News | Wednesday, 27th January 2021

New project to explore the role of employers and Universal Credit policies

Research to analyse the effect of active labour market policies on recruitment, retention and progression

Research will explore how labour market policies are understood and experienced by UK employers
Research will explore how labour market policies are understood and experienced by UK employers

The impact of government employment policies on UK employers will be investigated in a new research project.

Dr Katy Jones, Senior Research Associate in the Decent Work and Productivity Research Centre at Manchester Metropolitan University, has been awarded £300,000 from the Economic and Social Research Council’s (ESRC) prestigious New Investigator Grant scheme.

Dr Jones’ previous research into Universal Credit has been cited in two recent reports arising from separate government committee inquiries - “Universal Credit isn't working: proposals for reform” and “Employment and COVID-19: time for a new deal”.

Her new project will examine active labour market policies (ALMPs), which are government interventions traditionally focused on supporting unemployed people into work.

Employers are fundamental to the success of ALMPs, as they have ultimate control over employment opportunities. However, most existing research has focused on individual job seekers rather than the crucial role played by employers.

The research will explore how ALMPs are understood and experienced by UK employers and how they affect the way businesses are run. It will also consider how employment services such as job centres can work more effectively with employers, leading to better outcomes for individuals and the wider economy.

As the UK faces record unemployment and new policies such as Kickstart and Restart are introduced, this project will provide timely evidence and analysis on how employment services can best engage with employers.

Dr Jones’ project, which will take place over a two-year period beginning in May this year, will include 120 interviews with employers, policy makers and other key stakeholders.

Dr Jones said: “Research and policy relating to helping unemployed people into work has tended to ignore employers. Focusing on Universal Credit, my research will provide new insights into employer perspectives of ALMPs and the conditionality that underpins it for unemployed people and workers on a low income.

“As the UK faces record unemployment and new policies such as Kickstart and Restart are introduced, this project will provide timely evidence and analysis on how employment services can best engage with employers.”

The project, “Universal Credit and Employers: exploring the demand side of UK active labour market policy”, provides an opportunity for employers to have their voices heard on policy which impacts them and their staff. It will also help to inform policy and service development.

Elizabeth Taylor, Chief Executive of the Employment Related Services Association (ERSA), said: “ERSA is pleased to support and participate in this research project exploring the ‘demand side’ of UK active labour market policy.

“As the national membership body campaigning for high quality services for the UK’s jobseekers and low earners, understanding how employment services interact with UK employers is important to us because this is at the centre of everything ERSA members deliver.”

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