Integrated pathways to inclusion in London
‘Open Days’ Integrated pathways workshopWednesday 8 October
Alex Conway, Head of European Programmes’ Unit,
London Development Agency
2
London is wealthy…
UK GVA by region, £million, 2006
Source: Regional accounts, Office for National Statistics
196,764
177,224
111,252 109,884
91,024 89,501 88,99782,116
74,113
42,69738,788
26,429
-
50,000
100,000
150,000
200,000
250,000
London South East North West East ofEngland
Scotland South West Westmidlands
Yorkshireand
humber
Eastmidlands
Wales North East NortherIreland
3
…but not everyone shares the money…
Employment rate by region, 2006
Source: Annual Population Survey, Office for National Statistics
78.6
77.777.3
76.2
75.0
73.9
72.7 72.5
71.170.7
69.8
68.6
62.0
64.0
66.0
68.0
70.0
72.0
74.0
76.0
78.0
80.0
South East South West East EastMidlands
Scotland Yorkshireand TheHumber
WestMidlands
North West Wales North East NorthernIreland
London
4
…partly due to poor skills…
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
NVQ Level 4 andabove
NVQ Level 3 TradeApprenticeships
NVQ Level 2 Below NVQ Level 2 Other qualifications No qualifications
London UK
London and UK employment rate by qualification
Source: Annual Population Survey, Office for National Statistics
5
…that don’t match London’s changing labour market.
Changes in employment by sector, 1970-2004
Source: GLA Economics
568,000
128,000 125,000
-64,000-98,000
-197,000
-823,000
-1,000,000
-800,000
-600,000
-400,000
-200,000
-
200,000
400,000
600,000
800,000
Financial &Business services
Other (MainlyPublic) services
Distribution, hotels& catering
Primary and Utilities Construction Transport &communication
Manufacturing
6
The new London Skills and Employment Board…
6 Government Departments
Local
Sub-regional
National
Regional
Skills AllianceSector SkillsCouncils
Jobcentre PlusNational
Office for Standards in
Education and Skills
Higher EducFundingCouncil
Qualifications &CurriculumAuthority
UK Commissionfor employment
and skills
BERR
Univ. for Industry
learndirect
National Learning &Skills
Council (LSC)
Learning & SkillsImprovement
Service
London MayorSkills andEmploymentBoard
LDA Regional LSC
Local LSCs
New Deal for Communities
Business Link
Investors in People
Jobcentre Plus& Providers
Connexions
33 LocalAuthorities
Local StrategicPartnerships
OtherTraining Providers
Specialist Colleges
Schools &6th FormColleges
FE colleges
Jobcentre Plus
EmploymentZones
Universities
Learndirectcentres
DIUS DWP DCSF HMT
Universities
DCLG
Train to GainBrokers
Individuals Employers
Em
plo
yers
& E
mp
loye
r O
rgan
isat
ion
s
Tra
de
Un
ion
s &
Pro
fess
ion
al A
sso
ciat
ion
s
IAG Partnerships
SkillsAcademies
CityStrategy
Pathfinders
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…has a key strategic role
LondonDevelopment
Agencyc. £75mX ESF
LSEB
Individuals Employers
London Learning andSkills Council
c. £600mY ESF
London JobCentre
Plusc. £200m
Z ESF
ESF
33 LocalAuthorities
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Its final strategy focuses on three aims:(1) Engaging and working with employers
GOAL: INCREASED EMPLOYER ENGAGEMENT
One stop shopapproach
Needs to makebusiness sense
Needs to beeasy to access
Needs hard-edgedcommitments
EmployerBusiness case
campaign
LondonEmployer Accord
OUTCOME: MORE JOBS AND SKILLS FOR LONDONERS
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•
Main IssuesThe DWfL Programme is specifically designed to target and address issues of workplace discrimination across the six equality strands of
Race, Gender,Disability, AgeSexual orientation Religion or belief
in London’s Private Sector organisations.
The overall objective of the programme is to foster a sustainable commitment from within the business community to combat workplace discrimination and promote supplier diversity.
Example workforce project: LDA ‘Diversity Works for London’
Programme Overview
Strategic objectives: Championing the business case for diversity seeking out, promoting and sharing good practice
Engaging and working in partnership with the private sector in promoting equality
Campaigning for and enabling London’s business to reflect the capital’s diversity in all levels of their workforce and supply chains
www.diversityworksforlondon.com.
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(2) Supporting London’s people
Effectiveadvice
Employabilityprovision
Awareness &aspiration
CoherentinformationWORKLESS
AND / ORLOW-SKILLEDLONDONERS
SUSTAINEDEMPLOYMENT
ANDPROGRESSION
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(3) Building an integrated delivery system
Challenge: Skills system focused on qualifications not pay and job prospects, employment system focused on job entry not sustainability and progressionSolution: Single integrated aim of sustained employment and progression
Challenge: Funding based on central plans not individual or employer demandSolution: Demand-led funding – ‘Train to Gain’ for employers, ‘Skills Accounts’ for individuals
Challenge: Services currently commissioned according to agency boundaries, not individual needSolution: Joint investment planning – ESF too?
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Intended outcome
To deliver:
•An increase in London’s employment rate from 70% today to 72% by 2013
•Significant improvements in skills and workforce training, particularly at the bottom end, putting London on track for the national goal of ‘world-class skills’ by 2020
• More details at www.london.gov.uk/lseb.
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ESF in the UK
• England and Gibraltar is single €3 billion ESF programme with regional components
• English programme is entirely ‘cofinanced’
• Matchfunding provided by public sector organisations with skills/jobs remits that issue their own Invitations to Tender or prospectuses
• Cofinancing pioneered in London 2000-6
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London’s 2007-13 ESF programme
• 2007’s National Operational Programme and Mayor’s London 2007-10 Regional Framework agreed €476m to invest in London under Priorities with the objectives below:Priority 1: Extending Employment Opportunities - €304m
- reducing unemployment
Priority 2: Developing a Skilled and Adaptable Workforce - €167m- improving skills of the employed
Technical Assistance - €5m - To assist management and development of the programme
• Match funding provided by 4 ‘co-financing organisations’ (CFOs): - Learning and Skills Council (60%), - Department for Work and Pensions (25%) , - London Development Agency (12%), - London Councils (3%)
• Each CFO has produced its own plan and prospectus, detailing the funding available and outputs expected for 2007-10. EPMU co-ordinates this process; and manages and monitors CFO performance.
• For 2010-13, a second Regional Framework will be drafted by EPMU and agreed with partners, and remaining ESF will be committed via a second round of CFO plans
More details at www.lda.gov.uk – click on the European flag!
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ESF in London
• London is unique – only region with elected regional assembly and Mayor, and biggest UK ESF programme.
• Priority 1 – Extending Employment Opportunities– 1.1: Improving employability/skills of unemployed and economically inactive
– 1.2: Employment/skills activities at young people (14-19) not in education, employment or training (one intervention per person!)
– 1.3: Community grants programme for those furthest from labour market
• Priority 2 – creating a skilled and adaptable workforce– 2.1: Increasing employees with basic skills, including English
– 2.2: increasing employees with ‘level 2’ skills
– 2.3: increasing employees with ‘level 3 & 4’ skills
• Priority 3 – Technical Assistance
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ESF London programme and inclusion
• London’s €952m ESF programme will benefit 285,300 participants
• Priority 1: 158,000 people to be included– 22% with disabilities
– 12% lone parents
– 18% over 50s
– 56% ethnic minorities
– 51% female
• Priority 1 Results:
• 22% participants into work: (26% in work after 6 months);
• 45% in job search activity/further learning;
• 45% NEET in education, employment or training
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Integrating inclusion issues in London
•No shortage of ‘mainstream’ programmes aimed at these target groups
•But ESF allows different approaches to promoting inclusion– Knock on doors in areas of high unemployment
– Talk to parents at school gates
– Get referrals from doctors for people on incapacity benefit
– Advice in different languages
•Need to transfer ‘what works’ to mainstream programmes
•‘Innovation and transnational’ programme to be launched shortly
– Let me know if you might be interested in partnering a London organisation bidding for these funds!
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Integrating ESF with other London initiativesSuccesses and challenges
• CFOS have clearly defined roles– But roles keep changing
• ESF CFO programmes developed and cleared collectively, not in isolation– Still chasing same participants/beneficiaries?
• CFOs also control other sources of jobs/skills funding– But are they joined-up internally?
• ESF programme has been simplified– But can we go any further when ESF has separate and complex monitoring and audit
requirements?
• LSEB has set out its agenda– But will it have teeth?
– Further members to be announced shortly
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Challenges ahead
• Learning and Skills Council to be abolished– How does this affect delivery of ESF and non-ESF programmes?
• Joining up European, national and regional priorities– Mayor and national government are from different political parties
– European funds can help some aspects of inclusion, but not all
• Meeting the agenda of the new mayor– Supporting and developing Youth
– Tackling crime, especially gang crime
• Making a difference - in tougher economic climate - and raising employment levels
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