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THE CHANGING
LABOUR MARKET
How is the labour market
changing?
   The world of work is a dynamic arena of
    constant development and change

   This presentation describes some of the
    fundamental changes and explores
    implications for helping your son/daughter with
    their career choices
Some changes take place over a
relatively long time at a slower rate, such
as the decline of UK manufacturing
sector. Others, over a matter of months
or years, such as the rise of mobile
technology.
Some industries,
such as
construction, are
very sensitive
and prone to
peaks and
troughs, as well
as significant
regional
variations.
Despite economists’ best efforts, some
changes are not foreseen, making some
labour market predictions, especially in
the long-term, unreliable, and vulnerable
to, for example, changes in government
policy or world events.

Fundamental changes in the labour
market include:
 The global economy
 Technology
 Demographics
The Global Economy
 Economies and businesses are
  international.
 Language skills are highly prized.

 Firms outsource tasks abroad to cut costs.

 The level of the migrant workforce is
  increasing both in and out of the UK.
 The UK struggles to compete globally

  because of skill shortages in science,
  engineering, technology and maths (STEM).
Technology

   The pace of change is fast and
    accelerating.
   Young people are part of the networked
    generation.
   IT skills are essential at all levels.
   STEM skills are increasingly in high
    demand.
   The number of unskilled jobs available is
    reducing and will continue to fall.
Demographics
   Our ageing, ‘top heavy’ population has
    major implications for the labour market –
    people will be working for longer.
   Young people trying to launch careers will
    be competing against an older, experienced
    workforce.
   There is increasing demand for scientists
    and health care workers to deal with the
    implications of ill health in the elderly.
What’s changed in the UK labour
market in 2011?
 More young people stayed on in education
  as job opportunities dropped.
 Manufacturing output slowed as demand
  and exports weakened – this is set to
  continue.
 Distribution, hotels and restaurants,
  transport, storage and communications also
  experienced positive growth trends.
 Finance and business services growth was

  slow, but is expected to increase.
Current UK labour market for
young people
   Current economic climate is very hard for
    young people.
   Good levels in English and Mathematics are a
    precondition for access to a range of academic
    and vocational courses.
What does this mean for young
people?
   A vanishing youth labour market.
   High returns (on average) for education and
    qualifications.
   High aspirations for Higher Education.
   High returns on employment experience.
   Rapid economic change.
What do you need to think
             about?
   You need to prepare your son/daughter to
    enter a volatile job market, which requires
    them to be aware of their transferable skills.
   Everyone needs to be aware of skills
    shortage areas and of the fact that employers
    expect an increasingly better qualified
    workforce.
   Young people need to fulfil their academic
    potential and develop strong employability
    skills to compete in the job market.

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The changing labour market

  • 2. How is the labour market changing?  The world of work is a dynamic arena of constant development and change  This presentation describes some of the fundamental changes and explores implications for helping your son/daughter with their career choices
  • 3. Some changes take place over a relatively long time at a slower rate, such as the decline of UK manufacturing sector. Others, over a matter of months or years, such as the rise of mobile technology.
  • 4. Some industries, such as construction, are very sensitive and prone to peaks and troughs, as well as significant regional variations.
  • 5. Despite economists’ best efforts, some changes are not foreseen, making some labour market predictions, especially in the long-term, unreliable, and vulnerable to, for example, changes in government policy or world events. Fundamental changes in the labour market include:  The global economy  Technology  Demographics
  • 6. The Global Economy  Economies and businesses are international.  Language skills are highly prized.  Firms outsource tasks abroad to cut costs.  The level of the migrant workforce is increasing both in and out of the UK.  The UK struggles to compete globally because of skill shortages in science, engineering, technology and maths (STEM).
  • 7. Technology  The pace of change is fast and accelerating.  Young people are part of the networked generation.  IT skills are essential at all levels.  STEM skills are increasingly in high demand.  The number of unskilled jobs available is reducing and will continue to fall.
  • 8. Demographics  Our ageing, ‘top heavy’ population has major implications for the labour market – people will be working for longer.  Young people trying to launch careers will be competing against an older, experienced workforce.  There is increasing demand for scientists and health care workers to deal with the implications of ill health in the elderly.
  • 9. What’s changed in the UK labour market in 2011?  More young people stayed on in education as job opportunities dropped.  Manufacturing output slowed as demand and exports weakened – this is set to continue.  Distribution, hotels and restaurants, transport, storage and communications also experienced positive growth trends.  Finance and business services growth was slow, but is expected to increase.
  • 10. Current UK labour market for young people  Current economic climate is very hard for young people.  Good levels in English and Mathematics are a precondition for access to a range of academic and vocational courses.
  • 11. What does this mean for young people?  A vanishing youth labour market.  High returns (on average) for education and qualifications.  High aspirations for Higher Education.  High returns on employment experience.  Rapid economic change.
  • 12. What do you need to think about?  You need to prepare your son/daughter to enter a volatile job market, which requires them to be aware of their transferable skills.  Everyone needs to be aware of skills shortage areas and of the fact that employers expect an increasingly better qualified workforce.  Young people need to fulfil their academic potential and develop strong employability skills to compete in the job market.

Hinweis der Redaktion

  1. Changes can have profound social effects, - the expansion of the service sector, for example, means more women being employed part time