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BRC warns youth employment challenge remains

The British Retail Consortium warns of a significant youth employment challenge, despite a quarterly fall in NEET numbers.

The British Retail Consortium warns of a significant youth employment challenge, despite a quarterly fall in NEET numbers

The number of young people not in education, employment, or training (NEET) fell to 981,000 in April to June, a drop of 30,000 from the first quarter. The British Retail Consortium (BRC) warns the scale of the challenge remains significant, with the figure still 30,000 higher than the same period last year, according to the Office for National Statistics.

Helen Dickinson, Chief Executive of the BRC, called the figures a stark reminder. She stated that retail has long provided accessible, local, and flexible jobs as a first employment step. Dickinson argued retailers' ability to offer these roles is being eroded by new employment reforms.

Employment Reforms and Retail Concerns

The BRC is specifically concerned about guaranteed-hours provisions under the Employment Rights Act, due in January 2027. The measures would require eligible workers on zero-hours and low-hours arrangements to receive offers reflecting their regular working patterns. A Government analysis estimated these measures could cost employers between £350 million and £2.9 billion annually, with a central estimate of £1.1 billion. It also identified potential economic benefits of £10 billion through improved wellbeing and productivity.

However, trade unions support stronger guaranteed-hours rights. Usdaw has argued the legislation would protect retail employees and prevent responsible businesses from being undercut by employers using insecure working practices.

Dickinson urged the Government not to hinder flexible opportunities if it is serious about tackling the NEET issue. She said retail stands ready to work with the Government but requires reforms that do not confuse flexibility with insecurity.

Industry Initiatives for Youth

The new data coincides with major retailers launching youth-focused programs. Sainsbury’s plans to offer around 10,000 work experience opportunities to young people across England, Scotland, and Wales over the next year. Dickinson described this as a starting point for wider industry action.

It also follows the launch of Lush’s first apprenticeship scheme for aspiring therapists in its London spa locations. The scheme offers the opportunity to gain nationally recognised Level 2 and Level 3 qualifications in Beauty Therapy.

Lush says apprentices will receive 30 hours of paid work per week at an hourly rate of £14.80. The company states this rate is almost double the government’s minimum wage for apprentices under the age of 21.

Earlier this month, the BRC urged the Government to protect flexible, entry-level retail jobs after its polling found 80% of UK adults consider part-time work important for young people. The trade body states retail and its supply chain account for 23% of all youth employment, allowing young people to earn a first wage and gain experience while studying.

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