The need to reinvigorate Britain’s workforce and address the pressing issue of low labour force participation is now more urgent than ever. Figures released at the end of last year by the Office for National Statistics reveal that more than nine million people in the UK are economically inactive – for every three working-age adults in employment, one is inactive.
This imbalance is unsustainable if we are to build a thriving economy. Without a significant shift in the labour participation rate, the rising trend of unemployment threatens not only our economic prosperity, but also the social fabric of our nation.
The path forward is clear: policymakers, businesses, and communities must work together to prioritise employment and ensure that no one is left behind. Reed in Partnership, has supported over 300,000 individuals in transitioning from unemployment into work and we have seen firsthand the human cost of joblessness. Beyond economic metrics, unemployment undermines individual confidence, mental health, and long-term potential. The societal duty to combat this trend is both practical and moral.
To build an economy in which work is accessible, rewarding, and inclusive, we must embrace bold and innovative solutions as employers.
Work has often been framed as the less desirable side of ‘worklife balance,’ a narrative that discourages engagement. To shift perceptions, we must actively market the many positives of employment - financial independence, personal growth, skill acquisition, and social life and contribution. People should be inspired to see work not as a burden, but as an opportunity to shape their futures and to give their lives added meaning.
For many young people, and especially for those who do not attend university, the transition from education to employment can feel daunting and uncertain. Reintroducing traineeships for 16-to-24-year-olds would offer a structured pathway into the workforce. These programmes can provide essential skills and hands-on experience, and instil confidence in young individuals, enabling them to take their first steps into employment.
It has never been more important to ensure you have a strong team around you. Our salary guides are a tool to help you do just that. And it’s no exaggeration to say that the difference between having the right people in your team over the wrong people will be the difference between night and day.
Chairman and CEO, Reed
By investing in such initiatives, we can bridge the gap between education and work, ensuring that more young people are prepared for the demands of the modern labour market.
On top of this, apprenticeships have been in decline and, if we are to put them back on track, we must make the system more employer-friendly, reducing bureaucracy and offering greater flexibility to businesses. By aligning apprenticeship programmes more closely with the needs of employers, we can create opportunities that are mutually beneficial.
We must also continue to remember the value a diverse workforce brings. Ageism, for example, remains a persistent barrier in the workplace, and yet older workers bring a wealth of skills, experience, and resilience. Encouraging multigenerational participation in the workforce is not just fair - it is necessary, if we are to have a sustainable and dynamic economy.
Our research with 5,000 people in employment, used to provide insight in our salary guides, highlights the importance of taking employee wellbeing into consideration, with 43% of people saying they work more hours than they are paid to.
Alarmingly, when asked why, 40% of those employees said they have too much work to do in the hours they are paid to work. If this issue goes unaddressed, we could see valuable colleagues walk out the door or fall into long-term sickness due to burnout. By promptly addressing this issue, you can create a healthier, more productive, and more sustainable work environment which, in the current climate, will assist your employee value proposition considerably.
It looks likely that this year will be challenging – not only for organisations, but for professionals, too. As well as strategies to attract new talent into your organisation, it is important to assess the situation internally at the same time and to focus attention holding on to your best people.
It has never been more important to ensure you have a strong team around you. Our salary guides are a tool to help you do just that. And it’s no exaggeration to say that the difference between having the right people in your team over the wrong people will be the difference between night and day.
I wish you all the very best for the year ahead.
