Community and Third Sector Organisations: Employment Debate

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Department: Department for Work and Pensions

Community and Third Sector Organisations: Employment

David Williams Excerpts
Monday 10th February 2025

(1 day, 21 hours ago)

Commons Chamber
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Paulette Hamilton Portrait Paulette Hamilton
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I thank the hon. Gentleman for sharing what his constituents are doing.

The results speak for themselves. To date, we have secured over £15 million in investment, supported 8,000 residents—two thirds of whom are aged between 24 and 49 —and helped over 1,000 people into work. We have enrolled 1,500 residents in gateway courses, linking them to jobs, and supported major employment with recruitment drives such as at Amazon’s Peddimore site.

But it does not stop there. Witton Lodge Community Association holds regular skills workshops and jobs fairs in north Birmingham, such as the event at St Barnabas church in Erdington just two weeks ago, connecting hundreds of local unskilled jobseekers with more than 25 diverse employers. The board is working with companies such as Halfords to develop bespoke apprenticeship packages, ensuring that young people and adults can access high-quality training and job opportunities. None of this would be possible without the dedication of our partner organisations like Birmingham Metropolitan college, IM Properties, Pioneer Group and Witton Lodge Community Association.

David Williams Portrait David Williams (Stoke-on-Trent North) (Lab)
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I am pleased to support this debate on the voluntary sector and its role in supporting people into education, training and employment. We have some good examples in Stoke-on-Trent North and Kidsgrove, with Youth Employment Skills, the Chell Area Family Action Group and the Coalfields Regeneration Trust all playing a vital role. Does my hon. Friend agree that, as the Government move forward with their plans to support young people into training and on into employment, they would be wise to consider the role that the voluntary sector plays in local communities?

Paulette Hamilton Portrait Paulette Hamilton
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My hon. Friend makes a valuable point, and I absolutely agree with what he says.

The commitment of the partner organisations in my constituency has been the driving force behind our shared vision, and I take this opportunity to pay tribute to them. I am sure the Minister will join me as I extend my heartfelt thanks. However, progress does not come without its challenges.

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Alison McGovern Portrait Alison McGovern
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My hon. Friend is right. When I was in Erdington, my Department for Work and Pensions colleagues and I met the college, Witton Lodge and other community partners. By bringing those people together around a common goal, we can change the fortunes of a place. As I will explain in a moment, that approach is knitted into what we set out in the White Paper in November.

I want to mention my DWP colleague Lucy Divers, who has worked as part of the north Birmingham economic recovery board to bring DWP right to the heart of this local community approach. That is the right way to have a partnership where people can bring their different expertise to tackling the ingrained problems of economic disadvantage and unemployment. I met colleagues in Erdington, and we talked through the various challenges. I was struck by the importance of skills and the need to address the skills deficit, but we also need to ensure that young people—Birmingham is quite a young city—have access to the best possible jobs.

I want to mention a few ways in which the Government have redesigned employment support to try to bring this new localised approach to enable us to work better with community and third sector partners. The last Parliament saw the biggest increase in economic inactivity in nearly 40 years. We remain the only G7 country with a higher rate of economic inactivity now than before the pandemic. We have a near-record 2.8 million people out of work due to long-term sickness, and, tragically, almost a million young people are not in education, employment or training and many more are stuck in low-paid work. This is an absolute crisis. It is the biggest unemployment crisis in our generation.

We know that we have to learn the lessons of the failures of the past 14 years. We cannot keep going in the same direction; we needed to change course. For me, that means localising our services, so we pay attention to the specific features of each place that we are trying to help.

David Williams Portrait David Williams
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On localised services, other programmes of years gone by, such as the Work programme, had big contract package areas and moved towards nationalised models, and a lot of voluntary groups would describe themselves as “bid candy”—they were included as subcontractor partners, but they did not have any ownership of how services were delivered on the ground. Does my hon. Friend agree that we need to move away from that model and towards understanding what local groups, which are rooted in their communities, can do to really play their part?

Alison McGovern Portrait Alison McGovern
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It is testament to the importance of this issue, and to how strongly Members feel about tackling unemployment in their constituencies and working across and in partnership with community groups, that so many have stayed for the Adjournment in order to make detailed points, as my hon. Friend has, on a matter that is the biggest challenge in some constituencies. I thank him for bringing that expertise and hope that we can continue this conversation as the DWP moves forward with our change programme.

As I was saying, the challenge is great. We need a totally different approach and much more local collaboration. That is why our “Get Britain Working” plan sets out three major reforms. The first is creating a new jobs and careers service that will test, trial and develop different ways of working to get much closer to communities. We are already seeing work coaches take their role out into communities to connect with people where they are, using the expertise of local community groups. We have also set up a number of trailblazers, including in the west midlands, to collaborate with the NHS and other organisations to give young people and those who are out of work because of ill health the support they need to get back into work, develop their talents and take up the opportunities on offer.

I know that we will not do that without better support for employers. That is one of the reasons I was so heartened to have a conversation in Erdington about the different employers and opportunities in Birmingham and across the midlands, and about ensuring that the DWP plays its role in serving employers better and getting the best-quality roles into jobcentres so that they are available to people who might otherwise be overlooked. That has been a crucial part of the north Birmingham economic recovery board, about which I learned, and it is a great example of how local leaders can take action, through work with employers, to get to the heart of unemployment and inequality.

I will respond to one point raised by my hon. Friend the Member for York Central (Rachael Maskell) about enabling community groups and third sector organisations to test the efficacy of their work. She comes from the great social research city of York, so there is nobody better to make that point. Organisations can use the DWP’s data lab to establish the effectiveness of their employment programme. I encourage third sector organisations, charities and beyond to work with us to get to the heart of how we can effectively support people into work and into better work.