Gov Plans for Youth Unemployment

Thousands could lose benefits in Government plan to end youth unemployment according to an article in the Newcastle Evening Chronicle.

Thousands of unemployed young could be stripped of benefits under tough plans in the Government’s Queen’s Speech. David Cameron insisted the crackdown was designed to end youth unemployment, as he set out his plans in the House of Commons.

But Labour MPs said the plans effectively meant young people would be forced to work for as little as less than £2 an hour – payment far below the minimum wage.

Office figures show 21.4 per cent of young people aged 18 to 24 are unemployed.

The figures cover people who are “economically active”, which means they are in a job or looking for work. Full-time students are not included.

This is a higher proportion than in any other part of England. It’s also higher than Scotland or Wales, and roughly equal to the Northern Ireland figure of 21.8 per cent.

By contrast, the unemployment rate for people aged 18 to 24 in the south east is 11.4 per cent. And in the West Midlands, it is 16.1 per cent.

But under Government plans, anyone aged 21 or under will lose the right to this benefit – and be put on a new “youth allowance” instead.

They’ll get the same amount of money as before, up to £57.90 a week, but if they are unemployed for six months then they will be given compulsory community work such as making meals for the elderly or working for local charities – and they’ll lose the right to claim benefits if they refuse.

If they will have to work 30 hours a week as expected, that would be a payment of £1.93 for each hour worked, well below the minimum wage of £5.13 for people age 18 to 20 and £6.50 for those older.

Conservatives will face a battle over plans to stop people aged 18 to 21 claiming housing benefit – with Labour MPs and other critics warning it will put young people who are forced to leave home because of abuse in danger.

Meanwhile the use of child slave labour in the UK is reportedly on the increase. 

Origional Source –  Newcastle Evening Chronicle, 30 May 2015