UK review to call for subsidised flexi-jobs for disabled young workers
A government-commissioned review on youth employment is set to recommend a major expansion of state-backed job support for disabled and chronically ill young people in the UK. The proposals, due this month, aim to address high levels of economic inactivity among 16- to 24-year-olds who face persistent barriers to work and training.
Highlights
- About 1 million UK young people are not in education, employment or training, with 45% disabled or in ill health, highlighting a major labour market barrier.
- Alan Milburn's review will propose subsidised flexible jobs and voluntary hiring targets by large employers for disabled people aged 16 to 24.
- The review suggests redirecting some of the £4 billion annual disability benefits budget into employment support, a move contested by campaigners and Labour MPs.
Labour market barriers and funding debate
According to The Guardian, about 1 million young people are currently classified as not in education, employment or training, and 45% of that group are disabled or in ill health. Disabled young people are three times as likely to be in that category as their non-disabled peers, while nearly half of 24-year-old Neets have never worked.Alan Milburn, the former Labour cabinet minister leading the review, has described rising numbers of Neets as both a moral and economic crisis, warning of a potential "lost generation" if youth disengagement from work continues. In his earlier interim work, he argued that many young people affected by the Covid era, including those dealing with depression, anxiety, autism and ADHD, face long-term damage to earnings and life chances if support does not improve.
The review is also expected to call on large employers to adopt voluntary hiring targets for disabled 16- to 24-year-olds and to expand supported internships, placements, specialist job matching, coaching and workplace adjustments. But Milburn's suggestion that some of the 4 billion pounds a year spent on disability benefits for young people could be redirected into employment support is likely to face opposition from campaigners and some Labour MPs, who argue that benefit cuts could push vulnerable young people further from the labour market.
Early-career job-hopping and its impact on wage growth was the focus of our earlier coverage, highlighting research that links frequent job changes to stronger pay progression and better long-term job matches. The analysis noted that avoiding mobility early on can limit earnings growth, underscoring how labour-market pathways shape young workers’ prospects.
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