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Simon Collyer
Scottish Youth Unemployment Still Remains High
Fair work will be at the heart of the SNP’s drive to help more young people into work, as figures show that youth employment in Scotland is higher than in the rest of the UK.
Youth unemployment is at its lowest level since 2001 and is consistently lower than the overall UK rate of unemployment, according to the latest IPPR report.
The Minister for Employability and Training, Jamie Hepburn MSP, today told the Scottish Parliament how the Scottish Government plans to sustain and improve these trends – promoting a fair work culture and regressing youth unemployment by a further 40% to 2014 levels by 2021. The minister discussed the increase in Modern Apprenticeships and the Equalities Action Plan that has increased the numbers of those underrepresented in Modern Apprenticeships.
Mr Hepburn commented that “there has been a concerted effort made by this administration to focus on the issue of youth unemployment – this was a particular issue of concern during the economic downturn, during which of course we were the first government in the UK to establish a Minister for Youth Employment, underlining our focus on the matter”. Mr Hepburn continued, stating that a “skilled workforce will be a key component of a more successful and inclusive economy in the years ahead. That is why our Labour Market Strategy sets out how we will put fairness at the heart of our drive to boost the economy, create jobs and remove barriers to work.”
Gillian Martin MSP said:
“It is really encouraging that the concerted efforts of the SNP administration to focus on youth employment have paid off – including initiatives such as Community Jobs Scotland delivered in tandem with the SCVO, Scotland’s Employer Recruitment Incentive, increasing the number of Modern Apprenticeships available, and developing the Young Workforce Agenda.
“Youth unemployment in Scotland is at its lowest level since 2001 – consistently lower than the overall UK rate of unemployment, and Scotland now has over 700 employers accredited as Living Wage Employers with 80% of our workforce paid at least the living wage – the highest percentage of the four UK nations.
“The Scottish Government is promoting other successful initiatives such as the Equalities Action Plan within the Modern Apprenticeships Scheme that has increased the numbers of those underrepresented in Modern Apprenticeships, as well as the Women’s Returner Scheme. The efforts of the SNP administration to ensure that we have a fair work culture here in Scotland are really paying off and it is encouraging to see this reflected in the youth employment statistics.”
Bafta nominations 2017 Daniel Blake takes on La La Land
Daniel Blake, Ken Loach's gritty drama about the British welfare system, will compete with glittery Hollywood musical La La Land for best film, alongside American coming-of-age story Moonlight, sci-fi movie Arrival and melancholy drama Manchester By The Sea.
What a job for the judges. None the less we would love Ken Loach's film to win.
Call for Clarity On Motability Car Scheme
SNP MP Corri Wilson has called on the UK Government to clarify whether a mobility car scheme for people with disabilities is to be extended after a Department for Work and Pensions Minister announced the move during a Westminster debate but has since left claimants waiting weeks for more information.
During a debate on Employment Support Allowance and Personal Independence Payment in November last year - benefits designed to help those who cannot work because of a disability or long-term health condition - Minister for Disability, Work and Health, Penny Mordaunt, indicated that eligibility for the Motability Car Scheme would be extended to more disabled people, such as those on the standard mobility rate of PIP.
Currently neither DLA nor PIP claimants are required to hand back their vehicles to Motability as recent DWP changes to eligibility criteria means that only people eligible for enhanced rate of mobility support are allowed to keep their vehicle.
Corri Wilson MP, the SNP’s spokesperson for Disabilities, said:
“At this time of year it is often difficult for many people to get around but for disabled people it is a year-round struggle and it is important we do everything possible to help them live independent lives.
“Extending the eligibility for joining Motability to include more disabled people is a hugely welcome move but we urgently need more clarity from the Department for Work and Pensions on this apparent announcement. Penny Mordaunt also said that the DWP were exploring ways of allowing people to keep their vehicles pending appeal against an eligibility decision.
“The Minister went on to say that discussions had taken place with Motability but we’ve had no Ministerial statements, no further announcements and no clarity whatsoever on whether these proposals will actually be introduced.
“People with mobility issues should have access to the Motability scheme and every avenue should be explored to protect the independence of people who have more limited capabilities. A specially adapted vehicle can often be the only means of transport available to a disabled person and removing that creates further barriers to work.
“I warmly welcome the direction that the Department for Work and Pensions appears to be going in and I hope the Minister will now provide the detail that disabled people need to continue to live their daily lives.”
Extract of Penny Mordaunt’s speech:
“I briefly turn to Motability, which the hon. Members for Ayr, Carrick and Cumnock (Corri Wilson) and for North Ayrshire and Arran (Patricia Gibson) particularly focused on. Members will know that a scheme has been set out—I am very grateful to Motability for doing that—to try to help with the transition from DLA to PIP. It is a challenging time for individuals. That scheme is the £175 million package that Members will be familiar with, which enables individuals to keep their car for seven weeks, allows them to buy back their old vehicle and offers a one-off payment of £2,000 to help to meet their continuing Motability needs. Motability is also helping to pay for new adaptions to non-scheme cars, with insurance thrown in. We are aware of how difficult it is—despite that mitigation and the other sources of transport subsidy that might be available—for an individual to be told that they will lose their vehicle with only a few weeks to make alternative arrangements.
“There are other problems too. I want to outline one that is of particular concern to me. It relates to people leaving the country for extended periods longer than 13 weeks. That is a problem for students, but it is also a problem for someone who might want to take up a career opportunity, a sabbatical or other opportunities that require travel. Our systems must be able to support someone following their dreams and ambitions. They must enable a person to thrive, so this situation should not be left to stand. We have been discussing with relevant Departments ways to enable PIP claimants to keep their vehicle pending appeal, and we are exploring options to allow those who are not in receipt of the higher Motability component to have access to the Motability scheme. I am also exploring how claimants who are out of the country for extended periods can be better supported. We have a plan and the Treasury’s blessing. This week I have written to Motability to ask for its help in delivering that plan. I anticipate that the plan will require some changes to its processes, but I know that it will do all it can to help us in this matter, as it has in the past. We have a remarkable and unique partnership with Motability, and I hope in my tenure to maximise that.”
Text of letter to Penny Mordaunt,
Dear Minister,
Motability Car Scheme for Disabled People
I write in relation to your remarks in last week’s Westminster Hall debate on Employment Support allowance and Personal Independence Payment.
Your announcements during the debate seemed to state that you plan to extend the eligibility to join Motability to more disabled people, such as those on the standard mobility rate of PIP.
This would be a welcome move, as currently DLA or PIP claimants have to hand their vehicles back to Motability if they lose their eligibility for the enhanced rate of mobility support after assessment. I note that you also said you are exploring ways people can keep their vehicle pending appeal.
I note, you also mentioned that you have raised this with Motability. In order to fully ascertain the direction of the Department, I would be grateful if the Minister could outline the detail of these discussions and the response from Motability.
It will come as no surprise to the Minister, that the SNP are clear that people with mobility issues should have access to the Motability scheme and every option should be explored to protect the independence of those with more limited capabilities.
Therefore, I would be grateful, if you could outline in detail how your Department plans to proceed.
Yours sincerely,
Corri Wilson MP
New Walk Jobcentre Job Fair
From 10am tomorrow there is a jobs fair at New Walk jobcentre, please feel free to call in and speak to employers and support organisations.
Office of Budget Responsibility Economic Outlook
If you want to know what the future holds we have included this presentation by the Office of Budget Responsibility.
You can download the whole report below which makes for some interesting reading.
Shares in Next dived 9% as the retailer reported falling sales and warned the coming year would be "challenging".
The retailer said full-price sales fell by 0.4% in the 54 days to 24 December, with annual profits now set to be at the low end of expectations.
Citizen’s Basic Income - Want To know More?
Please find this booklet below on the Citizens Basic Income.
According to Wikipedia:
A basic income (also called unconditional basic income, Citizen's Income, basic income guarantee, universal basic income or universal demogrant) is a form of social security in which all citizens or residents of a country regularly receive an unconditional sum of money, either from a government or some other public institution, in addition to any income received from elsewhere.
An unconditional income transfer of less than the poverty line is sometimes referred to as a partial basic income.
If you want answers to these questions a booklet is below:
What is a Citizen’s Basic Income?
-How would it work?
-Six fundamental changes
-Four frequently asked questions
-Constructing a feasible Citizen’s Basic Income scheme
-An illustrative Citizen’s Basic Income scheme
-The effect on means-tested benefits
-The effect on inequality and poverty
-The effect on a typical household
-Housing costs
-Implementation methods
-Alternatives to Citizen’s Basic Income?
-Who would receive a Citizen’s Basic Income?
-Further reading
-The Citizen’s Income Trust
How you can help?
Image: Unconditional Basic Income Europe
Please download the booklet below:
Fat Cat Wednesday
The High Pay Centre, a think tank that studies corporate pay has designated today as Fat Cat Wednesday. Why Wednesday? Because, according to the group, “after just two and a half days [in 2017], Britain’s top bosses will have made more money than the average U.K. worker earns in an entire year.” That number, £28,200, will be reached around midday on Wednesday, apparently.
Top bosses will already have made more money by the first Wednesday of 2017 say the than the typical UK worker will earn all year:
• The average pay ratio between FTSE100 CEOs and the average total pay of their employees in 2015 was 129:1
• Making the publication of pay ratios compulsory will help track progress on closing this gap
The figures show that pay for top company executives returning to work this new year will pass the UK average salary of £28,200 (note 2 below) by around mid-day on “Fat Cat Wednesday”.
After a year in which “elites” were criticised for being out of touch and ignorant about the concerns of ordinary people, these pay gap figures confirm that there are dramatically different rates of pay at the top compared with what everyone else receives.
Median FTSE100 CEO pay in 2015 was £3.973 million (note 1 below). We found that even if CEOs are assumed to work long hours with very few holidays, this is equivalent to a rate of pay of over £1,000 an hour (note 3 below). The “national living wage” for over 25s is £7.20 an hour.
High Pay Centre director Stefan Stern said: “Our new year calculation is not designed to make the return to work harder than it already is. But ‘Fat Cat Wednesday’ is an important reminder of the continuing problem of the unfair pay gap in the UK. We hope the government will recognise that further reform to pay practices are needed if this gap is to be closed. That will be the main point in our submission to the business department in its current consultation over corporate governance reform.
“Reality check” needed
“Effective representation for ordinary workers on the company remuneration committees that set executive pay, and publication of the pay ratio between the highest and average earner within a company, would bring a greater sense of proportion to the setting of top pay,” Stern added.
The huge increase in top pay in recent years seems to have arisen because of so-called “performance-related pay” awards. But as new research from Lancaster University Management School has revealed, the link between pay and performance has in fact been “negligible”:
https://www.ft.com/content/abc7085e-c857-11e6-9043-7e34c07b46ef
This is not just a FTSE100 company problem. AIM-listed Asos is being criticised today by the GMB union for a similar vast gap in pay created by the chief executive’s “Long Term Incentive Plan” (for more information contact This email address is being protected from spambots. You need JavaScript enabled to view it.).
And excessive private sector pay deals set a bad example to some public sector and not-for-profit organisations, as controversy over the pay for some university vice chancellors, school “superheads”, NHS Trust chief executives, local authority leaders and some charity bosses suggests.
The continuing pay gap creates problems for us all.
Futher information
1. The median pay for a FTSE 100 CEO in 2015 was £3.973 million, based on the publicly disclosed “single figure” measure http://highpaycentre.org/pubs/10-pay-rise-thatll-do-nicely (There are different ways of measuring executive pay, and the single figure measure differs from the “pay realised” figure and the pay awarded figures available from Manifest.)
2. Median earnings for full-time workers in the UK (who had been in their job for at least 12 months) were £28,200 in 2016https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/earningsandworkinghours/bulletins/annualsurveyofhoursandearnings/2016provisionalresults. This represents an increase from £27,645 in 2015.
3. Even when making the generous assumption that FTSE 100 CEOs work 12 hours a day, including three out of every four weekends, and take fewer than 10 days holiday per year, this still works out at about £1,009 per hour, meaning that it would take around 28 hours’ work to surpass the UK average of £28,200 – some time around mid-day on Wednesday 4th, assuming they begin work for the year on Monday January 2nd.
4. The High Pay Centre is an independent think-tank set up to examine corporate governance and pay at the top of the income distribution. We carry out research aimed at developing a better understanding of top rewards, company accountability and business performance.
Ford Gives You Less
CNN Money's Heather Long and Poppy Harlow report that Ford is cancelling a Mexico plant and creating 700 American jobs as a "vote of confidence" in Donald Trump. But Columbia journalism professor Bill Grueskin isn't impressed, tweeting, "It's astonishing - and says a lot about automation - that @Ford's $700 million auto plant creates only 700 jobs.
SNP MP Vows to Continue Sanctions Battle
Mhairi Black vows to be “thorn in the side of UK government” over benefit sanctions
Mhairi Black has today (3rd January) vowed to be “a thorn in the side” of the UK Government over the “horrific and unfair” benefit sanctions regime and called on Theresa May to outline exactly what she will do to improve the hated system if she refuses to scrap it completely.
The youngest MP in the Commons had consistently called for the hated system, which means an individual’s payments are frozen if they fail to adhere to often ludicrous claimant conditions, to be scrapped completely.
Last year she brought forward a private member’s bill that contained a small ask of the UK Government to consider an individual’s risk of homelessness, care commitments or whether a mental ill-health condition would be exacerbated before a sanction could be issued but the Tories failed to support it - despite recognising that there were some very real problems with the system.
Mhairi Black has written to the Prime Minister to ask, if she won’t scrap sanctions altogether, what she will do to ensure that improvements are made to the system and put an end to incorrect sanctions.
Mhairi Black MP said:
“I am determined to keep fighting against the horrific and unfair sanctions regime that this Tory government seems so fond of, the damage that this policy is doing is unimaginable and Theresa May has to explain how it is working for the “many and not just the privileged few”.
“The stories are heartbreaking with one young mum from London getting in touch with me saying that sanctions made her homeless, and another, a student from Dundee, saying sanctions had ruined her life and left her unable to feed, clothe and look after herself properly.
“We have even had a DWP manager telling of the terrifying and truly devastating Tory diktat just before Christmas that forced staff to concentrate solely on issuing sanctions rather than trying to help the individuals who had been sanctioned incorrectly.
“But these aren’t just stories to marvel over and then move on: these are real people and their lives are a misery because of benefit sanctions. Something has to change.
“I have written to Theresa May to ask what she will do to change the sanctions regime in 2017 and exactly how she plans to improve the lives of the many, starting with how she will ensure that no one is incorrectly sanctioned.
“I am determined to be a thorn in the side of this Tory government over the brutal and regressive sanctions regime and I won’t rest until there is change.”
Image: Mhairi Black MP