Alongside introducing a number of measures to get England out eating, drinking, and buying houses again, Chancellor Rishi Sunak has also promised to “protect, support and create jobs”. His plan to inject billions of pounds into the job market is hoped to provide the stimulus for increased job creation, particularly for 16 – 24-year olds. We’ve compiled the most pertinent plans to get Britain working again.
Thousands of job placements for 16-24 year olds
The Chancellor’s £2billion Kickstart Scheme is seen to be central for his “Plan for Jobs”. Employers will be able to offer a government subsidised 6-month work placement to an unemployed young person aged between 16 and 24. The Treasury has promised to cover 100% of the National Minimum Wage for each young person working up to 25 hours per week.
Financial incentives for running apprenticeships and taking on trainees
Apprenticeships and trainee positions were also high on the agenda and the Chancellor announced two financial incentives for bringing apprentices and trainees into businesses. For the next 6 months the government will pay £2,000 for every new apprentice who is 25 and under and £1,500 if they are over 25. Additionally, he announced a £111 million fund to triple the number of trainee positions available in the country. Participating businesses will be paid £1,000 per trainee up to a maximum of 10 per firm.
Job Retention Bonus
In an effort to reduce the number of redundancies over coming months employers are also being offered a £1000 bonus for each furloughed staff member that remains employed until 31 January 2021. The bonus will only be awarded for employees who earn an average of £520 per month during November, December and January (following the end of the Job Retention Scheme).
Additional employment related incentives
Funding for the National Careers Service is due to be increased by £32 million over the next 2 years with the numbers of work coaches due to be doubled. The aim is to have the facilities and personnel available to help more unemployed people back to work. Additionally, £3 billion has been promised to create a ‘Green Jobs Plan’ with a hope that around 100,000 ‘green’ jobs will be created.
If you are considering offering a job placement or apprenticeship and would like to discuss how to go about finding the perfect candidate, or are considering the financial implications of keeping on furloughed staff, the team at Dakota Blue are always happy to talk through all your options.