More than 2,000 jobs will be created with Social Security Scotland over the next 12 months, First Minister Nicola Sturgeon has announced.
Recruitment will start in October for staff to support the delivery of benefits due to be introduced next year, including the Adult Disability Payment – the Scottish Government’s replacement for the Personal Independence Payment.
The majority of the new roles will be based in Social Security Scotland’s Dundee head office and Glasgow, to take calls from clients and process applications for Scottish benefits.
The remainder will be based across the country to provide face-to-face advice for people applying in the way that would suit them best, whether that is online, by phone, by post or in person.
The First Minister said: “Social security is a human right and a collective investment in the people of this country now and for future generations.
“These roles come at a critical time in Scotland’s recovery from the COVID-19 pandemic and our investment will go beyond the money that we will pay in benefits. When we have introduced all our new benefits and moved clients from the DWP to Social Security Scotland, our new social security service will employ more than 3,500 people. This will provide secure, long-term employment in Dundee, Glasgow and across the country and deliver a positive economic impact of £280 million for our economy.
“We are committed to creating a diverse workforce to provide this public service. Having people from a wide range of backgrounds will help deliver the best service and ensure that we do things differently and treat people with dignity, fairness and respect.”
Social Security Scotland’s Chief Executive David Wallace said: “Social Security Scotland opened its doors in September 2018, and we are already delivering 11 benefits – seven of which are brand new. We know that our clients value our service as we have a 90% satisfaction rating.
“As we welcome more than 2,000 additional staff to deliver new benefits and a high-quality service, we are committed to increasing diversity in the organisation so we reflect the clients we are here to serve and their lived experience.
“We are delighted to be able to create more jobs in Glasgow and to our head office in Dundee and I look forward to welcoming colleagues into Agnes Husband House in 2022.
“We are a Living Wage, Disability Confident and Carer Positive employer. We proudly support the Fair Start Scotland programme and have committed to offering 100 roles as part of Young Persons Guarantee in 2021/22.”
People can find the latest vacancies and sign up for job alerts at:
“With the recovery well underway, and more than 1 million job vacancies posted, now is the right time for the scheme to draw to a close” – Chancellor Rishi Sunak
Chancellor hails Scottish workers as UK Government’s Plan for Jobs package enters the next stage
As furlough winds down flagship schemes such as the super-deduction and Kickstart scheme continue to support jobs and businesses
Rishi Sunak calls on Scottish firms to take advantage of ongoing support during a visit to a Legal and General modular homes factory and housing site in … Yorkshire!
The Chancellor will today (30th September) praise Scottish workers’ ongoing resilience as the government moves to the next phase of its Plan for Jobs, part of a £400bn support package for the economy.
The change comes as latest figures show more employees on payrolls than before the pandemic, underlying wages increasing strongly and the OECD predicting the UK to see the fastest growth in the G7 this year and next.
Having protected over 910,000 jobs in Scotland during the toughest times of the pandemic, the furlough scheme closes today after gradually winding down as the economy began to recover. With the majority of Covid restrictions removed and the economy open again, the government is focused on investing in jobs and skills.
The UK Government’s Plan for Jobs will carry on helping to fuel the economy’s bounce-back by supporting employers across the UK to create new jobs and workers to boost their skills.
The UK Government has also provided the Scottish Government with an additional £14.5 billion in funding since the start of the pandemic.
During a visit to Legal and General’s modular factory in Yorkshire, the Chancellor will ‘double-down’ on his call for firms across the UK to make the most of billions in further support on offer, including the super-deduction – the biggest business tax break in modern British history – and the Kickstart Scheme which offers fully-funded jobs to young people.
Chancellor of the Exchequer, Rishi Sunak said: “I am immensely proud of the furlough scheme, and even more proud of the determination and resilience of Scottish workers and businesses through the pandemic. With the recovery well underway, and more than 1 million job vacancies posted, now is the right time for the scheme to draw to a close.
“But that in no way means the end of the UK Government’s support in Scotland. Our Plan for Jobs is helping people into work and making sure they have the skills needed for the jobs of the future.”
Scottish Secretary Alister Jack said:“From day one of the pandemic, the UK Government put in place an unprecedented package of support. The strength of the UK Treasury has protected the livelihoods of nearly a million Scots, providing certainty for many during extremely difficult times.
“Thanks to the successful UK vaccine programme, businesses are trading once again, and the furlough scheme is winding up.
“Our focus now must be on recovering our economy, investing in Scotland’s communities, and getting people into work though our Plan For Jobs.”
Whilst some other countries ended their economy-wide support schemes earlier in the year, the UK’s Coronavirus Job Retention Scheme and Self-employment Income Support Scheme continued into the Autumn.
Over 18 months on from its launch and with over £68 billion spent on the scheme, today marks the final day of the furlough scheme which has been instrumental in protecting workers and incomes from the worst of the crisis.
The Resolution Foundation said this week that the furlough scheme has “prevented catastrophic rises in unemployment”, and there are now almost 2 million fewer people forecast to be out of work than was feared at the height of the pandemic.
While emergency support draws to a close, the UK Government says it will continue to maximise employment across the country, create high quality, productive jobs, and deliver the skills that people, businesses and the economy need to thrive.
Today, the Chancellor will visit Legal and General’s modular homes factory and housing development in Yorkshire to see some of the Plan for Jobs in action. The super-deduction has allowed them to expand their factory capacity and has supported over 1900 across the UK, including 400 new jobs.
The Chancellor will meet employees including an employee who has secured a placement with Legal and General through the Kickstart scheme.
NEW POLLING reveals the extent to which low-paid workers have borne the brunt of the pandemic
NEW POLLING reveals the extent to which low-paid workers have borne the brunt of the pandemic
TUC analysis shows three industries furthest away from recovery are all low-paid and have highest rates of furlough use
TUC warns the end of furlough and Universal Credit cut will be a hammer blow for low-paid workers
Union body says without an economic reset post-pandemic the government’s levelling up agenda will be “doomed to failure”
The coronavirus crisis has been “a tale of two pandemics”, the TUC said today as it calls for an urgent “economic reset” to tackle the huge class divide in Britain that has been exposed by the pandemic.
The call comes as the union body publishes new polling which shows how low-income workers have borne the brunt of the pandemic with little or no option to work from home, no or low sick pay and reduced living standards, while better-off workers have enjoyed greater flexibility with work, financial stability and increased spending power.
Pandemic class divide
New TUC polling, conducted by Britain Thinks, has revealed the extent of the pandemic class divide with the high-paid more financially comfortable than before, while the low-paid have been thrust into financial difficulty:
Low-paid workers (those earning less than £15,000) are almost twice as likely as high-paid workers (those earning more than £50,000) to say they have cut back on spending since the pandemic began (28 per cent compared to 16 per cent)
High earners are more than three times likely than low-paid workers to expect to receive a pay rise in the next 12 months (37 per cent compared to 12 per cent).
This Covid class divide isn’t just apparent on personal finances. The polling also shows how low-paid workers are markedly more likely to get low or no sick pay compared to higher earners:
Low-paid workers are four times more likely than high-paid workers to say they cannot afford to take time off work when sick (24 per cent compared to six per cent).
Only a third (35 per cent) of low-paid workers say they get full pay when off sick compared to an overwhelming majority of high-paid workers (80 per cent)
The TUC has long been calling for an increase to statutory sick pay, which stands at a derisory £96.35 a week, and from which more than two million low-paid workers – mostly women – are currently excluded because they do not earn enough to qualify.
The union body recently criticised the government decision to “abandon” these two million workers by failing to expand eligibility of sick pay, as they had previously promised.
This lack of decent sick pay is compounded by the fact that low-paid workers are more than three times more likely than high-paid workers to say they their job means they can only work outside the home (74 per cent compared to 20 per cent).
This means that low-paid workers face greater risk of contracting the virus at work, and when ill, often face the impossible choice of doing the right thing but losing income or keeping full pay but potentially spreading the virus.
Low-paid industries lag
New TUC analysis shows that the three industries furthest away from a jobs recovery – arts and entertainment, accommodation and food and ‘other services’ – are all ‘low paid’ industries.
These are also the three industries with the highest furlough rates according to HMRC stats, and three of the highest according to most recent ONS estimate.
The end of furlough poses a serious threat to low-paid jobs in these industries – and combined with the “senseless” Universal Credit cut – will be a hammer blow for low-paid workers and push many further into hardship, the union body says.
Time for an economic reset
The TUC says its analysis and poll findings paint a picture of stark inequality in the UK, which has been further entrenched through the coronavirus crisis, and show that the country needs an urgent “economic reset” post-pandemic.
The union body warns that without such a reset, the government’s levelling up agenda will be “doomed to failure” as ministers risk repeating the same mistakes which followed the financial crisis, allowing insecure work to spiral even further.
To prevent unnecessary hardship in the coming months, the TUC is calling on the government to:
Extend the furlough scheme for as long as is needed to protect jobs and livelihoods and put in place a permanent short-time working scheme to protect workers at times of economic change
Cancel the planned £20 cut to Universal Credit
And as part of a post-pandemic reset, the TUC says ministers must:
Ban zero hours contracts
Raise the minimum wage immediately to at least £10
Increase statutory sick pay to a real Living Wage and make it available to all
Introduce new rights for workers to bargain for better pay and conditions through their unions
TUC General Secretary Frances O’Grady said: “Everyone deserves dignity at work and a job they can build a life on. But too many working people – often key workers – are struggling to pay the bills and put food on the table.
“It has been a tale of two pandemics. This Covid class divide has seen low-paid workers bear the brunt of the pandemic, while the better off have enjoyed greater financial security, often getting richer.
“This should be a wake up call – we need an economic reset. It’s time for a new age of dignity and security at work.
“Without fundamental change, the government’s own levelling up agenda will be doomed to failure. And we risk repeating the same old mistakes of the past decade – allowing insecure work to spiral even further.
“Ministers must start by banning zero-hours contracts, raising the minimum wage with immediate effect and increasing statutory sick pay to a real Living Wage, making it available to all.
“And we know that the best way for workers to win better pay and conditions at work is through their union.”
On the risk to low-paid workers this autumn, Frances said: “The imminent end to the furlough scheme and cut to Universal Credit this autumn will be a hammer blow for low-paid workers and could plunge millions into hardship, many of whom are already teetering on the edge.
“The government must reverse its senseless decision to cut Universal Credit and extend the furlough scheme for as long as is needed to protect jobs and livelihoods.”
New research by Acas has found that over a third (36%) of British employers have seen their mental health support improve since the start of the coronavirus (COVID-19) pandemic.
Acas commissioned YouGov to ask businesses in Britain about whether they had seen a change to employee mental health and wellbeing support in their organisation since the start of the pandemic. The poll found that:
Over a third (36%) said it had got better;
Nearly one in ten (9%) said it had got worse;
Half (50%) reported it as staying the same; and
6% of employers did not know.
Acas Chief Executive, Susan Clews, said: “The pandemic has been a challenging period for everyone and it’s great to see that over a third of bosses have managed to improve their organisation’s mental health support for their staff.
“However, nearly one in ten employers have seen this support deteriorate so it is important for businesses to invest in the wellbeing of their workers as they open up again.
“Acas has good advice and training on how to support and manage mental health and wellbeing at work.”
Acas advice for employers on managing mental health during COVID-19 includes:
Be approachable, available and encourage team members to talk to you if they’re having problems;
Keep in regular contact with your team to check how they are coping;
Be understanding towards the concerns and needs of your staff while they work in new or unexpected ways. For example, working from home or managing childcare while working;
Address any individual communication preferences such as asking team members if they prefer to talk over the phone, through video meetings or by email; and
Look after your own mental health and get support if you feel under more pressure than usual. This support could be a colleague at work, a mental health network or a counsellor.
New opportunity to fill the ranks of the next generation of highly skilled plumbing and heating technicians
Places on the Modern Apprenticeship in Plumbing and Heating are filling up fast. Spaces are open to applications from anyone aged 16 and over for the Modern Apprenticeship in Plumbing and Heating programme, including existing employees and new recruits of plumbing firms.
With demand already outstripping supply it is vital to attract new talent to the sector to avoid long term consequences for the plumbing trade. Even before the global pandemic, the industry was faced with a skills shortage.
This skills deficit has now become more critical and to ensure that the plumbing industry is able to keep up with current demand and meet the government’s net zero ambitions, SNIPEF is urging individuals to consider a career in plumbing, and for plumbing employers to support them by offering apprenticeships.
With training delivered both on-site and in a classroom environment, a plumbing apprenticeship offers individuals the opportunity to earn a wage while gaining the important skills, knowledge, and experience to become a qualified plumber.
The programme is managed by SNIPEF Training Services Ltd (STS), the only industry recognised Management Agent and Training Provider in Scotland.
With 38 years experience in delivering Modern Apprenticeships, STS now work with 18 colleges across Scotland supporting training in four fuel pathways which include ACS Gas, Oil, Low Carbon Technology and Solid Fuel.
In addition to fuel accreditation, participants will achieve an SVQ Level 3 (SCQF 7) Modern Apprenticeship qualification which also includes Water Byelaws and Unvented Hot Water.
Fiona Hodgson, Chief Executive of SNIPEF, said: “Anyone looking for a satisfying career, whether a school-leaver or someone contemplating a career change, should consider the benefits of undertaking a plumbing apprenticeship.
“Starting, then working diligently to complete a plumbing apprenticeship, is an excellent option for anyone who hasn’t yet decided how they want to direct their working lives.
“As an employer, there are many benefits to recruiting an apprentice or offering a Modern Apprenticeship to an existing staff member. Not only will you be developing enthusiastic talent with the exact skills and experience the plumbing and heating industry and your business requires you will also be developing the workforce of the future.”
Dale Thomson, Training Manager of SNIPEF Training Services Ltd, said “It is more important than ever that increasing numbers of people consider a career in the plumbing and heating industry.
“There are skill shortages up and down the country and employers are desperately looking for competent and qualified plumbers to help with the work they have lined up.
“In addition to this, we need to ensure that sufficient numbers of plumbing apprentices are being trained now to secure enough qualified plumbers in the future to work on low carbon technology such as heat pumps to meet the Scottish Government’s ambitious net zero carbon targets.
“If you are an employer looking to recruit an apprentice or if you are interested in a career in plumbing please contact SNIPEF Training Services who will assist you every step of the journey.”
STS has supported thousands of apprentices to complete their training to become qualified plumbers, guiding apprentices and employers from recruitment and selection through to workforce planning, funding and training delivery.
College places are limited and with many plumbing employers already applying to enrol candidates for the 2021 cohort registering interest now is strongly recommended.
Anyone considering a career in plumbing and heating or hiring an apprentice plumber, should contact Gillian Macaulay, Regional Support Officer at:
The Poverty Alliance have launched Weathering the Storm, a summary report from the Get Heard Scotland (GHS) programme in 2020/21.
GHS is a programme coordinated by the Poverty Alliance and funded by the Scottish Government as part of Every Child Every Chance, the Scottish Government’s Tackling Child Poverty Delivery Plan.
GHS is designed to help people on low incomes get their voices heard on the policies and decisions that most impact their lives and their communities.
Get Heard Scotland gathers evidence on the experience of poverty, from people who are living on low incomes, as well as from organisations and groups working on the ground to help address poverty. Crucially, it focuses on the solutions needed to loosen the grip of poverty on people’s lives.
The report that has been published today covers GHS engagement in 2020/21, which focused primarily on the local authority areas of Inverclyde and Renfrewshire. Covering issues like mental health, employment, food insecurity, digital access, debt, and social security, it provides an overview of the experiences of people living on low incomes – as well as of organisations working with people on low incomes – during the Covid-19 pandemic.
Peter Kelly, Director, Poverty Alliance, said: “Over the last 18 months, the grip of poverty has tightened on the lives of people across Scotland. But it is important to remember that, even before the pandemic, over one million people in Scotland were living in that grip.
“We know that not just listening to – but acting on – the voices and experiences of people living in poverty is key to ending poverty in Scotland. So we are pleased to publish this report today, that focuses primarily on Inverclyde and Renfrewshire but which has relevance for every part of the country.
“In both local authorities, there has been a genuine desire to find more effective ways of meaningfully involving people with experience of poverty in shaping local anti-poverty policy. We hope that the work as part of Get Heard Scotland will have contributed towards making participatory policy making the norm in the future.”
HR & Recruitment had the biggest bounce back in jobs compared to July last year
Job opportunities in HR & Recruitment swelled to more than triple the average increase for all sectors
The Transport/ Logistics/ Warehouse industry saw the second highest increase
The HR & Recruitment industry has seen the greatest increase in job opportunities over the past year, new research has revealed.
The study, conducted by advertising experts N.Rich, analysed official job advertisement data from the ONS and Adzuna, comparing the year-on-year increase in job ads across 29 different industries between July 2020 and July 2021.
Results indicated that HR & Recruitment boasts an annual increase of 544% jobs advertised – more than three times the average increase for all UK industries (171%).
The Transport / Logistics / Warehouse industry has seen the second highest increase in job opportunities, with a 437% annual increase.
Rounding out the top three of highest annual increase of jobs advertised via Adzuna job boards were those for the Catering/ Hospitality industry, with a 425% improvement compared to the same date last year.
Other industries starting to recover include Manufacturing, which has a 420% annual increase in job adverts, putting it in fourth place. Fifth place belongs to the Marketing/ Advertising/ PR industry, with an annual increase in job adverts of 359%.
The lower half of the Top 10 features industries such as Management/ Exec/ Consulting industry (357% annual increase), Constructions/Trades (352%), and Admin/ Clerical/ Secretarial jobs (329% increase). Rounding off the top 10 are the Sales and Wholesale/Retail industries, with increases in job adverts of 292% and 290% respectively.
At the other end of the scale, Healthcare and Social Care saw the lowest increase in openings, going up by just 29% compared to a year previously, while Education also saw a relatively small rise of 52%.
Year-on-year comparison of job adverts across UK by industry – top 10, July 2020 – July 2021
Industry
Year-on-Year percentage increase
1. HR and Recruitment
544.94%
2. Transport/ Logistics/ Warehouse
437.74%
3. Catering and Hospitality
425.21%
4. Manufacturing
420.93%
5. Marketing/ Advertising/ PR
359.00%
6. Management/ Exec/ Consulting
357.13%
7. Construction/ Trades
352.44%
8. Admin/ Clerical/ Secretarial
329.41%
9. Sales
292.32%
10. Wholesale and Retail
290.53%
Average across all industries
171.8%
In addition, the study analysed how job opportunities have changed across the UK’s regions, with the East of England seeing an increase of 242% when comparing the week commencing 16 July 2021 with the same week in 2020.
In second place is the North East with a 223% increase in job adverts, while third place belongs to the West Midlands with a 210% increase in jobs advertised.
London has seen the lowest increase in job opportunities by region compared to July last year, at 134%. North West comes in behind at 167%, followed by the South East with a 168% increase in job adverts.
Year-on-year comparison of job adverts across UK by region, July 2020 – July 2021
UK Region
Year-on-Year percentage increase
1. East of England
242.1%
2. North East
223.2%
3. West Midlands
210.9%
4. East Midlands
205.7%
5. Yorkshire and The Humber
194%
6. South West
171.8%
7. South East
168.7%
8, North West
167.5%
9. London
134.2%
All Regions
171.8%
Year-on-year comparison of job adverts across UK by country, July 2020 – July 2021
UK Region
Year-on-Year percentage increase
1. Northern Ireland
232.5%
2. Wales
180.6%
3. England
176.2%
4. Scotland
159.9%
A spokesperson for N.Rich said, “It is exciting to see that a number of industries are recovering after a gruelling couple of years. It just goes to show that – despite fears of an economic downturn post lockdown – the UK job market remains resilient and robust.”
The study was conducted by N.Rich, which offers a rich array of intent data and ad inventory that enable marketers to drive awareness and lead generation effectively.
People struggling to secure or retain permanent employment can access free support delivered by trained advisers.
The national employment service Fair Start Scotland provides personalised and tailored support to those who have struggled to find and stay in work due to their personal circumstances. This may include caring commitments, health conditions or disabilities or other challenges caused by long-term unemployment.
A new marketing campaign has launched to ensure more people can access advice and support, including those who may be finding it more difficult to secure and retain employment as a result of the coronavirus (COVID-19) pandemic.
Employment and Fair Work Minister Richard Lochhead said: “We know that for some people finding work can be a difficult process. The Scottish Government’s Fair Start Scotland service provides people with practical support and advice which is tailored to the needs of the individual.
“Centred around dignity and respect, the service is there to help those who are having difficulty finding employment.
“The pandemic has created greater uncertainty in the labour market and that is why we want to reassure people across the country that expert support and assistance is there for them. Since launching in 2018 more than 32,500 have accessed advice and support from this service and now we want to reach even more people who could benefit.”
Rachel Walker, aged 26 from Carluke, was referred to Fair Start Scotland in March 2021. The advice and support she received helped her secure an administrative role with Capability Scotland.
Ms Walker said: “The support I received through Fair Start Scotland has been first class. My key worker helped build my confidence and encouraged me to take the right steps back into employment.
“As someone who is blind I had limited pathways into work, however, Scott always kept me upbeat, and I have recently secured a role with Capability Scotland. I am over the moon and I would recommend the service to anyone looking to move back into work.”
Public Health Scotland supports retaining the £20 a week uplift to universal credit and working tax credits, brought in by the UK Government in April 2020, to help create a Scotland where everybody thrives.
The social security top-up payment was introduced in April 2020 to help low-income households deal with the economic impact of the COVID-19 pandemic, and is due to expire in October.
The evidence is becoming stronger that increasing the incomes of the poorest, including by increasing means-tested benefits, can help narrow the gap in life expectancy and improve mental health and wellbeing.
All of those families affected claiming working tax credits are already in employment, as are 35% of people claiming universal credit. Another 31% of people claiming universal credit have health problems or caring responsibilities which compromise their ability to secure and retain jobs. Therefore, focusing on getting people into work, in itself, will not be sufficient.
Martin Taulbut, Public Health Intelligence Adviser at Public Health Scotland said:“People with higher incomes are healthier and live longer. Experiencing material hardship can have a profound direct impact on health by affecting our ability to buy the goods and services that support good health and underpin healthy life expectancy.
“The increase in value of universal credit and tax credits has reduced poverty, protecting the physical and mental health of low-income families and supporting working-age adults’ ability to find and keep good work. Decreasing the value of means-tested benefits is likely to result in a decline in the (already poor) health of the unemployed and low-income families, particularly after the experiences of the COVID-19 pandemic.
“As well as enabling families to live healthier lives now, action taken to improve and protect the health of children from early in life pays dividends for decades. By embedding health and wellbeing into policy decisions across areas of economy, employment and mental health, Scotland has an opportunity to make real progress on national outcomes.”
TUC calls for permanent short-time working scheme to protect jobs in times of economic crisis and change
TUC says government must build on the success of furlough – and set up a permanent scheme to deal with big disruptions to jobs in the future, like the transition to net zero, future pandemics and technological change
Periods of industrial change have too often been mismanaged and led to increased inequality – a short-time working scheme would help prevent this, says TUC
Union body warns of job losses amid abrupt end to furlough scheme
The TUC is calling on the government to establish a permanent short-time working scheme as “a post pandemic legacy” to help protect working people through periods of future economic change.
The TUC says the furlough scheme, while far from perfect, is one of the major successes of government policy during the pandemic, protecting millions of jobs and livelihoods.
On the back of the success of the furlough scheme, the union body is urging government to build on furlough – “not throw away its good work” – with a permanent short-time working scheme to make the labour market more resilient in times of change and crisis.
The union body adds that because of the UK transition to net zero and the increased uptake of new technology, this is “hugely relevant”.
Case for a short-time working scheme
In a new report, Beyond furlough: why the UK needs a permanent short-time work scheme, the TUC says the case for a short-time working scheme is clear, citing significant benefits for workers, firms and government. The union body says for workers, a short-time working scheme would:
reduce the risk of workers losing their jobs in times of crisis
protect workers’ incomes – particularly as short-time working schemes are usually more generous than unemployment benefits.
prevent widening inequalities – protecting women, disabled workers and BME workers who tend to lose their jobs first in a recession due to structural discrimination
And for the government, it would:
protect against long-term unemployment, and the subsequent devastating impacts on communities
help stabilise the economy, and encourage a faster economic recovery as workers continue to spend their wages
save money, as the cost of furlough schemes is often below the cost of unemployment benefits, particularly where costs are shared with employers.
For employers, the TUC says that such a scheme would produce significant savings on redundancy, training and hiring costs, as they enable firms to keep skilled workers on their books.
The union body points out that the UK is an anomaly among developed nations in having no permanent short-time working scheme to deal with periods of industrial disruption and weak demand.
In the OECD, 23 countries had short-time working schemes in place before the coronavirus pandemic, including in Germany, Japan and many US states.
Turbulent times ahead
The TUC predicts that the UK economy is likely to face significant risks in the future – be it from climate change and the transition to net zero, new technologies such as AI, new variants or another pandemic. All could cause unpredictable and widespread disruption in the labour market – causing big spikes in unemployment and business failure.
The TUC cites failed attempts to manage industrial change in the past, which “left communities abandoned” and played a major role in the widespread regional inequality we see today.
The union body says that if the government is serious about levelling up, it will put in place a permanent short-time working scheme to prevent inequalities spiralling – adding that a short-time working scheme could play a vital role in achieving a ‘just transition’ to net zero.
Criteria for accessing scheme
The TUC says the scheme should be governed by a tripartite panel bringing together unions, business and government, which should be tasked with designing the criteria for the new scheme.
In designing the scheme, the TUC says the panel should take into account best practice from existing global schemes. The union body has set out the following conditions which it says must be in place for accessing a short-time working scheme:
Workers should continue to receive at least 80 per cent of their wages for any time on the scheme, with a guarantee that no-one will fall below the minimum wage for their normal working hours
Any worker working less than 90 per cent of their normal working hours must be offered funded training.
Firms must set out a plan for fair pay and decent jobs
Firms should put in place an agreement with their workers, either through a recognised union or through consultation mechanisms.
Firms must demonstrate a reduction in demand – which can include restructuring
Firms should commit to paying their corporation tax in the UK, and not pay out dividends while using the scheme.
The scheme should ensure full flexibility in working hours.
There should be time limits on the use of the scheme, with extension possible in limited circumstances.
TUC General Secretary Frances O’Grady said: “Everyone deserves dignity and security at work. The pandemic shows how an unexpected economic shock can wreak havoc on jobs and livelihoods with little warning.
“In a changing and unpredictable world – as we battle climate change and new technologies emerge – a permanent short-time working scheme would help make our labour market more resilient and protect jobs and livelihoods.
“Too often in the past, periods of economic and industrial change have been badly mismanaged – increasing inequalities and leaving working people and whole communities abandoned.
“Setting up a ‘daughter of furlough’ to provide certainty to workers and firms through future industrial change would be a fitting pandemic legacy.
“Furlough has been a lifeline for millions of working people during the pandemic. Now is the time for the government to build on the success of furlough with a short-time working scheme – not throw away its good work.”
Furlough warning
The call for a permanent short-time working scheme comes exactly six weeks before the furlough scheme is set to end – the date at which employers are legally obliged to start consulting on planned redundancies with their staff.
The TUC is warning the abrupt end to the furlough scheme will cause unnecessary job losses and may harm the country’s economic recovery.
Recently, aviation unions have also been raising concerns about the sudden end to the furlough scheme and the loss of jobs in the sector.
On the ending of the furlough scheme, Frances said: “The jobs market is still fragile, with more than a million people still on furlough.
“An abrupt and premature end to the furlough scheme will needlessly cost jobs and harm our economic recovery.
“Instead of pulling the rug out from under the feet of businesses and workers, the chancellor must extend the furlough scheme for as long as is needed to protect jobs and livelihoods.”
Captain Martin Chalk, Acting General Secretary of BALPA said: “The UK aviation sector is the only industry to remain effectively in a lockdown.
“It employs about one million workers directly and ONS statistics show that 57% of remaining employees in air transport companies remain on furlough.
“The scale of jobs at risk of redundancy when the furlough scheme ends is self-evident, yet the footprint of aviation must not be missed – one in four constituencies has over 1,000 people employed directly by aviation companies.
“If the Chancellor chooses not to extend furlough, the effects will be felt by workers, communities and businesses right across the country.”
Diana Holland, Unite Assistant General Secretary, said: “Aviation is crucial to the UK’s economic recovery. It needs furlough support to continue while Covid restrictions apply.
“Airports and aviation support thousands of jobs. Without support all are at high risk.”
– The full report Beyond furlough: why the UK needs a permanent short-time work scheme is here:
