Going for Growth: Welfare to work in the wider economic context

Differing Labour Market Conditions

Bob LeachManaging Director

MAXIMUS Employment & Training

Agenda

1. Introduction

2. The elephant in the room

3. How should welfare to work providers adapt to differing labour market conditions?

4. What are the differences in approach given Maximus has both a rural and an urban CPA?

5. Concluding remarks

1. Introduction – MAXIMUS and the Work Programme

Prime ContractorThames Valley, Hampshire and Isle of Wight

In Partnership with AvantaSurrey Sussex and Kent

South East

MAXIMUS and the Work Programme

Prime ContractorWest London

In Partnership with CDGEast London

West & East London

THE ELEPHANT IN THE ROOM!

5

THE ELEPHANT IN THE ROOM!

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Economy?

Unemployment?

2. Adaptation to differing labour market conditions

• Understanding of the economic climate through labour market analysis. For example;

Supply and demand Growing and declining industries Demographics Skills levels

• Engagement with local and national stakeholders • Motivation and attitudinal aspects to consider• Tailoring our service to meet local needs in the local

conditions:– For example, different labour market approaches to CPAs…

3. Differences between rural and urban CPAs

Aspect Rural Urban

Labour market demand

Typically local businesses and SMEs, however national employers migrating to rural landscape seeking efficiencies

Align with regeneration projects in key hubs; working with national employers based; recognising high prevalence of SMEs in certain boroughs

EmployerEngagement

Engaging with key employers in new towns such as Reading and Milton Keynes, which house international bases

All London primes are working together to provide coherent employment solutions for key employers (i.e. TfL)

Supply chain Smaller supply chain with wider geographical spread who understand the needs of rural communities

Supply chain that understands London’s diversity and can provide a tailored solution

3. Further differences

Aspect Rural Urban

Geography Understanding time and expenses of gaps in commute/transport and locating sites accordingly

Ensuring sites are close to transport hubs so commute time for any customer in max less than an hour

Competition Wider geographical spread therefore less denseWorking alongside one other prime only

Vast competition for jobs across a small geographical spreadWorking alongside multiple primes across two adjacent CPAs

Economic climate

Understanding seasonal jobs and hubs of economic activity

Recognising urban climate more is more dynamic, utilising regeneration/growth opportunities

4. Concluding remarks

• Different approaches are required to address specific labour market issues

• In all cases, involvement of the local economy and community is integral to successful delivery, regardless of geography

Contact information:Bob LeachManaging Director,rleach@maximusuk.co.uk+44 207 868 8982