Tuesday 13th March 2012

(12 years, 2 months ago)

Westminster Hall
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Marcus Jones Portrait Mr Marcus Jones (Nuneaton) (Con)
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It is a pleasure to serve under your chairmanship, Mr Howarth. I am delighted to have been able to secure this important debate on work experience. I am also delighted to see so many hon. Friends and hon. Members from throughout the House in the Chamber today, to debate a subject that not only is topical and relevant to the recent newsfeed but has seen the concept of work experience turned into a matter of political ideology, rather than of pragmatism in how to help our young people and create opportunity for them. I bring the subject to the House in all seriousness, and out of concern for many of our young constituents whose future well-being could lie in the debate around work experience. I therefore ask right hon. and hon. Members to approach the debate in the spirit of helping our young people into work from a pragmatic rather than what I might describe as an ideological standpoint.

I come to the debate as a parent with two young children. Despite their ages, I am not prevented from being a little concerned about their future and what the employment market will look like by the time that they step into the big, wide world of work, whether from school, college or university. I suspect that many of my thoughts are not far removed from those of most parents throughout the country, which is why I wish to consider briefly what the Government are already doing to tackle youth unemployment, and to put that into the context of the importance of work experience, which will be the focus of the majority of my comments.

Guy Opperman Portrait Guy Opperman (Hexham) (Con)
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I congratulate my hon. Friend on securing this important debate. Does he agree, on pragmatism, that MPs can lead the way? I employ an apprentice, as part of my team working in the House of Commons, but we can also have work experience in our constituency offices—we had 40 in the Hexham office over last summer.

Marcus Jones Portrait Mr Jones
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My hon. Friend is absolutely right. MPs can certainly show the way practically and, as I will come on to, by supporting people who are willing to give work experience opportunities to our young people.

Youth unemployment is not a new phenomenon in this country, and it has been on an upward trend since 2004, when we were in a better economic position, although getting young people into work should be a priority for any Government regardless of the economic situation. Tomorrow we will see the latest unemployment figures, and we wait to see the figures on youth unemployment with bated breath. The current figures indicate that we have more than 1 million young people unemployed and out of work, which equates to 22% of young people in the country.

Tony Baldry Portrait Tony Baldry (Banbury) (Con)
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It is excellent that my hon. Friend has initiated this debate but, given what he has just said, is it not extraordinary that we are having to have what is a needless debate? It is extraordinary that anyone out there should be opposed to young people getting work experience.

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Marcus Jones Portrait Mr Jones
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My hon. Friend is absolutely right. It is incumbent on Members of the House to support work experience and any tool that we can put into the toolbox to reduce the shocking number of young people who currently lack opportunity.

To return to our 1 million unemployed young people, if we compare our situation with that in many European Union countries, we will probably see our figures compare reasonably favourably. We should, however, never be satisfied or content to have one in four young people unemployed. For that matter, we should never be content to have any young people out of work. Recently, we have started to see policies put in place by the Government to increase opportunity for our young people. For example, places for apprenticeships have increased by 50% over the past year, to 440,000; my constituency, I am glad to say, has had a 56% increase in apprenticeship take-ups, more than half by young people. The youth contract, starting in April, will also see many more opportunities, including financial incentives for businesses to take on young people, which I hope will mean the creation of up to 160,000 opportunities—as quoted, I believe, by the Department for Work and Pensions, in particular given the £2,275 wage subsidy to support young people.

Under the youth contract, a number of opportunities are coming along in April, but we should also realise that, although we have many opportunities and however many schemes we have, there is always a cohort of young people who struggle to take up such opportunities, often because the education system has failed them and sometimes because they have low self-esteem or no experience or track record in employment. They might have previously experienced employment but had a poor experience.

Guy Opperman Portrait Guy Opperman
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Does my hon. Friend agree that the advance of academies and free schools, such as the enterprise school being set up in Newcastle, next to my constituency, will provide greater skills and address youth unemployment problems?

Marcus Jones Portrait Mr Jones
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My hon. Friend is absolutely right. For far too long a cohort of young people has been failed by the education system in this country, and we need to ensure that such people have the maximum opportunity to gain a high-quality education. Hopefully, we will reduce the number of people who need work experience. Until that happens, however, it is incumbent on us all to support the principle of work experience, because we need to reach that cohort. Figures from the International Labour Organisation show that, of the young people out of work in this country, more than 50,000 have never had a formal job and 20,000 have poor or no formal qualifications. If we are to reach out to that cohort of young people and if we are serious about getting them back into work and engaging them to become part of the mainstream work force, work experience is an essential tool to have in the toolbox.

Gloria De Piero Portrait Gloria De Piero (Ashfield) (Lab)
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Can the hon. Gentleman define the difference between work experience and an internship, because the two phrases are becoming increasingly blurred? There is definitely a difference and it is important to state it. What is it, in his view?

Marcus Jones Portrait Mr Jones
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I thank the hon. Lady for her comments. There is a distinction. With work experience, we are talking about a short-term opportunity for young people; they can be given some short-term experience of work to allow them to get into mainstream employment, often with employers who are keen to take on a certain number of those who have been on work experience and to put them into proper employment. There is a distinction from internships, which have traditionally been used as a method of giving people experience in this place, but also in law firms and all sorts of other professions. There is a distinction, and we need to be alive to that.

Over recent weeks, I have been pretty dismayed by the response to the current Work Experience scheme offered by the Government in partnership with many of our best companies in this country. I have been dismayed by the vitriol towards employers, who have not sought to create a free supply of labour but, on the contrary, have shown a genuine will to give experience and a chance to young people who, for whatever reason, have not been given that chance elsewhere.

Sheila Gilmore Portrait Sheila Gilmore (Edinburgh East) (Lab)
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I was open to the hon. Gentleman’s comments about not being ideological, so I hoped that he would rebut some of the interventions that he has already had, which were extremely ideological. On the specific question of the Work Experience scheme, does he agree that the work experience must be relevant to the needs and previous experience of the participants?

Marcus Jones Portrait Mr Jones
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It does have to be experience, but I hope that the hon. Lady is not taking us down the route of demeaning certain types of employment—I will come on to this in a moment—or of being what I call a job snob. I am sure that she is not seeking to do that at all. Over recent weeks, however, we have seen a small cohort of people who have been willing to show a great deal of vitriol towards some of those companies which were willing to give young people an opportunity. In the debate today and over the past few weeks, we have seen what I consider to be the huge red herring of whether work experience is compulsory or voluntary, and that has been a huge distraction from the real issue.

Glyn Davies Portrait Glyn Davies (Montgomeryshire) (Con)
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I associate myself with my hon. Friend’s disappointment at what has happened in recent weeks. Does he condemn those organisations that have sought to spread fear, and have organised letter-writing campaigns, with no basis? They have made the scheme, which should have been a great success, questionable. Does he welcome the fact that we seem to have dealt with the issue, that the argument seems to have turned around, and that the scheme is now being welcomed?

Marcus Jones Portrait Mr Jones
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I thank my hon. Friend for his intervention, and I agree absolutely. A small number of people—I emphasise that it is a small number—have put their political ideology before the best interests of disadvantaged young people, whom the Government and employers who have taken part in the Work Experience scheme are seeking to help. That is disgraceful, and an indictment of the methods that some of the people in that extremist group use. I hope that today we will hear from the shadow Front-Bench spokesman that the Opposition do not support such groups, and that they support the Government’s scheme to give young people opportunities. It is incumbent on the House to provide as many routes as possible for our young people.

Brandon Lewis Portrait Brandon Lewis (Great Yarmouth) (Con)
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I thank my hon. Friend for being so generous with his time. To follow on from the point made by the hon. Member for Edinburgh East (Sheila Gilmore), does he agree that a key reason why the scheme is so important and why young people who have taken part speak so highly of it is that the experience that they get and where they are placed is based on the experience they want in an industry that they are interested in going into?

Marcus Jones Portrait Mr Jones
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My hon. Friend hits the nail on the head. Most of the placements that have been offered to the cohort of young people are relevant to them, and it is important to bear that in mind.

On the debate about the Work Experience scheme over the past few weeks, and the fact that there has been a red herring, or an elephant in the room, about whether it is compulsory, we all know that it is voluntary, and that the only sanctions relate to conduct, and willingness to see the placement through when someone has embarked on that route. That is not irrelevant, but it is not the most relevant issue. The most relevant issue is to give young people, sometimes with what some people call tough love, the opportunity to go out and get themselves into a position where they can compete in the labour market.

In a moment, I shall discuss employers, but before doing so I want to tackle negativity and ideology, which are damaging opportunities for our young people. Later, I shall use the word “unskilled” with extreme caution. There is no doubt that there is a skill in doing any job properly. I am worried about the rhetoric from some people who seek to demean jobs such as shelf-stacking, because there is no doubt that all jobs are important. We all need to start our career somewhere. For some, that may be shelf-stacking. For some that may be their niche, but regardless of that we in the House should show that any job that is legal and above board should be respected. We need to drive the job snobs out and to promote the fact that we support all people who work, whatever they choose to do or whatever they have to do to make a living and to achieve self-respect.

Simon Hart Portrait Simon Hart (Carmarthen West and South Pembrokeshire) (Con)
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My intervention is now three or four minutes out of date, but I will make it anyway. Does my hon. Friend agree that work experience is the ultimate job interview for a job that might not exist initially? I am a former employer of work experience people. Does he also agree that the great value is that enthusiastic and willing people become part of the team?

Marcus Jones Portrait Mr Jones
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I thank my hon. Friend for his positive comment, and he is absolutely right. It is important that businesses seek to grow their own. Many receive a lot of benefit from bringing young people on in that way. He makes the important point that work experience is often a job interview. We are discussing people whose CV may arrive by post in a pile of 20 or 30 other CVs, and the employer may just put it into the filing cabinet, or write back saying that perhaps they will contact the applicant if a suitable vacancy comes along, or it may end up in a filing cabinet on the floor, which is usually a bin. We must ensure that we provide opportunities to people who need a leg-up.

Chris White Portrait Chris White (Warwick and Leamington) (Con)
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I thank my colleague from Warwickshire for securing this important debate. Since I have been a Member of Parliament, I have had 16 people doing work experience in my office, and I welcome Thomas Hart, who is in the Public Gallery today. Some employers ignored the protest activity. How can we encourage more employers to ignore it, and to take on the scheme in greater numbers?

Marcus Jones Portrait Mr Jones
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I thank my hon. Friend, who, as a fellow Warwickshire MP, knows the importance of getting young people in our area into work. He is absolutely right that we must encourage employers, and ensure that they are not frightened of the vocal minority who seem to put political ideology before young people. Hon. Members on both sides of the House should support the Work Experience programme. It is not a panacea for the whole youth employment issue, and is probably applicable to only a small cohort of people who are difficult to get into work. We should all support the programme, and back employers to the hilt in supporting it.

No matter how unskilled—I have said that I am worried about using that word—a role may be, new staff cannot be brought into a business, whether or not they are doing work experience, without providing training. Some young people will pick up that training more quickly than others, but regardless of that, people must be trained. All employers will say that. So they must invest time, provide training, perhaps buy a uniform, and generally invest in that young person, who may be a member of staff for only a few weeks.

George Hollingbery Portrait George Hollingbery (Meon Valley) (Con)
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Does the issue not go even deeper than that? The House should celebrate the fact that some companies are a force for social good. They do not just make profits for the shareholder, but provide an enormous amount of employment across the piece, and ensure that this country is put on a sound financial footing. We should celebrate that.

Marcus Jones Portrait Mr Jones
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As ever, my hon. Friend is absolutely right. When I go out and speak to businesses in my constituency, I detect that people are becoming alive to the issue of youth unemployment, and that there is a real will in businesses to try to give young people opportunities, whether through the apprenticeship route, work experience or other parts of the Government’s Work programme. We should embrace the good will in businesses throughout the country and ensure that we fully support them, not demean them or try to make out to the public that they are trying to get something for nothing. At the end of the day, we rely greatly on the good will out there, and we must not spoil or stymie that. If we start to go down that route, we will defeat the object. Given some of the ideologies expressed, however, it seems that some people are willing to see that happen just because the current Government may not be of the same colour as them, and that seems pretty disgraceful.

Claire Perry Portrait Claire Perry (Devizes) (Con)
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Will my hon. Friend widen his thinking on the issue to women returning to work? I know from my experience of being a stay-at-home mum for seven years that it is unbelievably difficult to get the confidence to return to the workplace. For me, work experience was the best way to build up work attachment and work habits. Will my hon. Friend join me in urging Ministers to ensure that opportunities for work experience are offered to older people—particularly women—who are an economic force to be reckoned with?

Marcus Jones Portrait Mr Jones
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I totally agree with my hon. Friend. There is a cohort of people who have perhaps looked after children but are willing and able and capable of returning to the labour market although they may lack confidence. In time, the Work Experience scheme could be widened in the way that she suggests.

I also wish to focus on some of the ladies and gentlemen of Her Majesty’s press who have perhaps not given this issue the fairest of hearings. I appeal to them to dismiss any rhetoric or old-fashioned and outdated views from the far left that they may have, and to think about young people and look to support this policy. By setting out to try to destroy work experience, all they will do is destroy a route to work and an opportunity for our young people. Work experience is not the be-all and end-all for young people, but it is a route into employment nevertheless, and Members of this House should seek to provide as many such routes as practicable to help our young people into work.

Harriett Baldwin Portrait Harriett Baldwin (West Worcestershire) (Con)
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As I am sure my hon. Friend will agree, it is welcome that many media outlets, notably the BBC, ITV and The Guardian, offer work experience to young people.

Marcus Jones Portrait Mr Jones
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I think that is absolutely fantastic. It is a shame, however, that some of those who work for the publication to which my hon. Friend referred may not share the same view as that taken by their employer. That is sad, and I hope that people will think a little more carefully before making the sorts of comment that may destroy the life chances of the most vulnerable young people in this country.

Safeguards must be in place and we must ensure that we protect young people who may be vulnerable. No hon. Member would want any young person to be exploited, but that does not detract from the fact that employers need positive support and encouragement to be offered through the leadership of this House and its Members. It is, therefore, incumbent on Members of Her Majesty’s Government and Opposition to do all they can to encourage employers to offer work experience, and to fight against the small minority of people who seem intent on putting their ideology before the needs of the most vulnerable people in society who need a little extra help to get on the work ladder and into a job.

I will conclude by saying that we must move this debate away from the discussions of the past couple of weeks and towards the political centre ground and a sensible viewpoint that is shared by most people in this country. Most people are supportive of this policy, and I look forward to hearing from the Minister about how the Government intend to support it and ensure robustly that we do not give in to that small minority. I also look to the Opposition Front-Bench spokesman to back the policy to the hilt and do the right thing for young people in our country.

Sheila Gilmore Portrait Sheila Gilmore (Edinburgh East) (Lab)
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It is a pleasure to serve under your chairmanship, Mr Howarth. I congratulate the hon. Member for Nuneaton (Mr Jones) on securing this debate, although despite his claims that he would not be ideological, I think that he was ideological throughout.

Last Friday, I met a young man in a local community café that is run entirely by volunteers and opens for two hours a week. It is quite new, but it has been very successful. The young man started to volunteer in that café through an arrangement with his school, as he was soon to be a school leaver and had some learning difficulties. He has since left school, although he has continued to volunteer. He told me that as a result of that volunteering experience, Debenhams had offered him the opportunity for paid work in its city café for four hours a day. I thought that that was a great story and a wonderful example of what work experience can do.

When I served on Edinburgh council, we started a scheme called JET—jobs, education and training—first in one high school, although it was subsequently rolled out to others. It was for a cohort of pupils who were in their final year at school but who were likely to emerge with very little to show for it, probably because they hardly ever attended. The pupils and their families were approached and asked to sign up for the scheme. They had a reduced school timetable; they spent one day a week doing work experience and one day a week at a college doing training that was related to that work experience. There were about 20 of those pupils in each school, and although I cannot say that they all came out with jobs at the end of the scheme—we discovered that a lot of them had deep-rooted personal problems—it was a good programme that involved a period of work experience and, importantly, was related to training.

I therefore refute absolutely the allegations that Labour Members are somehow against work experience or even—this is the allegation repeated by the hon. Member for Nuneaton—that we are content to leave people stuck in unemployment. That is totally wrong.

Marcus Jones Portrait Mr Marcus Jones
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Will the hon. Lady say whether she supports the Government’s work experience programme that I spent about 20 minutes outlining?

Sheila Gilmore Portrait Sheila Gilmore
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I was about to come on to that, but I wanted to establish the importance of correctly managed work experience.

What is wrong with the current scheme? To me, the most important thing is that work experience moves people away from their current situation and towards employability, whether or not that involves a job right away. As Ministers and others have said, it is essential to get people away from lying in bed or watching daytime TV—anyone who has been the parent of a teenager, particularly a teenage boy, will say amen to that. However, there is no one-size-fits-all solution.

The first, but by no means that last, example of the scheme was related to me by a constituent. She was still quite young and had worked in the past. She had qualifications and had done holiday jobs, but she had then become unemployed. Her complaint was that she was expected to do eight-weeks’ work experience—the shelf stacking that everybody goes on about—and wondered how that related to moving her to where she wanted to be or make her more employable. I do not think that that is being a job snob. We are mixing up two things.

--- Later in debate ---
Stephen Timms Portrait Stephen Timms
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Let me tell the right hon. Gentleman what I suspect is the source of the confusion. It arises from the decision maker’s guide, which any Member of the House can read on the website for the Department for Work and Pensions. That guide says:

“JSA may not be payable or it may be payable at a reduced rate to claimants who are entitled to JSA and have...after being notified by an Employment Officer of a place on a Work Experience scheme, refused without good cause or failed to apply for it or to accept it when offered, or...neglected to avail themselves of a reasonable opportunity of a place on Work Experience.”

A Jobcentre Plus adviser who is doing their job and looking at the official guidance discovers that that is what the guidance is—a clear description of a mandatory scheme.

It is no wonder, therefore, that Jobcentre Plus staff have been so confused and have contradicted what the Minister has said. Of course, as we know, a number of businesses also lost confidence in the scheme. But the muddle goes even further, because the DWP’s provider guidance for the Work programme says:

“Where you are providing support for JSA participants, which is work experience, you must mandate participants to this activity. This is to avoid the National Minimum Wage Regulations, which will apply if JSA participants are not mandated”.

The DWP was saying that until a few weeks ago, but that particular statement has now been deleted from the guidance on the website.

Therefore I want to ask the Minister three specific questions. First, now that there are no sanctions in work experience other than for gross misconduct, will he amend the decision maker’s guide? Secondly, how will he ensure that the policy is now implemented in line with what he has announced? Thirdly, what has changed in the legal position so that work experience no longer has to be mandated to “avoid”—to quote the guidance that was on his Department’s website—the national minimum wage rules?

The Work Experience scheme is too valuable to let this muddle continue. And as we have already heard in the debate, there are other schemes apart from the “Work Experience” scheme. In fact, Inclusion says that there are seven different current work experience schemes, which may be part of the reason for the muddle. At the time that some claimants are starting on the “Work Experience” scheme, others start on mandatory work activity, which was the scheme referred to by the hon. Member for Great Yarmouth. That may well be another source of the confusion. As the name of the mandatory work activity scheme suggests, it is not voluntary. It is designed for people who are a long way from the labour market and who have no experience of work or the work ethic. Placements are for a similar period to those in the Work Experience scheme, and they are sourced through private welfare-to-work providers. The total value of the contracts for mandatory work activity is £32 million. I have repeatedly asked the Minister to tell the House what the average cost of such a placement is, and various other details. He has repeatedly refused to answer those questions, claiming that it is “Commercial in Confidence” although heaven knows why.

Marcus Jones Portrait Mr Marcus Jones
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The right hon. Gentleman has talked a lot about “confusion”, but from where I sit in Westminster Hall today I am extremely confused about the position of his party in relation to the Government’s work experience programme. On the one hand he says that he supports work experience, but on the other he seems to be coming up with all sorts of “confusion” in his argument to try to get away from supporting that programme. Does his party support the current Government’s work experience programme and will he commit to supporting those employers that are doing a fantastic job in giving our young people this type of opportunity?

Stephen Timms Portrait Stephen Timms
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I very strongly support work experience and I strongly support the contribution of employers. However, what I regret and deprecate is the extraordinary muddle and confusion that the Government’s handling of the Work Experience scheme and the six other similar schemes has created.

On mandatory—[Interruption.] Time is running out and I want to give the Minister every chance to respond to these points, so let me just tell the House about one of my constituents. She was put on to mandatory work activity. She was not a long way from the labour market; indeed, after I inquired about her, she received a phone call to say that she should never have been put on mandatory work activity in the first place. The letter that was sent to her initially was a classic of incomprehensibility; I sent a copy of it to the Minister. It instructed her, a resident of east London, to go to an obscure Sheffield postcode, and it said that if she had any queries she should ring telephone number 000. Her placement was at a charity shop. When she arrived, there were 14 other people on mandatory work activity who had also been sent to the same charity shop to help out. There was nowhere near enough work to go round, although presumably all 15 of those people attracted a payment to the provider from the Minister’s Department.

Experiences such as that will not help anybody into work. I ask the Minister: what checks is he making on placements to mandatory work activity? In fact, does he know if his Department is being ripped off on a large scale, as the example that I just gave suggests? Also, why does he insist on secrecy about all of this, when the openness that is being promoted by the Cabinet Office would help to resolve all these problems? This Minister has some form on this. He has been officially rebuked for misusing statistics—I think more than any other Member of the House—including on three separate occasions since he has been a Minister. That is a pretty extraordinary record.