles were completed, 9 from the private sector, 6 from the public sector and 66 from the voluntary sector.

An analysis was then undertaken which identified the following trends and gaps relating to the support provided by the organisation surveyed:-

Currently Experience Potential Current Providing of to provision + providing provide Experience High quality work 54% 5% 7% 59% experience/volunteer Job search skills 44% 11% 7% 56% Developing work 44% 6% 16% 51% skills/core skills Careers Advice 41% 9% 5% 49% Numeracy & Literacy/IT 36% 12% 9% 48% skills Vocational 42% 5% 17% 47% qualifications, other education & training Mentoring support & 40% 5% 14% 44% guidance Intensive work skills 32% 9% 10% 41% Intensive emotional 25% 0% 10% 25% support Finance advice 19% 2% 0% 21% Respite/peer mentoring 16% 4% 9% 20% Housing support 12% 4% 4% 16% Substance advice 7% 1% 9% 9%

20 ILO Unclassified Of the thirteen service areas in the above table, there were five areas which were poorly provided for, but some organisations felt there would be the potential to develop these services.

The Commission was made aware that there were approximately 4000 voluntary organisations in the Black Country, with just under a 1000 of these in Sandwell. The level of provision was fairly consistent throughout the Black Country with only a minority of voluntary sector organisations tending to focus at a borough level. Also voluntary organisations found they could develop trust and a good relationship with young people, which mainstream services found difficult to do.

Talent Match

The Commission was provided with further information about ‘Talent Match’ which planned to target specific groups of young people aged between 18-24 years old who had been out of work, training, or education for at least twelve months, such as, disabled young people, members of travelling families and young offenders.

The project had been awarded £10m by the Big Lottery for the whole of the Black Country. The project was led by the Third Sector and would work with non Job Seeker Allowance claimants as well as claimants, but one condition of the funding arrangements was they were not able to work with young people that had just graduated from university.

‘Talent Match’ would be based at six Hubs set up in geographical hotspots throughout the Black Country. These hubs would engage with local employers and local voluntary and community organisations to develop local boards or forums and act as ambassadors drawing on local contacts such as local businesses, Further Education colleges, MPs and councillors.

Young people would be involved every step of the way in designing their own tailored support with a mentor to develop their own personalised pathways, bespoke support and access to the right advice and guidance. Mentors would be recruited on a ratio of 10:1. They would also be recruited onto steering groups for each Hub.

21 ILO Unclassified The Commission considered it was important that local authorities and councillors in the Black Country supported the work of ‘Talent Match’.

Recommendation 5 That to ensure ‘Talent Match’ are able to help those young people that have been out of work, education or training for more than twelve months, local authorities and councillors of the ‘Black Country’ be encouraged to support the work of ‘Talent Match’.

Work Experience Schemes

Salford Futures, Scheme

The Chair of the Commission attended a Westminster Briefing, ‘Acting on Youth Unemployment: Joint-Working and Localised Approaches’ where Salford City Council provided information on a scheme called ‘Salford Futures’ which is co-funded by Salford City Council and the Greater .

This scheme primarily supported those aged 16-24 years to obtain employment by bringing together two core and sub-regional initiatives:-

 100 voluntary work experience placements which are for eight weeks, voluntary or unpaid and either full or part-time  Financial support and incentives for employers such as a thirteen week wage subsidy to be used for unemployed Salford residents to provide them with work opportunities for six months which increases to one year for an apprenticeship.

Salford City Council help candidates with work placements, preparing a CV, mock interviews and tests. They also ensured apprentices had a living wage.

However Salford Council found they had a number of challenges to address with providing work experience, such as making sure it was attractive to young people, that candidates were work prepared, employers encouraged to pay wage incentives at or above the minimum wage and there was sustained funding to support local skills and work infrastructure.

22 ILO Unclassified Wolverhampton Work Experience Programme

The Commission received an overview on the Wolverhampton Work Experience Programme 2013 which was launched in 2012.

In its first year, 157 people took up placements and 45 of them had obtained permanent work.

The aim of the initiative was to break the cycle of not being able to get a job, due to lack of experience and not being able to obtain the experience, because they had not had a job.

Since its launch, it had built on its success where 190 people had been offered placements this year. Some companies were oversubscribed, but were still able to offer more placements than originally agreed.

There were still challenges to be resolved, such as people arriving for interview not work ready, not appropriately dressed or without an adequate Curriculum Vitae.

The Commission was made aware that preparing the booklet was quite labour intensive, but a local trade union had helped with the resources needed. Also Job Centre Plus in Wolverhampton could not provide a list of households with young people not in work, which meant the booklet had to be sent to all households with 16- 24 year olds. However Job Centre Plus was able to provide young people with the initial contact with employers.

Members of the Commission considered that to overcome the need for printing and to reduce costs the information could be placed on the web. It was suggested that the Black Country Chamber of Commerce may be able to offer support.

With this in mind the Commission felt that a similar Work Experience Scheme Programme could be developed for Sandwell, with the intention that this information would then be made available for young people in Sandwell, via Job Centre Plus or on the web

23 ILO Unclassified Plymouth City Council – 1000 Club

The Chair and Vice-chair of the Youth Employment Commission visited Plymouth City Council and received a presentation on their work experience scheme – 1000 Club.

Plymouth City Council identified that they needed to do something about the number of young people that were unemployed in the city. In April 2012, 33% of all the city’s unemployed were aged 18- 24 (that’s ‘1 in 3’) compared with 28% nationally. They recognised that when an individual experience long periods of unemployment early in life, there is a permanent impact on their future career prospects.

However businesses were also telling the City Council that:- • Young people were not ready for work; • The number of schemes available to businesses to support a young person into work and number of agencies running these schemes was confusing.

The City Council recognised that the only way they could address these issues was in partnership, helping bring together employers with job seekers.

The year before in partnership with National Apprenticeship Service and the Chamber of Commerce they operated a 100 in 100 campaign with the aim of promoting apprenticeships and placing 100 apprentices in 100 days. This was a success, but the Council wanted to be more ambitious and did not want to focus on only apprentices.

The 1000 Club was started in September 2012 and the target was to recruit 1000 members that would be committed to support young people into work.

The 1000 Club offers a single point of contact where businesses could receive unbiased advice on what option best suits them and their business at that time and in the future. They are then contacted by the relevant partner to progress their requirement.

They found many businesses were not aware of the options and incentives available to them and would not have normally engaged in such schemes.

24 ILO Unclassified Plymouth’s long term youth unemployed has now dropped to 31% compared to 26% nationally which is good but there is still more to do.

The strength and depth of this partnership is the key to the success of the 1000 Club, with partners working together under a unifying brand and comprises a wide range of businesses from micro businesses to large international companies.

The City Council started with a very small amount of investment (£5k) which enabled them to develop the brand and the web site, and assign staff resource.

Within six months the membership had reached 250 and was producing good results. This enabled the City Council to secure further funding to evolve the Club and its service based on what was working well and what businesses wanted most.

It provided an incredibly cost effective way of delivering solutions for young people. The number of jobs and apprenticeships created since the start of the club equates to an investment of £60.00 per job, compared to the 10-15% of annual salary for a recruitment agency this makes this a win-win for everyone.

Current projections indicate that the 1000 member target will be reached within the next couple of months.

A business that went to the first anniversary event decided to attend to see what the existing members of the 1000 Club were getting out of being involved and what talent was available that their business could benefit from.

The event turned out to be one of the most useful networking events the business had been to the expectation on “what can I do to help” created a whole different atmosphere. The fact that young people were there with the businesses provided a very unique approach.

The business met a young person, of 18 years old, that presented at the event and they were very impressed that they had the confidence and made the effort to speak in front of 100 or so business people and the Leader of the Council. The business offered him a position and he has continued to live up to their expectations.

25 ILO Unclassified The business met with the 1000 Club Co-ordinator to discuss their business requirements and they brokered discussions with the Plymouth Business School at Plymouth University to potentially form a graduate programme.

The 1000 Club has attracted large scale employers but they considered it was important that small businesses get involved too, as taking on employees for them can be risky and can change the whole dynamic of the business. The independent and supportive nature of the 1000 Club helps businesses as it focuses on what is right for them.

Although this was intended as an 18 month project, its success has made the City Council look at how they can build on the strength of its model and brand.

The aim is to build on and roll-out the 1000 Club model across the City Deal area, it is also supported by their Local Enterprise Partnership’s strategic economic plan which is:-  to set-up a Youth and Employer Scheme to help young people access the right information, advice and guidance to secure employment,  support businesses to take advantage of local employment schemes and  to provide targeted support to 1,500 young people who are at risk of long-term unemployment.

The Club also plays an important role in how the City Council adds value to employment and skills plans prepared by developers and construction companies involved in delivering major developments in Plymouth and helping them recruit locally to drive the number and quality of local job opportunities and work experience.

Several Local Authorities have contacted the Council to learn more about how their 1000 Club model works.

The City Council obtained the support of 904 employers which provided 2,139 opportunities and that figure is growing every day.

In conclusion, the Plymouth City Council believes the three reasons why they will succeed are:

• That the 1000 Club is a genuinely unique partnership approach that can be easily replicated and has generated interest from a number of other authorities

26 ILO Unclassified • It has helped businesses by saving them time and encouraged them to support their future workforce and in doing this, how the young people of the city can help them shape their businesses. • It can show that real jobs and opportunities have been created with additional scope for future development

The intention is that the 1000 Club will continue to support businesses in a flexible way offering as much support as required and most importantly listening to employers, while evolving its services and thereby creating a positive impact on the economy of Plymouth.

Recommendation 6 That the Area Director – Regeneration and Economy, Sandwell Metropolitan Council, investigate the feasibility of building on the existing work arrangements with private sector employers, Job Centre Plus and the Black Country Local Enterprise Partnership to develop Plymouth City Council’s 1000 Club Model for Sandwell, with the intention to bring together employers and job seekers in Sandwell and this to be made available on the web.

Schools, Colleges and Connexions

The Commission were made aware that Sandwell Council intended to start a scheme ‘Job Junction’ to develop aspiration building for young people and it was important that this started in primary schools. It will bring together schools, employers and strategic partners to deliver constructive, relevant careers guidance and support. The Job Junction will support those priorities in an innovative way, complementing current work to reduce NEET figures and targeting those young people requiring most support – such as Care Leavers.

This would allow young people to explore options and gain experience of employability - to place current and accurate information into the hands of young people so they have the power of informed choice. Ultimately, it is designed to raise expectations – in both the business sector and in young people.

It was considered important that young people would have real life careers guidance on how a career can be achieved, as a young person may assume that those with careers had started out with

27 ILO Unclassified the intention of following that area of work, where in most cases it had developed over a period of time. Also former students talking to young people about the work they could motivate young people in their career choices.

The intention will be that schools and colleges will work together to provide work experience and this will include relevant training in areas such as interview techniques and CV preparation.

Many schools in Sandwell were working with the local authority to reduce the number of young people likely to become not in education, employment or training (NEET). One school in Sandwell had moved from having 28% that were not in education, employment or training to 0% this year. They had achieved this by ensuring young people were supported by providing home visits, texts etc. They also had training providers come to the school to help with young people were likely to become not in education, employment or training and had developed strong links with the local colleges to obtain places for these students leaving school.

For schools their main area of concern was trying to obtain work placements and building the necessary links with employers. The need for these placements tended to be at one time of the year for all schools which caused not only difficulties for them, but for local businesses as well. Also students were still quite young and they felt they could not be expected to travel to great a distance to placements which was an additional pressure. The representatives from schools thought that if there could be greater flexibility on when the students could attend work placements such as only one day a week or at other times of the year this would help.

There were restrictions for those under the age of 16 when on a work placement. This was mainly due to health and safety legislation relating to heavy manufacturing processes and health care.

It was considered important that employers did not use work experience placements as a form of cheap labour – it had to be of high quality.

Colleges sometimes found it difficult to find placements near to where a young person lived, especially for those within the autistic spectrum, but if Connexions were approached by parents this could be overcome. When a young person leaves school to attend

28 ILO Unclassified college links are still retained with the Connexions Service and a young person with special needs will retain this support until they are 25 years old.

Sandwell Council, Post-16 education and skills team provide places for those of 16+ that require support with extra needs. They also pay the Connexions Service for any additional support that those with extra needs may require, such as having someone to go with the young person when they attend a college interview.

Colleges in the Black Country ensured young people were provided with support with interview techniques, job applications, CV’s, etc. The young person was assessed when they started college to see what support they required and the college worked with them throughout the time they attended until they left. The colleges had links with employers which provided work experience placements and apprenticeships.

Some A Level students did not see the relevance of work experience, but it was thought that taking part would help with the UCAS application – provide that bit extra.

All colleges were aware of any existing and future skills gaps and worked with businesses to ensure these gaps were being met as the need arose. Manufacturing had been on the increase and engineering courses had been made available. However, the Black Country Colleges were aware that parents could be resistant to their children taking on these courses. To help overcome this Dudley College was planning an induction day where parents were being invited to make them more aware.

One school was part of STEMNET (the Science, Technology, Engineering and Mathematics Network) which is an invaluable and free resource for teachers helping to deliver the STEM curriculum and raise awareness of STEM careers, by revealing how essential STEM is throughout the word. The school had been building on this approach from year 7 onwards. They had access to 26,000 STEM ambassadors which volunteered their time and support to promote STEM subjects. Being part of STEM had worked well in getting students involved in engineering and they found they did not have a problem with parents being resistant to engineering courses, but it was more of a problem for those parents that wanted their child to be on an engineering course, but had insufficient qualifications to attend.

29 ILO Unclassified The Young Enterprise Scheme provided an introduction to running a business for YR10 students and colleges helped with the selling of products made by providing access to market stalls. The National Association of College & University Entrepreneurs (NACUE) is another option that schools and colleges can use. It is a charitable organisation that seeks to stimulate and nurture student enterprise in the UK by supporting, connecting and representing student-led enterprise initiatives and societies.

There was also some evidence, due to the lack of Saturday jobs, that some young people were finding ways to work for themselves by using their IT skills to set up web pages to sell products.

The Commission asked the representatives from the schools and colleges if could identify any concerns and they identified the following:-

 Every school and college in the future will be required to provide more work experience placements, but there was the need for this to be more flexible, such as allowing the learner to attend one day a week or it to be available throughout the year rather than at one specific time.

 The need for a Black Country wide strategy, with the support of the Chamber of Commerce, LEP and the Black Country Consortium.

 To encourage more small businesses to take on work experience placements. Some of the best placements are with small businesses but they are difficult to get on board because of worries about health and safety, etc.

 To ensure parents are aware that the school leaving age has not increased – the alternatives to remaining at school are further education, training or apprenticeships.

Recommendation 7 That the Chamber of Commerce, Local Enterprise Partnership and the Black Country Consortium develop a Black Country wide strategy to work with schools and colleges and to encourage more businesses to offer work experience placements.

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Future First and Sandwell Metropolitan Council’s Job Junction

The Commission received a presentation from representatives from Future First a UK registered charity on the work they did with Secondary Schools and Colleges in the UK.

Future First recognised that for generations private schools and universities effectively harnessed the talent, time and support of former students, via an alumni, and realised the benefits an alumni network would have in state schools.

They found that former students from state schools were not often asked to come back to their school, but realised that these state school students could offer career talks to those young people that did not always have access to people in jobs at home. They considered the talks, at school assemblies, given by former students about the journey from school/college to the jobs/courses they were in today, could be inspirational and provide a relatable a role model for current students.

Future First provided schools and colleges with access to the following services:

 a secure online database which allowed schools to filter and search alumni records;  dedicated Networks Officer to assist with building, engaging and mobilising the schools or colleges network;  how to guides, lesson plans and support in recruiting former students via the press and social media outreach;  online and paper forms to collect both current and former students’ details;  up to ten communications per year to keep the alumni connected;  an opportunity to benefit from national Future First public relations events to recruit older former students;  free opportunities for current students to attend insight days with leading UK employers as part of the Employers’ Programme;  an e-mentoring platform which gave current students the opportunity to obtain one-to-one support from former students in a secure online space;  in some instances, an opportunity for former students, working

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Former students also benefited by being provided with information about their former school such as teachers due to retire, GCSE results and other related matters.

Future First had worked with over 450 schools and colleges in the UK and had signed up over 50,000 people to play a part in their community.

Over 120,000 young people had benefited directly from the alumni workshops in the past year and 78% of students said they wanted to work harder after meeting former students. All former students engaged on the programme enjoyed going back to their old school and would attend another event if asked.

RSA Academy in Sandwell had recently joined Future First and they had enrolled 60 former students in occupations which included banking, law and medicine. They had developed a mentoring scheme to help students that were struggling with their confidence and the Academy intended to hold workshop sessions with parents and students in April 2014.

In response to the Commission’s questions:-  the model on developing the alumni was built around poor performing schools and related well to schools in Sandwell and the Black Country;  Future First did not have information on whether the Alumni Network directly helped to reduce those Not in Education, Employment or Training (NEET), but was currently conducting research on those students likely to obtain grades C/D, which were more likely to become Not in Education, Employment or Training, to see if contact with the alumni improved their grades  the alumni provided young people with the opportunity to interact with employers, which could reduce the risk of becoming Not in Education, Employment or Training  Future First provided impartial careers advice which supported the work of schools careers advisors and Connexions;  The cost for the service was normally £1250 but they were currently charging £750;  Some secondary schools were now investing £10,000 to obtain add-ons such as work experience placements, facilitation and events;

32 ILO Unclassified  it was difficult for schools to set up their own alumni – they often did not have the time or resources, which was an issue for them;  schools were contacted regularly by Future First;  the data was owned by Future First and the secondary school was involved with the data obtained.

Job Junction

The Commission received an overview of the Sandwell Metropolitan Council’s pilot scheme ‘Job Junction’ which brought together schools, employers and strategic partners to deliver constructive, relevant careers guidance and support. The ‘Job Junction’ supported these priorities in an innovative way, which complemented the current work to reduce Not in Education, Employment or Training (NEET) figures and targeted those young people that required most support – such as Care Leavers. .

Job Junction was an opportunity to bring in a more experiential approach which engaged students, teachers, employers and the wider community. It was designed to raise expectations and build aspirations for both the business sector and young people. It reinforced the message that there were opportunities for young people and it gave them a reason to take action. It allowed young people to explore options and gain experience of employability and placed current and accurate information into the hands of young people so they had the power of informed choice. In response to the Commission’s questions:-  it was a new approach to careers advice;  ‘Job Junction’ would include primary schools to raise aspirations at a young age;  it costs £4000 for the schools to obtain a licence - this gave them access to all the materials, badges, laptop, etc;  ACE Academy and St Michael’s School had been recruited onto the pilot scheme;  the intention there would be 10 schools recruited onto the pilot scheme and the Council would pay their costs for this year;  the intention was to prevent students from becoming Not in Education, Employment or Training (NEET);  there were also benefits for the community where parents, carers, and local residents could use the ‘Job Junction’ to develop their interview technique, prepare a Curriculum Vitae or access live vacancies – it was seen as a way of drawing them in.

33 ILO Unclassified Recommendation 8 That the Area Director – Regeneration and Economy, Sandwell Metropolitan Council, conduct a feasibility study to ascertain whether Sandwell Metropolitan Council, by working with Future First, could potentially enhance the ‘Job Junction’ career aspirations programme within Schools.

Recommendation 9 That in the event of any enhancements being identified arising from Recommendation 8 above, consideration be given to rolling out the careers aspirations programme to all secondary schools in the borough, possibly through Future First or another provider, subject to European procurement/tendering regulations.

Recommendation 10 That the relevant Chief Officer in each local authority in the Black Country consider writing to all secondary headteachers of schools in the in their respective area recommending that they undertake individual discussions with representatives of Future First or other similar providers to ascertain whether their school would benefit from a careers aspiration programme.

Findings

From July to September 2013, 965,000 young people aged 16-24 were unemployed in the UK and the unemployment rate was 21.0%. Of these 282,000 were unemployed for 12 months or more.

From July to September 2013, there were 1.07 million young people (aged from 16 to 24) in the UK who were Not in Education, Employment or Training (NEET)

In Sandwell 15.6% (1,146) of young people were identified as not in education, employment or training.

The Commission was made aware that there were gains to be obtained from identifying those young people at risk of becoming NEETS. Early interventions were six times more likely to be cost effective.

34 ILO Unclassified A screening tool had been developed, in Sandwell which took into account measurable risk factors that identified those young people still at school that were likely to become NEET – not in education, employment or training.

NEET risk factors varied according to geographical areas, for instance, the lack of car ownership in rural localities was much more significant, than for those living in suburban areas which had access to public transport.

Early interventions in relation to those not in education, employment or training were six times more likely to be cost effective.

There were difficulties in obtaining the required screening information from some schools and academies, as well as, getting the schools to ask students relevant questions, which would identify those that were likely to become not in education, employment or training.

The Local Enterprise Partnership also identified four critical areas for skills that related to work force development opportunities; unemployment; apprenticeships and young people

The Black Country Local Enterprise Partnership wanted to establish, as part of ‘skills for the future’, a Black Country-wide Education Business Partnership to encourage more business people to serve as school and college governors.

Although there were 13,380 apprenticeships in the Black Country, another additional 7,783 apprenticeships were needed.

Businesses needed a high quality workforce with the appropriate skills, but there were significant gaps, especially at National Vocational Qualification (NVQ) level 3.

There was a need to work with schools to alter the current perception of manufacturing industries.

‘Talent Match’ was a new project to target specific groups of young people in the Black Country, aged between 18-24 years old, who have been out of work, training, or education for at least twelve months, such as, disabled young people, members of travelling families and young offenders.

35 ILO Unclassified ‘Talent Match’ would be based at six Hubs set up in geographical hotspots throughout the Black Country.

These hubs would engage with local employers, local voluntary and community organisations to develop local boards or forums and act as ambassadors drawing on local contacts such as local businesses, Further Education colleges, MPs and councillors.

The Wolverhampton Work Experience Programme, launched in 2012, achieved 157 work placements where 45 people managed to obtain permanent work. Since its launch, it has built on its success and 190 people were offered placements in 2013.

The Plymouth City Council ‘1000 Club’ started in September 2012 planned to recruit 1000 businesses that would be committed to support young people into work and offered a single point of access where businesses could receive unbiased advice.

In January 2014 Plymouth had received the support from 904 employers and they had provided 2,319 opportunities for young people and current projections indicate that the 1000 Club will reach its target of 1000 businesses by April 2014.

Private schools and universities effectively harnessed the talent, time and support of former students via their alumni, and it was felt this could benefit state schools.

Former students from state schools that provided talks at their school assemblies, about their experiences after leaving school proved to be inspirational and provided a role model for current students.

Over 120,000 young people had benefited directly from the alumni workshops that had been held in the past year and 78% of students said they wanted to work harder after meeting former students.

Sandwell Metropolitan Council’s pilot scheme ‘Job Junction’ intends to bring together schools, employers and strategic partners to deliver constructive, relevant careers guidance and support. The plan is to raise expectations and build aspirations for both the business sector and young people and this will include primary schools to achieve this at a young age.

There were also benefits for the community where parents, carers,

36 ILO Unclassified and local residents could use the ‘Job Junction’ to develop their interview technique, prepare their Curriculum Vitae or access live vacancies.

Recommendations

1. That the Leader of the Council, in consultation with the Area Director - Regeneration and Economy, Sandwell Metropolitan Council, be requested to formally write to schools and academies in Sandwell (with YR9 pupils) to ask that they contribute, in a timely fashion, to the dataset information required by Sandwell’s Senior Educational Psychologist and the Connexions Service which would identify those students that are at risk of becoming NEET - not in education, employment or training.

2. That in order to support businesses, the relevant Chief Officer in each local authority in the Black Country write to their respective colleges requesting them to provide courses relevant to the needs of local businesses, such as engineering.

3. That the relevant Chief Officer in each local authority in the Black Country request schools in their respective area to make themselves more accessible to local businesses to enable them to act as ambassadors either in the role of a business governor or by inviting them to provide information to young people about the work they do and the career prospects they can offer.

4. That the relevant Chief Officer in each local authority in the Black Country request schools and colleges in their respective area to encourage and support local businesses to take on more apprentices and to offer, where possible, opportunities for students to visit their premises to learn about the working environment.

5. That to ensure ‘Talent Match’ are able to help those young people that have been out of work, education or training for more than twelve months, local authorities and councillors of the ‘Black Country’ be encouraged to support the work of ‘Talent Match’.

37 ILO Unclassified 6. That the Area Director – Regeneration and Economy, Sandwell Metropolitan Council, investigate the feasibility of building on the existing work arrangements with private sector employers, Job Centre Plus and the Black Country Local Enterprise Partnership to develop Plymouth City Council’s 1000 Club Model for Sandwell, with the intention to bring together employers and job seekers in Sandwell and this to be made available on the web.

7. That the Chamber of Commerce, Local Enterprise Partnership and the Black Country Consortium develop a Black Country wide strategy to work with schools and colleges and to encourage more businesses to offer work experience placements.

8. That the Area Director – Regeneration and Economy, Sandwell Metropolitan Council, conduct a feasibility study to ascertain whether Sandwell Metropolitan Council, by working with Future First, could potentially enhance the ‘Job Junction’ career aspirations programme within Schools.

9. That in the event of any enhancements being identified arising from Recommendation 8 above, consideration be given to rolling out the careers aspirations programme to all secondary schools in the borough, possibly through Future First or another provider, subject to European procurement/tendering regulations.

10. That the relevant Chief Officer in each local authority in the Black Country consider writing to all secondary headteachers of schools in the in their respective area recommending that they undertake individual discussions with representatives of Future First or other similar providers to ascertain whether their school would benefit from a careers aspiration programme.

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