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Wednesday, 16th November 2011

Unemployment rate highest in 15 years

James Forsyth 10:23am

Today's unemployment figures do not make for cheery reading. Youth unemployment is up to over a million and unemployment overall has reached 2.62 million, meaning that the unemployment rate is the highest it has been for 15 years. Laura Kuenssberg tweets one particularly striking statistic:

'Number of UK Nationals in work fell 280k compared to this time last year, number of non-UK Nationals in work increased 147k over same time'
This suggests that it's a touch too simple just to say that there are no jobs out there. It also means that we really should think about why non-UK nationals are proving so much more adept at finding work than their British counterparts.

The combination of the Iain Duncan Smith and Michael Gove reform programmes will go a long way to solving this problem in the medium term. But the question is: what can be done in the short term to make British workers both more attractive to employers and better at seeking out opportunities?

Filed under: Employment (149 more articles) , Iain Duncan Smith (148 more articles) , Immigration (196 more articles) , Jobs (23 more articles) , Michael Gove (211 more articles) , Schools revolution (11 more articles) , UK politics (5408 more articles) , Welfare reform (43 more articles) , Youth unemployment (10 more articles)

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TrevorsDen

November 16th, 2011 10:39am Report this comment

This is the legacy of Labours immigration and education policies.
The biggest danger the country faces is the return of a Labour government.

Scottpg

November 16th, 2011 10:49am Report this comment

It has got nothing to do with 'employability' as we ordinarily understand it. That is, nothing to do with a lack of skills or any of the other excuses trotted out by employers.

It is wage competition, pure and simple

Immigrants are packed 8-to-a-house, 2 or 3-to-a-room, in grotty bedsits, earning subsistence wages in appalling working conditions - absent full employee rights - in care homes, kitchens and hotels.

This is an option for them only because the alternatives in their own countries are even worse.

The median wage in Eastern European economies such as Hungary is circa £400 per month gross.

They can't afford to raise a family, to have any kind of social life, to enjoy a decent diet or education, or move onto the property ladder.

All of the normal comforts we associate with a healthy lifestyle are beyond them, forever out of reach.

Is that a future you want for British workers?

Jayu

November 16th, 2011 10:57am Report this comment

And just imagine if the Tories were successful in making it easier to sack employees. The gap between the number of UK nationals in work compared to the number of non-UK nationals would be even greater.

Russell

November 16th, 2011 11:05am Report this comment

Perhaps the only way of solving unemployment for labour educated youths (people aged between 16 and 24)is to introduce compulsory 2 year National Service. These mainly uneducated or poorly educated 'youths' can learn to read and write, learn discipline and manners, learn teamwork and the meaning of hard work, and actually get some useful training in electronics, medical/nursing, mechanics, driving, cooking etc.
A wide variety of training is available in the armed forces apart from throwing grenades and killing people.
Pay can be the same as unemployment pay, so no more expense.

Ghengis

November 16th, 2011 11:06am Report this comment

A successful bloodless invasion?

Peter From Maidstone

November 16th, 2011 11:07am Report this comment

TrevorsDen, the Conservatives have done NOTHING to restrict immigration. Last year they let in more immigrants than at any time under Labour. Why would Labour be worse?

Catesby

November 16th, 2011 11:07am Report this comment

what can be done in the short term to make British workers more attractive to employers?

Close down all tattoo parlours and ear & nose piercing providers. Allow JobCentre Plus to issue free passes to public baths. And let’s not forget the soap….

Colin

November 16th, 2011 11:08am Report this comment

As any sensible (and honest) person knows, unemployment is a lagging indicator.

Cheers, Blair, cheers Balls, cheers Brown. Cheers for f*ck all.

Pettros

November 16th, 2011 11:14am Report this comment

Few people with their heads in the sand here. Labour were horrendous but the Coalition is making a bad situation worse with its negative narrative and lack of interest in growth.

Bob

November 16th, 2011 11:15am Report this comment

It's not just Immigration. just because one number goes down and one goes up doesn't mean they are taking the same jobs. I suspect we are loosing the high skilled jobs and now have more low skilled work?

Aaron

November 16th, 2011 11:19am Report this comment

Anyone with the wherewithal and wit to go and live in a foreign country probably has more than the average get-up-and-go, regardless of their skills.

Paul Scott

November 16th, 2011 11:20am Report this comment

The problem is that EU nationals in the UK are generally at or near the top tier of the younger workforce - many are well-educated, and have an enterprising & ambitious outlook.
And a minimum wage job in the UK is a good wage compared with what they could earn at home in Poland.
They are competing against the bottom tier of the UK workforce - young, often Chavvy people, many of whom are semi-literate, and have bad attitudes, and can often "earn" more on benefits than they can on min.wage.

anne allan

November 16th, 2011 11:21am Report this comment

Teach them to read, write and get up in the morning - regularly, five days a week.
Teach them that turning up late for interviews, festooned in ironmongery does not improve employment prospects.
Unfortunately, many, but by no means all, products of our schools and child centred parenting compare very unfavourably with east Europeans. The irony is that Poles etc.... were brought up and educated under a system that Lefties drool over, but do seem to have missed some of that system's better features.

tom jones

November 16th, 2011 11:24am Report this comment

Look, I've blamed Labour for ages because unemployment and youth unemployment was high in May 2010, but we've been in for 18+ months now and it's time to stop blaming others and just DO SOMETHING. What's the point of getting into power if we're not going to get jobs for British born people? It's time to be straight with people and tell them that employers don't hire Brits because as a nation we've become lazier and we're all about our rights rather than our responsibilities, BUT there are surely things that Cameron and co can do to push up employment. Is it illegal to tax companies more if they hire foreign nationals?

Dennis Churchill

November 16th, 2011 11:27am Report this comment

Our education system is not fit for purpose because the education “professionals” and industry disagree as to what that purpose is.
As to what is wrong, look at our Health Service. State controlled and run but reliant on foreign workers trained at the expense of some of the poorest countries in the world.
What proportion of our medical staff do we train? What proportion of the NHS budget is ring fenced to subsidise training, from doctors to Lab technicians?
There is too little difference in what an unemployed young person receives in benefits and what they can get by working in a relatively low paid job after you allow for the costs of actually going to work.
Immigrants tend both to be the more risk taking and ambitious section of their societies as well as not having a family nearby to fall back on and subsidise their lifestyle, which is why ,with the exception of some identifiable groups, they have a lower rate of unemployment than our own young people.
Industry will always be forced to take the most competitive choice, which in this case is use immigrant labour before our own young people.

Chris lancashire

November 16th, 2011 12:01pm Report this comment

TrevorsDen and Dennis Churchill - may I suggest the statistics at the top are more to do with Labour's benefits policies than education?
Jayu: that's a great idea - why don't we pass a law stopping employers from sacking anybody?

Cuse

November 16th, 2011 12:03pm Report this comment

My God.

The comments above are delusional.

"It's Labour's fault"..."Immigrants are at fault"..."Labour let in all the immigrants"..."Michael Gove and IDS will solve it"...

Take the blinkers off people. Unemployment is rising and will continue to rise as long as you have a Chancellor and Government who came into power with but one economic policy - to keep debt interest rates low. Noone disputes that was the right thing to do anymore - but you need more than that to produce a viable, healthy economy.

Gideon and Dave have literally no clue what to do to get the economy moving. The deficit is growing, unemployment is rising, inflation is rocketing, the trade gap is increasing, exports are falling, consumer spending is dying, confidence is non-existent, businesses are folding etc etc etc.

This is your Government's responsibility.

Get on with fixing it.

EC

November 16th, 2011 12:06pm Report this comment

"The biggest danger the country faces is the return of a Labour government."

Sorry, but as yet I've not noticed any difference.

normanc

November 16th, 2011 12:08pm Report this comment

Yet another area where there is no quick fix, not that any conservative would say there is.

Supply side reform is the answer.

Stop raising NI, in fact reverse it, and drastically for under 25's if not make it zero (employers & employees), across the whole country not just in so called enterprise zones.

Make it easy for employers to hire & fire under 25's. The left will argue this will make things worse but how much worse could it be? Things are already dire.

We don't need to try and make young people more employable in the short term we need to make it more attractive for businesses to want young people.

Tinkering and nudging won't do, nor will soundbites, nor will quick fixes, like so much else decisive action is needed to turn away from the road we are careering down.

Julian F

November 16th, 2011 12:10pm Report this comment

Of course, those youngsters unable to find work in the UK could always exercise their option to seek work in the rest of the EU. Being in an economic union is meant to work both ways. But, then again, perhaps our European partners find talentless, under-educated, celebrity-obsessed, conceited monoglots no more attractive than we do.

Publius

November 16th, 2011 12:12pm Report this comment

"But the question is: what can be done in the short term to make British workers both more attractive to employers and better at seeking out opportunities?"

And the answer is: very little. They're virtually unemployable. It's not just the absence of basic skills, it's the abysmal attitude too.

Dennis Churchill

November 16th, 2011 12:20pm Report this comment

Chris lancashire
November 16th, 2011 12:01pm
I did comment on the need to increase the difference between the transfer payments to the unemployed and the minimum wage. Benefits should be frozen so that inflation reduces them over time.
Education would benefit enormously by having more people, men in particular, trained as teachers who have worked outside the education system,
normanc
November 16th, 2011 12:08pm
Time to ask what the purpose of NI is and whether it should be scrapped. It all goes into the same pot there is no fund labeled :“NI contributions to fund pensions” anywhere.
Even if an “Easy hire: Easy fire” policy was brought in as a temporary measure it might help. Is there an EU law that would stop it?

Russell

November 16th, 2011 12:23pm Report this comment

Good grief ! this government has been in office 18 months and still hasn't sorted out youth unemployment.

Sky and BBC reporters state that labour and many groups blame the government (of 18months) for a 'failed generation' !!!!!!

ALL 16 year old youths today were educated under labour for their primary and secondary education, plus all 16-24 year old were educated under labour for their secondary education.

Can't people see the common factor with 16 to 24 year old unemployment?

English, Maths and Physics knowledge are still more important in finding employment
than getting a degree in rap music or media studies, plus smart appearance, manners and discipline.

Perhaps when the smirking Byrne or any other delusional lying labour MP or supporter next mentions anything to do with youth unemployment someone could mention this fact.

Wiliamson

November 16th, 2011 12:42pm Report this comment

In the '70's when "Europe" started I applied for jobs in nth Europe countries, where the wages for chamber maids were twice what they were here. The replies were the same - you have the right to apply for the job, but under local rules, we cant give it to you if there is a local who can do it. Stop using "young" unemployed as a red herring - what about the 2m older unemployed, pushed out of work who cant find anything. And its hardly a coincidence that the unemployment figures are roughly equal to the number of migrants.

TrevorsDen

November 16th, 2011 12:53pm Report this comment

Scottpg asks 'Is that a future you want for British workers?' and he is absolutely right. And all this came in under a labour govt and a labour party paid for by trade unions. They should be ashamed.

its incredible and appalling that labour not only let this happen but connived at it.

That workers in Britain (if not actual 'British workers') live and work like this - all to silence by trade unions - is shameful. This was how labour manufactured its bogus growth. This is why Labour should not be let near govt again.

wrinkled weasel

November 16th, 2011 12:55pm Report this comment

Scottpg is bang on the money. You only have to visit Boston in Lincolnshire (where I was born) to see the truth of what he says. All the agricultural work in Lincs was hitherto done by the scum of the earth (including me, during the summer holidays. Nowadays the scum of the earth is quite happy on benefits thankyou and can get their booze and fags (even dodgy vodka) on their various handouts.

But it is about attitude and anne allen has also cut to the chase - our education, the attitude that is inculcated from birth in this country is one of pandering to youth and making everyone a winner, thus giving everyone a carrot, without the stick.

My son is a trained and experienced film maker. However, he is currently working as a shop assistant on near minimum wage. It means he is barely better off than when he was on the dole, but he is bright enough to realize that you need to be realistic.

Plenty of young people will not sully themselves with menial work and will not bother to attend interviews or clean up their act in order to get a job.

The youth of today behave as if there is a British Empire. And since they have never been taught what the British Empire was, the road to self-realization will be a long and hard one.

alexsandr

November 16th, 2011 12:59pm Report this comment

if the job centre send em for interviews, get a report form back from the employer to ask if they turned up on time and were presentable. People muck up interviews so they can stay on the dole. Lets try and close that loophole down.

Peter From Maidstone

November 16th, 2011 1:05pm Report this comment

Julian F, my eldest daughter's friends are not talentless, under-educated, celebrity obsessed or conceited. But they are competing with millions of immigrants. The number of unemployed in my home town is matched by the number of immigrants. It seems obvious what is causing much of the unemployment statistics.

TrevorsDen

November 16th, 2011 1:08pm Report this comment

Peter from M - take the scare about private flights...
In fact the real truth is that Tories strengthened the policy on private flights, unlike Labour who did not even have a definition of high risk private flights.
Anyone who had half a brain would realise that the problems of private aviation are different from commercial aviation and tory (coalition) policies are far better than labours.
Coopers comments on this were pathetic.

So wake up.

Pettros

November 16th, 2011 1:08pm Report this comment

Lot of people on here blaming labour. Then Mr Grayling blames the eurozone. Talk about passing the buck!
Labour never took any responsibility and now the coalition isnt either. They are all the same.

TrevorsDen

November 16th, 2011 1:15pm Report this comment

BTW
Net migration increased last year - because fewer people emigrated, not because immigrant numbers went up. And earlier this year the govt announced measures to close student visa loopholes

You want to bring back Labour, P from M? On your own head be it.

daniel maris

November 16th, 2011 1:18pm Report this comment

The way forward is to create a system where every young school and uni leaver is offered paid work. Not necessarily full time. As far as possible the work should reflect qualifications and skills but there would be no guarantee.

The guarantee should run for at least two years, so people get into the habit of working.

It should be a legal requirement to support yourself economically, so the refusal of a job offer will not lead to welfare benefits but could lead to legal action.

We really need to get going on that before we consign this generation to a life of poverty and idleness.

TrevorsDen

November 16th, 2011 1:21pm Report this comment

mr tom jones -- you do not change an entire nations youth education in 18 months. It would take nearer 18 years to see the benefits.
Likewise changes to the benefits system.

All you and others want to do is shit on as many people as possible from a great height and thereby alienate a vast swath of the voting public.
For labour, people like you are the gift that keeps on giving

James

November 16th, 2011 1:37pm Report this comment

This is exactly why we need to see more emphasis on sites that encourage young jobseekers like www.bigdog.co.uk! There are sites out there that specially focus on the under 25s, it's just that more people need to be made aware of them! The one I linked to has over 30,000 jobs and apprenticeships listed!

Dennis Churchill

November 16th, 2011 1:41pm Report this comment

Today’s Standard has the story: “More ethnic pupils than whites in London schools”
So who are the young people we are dealing with? Is it the much demonized (by the Trendy Tendency) English? Can we any longer even think about a common culture and whether it is suitable for the modern economy?

Radford NG

November 16th, 2011 2:20pm Report this comment

Scotpg is right about pay & conditions of immigrants.~~~Even so they are sending money home. Working-class districts are full of shops offering money transfers.~~~Our wealth sent abroad.~~~This should be taken into account when considering supposed benefits to the economy of immigration.

Dimoto

November 16th, 2011 2:21pm Report this comment

Pettros old chap,

In case you really haven't noticed, the "negative narrative" comes entirely from the media, led by our esteemed public service broadcaster, and followed by the glorious press, slowly going out of business, but convinced that 'bad news sells'.

These days, an announcement that some no-mark "chief economist" of some attention-seeking brokerage, has shifted his guess at GDP growth next year, down by half a percent, is reported as headline news : "more gloom on the economy".

As for the "dire and disastrous" unemployment stats - we are growing very slowly in a climate of fear and uncertainty created by the clowns over the water, and guess what ? businesses are not hiring !!
Shock ! horror !

It has much less to do with the (poor quality) of the British reserve army of the unemployed, and everything to do with the very few jobs on offer.

Emergency (panic) measures to "boost employment" just won't work in this climate of fear.

The figures that matter are:

People IN EMPLOYMENT, fell by 197K in Q3, to the lowest level in over a year.

Vacancies in the three months to October, increased by a paltry 7K to 462K.

We urgently need to spend much more effort on developing non-EU markets.

Jayu

November 16th, 2011 2:25pm Report this comment

@Dennis Churchill

London isn't England, and England isn't the UK. If you believe that the causes and problems associated with youth unemployment are confined to the 'ethnics', you would have to be seriously delusional.

Dennis Churchill

November 16th, 2011 3:02pm Report this comment

Jayu
November 16th, 2011 2:25pm
Where did I write that youth unemployment was confined to ethnic (minorities)?
You seem to be writing between the lines.
I’m suggesting that talking as if there are common problems in different areas is wrong.
London is certainly not England and England is not Britain although it is by far the largest country and has many times the population of the others.
The youth culture in many of our cities, London included, cannot be considered “English” or “British”.Neatherisation has been successful in that respect. The necessary changes to our culture will be hindered by this multicultural mix---and necessary changes will need to happen if we are to remain a wealthy society.

Jayu

November 16th, 2011 3:34pm Report this comment

@Dennis Churchill

Genuine questions. Just what are these necessary changes that 'this multicultural mix' hinders us from making? And in what ways does this hindrance manifest itself?

Cynic

November 16th, 2011 4:03pm Report this comment

We're in a recession, education has been trashed over the last 13 years, the floodgates of unlimited immigration have been thrown open, businesses are floundering under a mountain of costly EU regulation and there is a welfare state which still makes it more profitable to be on benefits than to work. Why is anyone surprised that unemployment rates are going through the roof?

whatawaste

November 16th, 2011 4:24pm Report this comment

Dimoto

"We urgently need to spend much more effort on developing non-EU markets."

Precisely, what is the point in trying to export to mostly bankrupt EU countries? The politicians want to maintain the status quo of the EU being our largest export market, as perhaps the only reason for staying in the EU. Although even that argument is a bit weak.

The USA has already embarked on a pro Pacific rim priority on trade. Airbus has also done a few big deals recently in the Gulf states and the Far East. But the products and services will be very high tech involving quality engineering and scientific innovation.

I also think that the government (of whichever colour) should give the same support to SMEs in export markets as to FTSE-100/global multinationals. This is an area that has been severely negleted in recent years. Blair obtained many oil drilling concessions for BP etc, but this does not make much difference to unemplyment statistics in the UK.

Andrew Shakespeare

November 16th, 2011 5:25pm Report this comment

"why non-UK nationals are proving so much more adept at finding work than their British counterparts"

It's very simple. Brits have no education or motivation, whinge endlessly, are quite convinced that work is an extension of their social life, think that being expected to break a sweat is a breach of their human rights, and are always demanding more money, although they see no reason why they should have to work more in return, and will demand a tribunal if you try to convince them otherwise.

Foreigners are grateful just to have a job.

Dennis Churchill

November 16th, 2011 5:47pm Report this comment

Jayu
November 16th, 2011 3:34pm
The first thing to change is stop instilling into the young that everyone is a winner and competition is bad.
This is both incorrect and against human nature.
While on the subject of human nature we need to accept it exists and we are not blank slates.
The Rise of the Meritocracy was originally a warning not an aspiration and removing selection and competition was an attack on the meritocracy.
As for ethnic minorities we should look at the problems that certain ones give us---in this case unemployment but in other areas other problems.
The Pakistani, Bangladeshi and Somali populations have disproportionate unemployment.
Tower Hamlets, a London borough that literally borders the City of London, has one of the highest levels of Bangladeshis outside Bangladesh and probable the highest rate of welfare dependency in London. The two things are unlikely not to be connected.
Some cultures are much easier to assimilate than others.Afganis, Iraqis, Bangladeshis, Pakistanis; Somalis are all more likely to raise unemployment than Lituanians.Our immigration policy should recognise this rather than pretend that it makes no difference. We still import more immigrants from outside the EU than from it but our political class use the EU as a smokescreen to disguise their open borders beliefs.

Dennis Churchill

November 16th, 2011 5:53pm Report this comment

whatawaste
November 16th, 2011 4:24pm
Yes exports are important but we should always remember that foreign trade accounts for only 10% or so of our economy.
Regulations that inhibit employment operate on 100% of our economy.
Back in the real world you will not hire extra staff if it is costly and difficult to get rid of them if they do not perform as well as you need them to. People also will not take unpleasant or boring jobs if they can earn almost as much on welfare.

Dennis Churchill

November 16th, 2011 6:29pm Report this comment

From today’s Telegraph:”Businesses are to be offered financial incentives to teach school leavers the “Three Rs”

Santorum

November 16th, 2011 7:24pm Report this comment

Lump of labour fallacy anyone?

Jayu

November 16th, 2011 8:48pm Report this comment

@Dennis Churchill

So you have no examples? Should I be surprised?

Dennis Churchill

November 16th, 2011 8:58pm Report this comment

Interesting Blog on the Telegraph by Ed West on the relationship between diversity and equality.

Dennis Churchill

November 16th, 2011 11:12pm Report this comment

Jayu
November 16th, 2011 8:48pm
If you read my post you will see I do give examples/suggestions.

Samantha

November 16th, 2011 11:48pm Report this comment

I just want to pay my way in the world! I'm not the smartest nor the dumbest person your ever meet, I a girl next door, 21 year old, hard working person and it seems that no matter what I do I can't ever get my foot in the door any where, I have a level 3 in child care, and am working at getting a job 13 hours a day. Calling people, handing c.vs out, emailing. NOTHING is working I not pickey I just want to work, IM FEED UP.

Andy B

November 17th, 2011 9:26am Report this comment

Its just like the 1980s all over again ... but without the oil revenue to fall back on. I'm pretty sure the Tories just don't feel at home unless they have unemployment at these kind of levels ... makes them all feel warm inside.

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