Mixed views on latest employment figures

Unemployment in Scotland fell over the last three months, but opinion is divided on just how robust the economic recovery is looking in Scotland. The Scottish government has welcomed the latest figures, but trade union leaders believe that, with a continued rise in long-term unemployment, the lessons of past recessions have not been learnt.

According to official figures released today, unemployment in Scotland has fallen by 14,000 over the three month period from September to November 2012. The Office of National Statistics figures also show that the youth unemployment rate saw the largest annual drop since the time series began in 2006, and is now the lowest level since March to May 2011.

Youth unemployment has fallen by 23,000 over the year to September to November with the rate decreasing by 4.8 percentage points to 19.9 per cent. The UK rate decreased by 1.7 percentage points to 21.0 per cent. This is the largest annual decrease in the youth unemployment rate in Scotland since the data series began in 2006. The youth employment rate in Scotland is 55.1 per cent compared to the UK rate of 51.8 per cent.

Scotland’s headline employment rate (for those aged 16 to 64) fell by 0.6 percentage points over the three months from September to November to 70.6 per cent, but the headline employment level (for those aged 16 and over) increased by 1,000 over the year. Scotland continues to have the fifth highest employment rate of all 12 UK countries and regions.

The claimant count in Scotland decreased by 1,400 over the month of December 2012, the second consecutive monthly fall. Over the year, the number of people claiming Jobseekers allowance fell by 4,400 to 137,500.

Commenting on the latest figures, Finance Secretary John Swinney said: “These figures show that unemployment in Scotland has continued to fall for the second monthly release. The strong performance in youth unemployment over the year is particularly welcome. We have lower youth unemployment, higher youth employment and lower youth inactivity than the UK. What’s more, this month’s release sees the largest annual drop in the youth unemployment rate since the data series began in 2006.

“However, we must continue to work to boost employment and the Scottish Government is taking direct action by investing in our infrastructure and maintaining the most competitive business environment anywhere in the UK. Our budget includes a tax relief package for business worth over £540m this year and bring forward a further £385 million package of economic stimulus.

“We are also targeting growth markets and growth industries and our efforts are paying off with today’s Global Connections survey showing that Scottish exports increased by by £1.6 billion to £23.9 billion in 2011. With the full fiscal and economic powers of independence the Scottish Government could do even more to strengthen our economy and create jobs.”

Youth Employment Minister Angela Constance said: “Today’s figures show that youth unemployment in Scotland is at its lowest level since March to May 2011 after falling for the second monthly release in a row. Our actions to improve youth employment rates have included a guarantee of a place in education or training for every 16-19 year old through Opportunities for All, funding 25,000 Modern Apprenticeships in each year of the current parliament and £8.5 million to create 1,400 jobs in the third sector through Community Jobs Scotland.

“This year we will continue our efforts by launching an Employer Recruitment Incentive which will give financial support to small companies willing to give young people a job. This is backed by £15 million of Scottish Government funding and by £10 million European Structural funding. Our young people’s fresh and modern thinking in the workplace will help drive our economy forward and we will continue to work hard to ensure they have the opportunity to do that.”

However Scottish Trades Union Congress (STUC) General Secretary Grahame Smith said: “For the second month in a row, the reported fall in unemployment has been exceeded by the fall in employment and economic activity. Quite simply it is no cause for celebration if people are leaving the labour force altogether rather than looking actively for work.

“These statistics show a very weak labour market which continues to be characterised by significant falls in full-time permanent positions, rising underemployment and worrying increases in inactivity. The fall in youth unemployment over the year is encouraging although the rate has hardly shifted. The rise in very long-term unemployment across all ages confirms the STUC’s consistently expressed fears that the errors of past recessions are being repeated.”

The Scottish Greens are also warning the Scottish government against complacency. Green MSP Alison Johnstone, a member of Holyrood’s Economy committee, said: “The government’s efforts to date on training and apprenticeships are welcome but much more needs to be done to ensure young people and women in particular are not shut out of the jobs market. It is also a concern that we’re continuing to see part-time work replace full-time jobs, and that many people feel the need to take a second job to make ends meet.

“The evidence I’ve been hearing as the economy committee examines underemployment clearly shows this is a serious problem. I urge the Scottish Government to do more to help small and medium sized businesses expand so they can offer their staff more hours. I also want to see more done to provide good quality, affordable childcare, the lack of which forces many women to stay out of work. It’s also appalling that Scotland has the second most expensive childcare in Europe yet those providing it are often on very low wages.”

Don’t be fooled by sweet talk, warns Green MSP

Scottish Greens are warning that yesterday’s ‘pledge’ by soft drinks firms to reduce the amount of sugar in their products is a diversion from the real issue.

The Public Health Responsibility Deal includes AG Barr, who produce IrnBru. However, Barr say they have no plans to reduce the sugar content of their regular IrnBru product. The deal has previously been criticised as being industry-led and does not have the support of organisations such as Alcohol Concern, the British Heart Foundation, the British Medical Association and Diabetes UK.

Alison Johnstone, Green MSP for Lothian (pictured below), said: “The issue of what’s in our food has returned to the top of people’s agendas with the supermarket value burgers scandal. Today’s incredibly weak fizzy drink deal is a diversion from the real problem of secret sugar. People know full well fizzy drinks are bad for their health but many will be unaware of the hidden sugar they’re consuming in common foods like crisps, pizzas, burger buns and ready meals. Even baby foods and rusks are bloated with sugar.

“If we are serious about tackling the growing obesity and diabetes crisis in Scotland we must keep up with the processed food industry and big retailers. It’s not just drinks firms who know how addictive sugars and sweeteners are.”

Poem: Poverty and Protest

Poverty and protest go hand and hand

Fighting for a better land

Working class people taking a stand

Against the injustices

Since time began

Porteous Riots at Edinburgh’s gates

This unjust man knew his fate

When he shot these people down

The riots started throughout the town

Look through history you will find

Protests were on people’s minds

The right to have their voices heard

Was what these people so deserved

Throughout the ages we can see

The right to speak was not to be

So the protest did begin to start

To demonstrate came from the heart

Of people who were tired and weary

Of poverty oppression and desperation

So they gathered to mount a demonstration

This was done in many ways through songs and plays

People gathered information through thinkers of their generations

Playwriters Poets Artists Trade Unionists Socialist all

Gathered together to hear the call

Of people who were so unhappy starving homeless

Made them fight which leaders called unrest

Polictians make promises for votes

Once elected they are all forgot

Activists present charters with good intentions

City fathers leading them on

Promises broken What has gone wrong ?

Trade Unions now have no say

Thatcher took all their rights away

She crushed communities even took our childrens milk

Riots on street this women caused

With her unjust brutal laws

Poll tax she tried to impose the Scottish nation angerley rose

To fight the cuts we brought her down

No longer for her to rule with an iron hand

She killed our nation throughout the land

Future governments once elected

Did not repeal the Acts she created

Broken promises once again

When will this torture end ?

Now there will be a referendum for independance

Political parties running scared incase Scotland vote YES

They tell us we are “BETTER TOGETHER ” people know what is best

Scottish people will decide no more Broken promises Unjust cuts

Welfare reforms Prices rising .

No jobs to see beyond the horizon

For our youths there is no future

People shivering in the winter

For many it is heat or eat

Poverty rising at an alarming rate

Homeless people have no hope

This present government is a joke

“BETTER TOGETHER ” ? Better for who ?

Polititians not me or you

Now they are trying to gather the masses

For what ? I believe to save their own asses

Scotland should show the way

Vote differently have your say

Remember all the broken promises

Remember all this on referendum day.

Anna Hutchison (by email)

Local MP calls for immediate investment in Port of Leith

Edinburgh North and Leith MP Mark Lazarowicz has called for immediate government investment in the Port of Leith. Participating in yesterday’s Westminster debate on unemployment in Scotland, he called for new investment in infrastructure by Government both north and south of the border to create new jobs, pointing to plans to develop the Port of Leith as a potential focus for Government-backed investment.

The North and Leith MP said: “Youth unemployment has risen sharply locally and there is also a problem of underemployment – people aren’t able to get as much work as they would like, whether with their employer or where they are self-employed.

“House building is always a sign of activity in the economy as a whole and there have been only 8 new homes built in Edinburgh North and Leith in the last quarter. Yet once again in his autumn statement the Chancellor failed to provide funding for new affordable housing.

“There were no plans either for High Speed 2 to extend to Scotland. In other sectors where the Government has announced investment – often more than once – little has happened on the ground. The Chancellor heralded new capital investment again today, but it needs to happen now not in some dim and distant future.

“A £119 million development of the Port of Leith is on a list of shovel ready projects here in Scotland. Both the UK and Scottish Governments need to get on with projects like this to create jobs so that young people desperately seeking work are not left disillusioned.”

North Edinburgh – weekly managed collections

Councillor Lesley Hinds gives an update on refuse collection issues:

Like all residents in Edinburgh , I am sure those living in North Edinburgh aspire to live in an area with clean streets and open spaces, efficient rubbish uplift and the opportunity to recycle. As the Convener of Transport and Environment Committee and a local Councillor for Inverleith that is exactly what I have been striving for since taking over this role in May 2012.

Following the article in October’s edition of the NEN I would like to clarify a number of important issues about the city’s Refuse Collection Service and dispel a few myths which seem to have arisen about this important issue.

My personal view, and the one shared by the Labour Group on the Council, is that we fully support the in-house refuse collection service. Over the past couple of years we had campaigned to oppose the privatisation of services like cleansing and in November 2011, while in opposition, we voted unanimously as a Group against the proposal to outsource Refuse Collection. Our position on this helped defeat the proposal and led to the Council abandoning the Alternative Business Model programme which would have resulted in a private contractor taking over refuse collection and other services in Edinburgh. Therefore for there to be a suggestion that my group or I would want to privatise the cleansing service could not be further from the truth.

As a Council we are required to meet challenging Scottish Government recycling targets and we have introduced managed weekly collections as well as expanding our recycling services throughout the city. The plan is that these measures will leave us in a good position to reach our 40% recycling target by 2013. All political groups on the Council have supported this policy. Also, all groups put the savings which will result from this service change into their budget proposals. This year and the following years the Council will achieve substantial savings. Instead of paying increasing landfill charges we will be preserving services in our schools, care for the elderly and other important services.

The massive change in the Refuse Collection Service is intended to make sure that we provide a top quality service for residents while also making best use of our vehicles. As everybody is aware there have been some problems with missed collections since the new arrangements were introduced but these have reduced significantly. To allow us to deal with these challenges; Agency staff have been employed as a contingency measures.

I have instructed the Director of Services for Communities to take steps to make sure that all work carried out by Agency staff should be looked at and where it is possible, permanent staff are employed to carry out the duties involved. There will be occasions where Agency staff are used but these should only be in circumstances such as sickness cover or during extreme weather. I have asked for the action described above to be carried out by January 2013 at the latest.

I would like to take this opportunity to thank all our staff for their efforts in recent months and can assure them and city residents alike that this Administration is determined that Edinburgh has a modern and efficient refuse collection service which will serve the city well in future years. In order to achieve this, Management, staff and Councillors have to work together and as part of this process I have already had a number of positive meetings with the Trades Unions.

I would also like to thank residents for their forbearance during this massive change and if you have any issues regarding the cleansing service in your area please get in touch at lesley.hinds@edinburgh.gov.uk

Councillor Lesley Hinds

Deal struck for single question referendum?

There is speculation that the Scottish and Westminster governments have reached a deal over the independence question. Following months of negotiations it appears that the Scottish people will now vote in a one-question referendum – a straight yes or no – other than a ballot paper that contains another – increased powers for Holyrood or ‘devo-max’ – option.

It also seems that likely that sixteen and seventeen year olds will have the right to vote in the independence referendum, scheduled to be held in autumn 2014.

Further details will be announced when Prime Minister David Cameron meets Scottish First Minister Alex Salmond at the Scottish Parliament in Holyrood next Monday.

Should sixteen and seventeen year olds have the right to vote? Let us know!

Mixed views on Scottish budget

A budget to create jobs and kickstart the economy or a timid budget that slavishly follows George Osborne’s spending cuts agenda? There were mixed reactions to John Swinney’s budget statement yesterday …

The Draft Budget for 2013-14 and the actions the Scottish Government will take this Autumn will provide further investment in construction, skills and the green economy, John Swinney told Holyrood yesterday. Setting out the budget to Parliament, Finance Secretary John Swinney pledged £180 million over two years for construction, skills and employment and a green economic stimulus. He also confirmed more rapid delivery of the Schools for the Future programme worth £80 million. Reinforcing the Government’s commitment to young people Mr Swinney announced an initiative to create up to 10,000 job opportunities for young Scots.

The Budget maintains the Government’s commitments to a council tax freeze, police numbers, no tuition fees, free prescriptions and concessionary travel, with protection for the NHS budget.

Announcements include:

£40 million for affordable housing, starting this year
£80 million Schools for the Future programme through NPD
Creation of an Energy Skills Academy
Employer recruitment initiative for young people
£17 million for college education and student support
Commitment to the Living Wage
£6 million for cycling
£1 million for Elite athletes
£2.5 million for hybrid buses
£1.5 million for VisitScotland
£1 million for historic buildings

The Finance Secretary also confirmed a modest 1% increase for most Government and NHS employees, with additional support for the low paid, continued implementation of the Scottish Living Wage and no compulsory redundancies.

Addressing the Parliament Finance Secretary John Swinney said:

“Today I am announcing a Scottish budget for jobs and growth. In difficult economic times this Government is doing everything within its limited power to stimulate Scotland’s economy, to invest in our young people, protect households, and support front line services.

“To support the construction industry and inject growth into the economy we will provide an immediate stimulus to the construction industry of £40 million through investment in affordable housing.

“I am also determined to ensure our young people get the best education in the best possible schools. So to further assist the construction sector we will increase the number of schools being built from 55 to 67 bringing forward £80 million investment through NPD.

“A Green Investment Package of £30m over the next three years will help home owners improve energy efficiency, cutting bills and tackling fuel poverty whilst along with investment in low-carbon transport supporting our growth industries and helping to meet our climate change targets. We will also establish the Renewable Energy Investment Fund continuing our support for Scotland’s growing energy sector.

“I am also investing in the future of our young people with support for a national employer recruitment initiative that will create up to 10,000 opportunities for small and medium-sized enterprises to recruit young people, the establishment of an Energy Skills Academy to support the creation of skills in oil and gas, renewables, thermal generation and carbon capture and storage industries and additional funding for colleges to maintain student numbers and support.

“I have used every option available to draw down resources to fund a further economic stimulus to the Scottish economy of over £180 million. Through use of budget exchange mechanisms, early repayment of loans and careful managing of the capital budget I have drawn down funds to invest in Scotland’s economy. We are also reaping the benefits of the public ownership of Scottish Water which, as well as allowing Scottish customers enjoy the benefit of water bills on average £52 lower than in England also enabled us to reduce our lending to the company by £45 million allowing that money to be invested in the economy.

“We are doing everything we can to support growth, public services and opportunities for the future but the UK Government needs to realise that more needs to be done. Only with the full levers of independence can Scotland properly capture economic opportunity and tackle inequality and poverty and we can do so more efficiently and effectively than currently happens in the UK.”

Predictably, the reaction of opposition parties, local authorities and the trades unions to the budget statement was less than enthusiastic. The STUC said a one per cent pay increase for government staff was, in reality, a pay cut and councils are concerned about implementing another tax freeze while having much less cash to provide services.

Labour’s finance spokesman, Ken Macintosh, said: “This is yet again another pass-the-buck budget from John Swinney. According to him, it is all either Westminster’s fault or the responsibility of councils. The unfortunate result of this Budget is likely to be the loss of more public sector jobs, but with little to kick-start the economy.”

Conservative finance spokesman Gavin Brown agreed, saying: “The Scottish Government promised much, but delivered precious little. It has failed miserably to kick-start the economy.”

And Willie Rennie, leader of the Scottish Liberal Democrats, added: “Mr Swinney said he wanted a ‘relentless pursuit of economic growth’ but this is a timid budget proposed by a government more focused on independence than economic
growth.”

The Scottish Trades Union Congress claim that Mr Swinney has ‘followed George Osborne’s public sector pay policy almost to the letter’. STUC General secretary Grahame Smith said: “A third year of significant real terms wage cuts for hundreds of thousands of workers puts Mr Swinney’s attempts at stimulus into perspective.”

Kevin Keenan, finance spokesman for council umbrella group Cosla, said: “There are no surprises in what the Cabinet secretary presented to parliament, but it has to be accepted that there are challenges in there, challenges that will need to be faced by all 32 councils in Scotland.”

Not all sectors of society have condemned the budget, however, and Scotland’s business leaders have given Swinney’s budget a cautious welcome. David Watt, of the Institute of Directors Scotland (IoD), said: “Scotland needs a budget that supports growth. The Finance Secretary has announced a number of commendable initiatives, but we need to see more of the detail of the Budget to understand where the cuts have been made in order to fund these.”

The Scottish Federation of Housing Associations (SFHA) welcomed the announcement of an additional £40m investment in affordable housing. Chief executive Mary Taylor said: “We are extremely pleased that it recognises the immediate economic and social benefits for Scotland in building more affordable homes and we also welcome the government’s recognition of the benefits of focusing on construction investment.”

The Scottish Building Federation also backed the budget.

How will the budget affect you? Let us know!

Letter: Clever and cunning Tories?

Dear Editor

Cameron has called for further benefit cuts after the next General Election; this would cause more poverty and misery. It seems an incredible call given the widespread opposition to the cuts now happening, but remember he is a Tory politician and they are said to be clever and cunning operators.

Why would he, at this moment, make such a statement? I believe he thinks he can work the odds in the next General Election by giving the Lib Dems political ammunition to oppose the cuts, figuring out the Lib Dems will gain votes – and in doing so leaving the possibility of a Tory/LibDem-dominated hung parliament again.

I think in this case we have to delete the word ‘clever’ and leave ‘cunning’.

Dream on, Cameron!

A Delahoy

Silverknowes Gardens

Lazarowicz attacks government for 'betrayal' of disabled workers

Mark Lazarowicz MP has condemned the betrayal of Edinburgh Remploy workers by Government and calls on all sides to work together to support workers made redundant.

The North and Leith MP was reacting to news that the Edinburgh Remploy factory in South Gyle is to close. Mark Lazarowicz MP for Edinburgh North and Leith has attacked the betrayal by the UK Government of disabled workers at the factory and called on Remploy, the Department of Work and Pensions, Scottish Government and the City Council to work together to help find the workers alternative employment.

Mr Lazarowicz (pictured below) said: “The news makes me wonder whether the Government was genuinely seeking to find bids to keep factories open or whether it was simply offering false hope. One of the stated aims of its welfare changes is to support disabled people into work wherever possible – laudable in principle but it is hard to square that with the way that it has treated Remploy workers. Staff will now find themselves out of work at a time when unemployment in Scotland is almost two and a half million. I call upon Remploy, the Department of Work and Pensions, Scottish Government and the City Council to make a concerted effort to help them find alternative employment.”

The factory was reprieved from closure along with other factories in July as the Remploy Board deemed that there was a potentially viable business plan to secure its future, but those hopes have now been dashed.

A spokeswoman for the Department of Work and Pensions (DWP) confirmed that there had been an expression of interest in the factory, but that it had gone no further. She added: “We have followed the advice of disability expert Liz Sayce to use the £320m protected budget for disability employment more effectively, to support more disabled people into mainstream jobs instead of loss-making segregated factories. We have put in place an £8m package of employment support for those affected, including a Personal Case Worker to help individuals with their future choices, as well as access to a personal budget.”

Lazarowicz attacks government for ‘betrayal’ of disabled workers

Mark Lazarowicz MP has condemned the betrayal of Edinburgh Remploy workers by Government and calls on all sides to work together to support workers made redundant.