11 million UK citizens are struggling to find employment - the truth behind this issue.

Stagnant wages, underperforming businesses, and low living standards are caused by the problem.

November 9th 2024.

11 million UK citizens are struggling to find employment - the truth behind this issue.
The United Kingdom is home to millions of people who are considered "economically inactive." These individuals are not employed and do not fall under the category of "unemployed." One such person is Samantha Beech, a teaching assistant who recently had a baby girl. When it was time for her to return to work after her statutory maternity leave, she considered going back part-time so she could continue doing what she loved. However, after crunching the numbers with her husband in 2021, they realized that the cost of childcare would completely outweigh her monthly salary if she were to work full-time. It didn't make sense for Samantha to miss out on her daughter's milestones for a job that wouldn't even pay her enough. She shared her story with Metro, highlighting the struggle faced by many economically inactive individuals.

Samantha is just one of the estimated 11 million people who are considered economically inactive due to reasons such as illness, caring for family members, or being unable to look for employment. This number reached its highest level in December 2023, posing a significant problem for the UK government. With historically low levels of productivity, wages have remained stagnant, businesses are not performing well, and living standards have dropped. In an effort to address this issue, Health Secretary Wes Streeting recently suggested using the controversial weight loss jab, Ozempic, on overweight and unemployed individuals. Meanwhile, Work and Pensions Secretary Liz Kendall proposed that job coaches visit mental health patients in hospitals to help them get back to work. However, these suggestions have sparked divisive opinions, with some disability charities expressing concern that the focus on employment may overshadow the primary purpose of the healthcare system.

Mikey Erhardt, a campaigner at Disability Rights UK, spoke out against the idea, stating that it is absurd to turn hospitals into business settings. Despite the outdated stereotypes of economically inactive individuals being labeled as "lazy" or "work-shy," statistics show that 1.7 million of them actually want to work. However, they are unable to find adequate job opportunities with suitable pay and support. This was the case for Daisy*, who was diagnosed with bipolar disorder at the age of 21. As she got older, her symptoms worsened, and she struggled to find employment that accommodated her condition. She shares that employers often view mental health issues as a liability, and she wishes there were more mental health-trained experts who could match individuals with mental health-friendly employers.

According to Nil Guzelgun, Head of Policy and Campaigns at mental health charity, Mind, flexibility is crucial for individuals with mental health problems in the workplace. He emphasizes that many of them want to work, but struggle to find jobs that allow them to manage their conditions in a meaningful way. Additionally, the threat of sanctions for those on unemployment benefits makes it difficult for them to return to work and can even worsen their mental health. Vicky Walker, Group Director of People at health and wellbeing specialists Westfield Health, adds that the UK has been dubbed a "burnout nation," with employees reporting a decline in their mental wellbeing due to various factors such as stress, burnout, and financial worries.

But it's not just mental health that is preventing individuals from entering the workforce. The rise in working-age health-related benefits has surged since the pandemic, reaching a staggering £48bn in the last financial year. This is a significant concern, especially since these recipients tend to be younger, raising fears that an entire generation may be locked out of the workforce. In order to address these issues, experts suggest implementing effective support in the workplace, employment support programs that are not tied to benefits and sanctions, and increasing and providing more flexible statutory sickness pay. These changes would not only benefit individuals with mental and physical health issues but also contribute to the overall wellbeing and productivity of the workforce.
The population of the UK is made up of millions of people who are currently not employed, but are not classified as unemployed. These individuals are known as "economically inactive" and include those who are unable to work due to various reasons such as illness, caring for family members, or being unable to seek employment.

Samantha Beech, a teaching assistant, had just given birth to her baby girl and was considering returning to work on a part-time basis. She loved her job and was eager to go back after taking her maternity leave. However, when she and her husband sat down to crunch the numbers, they were shocked to find that even if she returned on a full-time basis, her entire monthly salary would be consumed by the high costs of childcare. "It didn't seem worth it," Samantha shares with Metro, "to miss out on my daughter's milestones for a job that wouldn't even pay enough."

Unfortunately, Samantha's situation is not uncommon. In fact, in 2023, economic inactivity in the UK reached its highest levels since 2012. This has become a major concern for the government, as it has led to low levels of productivity, stagnant wages, and a decrease in living standards.

In an effort to combat this issue and encourage people to return to work, Health Secretary Wes Streeting suggested using the controversial weight loss jab, Ozempic, on those who are overweight and unemployed. Similarly, Work and Pensions Secretary Liz Kendall proposed the idea of job coaches visiting mental health patients in hospitals to assist them in finding employment. However, these suggestions have sparked controversy, with some disability charities expressing concern that the focus on getting people back to work is overshadowing the primary purpose of hospitals, which is to provide care and support.

Mikey Erhardt, a campaigner at Disability Rights UK, tells the BBC, "Turning a hospital into a business setting is ridiculous." He fears that the focus on employment may overshadow the importance of providing proper care for those in need.

Despite the stereotype of non-working individuals being labeled as "lazy" or "work-shy," statistics show that there are actually 1.7 million people in this situation who want to work but are unable to find suitable employment. This is the case for Daisy, who was diagnosed with bipolar disorder at the age of 21. As she got older, her symptoms worsened, and she found it difficult to find a job that accommodated her needs. "My workplace wasn't happy that I was on medication to manage my symptoms," she shares with Metro. "Mentioning mental health issues to employers raises red flags, as if we are liabilities. It would be helpful to have mental health experts who could match us with employers who understand and support our needs."

Flexibility is crucial for those with mental health problems in the workplace, according to Nil Guzelgun, Head of Policy and Campaigns at mental health charity, Mind. "Many unemployed individuals with mental health problems want to work," he explains, "but struggle to find employment that allows them to manage their mental health in a meaningful way." He also highlights the issue of sanctions, which often discourage individuals from returning to work and can have a negative impact on their mental health.

Vicky Walker, Group Director of People at health and wellbeing specialists Westfield Health, adds that the UK has been deemed a "burnout nation," with nearly 3 in 10 employees reporting a decline in their mental wellbeing over the past year. This is due to factors such as burnout, stress, and financial concerns.

But it's not just mental health that is hindering individuals from returning to work. The rise in health-related benefits for working-age individuals has skyrocketed since the pandemic, reaching £48bn in the last financial year. This has raised concerns that an entire generation may be left locked out of the workforce.

In order to address these challenges and support individuals in returning to work, Nil Guzelgun suggests providing effective support in the workplace, employment programs that are not tied to benefits and sanctions, and increased and more flexible statutory sickness pay. Vicky Walker also emphasizes the importance of addressing mental health concerns in the workplace and providing adequate support for employees.

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