Hampshire business leaders took the chance to question Minister for Employment and Fareham MP, Mark Hoban, about job creation and investment in skills.
Tackling youth unemployment, red tape in the workplace and welfare reform were among the issues raised by chief executives and other senior directors at the breakfast meeting organised by Hampshire Chamber of Commerce.
Mr Hoban, who has held the employment portfolio since September 2012 when he moved from the post of Financial Secretary to the Treasury, insisted jobs were being created despite slow economic growth.
He was keen to highlight the package of support available to employers through the government’s Youth Contract launched last April. The initiative is intended to help unemployed people aged 18 to 24 find work through apprenticeships and work experience placements.
Mr Hoban said employers could receive up to £2,275 when they take on a young person who has been out of work for six months or more.
He added: “The business case for taking on people who have been out of work for a long time is that they do return that investment. It’s good for the economy.”
Asked about other measures to help business, Mr Hoban said the government’s aim was to tackle the regulatory burden, run a competitive tax system and improve skills. Those skills needed for business such as technical and vocational skills were a key priority, he said.
Chamber members also raised questions about pensions, wages and career guidance in schools. Cath Longhurst, Chief Executive of Portsmouth & South East Hampshire Education Business Partnership, called on the Minister to “get the message through to schools about the importance of work experience and that careers are not just about academic qualifications.”
In reply, Mr Hoban said: “Schools have a duty to provide career guidance and they need to tap into local businesses. Young people entering the world of work must understand the expectations that employers have about customer service.”
Scott Taviner, Head of HR at Southern Co-operative, asked if the so-called living wage, a separate, higher figure than the National Minimum Wage, was informing government thinking on pay. Mr Hoban said moving to a living wage would be a challenge for many employers, adding: “The living wage is part of the wider debate on fairness in our society but the National Minimum Wage is an independently set measure. It’s down to employers what they pay above that.”
On the issue of moving people off welfare, Mr Hoban said the task was to identify those who can work and give them the help they need. “It is a challenge for government and business not to stigmatise groups but to provide people with opportunities and investment to support them into work.”
The event, which took place at Lysses House Hotel in Fareham, was attended by more than 30 chief executives, managing directors, senior partners and other board-level decision makers.
Among the sectors represented were engineering, healthcare, retail, law, media, hospitality, education, insurance and commercial property.
Speaking after the meeting, Hampshire Chamber Chief Executive Jimmy Chestnutt said: “Despite some encouraging labour market figures recently, we continue to see weak employment growth, especially in service and manufacturing, so we were very grateful to Mark Hoban for coming along to hear our questions and concerns face to face.”
