Tesco and Boots lead 100,000 jobs pledge to tackle Neets crisis
Tesco, Boots and dozens of other retailers have pledged to create 100,000 new jobs in a bid to tackle the youth unemployment crisis, which they say is trapping young people in a “doom loop”.
A group of top high street firms – which also includes Asda, John Lewis and Marks & Spencer – have joined a new scheme to offer young people unpaid work experience, followed by interviews for paid roles.
The commitment to address the youth joblessness crisis comes after a government review found that the welfare state and social media are to blame for this “economic catastrophe”.
Former health secretary Alan Milburn, who led the review, said the number of young people not in employment, education or training (Neet) “will get worse, not better” without more unpaid work experience schemes.
“That is why this new partnership with the retail industry is so welcome. It will give more young people their first foot on the jobs ladder and give employers a bigger pool to recruit from. It is a win-win – and I hope one that other sectors will embrace,” he said.
The group of retailers, represented by the British Retail Consortium (BRC), have worked with the government to develop the programme, which will allow young jobseekers to continue to claim benefits while on work experience.
They will then be given an interview at the end of their placement and given a permanent role if one is available.
Last month, Prime Minister Andy Burnham urged retailers to address the youth unemployment crisis after Sainsbury’s unveiled 10,000 unpaid work experience placements for young people.
Responding to retailers’ commitment to create 100,000 new jobs, Burnham said: “Too many young people are trapped in a vicious cycle where they need experience to get a job and need a job to get experience – leaving them stuck while the world of work drifts further out of reach. That isn’t right.
“Opportunities like these can make all the difference, helping young people gain the confidence, skills and connections they need to get started in work.”
Retailers ‘coming to the rescue’
The retailers will offer two to four weeks of work experience to Neets aged between 18 and 24 and hope to create 100,000 new permanent jobs for graduates of the scheme by 2029. More than 11,000 placements have already been organised, they said.
Tesco will offer 5,000 placements as part of the scheme. Ken Murphy, the supermarket’s chief executive, said: “The retail industry has always been at the hart of local communities, providing jobs that are flexible, secure and accessible.
“The scale of the response from our sector shows retailers recognise the challenge facing the next generation and are determined to be part of the solution.”
Other businesses supporting the commitment include food and drink sellers Greggs, Costa and Pret a Manger, and retailers Amazon, JD Sports and Next.
Earlier this week, John Lewis said that it will prioritise young people when hiring 10,400 seasonal workers over Christmas. “With youth unemployment remaining a significant challenge, we recognise the role we play in providing meaningful opportunities to learn and grow,” chief people officer Helen Webb said.
Helen Dickinson, chief executive of the BRC, said that retailers have “come to the rescue” of Britain’s young people, who are “trapped in a no experience, no job doom loop”.
“Work experience is a first step, and with the right conditions for businesses to invest and create new entry level jobs, employers across the economy can help tackle the NEET crisis,” she said.
Pat McFadden, secretary of state for work and pensions, said: “This partnership will help young people to get the experience employers are looking for. Work experience can be life-changing, giving young people the skills, confidence and connections they need to take their first step into work.”
The commitment comes after the bosses of more than 80 retailers wrote to Burnham in June, urging him to take immediate action to secure the “ladder of opportunity for young people”.
The number of Neets in the UK dipped below 1m in June, but Milburn has warned that this figure could rise above 1.25m over the next five years.