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Coronavirus: Young people 'most likely to lose work' in lockdown | Coronavirus: Young people 'most likely to lose work' in lockdown |
(about 2 hours later) | |
Young people are most likely to have lost work or seen their income drop because of Covid-19, a report suggests. | Young people are most likely to have lost work or seen their income drop because of Covid-19, a report suggests. |
More than one in three 18 to 24-year-olds is earning less than before the outbreak, research by the Resolution Foundation claims. | More than one in three 18 to 24-year-olds is earning less than before the outbreak, research by the Resolution Foundation claims. |
It said younger workers risk their pay being affected for years, while older staff may end up involuntarily retired. | It said younger workers risk their pay being affected for years, while older staff may end up involuntarily retired. |
The number of people in the UK claiming and receiving unemployment benefit soared last month. | The number of people in the UK claiming and receiving unemployment benefit soared last month. |
The figure went up by 856,500 to 2.097 million in April, the Office for National Statistics (ONS) said. | The figure went up by 856,500 to 2.097 million in April, the Office for National Statistics (ONS) said. |
Separate ONS figures showed UK unemployment rose by 50,000 to 1.35 million in the three months to March. | Separate ONS figures showed UK unemployment rose by 50,000 to 1.35 million in the three months to March. |
Jonathan Athow, from the ONS, said employment "held up well" in March, but hours worked "fell sharply" towards the end of the month - particularly in areas like hospitality and construction. | Jonathan Athow, from the ONS, said employment "held up well" in March, but hours worked "fell sharply" towards the end of the month - particularly in areas like hospitality and construction. |
Young people tend to be hardest hit by economic slumps. | Young people tend to be hardest hit by economic slumps. |
'The future's unclear' | |
University of Portsmouth student Emily Isaacs, 20, was working at a kennels near her family home in Ashford, Kent, during the holidays before lockdown began. | |
But with the business temporarily closed, she says the "future is unclear" and she worries the loss of income could have a knock-on effect on her business studies degree. | |
"Having the job meant I didn't have to stress about money and I could focus on my studies," she said. | |
"I don't really want to be worrying in my final year - which is stressful enough with my dissertation coming up. | |
"I'm still paying for my student accommodation and will have to next year as well, even if they continue with non-contact teaching. The deposit and first month's rent is due next month. | |
"I've moved back with my parents to try and save and I'm looking for work but a lot of jobs out there aren't the sort I can apply for because some of my family are vulnerable [to Covid-19]. | |
"I'm just hopeful I can find something when I'm back in Portsmouth." | |
Around a quarter of 18 to 24-year-olds have been furloughed - meaning they do not work but their firms keep them on their books and the government covers 80% of their wages. | Around a quarter of 18 to 24-year-olds have been furloughed - meaning they do not work but their firms keep them on their books and the government covers 80% of their wages. |
A further 9% have lost their jobs altogether - the highest figure out of all age groups. | A further 9% have lost their jobs altogether - the highest figure out of all age groups. |
Industries that traditionally employ younger staff such as pubs, restaurants and leisure centres have remained shut throughout the UK's eight-week lockdown, as have many shops. | Industries that traditionally employ younger staff such as pubs, restaurants and leisure centres have remained shut throughout the UK's eight-week lockdown, as have many shops. |
Employees across all age groups were found to be more likely to earn less than they did in January than earn more. | Employees across all age groups were found to be more likely to earn less than they did in January than earn more. |
Those aged 35 to 44 were the least likely to have been furloughed or lost their jobs, with around 15% experiencing this since the outbreak began. | Those aged 35 to 44 were the least likely to have been furloughed or lost their jobs, with around 15% experiencing this since the outbreak began. |
Ms Coffey told the BBC's Today programme that the UK should be prepared for the unemployment rate to "increase significantly". | Ms Coffey told the BBC's Today programme that the UK should be prepared for the unemployment rate to "increase significantly". |
She said the government is focusing on the younger generation as part of efforts to get people back into work. | She said the government is focusing on the younger generation as part of efforts to get people back into work. |
Asked about the claim that their incomes could be scarred for years to come, she said: "I think it's too early to say anything like that at all." | Asked about the claim that their incomes could be scarred for years to come, she said: "I think it's too early to say anything like that at all." |
She added that there are still vacancies available in areas such as retail and agricultural work, but that opportunities will vary around the country. | She added that there are still vacancies available in areas such as retail and agricultural work, but that opportunities will vary around the country. |
On Tuesday, the Prince of Wales urged people to help harvest fruits and vegetables as part of the Pick for Britain campaign. | On Tuesday, the Prince of Wales urged people to help harvest fruits and vegetables as part of the Pick for Britain campaign. |
In a video posted on Twitter, he likened the project to the efforts of women who worked in agriculture as part of the Women's Land Army during World War Two. | In a video posted on Twitter, he likened the project to the efforts of women who worked in agriculture as part of the Women's Land Army during World War Two. |
"In the coming months, many thousands of people will be needed to bring in the crops. It will be hard graft but is hugely important," he said. | "In the coming months, many thousands of people will be needed to bring in the crops. It will be hard graft but is hugely important," he said. |
The Resolution Foundation, which studies earnings of lower and middle income-workers, surveyed more than 6,000 UK adults at the beginning of May. | The Resolution Foundation, which studies earnings of lower and middle income-workers, surveyed more than 6,000 UK adults at the beginning of May. |
The Health Foundation, the charity which funded the research, says it was concerned that the current crisis is magnifying already-precarious employment conditions young people face. | The Health Foundation, the charity which funded the research, says it was concerned that the current crisis is magnifying already-precarious employment conditions young people face. |
However, the report found the scale of pay reductions during the crisis would have been greater were it not for the government's job retention scheme. | However, the report found the scale of pay reductions during the crisis would have been greater were it not for the government's job retention scheme. |
The furlough scheme covers 80% of workers' pay up to £2,500 per month and was recently extended to October. | The furlough scheme covers 80% of workers' pay up to £2,500 per month and was recently extended to October. |
Latest government figures show eight million jobs have been furloughed so far - at a cost of about £11bn. | Latest government figures show eight million jobs have been furloughed so far - at a cost of about £11bn. |
However, campaigners said it has made "no difference" to the thousands of people who initially fell through the cracks. | However, campaigners said it has made "no difference" to the thousands of people who initially fell through the cracks. |
Last week, the chancellor warned it was "very likely" the UK is in a "significant recession", as figures revealed the economy contracting at the fastest pace since the financial crisis. | Last week, the chancellor warned it was "very likely" the UK is in a "significant recession", as figures revealed the economy contracting at the fastest pace since the financial crisis. |
Countries around the world are struggling with surges in unemployment due to the pandemic. | Countries around the world are struggling with surges in unemployment due to the pandemic. |
More than 36 million people are now filing for unemployment benefits in the US, representing almost a quarter of the American workforce. | More than 36 million people are now filing for unemployment benefits in the US, representing almost a quarter of the American workforce. |
Are you a young worker who has lost their job or faced reduced income due to the coronavirus pandemic? Share your experiences by emailing haveyoursay@bbc.co.uk. | Are you a young worker who has lost their job or faced reduced income due to the coronavirus pandemic? Share your experiences by emailing haveyoursay@bbc.co.uk. |
Please include a contact number if you are willing to speak to a BBC journalist. | Please include a contact number if you are willing to speak to a BBC journalist. |
Or use the form below: | Or use the form below: |