The Government and employers need to do more to help those with caring responsibilities back to work, says the Institute for Employment Studies.
Employers and the government are being urged to do more to help those who cannot work due to caring responsibilities as job statistics show 3.4 million are still out of work despite rising job vacancies and skills shortages.
The Institute for Employment Studies [IES] says that labour supply cannot keep up with demand as figures show that since Covid restrictions have been eased there has been a big spike in hiring with the relaxing of rules around test and trace for double vaccinated workers on 16th August expected to ease some labour shortage pressures. The Association of Professional Staffing Companies, for instance, reports job vacancies over the summer are up by 53%.
According to the ONS, between April and June nearly two million people started a new job, yet job vacancies continue to rise. More than a million job vacancies were advertised in July alone.
Nevertheless, the IES points out that unemployment continues to be higher than normal with many younger people choosing to remain in education rather than enter the workforce. Experts says the big test will come in the autumn when the furlough scheme and other support winds down.
The IES says more than two million people are off work as a result of long-term health issues and more than a million and a half cannot work due to their caring responsibilities.
IES Director Tony Wilson said: “As the labour market continues to tighten, employers and government need to do a lot more to help these people get back into work.”
The ONS statistics show the UK employment rate was estimated at 75.1% between April and June 2021, 0.3% higher than the previous quarter. Further, the unemployment rate was estimated at 4.7%, 0.2% lower than the previous quarter.