Millions of people not working are ‘unacceptable’, says Labor

The new Labor government is taking a strong stand against rising unemployment in Britain. Liz Kendall, Secretary of State for Work and Pensions, has called current unemployment levels “unacceptable” and proposed several measures to tackle the problem.

One of these measures is the introduction of a national jobs and careers service, aimed at combating record youth unemployment and the growing number of people unemployed due to long-term illness.

During her first ministerial tour, Ms Kendall will also unveil a local strategy to upskill the unemployed and tackle the root causes of unemployment.

However, the Conservative party has criticized the proposed reforms, warning of the significant financial burden on taxpayers. “If no action is taken, working-age welfare payments will increase by more than £20 billion a year by the end of the decade,” a Conservative spokesman said.

Ms Kendall’s key proposals include merging the National Careers Service with Jobcentre Plus to streamline efforts to get more people into work and help them secure better-paying jobs. Currently, the National Careers Service, which provides career advice, is run by the Department for Education, while Jobcentre Plus, which focuses on benefit claims, is under the Department for Work and Pensions.

Labour’s plans also include:

New plans for work, health and skills

: Targeted at “economically inactive” individuals not looking for or available for work, led by local mayors and councils.
A “youth guarantee”: Ensure that everyone between the ages of 18 and 21 has access to training, apprenticeships or employment assistance to prevent early exclusion from the labor market.

Ms Kendall stressed: “Economic inactivity is holding Britain back. It is not good enough that Britain is the only G7 country where employment has not returned to pre-pandemic levels.”

According to the Office for National Statistics, almost 11 million working-age people in Britain are out of work. Of these, about 1.5 million are unemployed and actively looking for work, while the rest are considered economically inactive. The latter group has grown due to early retirements, health concerns and childcare affordability issues.

The Recruitment and Employment Federation (REC) has endorsed the government’s proactive measures. Kate Shoesmith, deputy CEO of REC, commented: “The rewards are tempting for government if it can leverage the personal choices individuals make in needing and wanting flexible working options.”

Disability equality charity Scope welcomed the government’s “positive vision” but stressed the importance of reassuring disabled people that they will not be forced into unsuitable jobs or lose crucial financial support.

In May, Labor criticized former Prime Minister Rishi Sunak for his comments suggesting that claiming benefits had become a ‘lifestyle choice’ and his promise to tackle a culture of ‘disease states’.

On Thursday, the Conservatives accused Labor of refusing to take action to cut billions from the welfare bill by the end of the next parliament.