Luton Unemployment

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Transcript of Luton Unemployment

  • Lutons Labour Market: Facts, Figures and the Future

    TBRs Skills and Labour Market Team:Jonathan Guest, Research ConsultantMichael Johnson, Senior Research Consultant

    15/10/2012

  • Structure

    Introduction Lutons economy & key sectors Lutons labour market and trends Skills supply & demand Skills gaps and shortages Young people in Luton Lutons Future: the workforce & economy of

    tomorrow Questions

  • Introduction TBR Skills and Economic Development

    Consultancy Remit: Develop up to date evidence for LBC

    particularly: Data to understand and monitor skills & employment

    in the local area, now and in the future. Data that will support the interpretation of indicators

    and stimulate discussion.

    Comparison Areas (Coventry, Blackburn, Bradford, Oldham, East of England and England)

    Methodology

  • Lutons Economy

    What is the current situation?- Dominance of service industries- Decline of manufacturing- Rise of banking, finance & insurance

    Enterprise in Luton Strong in new firm formation

  • Key Sectors Airport & Aerospace, Engineering & Automotive, ICT and Electronics

    (and Software) & Creative Industries

    Source: TCR 2012 - TBR Ref: W3/C1

    Total number of Firms & Employment

    4,650

    6,120

    2,810

    4,470

    360

    520

    360

    70

    0

    100

    200

    300

    400

    500

    600

    0

    1,000

    2,000

    3,000

    4,000

    5,000

    6,000

    7,000

    ICT & Electronics Automotive & Engineering Creative Industries Airport & Aerospace

    Employment

    Firms

  • Labour Market Trends in Luton

    Unemployment rate in Luton is 10.3%, which is above the unemployment rate in England (8.2%)

    The economic inactivity rate in Luton has crept up since 2004 by almost 4 percentage points (6.4% to 10.3%).

    Causes: Individuals being students (32%) Looking after family/home (36%).

    Unlike other areas, long-term sick does not drive economic inactivity in Luton (13.4% compared with 21.2% in England).

  • Lutons Labour Market

    Lutons population: 199,200 Working Age Population: 130,500 Compared to England, there is a smaller proportion of

    Lutons working-age population with: NQF level 2 qualifications or above (62.8% in Luton to 72.7% in

    England) NQF level 3 qualifications or above (42.1% to 52.7%) NQF level 4 qualifications or above (24.8% to 33.5%)

    Proportion of working age without a qualification in Luton (15.67%) is much higher than England average (9.9%).

  • Skill Supply Approximately 6,500 people from Luton attended University in

    2010/11 many in London and the East of England. The University of Bedfordshire has over 20,000 students studying in

    2010/11. Three main Further Education providers (Barnfield College, Luton

    Sixth Form College, etc) maintained the volume of successfully completed programmes by those aged 19 or over between 2005/6 and 2010/11.

    Starts of apprenticeships increased since 2005 but still lower than the comparator areas.

    According to past business surveys, few companies have linkages with local universities.

  • Skills Profile

    No Qualification

    27.7%29.3%

    35.5%

    29.8%

    25.6%

    36.3%

    0.0%

    5.0%

    10.0%

    15.0%

    20.0%

    25.0%

    30.0%

    35.0%

    40.0%

    Luton Oldham Coventry Blackburn Bradford England

    11.7%

    10.2%

    9.0% 9.4%10.0%

    6.7%

    0.0%

    2.0%

    4.0%

    6.0%

    8.0%

    10.0%

    12.0%

    14.0%

    Luton Oldham Coventry Blackburn Bradford England

    Level 4 and above

    APS 2010 - TBR ref: C15 & C15.1

  • Skill Demand Hard-to-fill vacancies are most likely to have been

    experienced by firms in: Manufacturing (12%) Accommodation & food services (31%).

    Roles include: Sales Assistants and Retail Cashiers Other Elementary Service Occupations Information Technology and Telecommunication Engineering Professionals

    Reasons include: lack of applicants with the required skills and applicants lacking the qualifications the company demands

  • Skills Demand

    Occupation by SOC VacanciesNotifiedOccupations

    Sought

    7111 : Sales and retail assistants 37 2,0909149 : Other goods handling and storage occupations n.e.c. 52 7104150 : General office assistants/clerks 13 5159134 : Packers, bottlers, canners, fillers 0 2758212 : Van drivers 43 2409233 : Cleaners, domestics 38 2106115 : Care assistants and home carers 153 1957212 : Customer care occupations 46 1659121 : Labourers in building and woodworking trades 52 1409223 : Kitchen and catering assistants 25 130

    August 2012 Top 10 Vacancies Occupations Sought (and Vacancies Notified)

    JCP (2012) TBR: W1

  • Skills Gaps & Shortages

    Supply & Demand Uncovering Employer Needs

    Unemployed Gaps and Shortages

    Skills Mismatch

    PresenterPresentation NotesIn 2009 the audit commission said of Luton, that Local people do not have the skills needed to fill the well paid jobs that partners are trying to attract to the area. Organisations working in Luton understand that skills levels need to be raised to deliver continuing economic improvement.

  • Skills Gaps & Shortages

    Technical, practical or job specific skills: e.g. Engineering and technician skills, job specific but

    also linked to STEM skills. Sales and marketing

    e.g. Numeracy & Literacy - soft skills (listening, language)

    Customer service skills & communication skills: e.g. Soft skills, team working, customer service.

    Knowledge of English among non-native speakers

  • Employment & Young People NEETs Rise between 2010 and 2011 of 26%.

    Lutons proportion of NEETs (7.4%) is higher than the regional (6%) and national average (6.1%).

    GCSEs Slightly higher proportion of pupils getting 5 A*-C grades

    than national average.

    Apprenticeships In 2012, 7% of businesses employed apprentices.

    Sector Enrolments Higher Level Enrolments Lower Level Science, Engineering & Manufacturing Technologies 60 20Business Information Technology & Telecommunication 150 20Building Services Engineering 120 20Customer Service & Contact Centre 30 140Total 1,110 880

    JCP (2012) TBR: W1:S14.4

    Apprenticeship Enrolments in Luton 2012

  • Future prospects

    Forecasts for 2012, 2017, 2022, 2027 and 2032: Sector forecasts Occupation forecasts Skills forecasts

    Methodology & Data: APS, Working Futures, EEFM.

  • Lutons Future: The workforce & economy of tomorrow

    TBR 2012 - TBR Ref: W2/C5

  • Lutons Future: The workforce & economy of tomorrow

    TBR 2012 - TBR Ref: W2/C7

  • Lutons Future: The workforce & economy of tomorrow

    TBR 2012 - TBR Ref: W2/C6

  • Future prospects Assets

    University & FE Colleges Growth industries and hubs for hi-tech industries at Butterfield

    Business Park and aerospace focusing around the Airport Regeneration (The Mall, St Georges Square and Railway Station) Transport links including rail and road networks Carnival Arts Centre

    PresenterPresentation NotesAlso bodies committed to improving the labour market, economy and skills environment.

  • Questions

  • Turn on keypad

    Press down On/off button for a few seconds and the word Qwizdom will

    appear

  • Slide Button to the rightand your remote number will appear on screen

    Turn on keypad

  • Dont forget to press send

  • Just before you go to sleep, you notice a huge spider

    on the bedroom wall. Would you

    A. Ignore it and go to sleepB. Kill the spiderC. Carefully take the spider outsideD. Get someone else to deal with itE. Panic!

  • Question 1

    Which of the following issues most inhibits the skills system from delivering better outcomes?A. Lack of employer commitment to trainingB. Information, advice and guidance available to

    individuals is inadequateC. Inflexibility of public funding mechanismsD. Quality of the training available too often failing to

    meet the required standard

  • Question 2

    Which sector will do most to drive future economic growth in Luton?A. Airport & AerospaceB. Automotive & EngineeringC. Creative IndustriesD. ICT and Electronics (and software)

  • Question 3

    What is the biggest challenge facing Lutons labour market?A. Low aspirations of those seeking employmentB. Long-term unemployment restricting the supply of

    work-ready residentsC. Depressed economic conditions leading to employers

    not hiringD. Lack of alignment between supply of training and

    demand for skillsE. National welfare arrangements providing insufficient

    incentive to work

  • Question 4

    Which of these assets should Luton showcase as its primary economic competitive advantage?A. Transport connectivityB. Education institutionsC. Quality of lifeD. Skilled workforceE. Communications infrastructureF. Value for money (in terms of costs of office space,

    relative wages rates etc.)

  • Question 5

    What area of skills development should Luton prioritise?A. Basic skills provision, to ensure that everyone

    seeking work meets basic literacy and numeracy standards

    B. Expansion of apprenticeship opportunities, to offer young people the chance to develop practical skills

    C. Developing programmes to attract and retain people with high level skills

    D. Encouraging lifelong learning to refresh the skills base of the entire adult population

    Slide Number 1StructureIntroductionLutons EconomyKey SectorsLabour Market Trends in LutonLutons Labour MarketSkill Supply Skills ProfileSkill Demand Skills DemandSkills Gaps & ShortagesSkills Gaps & ShortagesEmployment & Young PeopleFuture prospectsLutons Future: The workforce & economy of tomorrowLutons Future: The workforce & economy of tomorrowLutons Future: The workforce & economy of tomorrowFuture prospects AssetsQuestionsTurn on keypadSlide Number 22Dont forget to press sendSlide Number 24Question 1Question 2Question 3Question 4Question 5