Skills
Sector Focus Issue of youth unemployment
A new survey has found stark variations in youth unemployment levels across the West Midlands which, it is claimed, could hit local economic growth. According to the survey – by EY
in association with independent charity the EY Foundation – the West Midlands has an overall youth unemployment rate of 15.5 per cent, which is around the UK average (14.4 per cent). But within this there are massive
variations – at one end of the scale is Wolverhampton, which has one of the highest youth unemployment rates in the country at 27 per cent, and at the other is Coventry, which has one of the lowest (8.2 per cent).
‘Employers can shape the employee to their needs and ways of working’
Birmingham also has a high rate (22.5 per cent) – but neighbouring Solihull (11.0 per cent) is doing much better. Sara Fowler, senior partner at EY
in the Midlands, says: “Youth unemployment rates have fallen
from the peaks we saw during the recession, when 40 per cent of the UK’s 16-17 year olds were facing unemployment. However, a stubbornly high
number of young people remain excluded from the labour market, which could be further exacerbated by a period of weaker economic growth in a Brexit environment. “Looking at the West Midlands, the region has a higher than
average youth unemployment rate (15.5 per cent), but what stands out are the wide-ranging variations in rates between the region’s biggest cities – with Wolverhampton one of the highest (27 per cent) and Coventry one of the lowest (8.2 per cent). “These regional differences underline the importance of a coordinated response from government and business to tackle
Sara Fowler: Regional differences
the issues locally as well as nationally. This could potentially be accompanied by more devolution of skills and education to the Midlands Engine.” Chamber skills expert David
Tomalin said: “Cities like Wolverhampton have been hard hit having seen some high profile business failures recently including the closure of BHS, redundancies at Lloyds Bank and further back, the closure of the Goodyear tyre factory.
“Employers across the Midlands
need to realise that they need to develop the skills of the incoming workforce and that they do not come equipped with all of the skills required. “The upside to this
developmental approach is that employers can shape the employee to their needs and ways of working. Work experience, traineeships and apprenticeships are all ways to enable a ‘hands on’ approach to learning in the workplace, designed to suit the employers’ needs. We should not generalise about young people, many who have skills and talents that may add value to your business.”
October 2016 CHAMBERLINK 47
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