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New research: cost-of-living crisis has increased barriers to work for young Mancunians

KFC and UK Youth have officially launched new youth employability programme in Greater Manchester following its pilot last year.

The ‘Hatch’ programme aims to help 16-24 year olds, who have faced barriers to employment, to build their work skills, confidence and land their first job, as new research reveals the cost of living has significantly worsened work and training opportunities for young people in Greater Manchester.

Working with UK Youth to identify young people most in need, the ‘Hatch’ programme will offer participants 1-2-1 training, support, and practical work experience, with an interview at KFC on graduation.

The rollout of the programme in Greater Manchester comes as new research from KFC and UK Youth reveals the stark impact the cost-of-living crisis has had on young people’s employment outlook in Greater Manchester. This follows the recent release of Office for National Statistics NEET figures which show that 770,000 young people are currently not in education, employment or training (NEET) across the UK – higher than pre-pandemic levels.

Seven in ten (70%) of young people in Greater Manchester say the cost-of-living crisis has increased barriers to finding employment, as a half (52%) of employers in Greater Manchester say they are more likely to hire people with more experience, due to the current economic climate.

The research lays bare the impact the cost-of-living crisis is having, not just on young people’s immediate job and training opportunities, but also on their confidence and longer-term employment outlook.

Over a third (35%) of young people in Greater Manchester feel anxious about their employment, training and education prospects, a rise compared with last year. One in four (24%) of Greater Manchester’s young people say they do not feel confident about the future, with this figure rising to 27% when asked how they feel about finding a job in the next 5 years.

For employers in Greater Manchester the difficult economic climate means hiring young people has taken a backseat to other priorities. Increasingly, employers in Greater Manchester were found to be reducing training and development opportunities available for young people in a bid to reduce costs: over a third (39%) of employers in Greater Manchester say they are less able to invest in upskilling young people now, while only half (51%) of employers in Greater Manchester now offer mentoring for young people.

Nonetheless, employers in Greater Manchester recognise the important role they can play in supporting young people into employment, as 88% believe that employers have a responsibility to help young people into the workforce and 90% say they want to do more to help them develop their skills.

Both employers (87%) and young people (71%) in Greater Manchester agree that the Government needs to do more to help young people into employment and support businesses to hire and train the next generation of talent. Following the pilot of the Hatch programme in Greater Manchester, it is essential more is done to support local young people into employment.

To help reduce the barriers young people face across the UK, KFC and UK Youth are calling on government to work more closely with businesses to ensure young people are being equipped with the skills that will help them thrive in the workplace. They are also calling for a joined-up strategy that brings together businesses with local authorities, job centres and youth work organisations to better connect young people with job and training opportunities in their local area.

By 2030, KFC aims for a third of all new hires into KFC to be young people, aged between 16 and 24, who have faced barriers to employment – whether that’s because of social, economic, domestic or mental health challenges, coming through the Hatch programme.
Meg Farren, General Manager, KFC UK & Ireland, said: “Young people today are facing greater challenges than ever before. The pandemic took away crucial skills and career development opportunities – now, they’re faced with a cost-of-living crisis and an uncertain economy, making it that much harder to land their first job.
“As one of the biggest youth employers in the country, we see first-hand how difficult it is for young people to build the skills and experience they need to enter the world of work in today’s economic climate. This is further exacerbated for those who have faced issues such as being excluded from education or formal training opportunities.
“There are buckets of talent across the UK, but all too often young people are cut out of accessing opportunities. That needs to change. That’s why we’re excited to be bringing our employability programme Hatch in Manchester, to invest in the next generation and help unlock the potential of those who’ve faced barriers to employment. Working with UK Youth, Hatch will help young people in Manchester to build their skills, confidence and land their first job.”
Jacob Diggle, Director of Strategy, Research and Impact at UK Youth, said: “The lingering effects of the pandemic and the ongoing cost of living crisis are having a damaging impact on the employment prospects of young people. We cannot ignore the concerns of the next generation as they attempt to enter the world of work – their success is crucial to the success of our economy and our country.
“Youth work can play a huge part in tackling the rise in youth unemployment. However, these life changing services are under strain and need more support – as highlighted by our cost of living campaign. The partnership between youth work and businesses is vital to meeting the scale of need. We are proud that our Hatch programme with KFC will help thousands of disadvantaged young people develop the confidence and skills they need to secure stable employment.”

Kofowolora Ibitola Patrick, recent Graduate of the Hatch programme in Manchester, said: ““Unlike many of my friends, I chose not to go to university, but I soon found that finding my first job came with lots of challenges. I was really struggling and felt a lot of pressure to find work when the Hatch programme came along at just the right time.

I’ve felt really supported throughout my experience and everyone I’ve met has been friendly and welcoming. The programme has improved my problem-solving skills and patience, as well as broader employability skills that have made me more confident about my future. Now, I’m continuing to enjoy my KFC journey and look forward to what opportunities lie ahead!

Since piloting Hatch in Manchester city centre last year, 80 young people have successfully graduated from the programme, with more than 50% finding full time employment as a result. By 2024, KFC is aiming to have upskilled 1,100 young people, ensuring they’re ready for future work, training or education through the Hatch programme.