Category: Research

More than one in 10 young people have lost their job during the Covid-19 pandemic

New research, carried out by the London School of Economics and Political Science (LSE) and Exeter University has recorded that more than one in 10 people aged 16-25 have lost their job since Covid-19 began, whilst just under six  out of 10 have seen their earnings fall in the same period.

The research shows that young workers were more than twice as likely to have lost their jobs when compared to older employees, and earning losses were more pronounced for the self-employed, women and those from a disadvantaged background.

To read the full report from LSE (October 2020), click HERE.

Skills gap set to narrow as UK employees consider career change

A survey of 2000 UK professionals, conducted on behalf of CWJobs, has reported that over half of non-tech UK employees have considered or have already moved into the tech sector, with 28% having considered the change following Covid-19. This move into tech could help close the tech skills gap that has long-been discussed in the UK.

Covid-19 has amplified the need for talent within the tech sector, as businesses, adapting to remote working, have relied on IT departments. As a result, according to the report, 45% of IT workers stated that their company is actively recruiting for employees within this sector, offering a chance for employees looking to retrain and upskill.

Click HERE to read the full report from CWJobs (November 2020).

Nine out of 10 employees will have to reskill by 2030

New research, conducted by the Confederation of British Industry (CBI), has concluded that nine out of every 10 employees will have to engage in some form of reskilling by 2030, costing the Government £130 billion. The report predicts that around 26 million workers will require upskilling as their role evolved, whilst a further five million will require more fundamental retraining.

The report highlights four key issues that the Government and businesses must work together to tackle:

    • Investment in workplace training has stagnated in the last decade, but needs to increase.
    • SMEs face barriers, including lack of scale and high fixed costs for training, that can prevent them from increasing investment in training. 
    • The current training landscape is complex and does not support the large scale reskilling the UK requires.
    • Individuals in at-risk automation occupation groups don’t believe that their roles will be impacted by technology, and people looking to retrain struggle to find quality information on the right jobs and training to take up.

To see the report’s recommendations, or read the full report from CBI (October 2020), click HERE.

Ethnic Diversity in the Workplace

A new report, conducted by Lloyd’s of London has found that 71% of Black employees reported facing barriers when it came to recruitment, compared to only 35% of White employees. A similar response was found regarding barriers to promotion. The report also evaluates the importance of visible representation  within the workplace and commitment to Diversity and Inclusion, and how this influences a person’s desire to apply/work in that organisation.

In regard to attracting and retaining employees from BAME backgrounds, the report recommends using targeted internships, scholarships, school access programs, outreach programmes and university diversity networks.

To read more on this report from Lloyd’s of London (October 2020), see HERE.

The impact of Covid-19 on disabled adults in accessing good work – now and into the future

New research from Leonard Cheshire (UK disability charity) shows that more than 70% of disabled employees have lost income, become unemployed or been furloughed by their employer since March of this year. Furthermore, 57% of disabled employees felt that their ability to work had been impacted as a result of COVID-19. The report calls for the Government to act in order to avoid a job crisis for disabled people.


Click HERE to see the full report from Leonard Cheshire (October 2020).

Evaluating the effects of the current economic crisis on the UK labour market

The Resolution Foundation’s latest report presents evidence on the effects of the coronavirus crisis on workers. Results from a survey of 6,000 working-age adults shows that one-in-five young workers (19%), and more than one-in-five BAME workers (22%), that were furloughed during lockdown have since lost their jobs. Only one in three of these young workers affected have since found new work. Recommendations from the paper, aimed at protecting those most affected, include: extending eligibility for the full Job Support Scheme; investing in job creation; and improving the financial incentives to self-isolate.

Click HERE to download the full report from the Resolution Foundation (October 2020).

Resolution Foundation’s Intergenerational Audit for the UK 2020

This report focuses on economic living standards (using measures including jobs, skills and pay), as well as  exploring the health and social effects of the Covid-19 pandemic. The analysis of youth employment during 2020 finds that “young people risk long-term employment and pay ‘scarring’ effects from starting careers in a downturn”. 

The report acknowledges that the recently announced Job Support Scheme will hopefully have a positive impact – as, it notes, the Job Retention Scheme did – but that “it alone will not be sufficient to prevent a significant rise in unemployment [that] awaits this autumn”, particularly in sectors most affected by ongoing restrictions.

Click HERE to download the full report from the Resolution Foundation (October 2020).

Inequality in the impact of the Coronavirus Shock: New Survey Evidence for the UK

This paper explores novel survey data from a large representative sample of UK workers on 25th March, two days into the government-imposed lock-down. Findings suggest that even with the unprecedented policy response from the government, many UK workers are already feeling the effects of the economic slowdown and expect significant economic hardship as a result of containment measures. Across all outcome measures, younger workers expect a more severe economic shock in the coming months than older workers: younger workers believe they have a much larger chance of losing their job and have difficulties paying their bills, and they also expect to make a smaller percentage of their usual income. Of those currently employed, on average, those under 30 expect there is a 39% chance of them losing their job or shutting their business if self-employed compared to 27% chance for workers aged 40-55. On average, those under 30 expect there is a 53% chance of them having difficulties paying their bills compared to 45% chance for workers aged 40-55. Those under 30 expect to have 40% lower earnings on average than usual over the next five months compared to 31% for those aged 40-55.

 

Click HERE to read the full article from the University of Oxford, University of Zurich and University of Cambridge, 1st April 2020.

Sector shutdowns during the Coronavirus crisis: which workers are most exposed?

This paper explores which workers are most exposed as a result of the lock-down in response to the COVID-19 pandemic. COVID-19 has effectively shut down a number of sectors. Restaurants, shops and leisure facilities have been ordered to close, air travel has halted, and public transport has been greatly reduced. It argues:
    • The lock-down will hit young workers the hardest. Employees aged under 25 were about two and a half times as likely to work in a sector that is now shut down as other employees.
    • Low earners are seven times as likely as high earners to have worked in a sector that is now shut down.
    • Women were about one third more likely to work in a sector that is now shut down than men.
    • One mitigating factor is that the majority of the affected younger workers and lower earners live with parents or others.

Click HERE to read the full article from the Institute for Fiscal Studies, 6th April 2020.