Against an uncertain geopolitical background, the CIPD welcomes the Chancellor's recognition of the challenges facing young people and calls for bolder action on jobs, skills and the Employment Rights Act.
The Chancellor's Spring Forecast lands at a time when businesses need stability and confidence more than ever. The UK Government must now create the right conditions for job creation and skills development.
“Introducing an Apprenticeship Guarantee for 16 to 24-year-olds would help ensure many more young people have a clear pathway into work.”
The CIPD welcomes the Chancellor's recognition of the challenges young people face entering employment, including the collapse in apprenticeship starts. We’re encouraged by the promise of further reforms in the coming weeks.
But more is needed. An Apprenticeship Guarantee for 16 to 24-year-olds, a measure with strong employer backing, would give many more young people a clear route into work. The government can also support young people and employment more widely by reviewing the pace of National Living Wage equalisation and ensuring Employment Rights Act measures do not become a further headwind to job creation.
The government should consult meaningfully with employers on the secondary legislation still to be decided, and compromise on key measures where possible. A well-funded communications campaign will help employers prepare for the changes ahead, while adequate resources for Acas will give smaller businesses the support they need to comply.
The CIPD wants to see the new Growth and Skills Levy help employers invest in training, tackle skills shortages and support the technology adoption that can drive productivity growth.
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