In response to the Economic Statement delivered by the Chancellor, Rt Hon Rishi Sunak MP, we have collated key information to support our partners in moving forward from the pandemic. Here, you will find information regarding the Government’s plan to support employers and young people to revive the UK economy, through the Plan for Jobs initiative.
Apprenticeships, Traineeships, investment in the National Careers Service, and a new ‘Kickstart Scheme’ are the crucial elements of a new ‘Plan for Jobs’. The Plan For Jobs initiative highlighted four key areas of support for employers to support the UK’s economy:
In addition, the Chancellor highlighted:
“Over 700,000 people are leaving education this year. Many more are just starting out in their careers. Coronavirus has hit them hard – under 25’s are two and a half times as likely to work in a sector that has been closed. We cannot lose this generation”, Rt Hon Rishi Sunak MP.
Job Retention Bonus – receive a £1k bonus for each furloughed employee
A job retention bonus will be introduced to help firms keep furloughed workers. Employers will receive a one-off bonus of £1,000 for each furloughed employee who is still employed as of 31 January 2021.
Apprenticeships – get paid to hire apprentices
For the next six months, the Government is going to pay employers to create new apprenticeships. They will pay businesses to hire young apprentices, with a new payment of £2,000 per apprentice (under the age of 25). Additionally, they will introduce a brand-new bonus for businesses to hire apprentices aged 25 and over, with a payment of £1,500. This money is in addition to the existing £1,000 payment the Government already provides for new 16-18-year-old apprentices and those aged under 25 with an Education, Health and Care Plan.
Traineeships – get paid to take on trainees
Traineeships are a proven scheme to get young people ready for work. Knowing that they work, the Government will, for the first time ever, pay employers £1,000 to take on new trainees, with triple the number of places. This means that the Government will provide an additional £111 million this year for Traineeships in England, to fund high-quality work placements and training for 16-24 year olds. The Government will also improve provision and expand eligibility for Traineeships to those with Level 3 qualifications and below, to ensure that more young people have access to high-quality training.
Kickstart Scheme – have a young person’s salary paid for six months
The Kickstart Scheme is worth £2 billion. Those aged 16-24, claiming Universal Credit and at risk of long-term unemployment, will be eligible. Funding available for each six-month job placement will cover 100% of the National Minimum Wage for 25 hours a week – and employers will be able to top this wage up. Employers can apply to be part of the scheme from August 2020, with the first Kickstarters in their jobs this autumn. All employers are urged to hire as many Kickstarters as possible and, subject to conditions, the Government will pay young people’s wages for six months. That means a grant of around £6500 for a 24-year old.
Find out more about the Kickstart Scheme.
High Value Courses for School and College Leavers
The Chancellor also identified high-value courses for school and college leavers. The Government will provide £101 million for the 2020-21 academic year to give all 18-19 year olds in England the opportunity to study targeted high-value Level 2 and 3 courses when there are no employment opportunities available to them. These courses are for work in high-demand sectors including engineering, construction, and social care.
Access to free online courses
To support learners through this difficult period we have developed a series of free distance learning and online courses across a range of sectors that will be available from 1st August 2020. For more information, contact us at email@example.com. If you would like to discuss a bespoke training package for your workforce then please also get in touch.