BME workers bearing the brunt of coronavirus cuts

Black and minority ethnic (BME) workers are three times more likely than white workers to have lost working hours during the pandemic, according to a new TUC poll published on Friday.

The survey – carried out for the TUC by Britain Thinks – found that around 1 in 11 (9%) BME workers had their normal 35-48 hours a week cut back during the Covid-19 pandemic. Only 1 in 33 (3%) white workers said their working hours were reduced.

Nearly 1 in 8 (13%) BME workers told the TUC that their hours were cut without them requesting it in the last 12 months, compared to 1 in 11 (9%) of white workers. And 1 in 4 (25%) BME workers said they were now working between 1-24 hours a week, compared to 1 in 5 (20%) white workers.

The poll also found that:

  • Second jobs: BME workers were nearly twice as likely to say they’d had to take on more than one job in the last 12 months than white workers. Around 1 in 14 (7%) BME workers had more than one job during the past year, compared to just 1 in 25 (4%) white workers.
  • Pressure to go into work: 1 in 5 (20%) BME respondents told the TUC they were worried that if they did not go into their workplace this would impact negatively on their status at work, for example in terms of their job security or their chances of getting a pay rise. Around 1 in 7 (14%) white respondents shared this concern.

Previous TUC analysis revealed that the unemployment rate for BME workers has risen three times as fast as the unemployment rate for white workers during the pandemic.

The BME unemployment rate shot up from 6.3% to 8.9% between the first quarter of 2020 and the first quarter of 2021, an increase of 41%. Over the same period the unemployment rate for white workers rose from 3.6% to 4.1%, an increase of 14%.

Around 1 in 11 (8.9%) BME workers are now unemployed, compared to 1 in 25 (4.1%) of white workers.

TUC General Secretary Frances O’Grady said: “Covid-19 has shone a spotlight on the structural discrimination that has been hidden in our jobs market for too long.

“BME workers have shouldered the burden of the pandemic. They’ve faced the double whammy of being more likely to be working in industries that have been hit hardest by unemployment. And it’s now clear they’ve also have been more likely than white workers to lose hours – and therefore pay. Too many BME workers are having to take on second jobs now just to make ends meet.

“We know that BME workers are more likely to be in low-paid, insecure work with less employment rights. Through the pandemic, many have paid for this discrimination by losing hours, jobs and wages. Tragically, many more have paid with their lives.

“Enough is enough. Everyone deserves a decent job, with decent pay and with decent terms and conditions. Ministers must address this inequality once and for all and challenge the structural discrimination that holds BME workers back at every level of the labour market.”

Chair of the TUC anti-racism task force and NASUWT General Secretary Patrick Roach said: “This latest evidence comes on top of other data showing that Black workers are bearing the brunt of precarious employment, zero-hours contracts and employers using ‘fire and rehire’ to drive down wages.

“With rates of unemployment rising fastest amongst Black workers, we need to see urgent action from the Government to tackle these inequalities and secure a recovery that works for everyone.

“It will also be important that employers consider and are held to account for how their decisions are impacting on Black and White workers.”

The TUC is calling on government to:

  • Introduce mandatory ethnicity pay gap reporting and make employers publish action plans to ensure fair wages for BME workers in the workplace.
  • Ban zero-hours contracts and strengthen the rights of insecure workers – which will have a disproportionate impact on BME workers.
  • Publish all the equality impact assessments related to its response to Covid-19 and be transparent about how it considers BME communities in policy decisions.

Local MSP urges young people to apply for Job Start Payment

Gordon MacDonald, MSP for Edinburgh Pentlands, is urging young people in the area to apply for the Job Start Payment if they are starting a new job after a period of unemployment.

The Job Start Payment is available to 16-24-year-olds who have been on certain benefits for six months or more. Eligible young people can apply for the one-off payment worth £252.50, or £404 if they have children.

The payment will help with the costs of starting a job including travel, new clothes or childcare. People can apply via www.mygov.scot/job-start-payment or by calling 0800 182 2222.

SNP MSP for Edinburgh Pentlands, Gordon MacDonald said: “The pandemic has been particularly difficult for young people in Edinburgh and the Job Start Payment is a fantastic source of support for young people to ensure they can get off to a good start in a new job.

“Starting a new job can be very expensive for young people when you take into consideration the costs of travel, buying clothes and other costs associated with a new job.

“I would encourage all young people who have been unemployed for a long period of time and are starting a new jo or have recently started one to apply for this support.”

Plan for Jobs: Numbers on furlough halve in three months

More than one million workers came off furlough in the four weeks between the end of April and the end of May, which coincided with the start of restrictions being lifted and non-essential retail, restaurants and pubs reopening.

  • Latest government statistics show more than one million workers came off furlough in May alone
  • Milestone moment as the lowest amount of people on furlough since the pandemic began
  • Comes as scheme begins to wind down ahead of closure in September

More than one million workers came off furlough in the four weeks between the end of April and the end of May alone, which coincided with the start of restrictions being lifted and non-essential retail, restaurants and pubs reopening.

New figures published today show 2.4 million people moved off the scheme between the end of February and the end of May as businesses reopened.

2.4 million people remain furloughed or flexi-furloughed down from a peak of nearly 9 million at the height of the pandemic in May last year.

Chancellor of the Exchequer Rishi Sunak said: “Our Plan for Jobs has supported people’s jobs and livelihoods throughout the pandemic and it’s fantastic to see so many people coming off furlough and into their workplaces with our restaurants, pubs and shops reopened.

“These figures show what we always hoped would happen – that the scheme is naturally winding down as the economy reopens, but continuing to support those businesses and employees that need our help.”

Today’s ONS Business Impact of Covid-19 Survey show numbers may have fallen even further – with estimates that between 1.3 and 1.9 million people are still on furlough.

These figures reinforce other positive signs about how the recovery is progressing. The number of employees on payroll is at its highest level since last April, business and consumer confidence have improved significantly and economic growth is outperforming expectations.

The figures show the largest reduction in the hospitality, retail and accommodation sectors, with nearly 180,000 people in pubs, bars and clubs alone returning to work between April and May.

Furlough was extended until September to allow for businesses to adjust after the end of the Roadmap and to bring people back to work.

Now, as the economy begins to reopen and demand returns, employers are being asked to contribute more and from today, they will contribute 10% towards the cost of paying for unworked hours.

This employer contribution will increase to 20% in August and September, before the scheme closes, with the Plan for Jobs still in place to provide support, including traineeships and more work coaches to help people find jobs.

New statistics for the Self Employment Income Support Scheme, also published today, show more than £25bn has been claimed to date in support for the self employed.

350,000 properties have paid no business rates for 15 months thanks to an unlimited rates relief between March 2020 and July 2021. Over 90% of businesses will now be able to benefit from a 66% reduction in business rates bills until March 2022.

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Don’t pull the plug on economic recovery by cutting support too soon, warns TUC

  • New TUC analysis shows employment in hard-hit sectors is struggling to recover from the pandemic 
  • Government should delay hiking up business contributions while Covid restrictions are in place – and extend furlough for as long as necessary 
  • Many employers are using furlough flexibly to support a gradual return to business as usual, says TUC 

The TUC has warned ministers not to “pull the plug” on the UK’s economic recovery by cutting off support for businesses and workers too soon. 

The warning comes as new TUC analysis reveals that employment in hard-hit sectors is struggling to recover from the pandemic. 

The analysis shows that just 1 in 8 (110,000) of the 790,000 jobs lost across manufacturing, retail, hospitality and the arts during Covid have been recovered. 

By contrast, nearly all the jobs lost in business services and administration – which saw a 220,000 fall in employment – have been recovered. 

The union body says ministers must provide ongoing, targeted support for at-risk industries and halt plans to increase furlough contributions for employers while Covid restrictions remain in place. 

The analysis also reveals that 6 in 10 workers currently on furlough are working in manufacturing, retail, hospitality and the arts – sectors hit hard by the continuing restrictions. 

The TUC fears that if the job retention scheme is ended too abruptly tens of thousands of additional jobs could be lost from these industries. 

TUC General Secretary Frances O’Grady said: “Furlough has played a vital role in protecting jobs and keeping businesses running during this pandemic.  

“Ministers must not pull the plug on our recovery by cutting off support too soon. 

“The government should hold off hiking up employer contributions until all restrictions have been lifted. 

“And we need a cast-iron commitment from the chancellor that he will extend furlough for as long as is needed, rather than ending it abruptly in three months’ time.  

“Working families need this certainty now – not a rollercoaster approach to protecting livelihoods.” 

The TUC highlighted that workers can only be furloughed if their employers decides to use the scheme, meaning that the scheme is well-targeted only to those businesses that need it. 

They also note that around two-fifths of furloughed staff (41.6%) are now only furloughed for part of the working week and are working for the rest of it, enabling businesses to use furlough to manage their gradual return to full operations. 

A copy of the analysis can be found here: 

https://www.tuc.org.uk/sites/default/files/2021-06/Jobs%20and%20recover…

Joint call for mandatory ethnicity pay gap reporting

The TUC, CBI and Equality and Human Rights Commission (EHRC) yesterday issued a joint call for the government to introduce mandatory ethnicity pay gap reporting. 

In a joint letter to the Chancellor of the Duchy of Lancaster, Michael Gove, the heads of the three organisations say: “Introducing mandatory pay reporting on ethnicity would transform our understanding of race inequality at work and most importantly, drive action to tackle it where we find it.” 

The letter – signed by TUC General Secretary Frances O’Grady, CBI Director General Tony Danker and EHRC chairwoman Baroness Kishwer Falkner – urges ministers to set out a clear timeframe for introducing ethnicity pay gap reporting to help “ethnic minorities reach their full potential in the workplace.” 

TUC General Secretary  Frances O’Grady  said:  “Everyone deserves the chance to thrive at work, and to have a decent, secure job they can build a life on. But the sad reality is that even today race still plays a significant role in determining people’s pay and career progression. 

“This problem isn’t going to magic itself away. Without robust and urgent action many BME workers will continue to be held back. 

“Unions stand ready to work with employers, regulators and government on practical steps to tackle inequality and discrimination in the workplace. 

“Mandatory ethnicity pay gap reporting is an obvious first step in helping to improve transparency and bring about change. 

“We need ministers to commit to introducing ethnicity pay reporting now and to bring forward a clear timetable for getting it into law.” 

The full letter reads: 

Dear Chancellor of the Duchy of Lancaster 

The case for mandatory ethnicity pay reporting 

We are writing to set out our shared priorities to the inter-ministerial group established to consider the recommendations of the Commission on Race and Ethnic Disparities. Respectively, we represent millions of workers, thousands of businesses, and enforce the Equality Act 2010 in Britain to ensure that people have equal access to and are treated fairly at work. 

We agree with the Commission’s statement that the report comes at a pivotal moment for the country, at a time when the inequalities facing ethnic minority people are under scrutiny. Outcomes at work are no exception. However we believe the report’s recommendations, in particular those related to pay disparities, could go further in order to effectively increase the participation and progression of ethnic minorities in the workplace and create a fairer Britain. 

Introducing mandatory pay reporting on ethnicity would transform our understanding of race inequality at work and most importantly, drive action to tackle it where we find it. This has been a longstanding goal for all of us. It will enable employers to identify, consider and address the particular barriers facing ethnic minorities in their workplace, and will complement and enhance the work many already do to address gender pay gaps under existing regulations. 

Together we’re asking the Government to make it mandatory for employers to report on their ethnicity pay gaps, building on the successful framework already in place for gender. Reporting, done well, can provide a real foundation to better understand and address the factors contributing to pay disparities. To further enable this, we also support the Commission’s recommendation that pay gap data should be supported by a narrative – comprised of key data, relevant findings and actions plans to address race inequalities. 

Some employers are already voluntarily reporting on their ethnicity data and taking action to address race inequality in their workplaces. While this is welcome and should continue to be supported in the interim, introducing mandatory ethnicity pay reporting will put greater focus on race at work, contribute to a greater number of employers reporting their ethnicity pay gap figures, and achieve the change across the labour market that is required. 

We urge Government to set out a clear timeframe to implement this and encourage you to work with us to develop the tools and resources required to ensure that employers are supported, and that workers are confident in disclosing data in advance of making reporting mandatory. 

In so doing, we firmly believe that this will help ethnic minorities reach their full potential in the workplace, make business more inclusive, and ensure Government has a rich source of robust evidence to inform future labour market and industrial strategies. 

Frances O’Grady, General Secretary, TUC 

Tony Danker, Director General, CBI 

Baroness Kishwer Falkner, Chairwoman, EHRC 

FACENorth summer activities

Are you ready for a new, fantastic summer?

FACENorth (Focusing on Alternatives to Crime Edinburgh North) will be continuing with their regular service throughout the summer holidays, providing 1:1, crisis and family support and help with employment and training.

Have a look below to see the activities that’ll be offered and don’t miss the chance to participate!

Lost in Transition?

Research shows people with vision impairment lack support to gain quality education and employment

A study just published by the Vision Impairment Centre for Teaching and Research (VICTAR) at the University of Birmingham and Thomas Pocklington Trust (TPT) shows one in five people with vision impairment did not gain quality employment despite earning qualifications in line with the general population.

The study tracked 80 participants from England over a period of 11 years (from age 14 to 25) to improve understanding on why this population is vulnerable to becoming long term NEET (not in education, employment or training).

Many of the young people spoke positively about their experiences in school and achieved average or above average GCSE qualifications. But then faced a range of barriers when entering Further Education, Higher Education and ultimately the employment market.

Rachel Hewett, Birmingham Fellow at the Vision Impairment Centre for Teaching and Research School of Education, University of Birmingham said: “The research identified key challenges once the young people transitioned into Further Education (FE). Many young people found adjustments were not put in place in time and they had a lack of access to specialist support.

“Careers guidance often focused on keeping the young person in education, with limited support for transitioning into employment. This led to some of the participants ‘churning’ in the system.”

Many barriers were observed once the participants moved into Higher Education, such as an inaccessible application process for UCAS and Disabled Students’ Allowance (DSA), and inaccessible virtual learning environments and a failure from institutions to make reasonable adjustments.

This led to some of the cohort withdrawing from their courses, repeating modules or entire academic years, or leaving with a degree classification which they feel did not reflect their ability.

Several of the participants wished to pursue apprenticeships but were unable to identify suitable opportunities or access specialist support to help them consider alternative options.

Tara Chattaway, Head of Education at TPT said: “It is evident that young people with vision impairment are not getting the support at transition periods in their lives. The lack of support, accessibility and inclusion can impact on the quality of education the young person receives and on then on their employment opportunities.

“We are calling on Government to bridge this gap and to ensure that the Skills and Post-16 Education Bill and their response to the impending SEND review truly supports the aspirations and learning needs of vision impaired students.”

At the end of the study 66% of the remaining participants were in some form of employment, 17% remained NEET, including seven young people who by the age of 25 had never experienced paid employment. Of particular concern is the lack of support available to help young people with vision impairment access employment once they become NEET, with several of the young people being actively discouraged by Jobcentre Plus staff to search for employment, in favour of long-term benefits.

The research did identify factors that drive positive outcomes for young people with vision impairment. They include:

  • Self-advocacy skills and a good understanding of their vision impairment and the adjustments they require.
  • A well developed and broad range of skills for accessing information.
  • Mobility and orientation skills, including skills for getting around in unfamiliar environments.

Tara added: “At TPT we understand the importance vision impaired students having the right access to materials, assistive technology and independence skills in order to thrive in education and to transition into employment. More must be done.”

Acas insight into Fire and Rehire

The Department for Business, Energy and Industrial Strategy (BEIS) asked Acas to conduct an evidence gathering exercise to learn more about the use of fire and rehire practices.

This was published yesterday and contains views from a range of participants about their experiences on the use of fire and rehire.

Acas Chief Executive, Susan Clews, said: “Our findings provide valuable insight into the use of fire and rehire practices. We gathered a range of views from professional bodies with workplace expertise, including trade unions and employer organisations.

“Some of the participants told us about the business challenges of COVID-19 and how the use of fire and rehire can help reduce redundancies. Others believe that the practice is unacceptable, and that the pandemic has been used as a ‘smokescreen’ to diminish workers’ terms and conditions.

“There was also evidence that fire and rehire practices have been used for many years and predate the pandemic. We will take up the government’s request to produce further guidance that encourages good workplace practices when negotiating changes to staff contracts.”

Read the findings in ‘Dismissal and re-engagement (fire-and-rehire): a fact-finding exercise‘.

Are you eligible for Job Start Payment?

Young people returning to work are being urged to check if they are eligible for Job Start Payment.

Over 1,000 young people have already benefited from this support since it launched during the COVID-19 pandemic. That’s more than £277,000 invested so far in helping those whose job prospects have been hardest hit over the past year.

Job Start Payment is now £252.50, or £404 if the applicant has children and is available to young people who have been on certain benefits for 6 months or more. This payment could help with travel costs or could be used for clothing, lunches and other expenses that need to be met before someone receives their first salary. 

Figures recently released cover the period from 17 August 2020, when Job Start Payment launched, to 31 March 2021.

People can apply for Job Start Payment for up to 3 months after their start date.

You can find out more and apply through mygov.scot or by calling 0800 182 2222.

15% of owner-managed businesses are still in survival mode

“11% reported that it is likely they will have to make redundancies in the next 3-6 months putting a potential 1.85 million jobs at risk across the UK”

Owner managed businesses coming out of the third lockdown are still struggling with the impact of Covid-19 and an uncertain economic outlook, according to the Association of Practising Accountants (APA):

  • 11% reported that it is likely they will have to make redundancies in the next 3-6 months putting a potential 1.85 million jobs at risk across the UK
  • 24% reported a negative or very negative impact on their business since the UK left the EU
  • 53% of respondents identified uncertain trading conditions as their biggest single challenge
  • 15% cited Brexit supply chain issues as their single biggest challenge

Nonetheless:

  • 84% of respondents reported that they were either confident or somewhat confident that they would be able to access the finance that they needed over the next 6 months with anecdotal evidence suggesting that the major banks were continuing to lend
  • Longer term 54% were more positive about their economic prospects outside the EU while 46% were less positive

The research among 435 owner managed businesses across the UK was carried out between April and May by the APA, a network of 17 leading business advisory firms who represent over 14,000 of these businesses.

Commenting on the findings APA Chairman Martin Muirhead said: “What is clear from our research is that a significant minority of owner managed businesses who have managed to pull through the last 12 months are still in survival mode with uncertain trading conditions being the biggest concern to a majority.

“Nonetheless there is also evidence to suggest that those businesses that have managed to weather the impact of Covid-19 are now more resilient and that existing and proposed Government support measures have generally been well received.

“Over the coming months it is vital that Government maintains a flexible and targeted approach to business support focusing resource on those sectors where there is the greatest need. Owner managed businesses form the backbone of the UK economy and need continued, targeted support as we emerge from this third lockdown.”