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Stepping up: Bridging local disability

employment gaps
July 2014
About Shaw Trust

Shaw Trust is a leading national charity with


a thirty year history of supporting disabled,
disadvantaged and long term unemployed
people to achieve sustainable employment,
independence and social inclusion. Last year
Shaw Trust delivered specialist services to over
50,000 people from 200 locations across the UK,
supporting its beneficiaries to enter work and lead
independent lives. In 2012 Shaw Trust merged
with fellow employment services charity Careers
Development Group (CDG).

Shaw Trust is the largest voluntary sector provider


for the Department for Work and Pensions.
Through 16 prime contracts for Work Choice, the
specialist disability employment programme, Shaw
Trust has supported over 14,000 people with
severe disabilities, health problems or impairments
into employment since 2010. Our extensive
experience of supporting people into sustainable
employment also includes delivery of the Work
Programme and its predecessor contracts as both
a prime contractor and subcontractor.

Shaw Trust further supports people to gain skills


and progress into work through an expanding
network of local social enterprise projects known
as Shaw Trust Enterprises. In partnership
with local government and others, Shaw
Trust Enterprises offer unique stepping stone
employment opportunities at community-based
enterprises ranging from horticultural centres and
wood recycling plants to catering services and
community cafés.

Shaw Trust also delivers a number of learning


and skills contracts, operates 50 retail shops
nationwide and runs a national volunteering
programme. We are also an approved sponsor
for academies through Shaw Education Trust;
a multi-academy trust established to support
special schools and mainstream schools serving
disadvantaged communities.

Stepping up: Bridging local disability employment gaps, July 2014 2


Executive Summary

Less than half of people with a disability, health To successfully bridge local disability employment
problem or impairment are in work. Compared gaps, LEPs and local government leaders must
to nearly eighty per cent of those without a take full advantage of new powers and funding.
disability, this stubborn gap in employment Clear plans to improve the employment
between disabled and non-disabled people prospects of people with disabilities, health
remains too large. problems and impairments must be placed
at the heart of local economic strategies.
This is a familiar element of the disability This report shows that local social enterprises
employment debate, but rightly so. Despite a providing ‘stepping stone’ employment
return to economic growth and rising overall opportunities have the potential to play a central
employment, in the past year the number role in achieving this aim.
of disabled people in work has fallen.1
Wide variation between local areas illustrates
the urgent need for new local solutions to
complement national efforts to support more
people with disabilities, health problems and
impairments into work.

On a local enterprise partnership (LEP) level,


for example, only 27 per cent of disabled people
in the Cumbria LEP area are in work compared
to 52 per cent in the Buckinghamshire Thames
Valley LEP area – despite near-identical overall
employment rates.2 Even at the upper end of
this scale, the proportion of disabled people in
work is 25 per cent below the local average. If
these local ‘disability employment gaps’ could be Bridging local disability employment gaps
bridged, more than two million people currently
excluded from employment would have the The gap in employment rates between disabled
chance to gain independence and reach their and non-disabled people remains too high across
potential through work, generating huge social the country. Yet the proportion of disabled
and economic returns. people in work varies widely between local
areas; from 24 per cent to 52 per cent on a
Through City Deals, the Single Local Growth LEP level.3 To effectively bridge local disability
Fund and new EU funds, at least £15 billion employment gaps, local barriers to work faced
will be devolved to local economic areas by people with disabilities, health problems and
in the next parliament, including funding for impairments must be accurately identified and
employment and skills. This represents a major addressed with robust policies to break them
new opportunity for local areas to address down.
the wide variety of barriers to work faced by
people with disabilities, health problems and
impairments across the UK, promoting wide
social and economic benefits.
1
The employment level of 16-64s classified as Equality Act core
disabled and/or work-limiting disabled fell from 3,471,308 in Q1
2013/14 to 3,442,363 in Q4. Source: ONS Labour Force Survey,
May 2014.
2
ONS Annual Population Survey, Jan-Dec 2012 (latest available
LEP-level data). Full data available at Annex A
3
Ibid

Stepping up: Bridging local disability employment gaps, July 2014 3


Executive Summary

The opportunity for local solutions community wellbeing and the environment.4
There is a further opportunity for local enterprises
LEPs are preparing to access over £15 billion to be tailored to address local skills gaps and
of pooled central funds in the next parliament. meet the needs of local job markets.
These new powers and funds available to local
economic areas represent a major opportunity A number of Shaw Trust Enterprises are
to remove barriers to work faced by people with developing and implementing this stepping stone
disabilities, health problems and impairments on approach across the UK, from Portsmouth to
a local level. It is essential that local economic Perth. Business activities range from gardening
areas take full advantage of this opportunity and wood recycling to catering and community
to bridge local disability employment gaps; to cafés. The early signs are positive: at Shaw
promote a more inclusive society and realise their Trust Enterprise Greater London, a wood
full economic potential. recycling centre in Bromley, sixty per cent
of trainees who have undertaken stepping
Robust policies to improve outcomes for stone opportunity have since progressed into
people with disabilities, health problems and mainstream employment.5
impairments must therefore be a central feature
of new local economic strategies. New local Through strong local partnerships with
solutions must be closely aligned with existing local authorities, employers and others, social
and future national specialist disability enterprises can make a significant contribution
employment support, which remains essential to bridging local disability employment gaps,
as new local services are developed over time. promoting community wellbeing and driving local
economic growth and prosperity.

Bridging local disability employment gaps:


Shaw Trust Enterprises Shaw Trust Enterprise Catering

Community-based social enterprises have the Shaw Trust Enterprise Clamp Hill

potential to play a significant role in bridging Shaw Trust Enterprise Greater London

local disability employment gaps, through the Shaw Trust Enterprise Hampshire

provision of unique ‘stepping stone’ employment Shaw Trust Enterprise Lowestoft

opportunities. This integrated approach – Shaw Trust Enterprise North East

currently being rolled out across an expanding Westbank Enterprises Perth

network of local Shaw Trust Enterprises – Shaw Trust Industries Doncaster

uniquely combines work placements, skills


training and personalised employability
support to progress individuals facing serious
barriers to work into sustained mainstream
employment.

In this way a range of interlinking objectives can


be realised. Research has shown that this model
can successfully achieve not only sustainable
employment outcomes in the mainstream 4
Nockolds, D (2012), Exploring success for intermediate labour
market social enterprises: a literature review, Brotherhood of St
labour market, but also improve participants’ Laurence, pp.5-6
confidence and social skills, reduce
recidivism for ex-prisoners, and improve
5
Out of 28 paid trainees in the past year, 17 have since
progressed to mainstream employment

Stepping up: Bridging local disability employment gaps, July 2014 4


Recommendations for action
The potential benefits to be gained by 3. The design of new local solutions to bridge
bridging local disability employment gaps are disability employment gaps must involve
substantial and wide-ranging: from creating clear steps to integrate and align local and
a more inclusive society where everyone has national provision, including joint working
a chance to gain independence and reach between agencies and co-design of
their potential through work, to realising huge services where appropriate.
financial savings and boosting local economic
4. Wide access to community-based
growth.
stepping stone employment opportunities
But the opportunity for change must be seized should be a central feature of local efforts to
with clear plans at the heart of local economic support more people with disabilities, health
strategies aimed at improving outcomes for problems and impairments into work.
people with disabilities, health problems and
5. Public, private and voluntary sector
impairments.
organisations should commit to the further
1. Local authorities and LEPs should carry testing and evaluation of new approaches
out comprehensive local disability needs to bridge the disability employment gap, to
analyses to identify local barriers to work build the evidence base on ‘what works’.
faced by people with disabilities, health
problems and impairments, in order to
The wide range of barriers to work faced
underpin actions to break them down.
by people with disabilities, health problems
2. LEPs and local authorities should take and impairments across the UK illustrates
full advantage of newly devolved powers the urgent need for new local solutions to
and funding by placing robust policies for complement national provision. There is now
bridging local disability employment gaps a major opportunity – and clear social and
at the heart of their economic strategies. economic imperatives – for local economic
This will be essential to ensure fulfilment of areas to step up to this challenge.
the public sector equality duty, as required by
the Equality Act 2010.

Stepping up: Bridging local disability employment gaps, July 2014 5


Chapter 1 Introduction

Employment opportunities for people with This opportunity must be grasped with robust
disabilities, health problems and impairments policies at the heart of local economic
remain too limited. Less than half of people with strategies, which effectively complement
a disability in the UK are in work, compared to 79 national provision. Chapter four presents a new
per cent of non-disabled people: a stubborn gap model of community-based stepping stone
of over thirty per cent.6 We know a substantial support, exemplified by a new network of local
proportion of those out of work do want a job, Shaw Trust Enterprises, with the potential to
but are currently deprived of the opportunity to play a central role in achieving this aim. With
gain independence, empowerment and inclusion local authorities and local enterprise partnerships
through employment. Our economy and society set to receive substantial new funds and powers
is further deprived of this significant potential within months – contingent upon demonstrating
contribution. clear plans to improve local outcomes – the time
to act is now.
The environment in which improved outcomes for
people furthest from the labour market are sought This report builds on Shaw Trust’s major
is fast changing. This report argues that there 2013 research project Making Work a Real
now exists a major opportunity for local areas Choice, (MWaRC) which laid out the case for
to exploit new powers and funds to bridge improving specialist employment support for
disability employment gaps locally, including people with disabilities, health problems and
through new ‘stepping stone’ employment impairments.7 Since Shaw Trust published
opportunities rooted in local communities. MWaRC, the Government has committed to
maintaining and enhancing a distinct national
Chapter two shows that disability employment specialist programme of personalised support
rates vary widely across the country on a local for people with disabilities, health problems
enterprise partnership level, suggesting a broad and impairments, and introducing a new needs
range of local barriers faced by people with assessment to better target provision; two key
disabilities, health problems and impairments recommendations from the final report.
across the country. Clearly, local solutions are
needed to complement national efforts to Getting the detail of these proposals right in
address barriers to work. the coming months will be crucial.8 This report
represents a further contribution to the debate,
Chapter three argues that there is now a major at a time when all the major parties – and newly
opportunity to identify and break down local empowered local economic areas – are seeking
barriers through newly devolved powers and new ways to improve the employment prospects
funding. Whilst £223 million has so far been of people with disabilities, health problems and
devolved through City Deals, in the next impairments across the UK.
parliament the major parties have pledged
at least £15 billion to local economic areas
through new combined funding pots. Crucially,
this will include funds for employment and
skills related provision. There is therefore clear
potential for local areas to make significant
progress in bridging disability employment gaps.
6
ONS Labour Force Survey, May 2014, Table A08
7
Shaw Trust (2013), Making Work a Real Choice: Where next
for specialist disability employment support?, final report
8
Shaw Trust’s response to DWP’s Disability and Health
Employment Strategy discussion paper is available at
http://bit.ly/1qDVu9g

Stepping up: Bridging local disability employment gaps, July 2014 6


Chapter 2 The local challenge: bridging disability employment gaps

People with disabilities, health problems There are wide local variations in disability
and impairments are not sharing in the employment rates
economic recovery.
For this report Shaw Trust analysed the
As the UK economy has returned to growth the employment rate of people with disabilities or
number of people in work increased by 722,000 health problems on a local enterprise partnership
in the year to March 2014.9 Yet people with (LEP) level – new partnerships between local
disabilities or health problems have not shared government and businesses assuming increasing
in this upturn. In fact, whilst the overall workforce influence over employment, skills and other
grew substantially in the past year, the number growth-related policies. Figure A on the next
of people with disabilities or health problems page illustrates these findings, showing the
in work has decreased by nearly 29,000.10 disability employment rate of England’s 39 LEPs
During this period the disability employment alongside the devolved nations of Scotland,
gap – the gap in employment rates between Wales and Northern Ireland,14 grouped into
disabled and non-disabled people – widened by seven colour-coded bands. Full data is available
a percentage point.11 in Annex A.

Long-term unemployment amongst people with


disabilities or health problems has also
continued to rise. The number who have been
claiming Employment Support Allowance in
the work-related activity group for 12 months
or longer almost doubled in the year to August
2013, to nearly 350,000.12 A recent analysis
by Inclusion found that disabled people remain
“more likely to be long-term unemployed than
their non-disabled peers”, with “substantially
fewer unemployed for less than three months
and more at the top end of the scale”.13
9
ONS Labour Force Survey, May 2014
10
ONS Labour Force Survey, May 2014, Table A08. The
employment level of 16-64s classified as Equality Act core disabled
and/or work-limiting disabled fell from 3,471,308 in Q1 2013/14 to
3,442,363 in Q4

Ibid. The ‘gap’ in employment rates between 16-64s classified as


11

Equality Act core disabled and/or work-limiting disabled and those


not classified as such increased from 31 per cent in Q1 2013/14 to
32 per cent in Q4
12
Benefit claimants - employment and support allowance (WRAG
phase), retrieved from Nomis in May 2014. Number claiming for one
year or more increased from 185,500 in August 2012 to 347,060 in
August 2013 (latest available data), an 87 per cent rise.
13
Purvis A, et al (July 2014), Fit for Purpose: Transforming
employment support for disabled people and those with health
conditions, Centre for Economic and Social Inclusion
14
Source: ONS Annual Population Survey, Jan-Dec 2012 (latest
available data). Full data available at Annex A

Stepping up: Bridging local disability employment gaps, July 2014 7


Chapter 2 The local challenge: bridging disability employment gaps

Figure A: Disability employment rates by local enterprise partnership area

1. Black Country LEP


2. Buckinghamshire Thames Valley LEP Key: Disability
3. Cheshire and Warrington LEP employment rate (%)
4. Coast to Capital LEP
5. Cornwall and the Isles of Scilly LEP
6. Coventry and Warwickshire LEP 20 to 25
7. Cumbria LEP
8. Derby, Derbyshire, Nottingham and Nottinghamshire LEP 26 to 30
9. Dorset LEP
10. Enterprise M3 LEP 31 to 35
11. Gloucestershire LEP
12. Greater Birmingham and Solihull LEP 36 to 40
13. Greater Cambridge and Peterborough LEP
14. Greater Lincolnshire LEP 41 to 45
15. Greater Manchester LEP
16. Heart of the South West LEP 46 to 50
17. Hertfordshire LEP
18. Humber LEP 51 to 55
19. Lancashire LEP
20. Leeds City Region LEP
21. Leicester and Leicestershire LEP
22. Liverpool City Region LEP
23. London LEP
24. New Anglia LEP
25. North Eastern LEP
42
26. Northamptonshire LEP
27. Oxfordshire LEP
28. Sheffield City Region LEP
29. Solent LEP
30. South East LEP
31. South East Midlands LEP
32. Stoke-on-Trent and Staffordshire LEP
33. Swindon and Wiltshire LEP
34. Tees Valley LEP
35. Thames Valley Berkshire LEP
36. The Marches LEP
37. West of England LEP
38. Worcestershire LEP 25
39. York and North Yorkshire LEP
40
40. Northern Ireland*
41. Wales* 7 34
42. Scotland*
39

19 20 18

15
22 28

3 14
8
32

36 12
21
1 24
13
41
38 6 26
31

11 2
27 17

23
37 35
33
10
30
29 4
16
9

5
*National-level data has been used for
Northern Ireland, Wales and Scotland

Source: ONS Annual Population Survey, Jan-Dec 2012. Full data available in Annex A

Stepping up: Bridging local disability employment gaps, July 2014 8


The map at Figure A shows wide variations However there are also wide variations within
between LEP areas. By the most recent data regions. For example in the West Midlands, the
available on an LEP level, the UK average disability employment rate ranges from 29 per
disability employment rate is 33 per cent, cent in the Black Country LEP area to 42 per cent
compared to 71 per cent for the population at for Worcestershire LEP. In the South East it also
large.15 However, on an LEP level the rate ranges ranges by 14 per cent, and in the North West by
from 24 per cent in the Liverpool City Region LEP 10 per cent.
area to 52 per cent for Buckinghamshire Thames
Valley LEP and Hertfordshire LEP.16 Figure B shows a selection of LEPs with an
overall employment rate of 75 to 78 per cent.
There are also some strong regional trends. However, their disability employment rates range
A concentration of LEP areas in the lower from 27 per cent in Cumbria LEP area to 52 per
range, where only 20-30 per cent of people with cent in Hertfordshire. It also shows, for example,
disabilities are in work, are located in the North that whilst Oxfordshire LEP area has a higher
West (Liverpool; Cumbria; Greater Manchester), overall employment rate than neighbouring
and the North East (Tees Valley; North Eastern). Buckinghamshire LEP, its disability employment
Sheffield City Region LEP and the Black Country rate is 12 percentage points lower.
LEP, as well as Northern Ireland and Wales, also
fall into this lower band. Scotland displays a rate Clearly, variations in local disability employment
just above, at 31 per cent. LEPs in the East and rates cannot be easily explained by variations in
South East of England generally display higher overall labour market participation. Other local
disability employment rates in the 40-50 per cent factors are at work.
range.

Figure B: LEP disability employment rates:


Disability employment rate
sample selection
Overall employment rate

80
70 78 77 77 77
75 75 75
60
50
52 52
40
40 44
30 39
34
20 27
10
0
Cumbria LEP Cheshire and Dorset LEP Oxfordshire Enterprise Buckinghamshire Hertfordshire
Warrington LEP LEP M3 LEP Thames Valley LEP
LEP

ONS Annual Population Survey, Jan-Dec 2012 (latest available data).


15

16-64s classified as DDA disabled, work-limiting disabled, or both.


16
For full data on LEP-level disability employment rates, see Annex A.

Stepping up: Bridging local disability employment gaps, July 2014 9


Chapter 2 The local challenge: bridging disability employment gaps

Identifying local barriers to work transport, attitudes of employers and lack of


qualifications, experience or skills made up
Identifying locally-specific barriers to work the remainder of the five most common barriers
faced by people with disabilities, health outside of a health condition or disability.
problems and impairments should therefore
be a priority. This will be essential to ensure that Similar conclusions were reached by a survey
local strategies can be tailored appropriately to for DWP of over a thousand people with a
bridge local disability employment gaps. disability claiming out-of-work benefits. This
found the most common barriers were a lack of
On a national level, some evidence is available job opportunities; difficulty with transport;
highlighting common barriers to work faced attitudes of employers; and a lack of
by people with disabilities, health problems qualifications, experience or skills.20 Indeed,
and impairments. For example, Shaw Trust research shows that people with a disability are
research carried out for the Making Work a Real half as likely to have a degree, more likely to lack
Choice report, through consultation with almost functional literacy, and twice as likely to have no
300 customers on Work Choice, the national qualifications compared to non-disabled people.21
specialist disability employment programme,
found that the most valued areas of support were This national level of evidence serves to highlight
building confidence, one-to-one time with an the types of barriers that must be addressed by
adviser and CV assistance – each cited by over new localised employment and skills support
a third of respondents.17 The official evaluation in order to bridge local disability employment
of Work Choice for the Department of Work and gaps. However, the prevalence and influence
Pensions (DWP) also highlighted that improved of these barriers on a local level is generally
‘confidence and motivation’ was felt by both unknown. Identifying the relative local impact of
customers and providers to be a ‘key impact’ of certain barriers – such as skills gaps, transport
participation.18 issues or accessibility to local services – will be
essential to ensure new provision can effectively
bridge local disability employment gaps.
“The combination of two quarters
vision and only being able to read
slowly are enough to knock my
confidence, even though it may not
look like there’s anything wrong with
me” – Neil, trainee gardening assistant
at Westbank Enterprises, a partnership
between Shaw Trust and Perth and
Kinross Council 17
Shaw Trust (2013), Making Work a Real Choice: Interim
report and consultation
18
DWP (2013), Evaluation of the Work Choice Specialist
Additionally, the recent ONS Life Opportunities Disability Employment Programme: findings from the 2011
Early Implementation and 2012 Steady State Waves of the
Survey showed that a health condition, research, p.123
illness, impairment or disability were the
ONS (2014), Life Opportunities Survey, Understanding
19
most frequently cited barriers to work faced by Disability Wave Two, Part II Release, Reference tables for
respondents who were out of work throughout the Chapter 3
research period.19 It also showed that anxiety 20
DWP (2013), A survey of disabled working age benefit
or lack of confidence was the most common claimants.
barrier outside a disability or health condition.
Social Market Foundation (2007), Disability, Skills and Work:
21
Family responsibilities, difficulty with Raising our ambitions, p.5

Stepping up: Bridging local disability employment gaps, July 2014 10


Local economic areas must therefore take UN Convention on the Rights of Persons with
clear steps to identify local needs and Disabilities further establish these principles into
barriers including through direct consultation law. Crucially, the Equality Act’s public sector
with disabled people, service providers, and equality duty obliges public bodies to “advance
others. equality of opportunity between people who
share a protected characteristic and people who
do not”.24 Ensuring equal opportunity for disabled
Recommendation one: Local people to gain work must be central to this aim.
authorities and LEPs should carry out
comprehensive local disability needs There are also powerful financial incentives
analyses to identify local barriers to work to enable more people with disabilities, health
faced by people with disabilities, health problems and impairments to participate in local
problems and impairments, in order to labour markets. The combined extra economic
underpin new local solutions. contribution, alongside reduced welfare costs
and lessened demand on public services, would
result in huge financial gains. This potential, of
which local areas are currently deprived, is vast:
the Social Market Foundation has calculated
The case for improved outcomes for people that raising the employment rate of people with
with disabilities, health problems and disabilities, health problems and impairments to
impairments the national average would boost UK GDP by at
least £13 billion.25
There are clear imperatives for local economic
areas, alongside national policy-makers, to focus As such, robust strategies to bridge local
efforts and investment on bridging local disability disability employment gaps are not only
employment gaps. fundamental to achieving an inclusive society
where everyone has the opportunity to achieve
Most importantly, whilst there are those who independence and reach their potential through
may not be able to work, research is clear that a work, but also to ensure local areas can realise
large proportion of people with disabilities, health their full economic potential and achieve local
problems and impairments who are not in work growth and prosperity.
do want a job. Research carried out for DWP
found that over half of disabled people claiming
benefits wanted to work,22 whilst another study
found disabled people are up to three times more
likely than others to be without a job but want to
work.23

There is a basic responsibility for the state,


charities, local authorities and other key
stakeholders to ensure all citizens have 22
DWP (2013), A survey of disabled working age benefit claimants,
equal opportunity to achieve their potential p.38
and gain independence and inclusion through
Social Market Foundation (2007), Disability, Skills and Work:
23
work, regardless of whether they have a
Raising our ambitions, p.7
disability, health problem, impairment or other
disadvantage. The Equality Act 2010 and the
24
Government Equalities Office (2011), Equality Act 2010: Public
sector equality duty. What do i need to know? A quick start guide
for public sector organisations, p.4
25
Ibid, p.1

Stepping up: Bridging local disability employment gaps, July 2014 11


Chapter 3 An opportunity for local solutions

The potential of new local powers There is therefore a major new opportunity
for local economic areas to pro-actively
New powers flowing to local economic areas break down barriers to employment faced by
represent a major opportunity to improve people with disabilities, health problems and
outcomes for people with disabilities, health impairments.
problems and impairments through tailored
local solutions. The creation of new strategies for the adoption
of devolved funds has already begun through
Underpinned by cross-party consensus, recent LEPs’ Strategic Economic Plans and interlinked
progress in the devolution of central government strategies for control of new EU Structural and
funds to local economic areas looks set to be Investment Funds. It is essential that these are
followed by a substantial expansion in the next built upon with robust policies to bridge local
parliament. New powers are also flowing to the disability employment gaps. For the social and
devolved administrations in Wales, Northern economic reasons laid out in chapter two – and
Ireland, and particularly Scotland, in the context crucially to meet the terms of the public sector
of its upcoming referendum on independence. equality duty – these policies should be at the
heart of new local economic strategies. This
In England, 24 City Deals, agreements between will further enable LEPs and local authorities to
city regions and central government for the demonstrate the necessary ‘readiness’ to assume
devolution of new powers, have already been new powers, as areas are increasingly required
finalised. Yet whilst spending on City Deals by central government to ‘earn’ autonomy
totalled £223 million in their first four years, through the presentation of robust plans for
26
local enterprise partnerships will be able growth.
to access funds worth at least £15 billion in
the next parliament through pooled EU funds
worth €6.2 billion27 and a new Single Local
Growth Fund worth at least £10 billion.28 Labour,
Recommendation two: LEPs and
local authorities should take full advantage
meanwhile, has written to local authorities and
of newly-devolved powers and funding by
LEPs pledging access to at least £20 billion of
placing robust policies for bridging local
pooled central funding in the next parliament,
disability employment gaps at the heart
building on its plans for a new ‘English Deal’.29
of their economic strategies. This will be
Though some national programmes are likely essential to ensure fulfilment of the public
to remain, central to these efforts will be new sector equality duty, as required by the
local powers to control employment and Equality Act 2010.
skills provision. The Coalition has pledged
to give LEPs ‘real influence over local skills
delivery’, while Labour has promised local areas
‘greater control over skills budgets’, control of
‘funding for apprenticeships’ and the power 26
Public Accounts Committee (2014), Sixtieth Report, Promoting
economic growth locally, p.9
to ‘lead on delivering the Work Programme’.30
27
Department for Business, Innovation and Skills (June
2013), Written Statement to Parliament, European Regional
Development Fund and European Social Fund: allocations 2014
to 2020
28
HM Treasury (2013), Investing in Britain’s Future, p.57

BBC News (April 2014), Labour pledges funding boost for


29

English cities
30
Ed Miliband and Ed Balls letter to Local Government leaders
& LEPs (April 2014), available at http://bit.ly/1kN904h

Stepping up: Bridging local disability employment gaps, July 2014 12


‘What works’? Designing interventions to recent participants on Work Choice have moved
bridge local disability employment gaps into work, including those with the most severe
barriers such as 36 per cent of individuals with a
As highlighted in chapter two, new policies aimed severe mental illness.37
at bridging local disability employment gaps
must be underpinned by the identification of local
needs and barriers to work faced by people with
disabilities, health problems and impairments. Intermediate Labour Markets and the use
But how can the wider evidence base further of social enterprises
inform policy considerations?
A number of studies have found Intermediate
Evidence on ‘what works’ to help more Labour Market (ILM) interventions to be
people with disabilities, health problems and particularly effective in helping the most
impairments into work is limited. An independent disadvantaged jobseekers into mainstream
review of the evidence by Inclusion, for Shaw employment. This approach provides individuals
Trust’s Making Work a Real Choice report, furthest from the labour market with a ‘stepping
highlighted ‘a number of key constraints to clearly stone’ to the world of work, through closely
identifying ‘what works’’.31 Another review for integrating temporary work placements with skills
DWP stressed that ‘good evaluation evidence is training and personalised employability support,
scarce’.32 The matter is complicated by the range with a clear focus on progression to sustained
and complexity of needs exhibited by people with employment.38
a wide variety of health problems facing serious
barriers to work. There remains an urgent need
for collective action to test and evaluate new
approaches and build the evidence base for
‘what works’.

However, research has highlighted some areas of


good and promising practice that can effectively
support more people with disabilities, health
problems and impairments into sustainable
employment. For example, elements of the Shaw Trust (2013), Making Work a Real Choice final report,
31

Annex One: an independent chapter by Inclusion


Supported Employment model, including
Individual Placement and Support (IPS), have 32
DWP (2013), What works for whom in helping disabled people
into work?, p.12
been found to improve outcomes in some
areas.33 As explored below, the Intermediate 33
DWP (2013), What works for whom in helping disabled people
Labour Market (ILM) approach has also shown into work?, p.24

strong results. Moreover, support has been found 34


Purvis A, et al (July 2014), Fit for Purpose, Centre for Economic
to be most effective when it is intensive and and Social Inclusion
individually personalised,34 and uses one-to- Shaw Trust (2013), Making Work a Real Choice final report,
35

one, adviser-led support to build confidence Annex One: an independent chapter by Inclusion
and motivation.35 The independent evaluation of DWP (2013), Evaluation of the Work Choice Specialist Disability
36

Work Choice, for example, found that improved Employment Programme,


‘confidence and motivation’ through personalised 37
DWP (2014), Work Choice official statistics: May 2014, p.15.
one-to-one and group support was a ‘key impact’ 200 job outcomes from 560 programme starts.
of the programme according to both participants Marshall B and Macfarlane R (2000), The Intermediate Labour
38

and providers.36 Indeed over forty per cent of Market: A tool for tackling long-term unemployment, Joseph
Rowntree Foundation

Stepping up: Bridging local disability employment gaps, July 2014 13


Chapter 3 An opportunity for local solutions

For example, a major study for DWP by back into their communities.
Professor Paul Gregg highlighted ILMs
as a particularly useful means of tackling In designing policies to bridge local disability
barriers to work faced by those furthest from employment gaps, it is essential that local
the labour market, and recommended their economic areas embrace interventions
adoption by providers.39 A study by the Joseph which the evidence indicates have the
Rowntree Foundation further found a typical greatest chance of improving outcomes. This
ILM programme to achieve “at least fifty per includes variations on ILM and social enterprise
cent higher job outcomes for the long-term approaches, which successfully provide
unemployed than other programmes”, and can individuals furthest from the labour market
provide “at least as good or better value for with the experience, confidence, skills and
money” than alternatives.40 ILMs were found personalised support needed for progression into
to be particularly effective when they were sustainable employment. Chapter four outlines
progression-focused, provided transferable one example of this model being implemented
skills, closely mirrored real labour market on the ground across the UK by Shaw Trust, in
conditions, and made jobsearch integral.41 the shape of eight community-based Shaw Trust
DWP’s evaluation of the Future Jobs Fund, a Enterprises.
major ILM programme for young people, also
However, it is firstly important to highlight
found a significant and enduring positive impact
an additional challenge which will be crucial
on the employment prospects of participants.42
to improving local outcomes for people with
More recent research has highlighted strong disabilities, health problems and impairments in
results achieved by ‘ILM social enterprises’, the emerging environment.
which implement an ILM approach for the most
disadvantaged jobseekers in social enterprises
that both trade within local communities and
provide additional social benefits. For example,
a review of 143 academic studies from the
UK, US and Australia highlighted that although
more research is needed, available evidence
“consistently shows that ILM social enterprises
can achieve their stated goals”.43

A number of evaluations shows these goals


can include not only sustainable employment
outcomes in the mainstream labour market,
but also improving participants’ confidence
39
Gregg, P (2008), Realising Potential: A Vision for Personalised
Conditionality and Support, Department for Work and Pensions,
and social skills; reducing recidivism for p.17
ex-prisoners; and improving community
Marshall, B and Macfarlane, R (2000), The Intermediate Labour
40
wellbeing and the environment.44 Research Market, p.50
has further highlighted that features integral to
41
Ibid, p.31
successful ILM social enterprises include the
targeting of provision at the most disadvantaged, DWP (2012), Impacts and Costs and Benefits of the Future Jobs
42

providing ‘real’ work to aid progression, Fund


integrated and flexible training, jobsearch Nockolds, D (2012), Exploring success for intermediate labour
43

assistance, and other support from dedicated market social enterprises, p.6
case-workers.45 Social enterprises also 44
Ibid, pp.5-6
provide extra community benefits through their 45
Ibid, pp.7-9
sustainable business practices and reinvestment

Stepping up: Bridging local disability employment gaps, July 2014 14


The funding ‘spaghetti junction’: joining However, the retention of a national specialist
up national and local disability employment programme remains
essential to avoid the risk of a ‘postcode lottery’,
New efforts by the Government to pool central particularly where local markets in specialist
employment and skills funds for devolution disability employment services are very limited
to local economic areas may help to reduce and will take time to develop. For example, a
complexity in the array of initiatives aimed at Shaw Trust analysis of one Work Choice contract
improving outcomes of disadvantaged groups. package area (CPA) found 27 local specialist
However it remains likely that local areas will disability employment providers in one major
continue to confront a ‘spaghetti junction’ of part of the CPA, but only two in another (one of
funding streams and programmes with similar which was Shaw Trust) serving a population of
and overlapping objectives, managed by a 318,700.50
range of local and national agencies. A graphic
illustrating this point is provided in Annex B. New local solutions to improve employment and
skills outcomes must therefore complement and
For example, an analysis by Shaw Trust identified be clearly aligned with national initiatives and
at least fifteen separate major programmes other schemes implemented locally. To avoid
to support young people not in employment, inconsistencies in provision and unnecessary
education or training (NEET) in London alone, duplication of services, local and national policy-
not including local authority programmes.46 makers must work together to ensure flexibility
These were run by three separate government and integration between programmes with similar
departments, alongside another managed by objectives. This will require strong joint working,
the Greater London Authority. A further study by effective communication, and the co-design of
Inclusion identified 35 different national schemes services where appropriate.
aimed at tackling youth unemployment spanning
13 different age boundaries.47
Recommendation three: The design
A lack of integration and flexibility between of new local solutions to bridge disability
programmes with similar intentions can lead employment gaps must involve clear steps
to duplication of services, confusion amongst to integrate and align local and national
stakeholders and service users, poor value for provision, through joint working between
money, and ultimately diminished support for agencies and co-design of services where
the intended beneficiaries. For example, for appropriate. This will be essential to avoid
an initial three years Work Choice customers service duplication and inconsistencies in
were not able to access Skills Funding Agency support for people with disabilities, health
(SFA) funded provision as available to Work problems and impairments furthest from the
Programme customers. This has now been labour market.
rectified, after Shaw Trust’s Making Work a Real
Choice report highlighted the discrepancy.48
The Welsh Affairs Select Committee has also Careers Development Group (2012), Response to the Work and
46

highlighted that Work Programme customers in Pensions Select Committee Inquiry into the Youth Contract, p.7.
Available at http://bit.ly/1yi49Ap
Wales and Scotland have been unable to access
ESF-funded support, available to customers in Inclusion (2013), Hidden talents: national programmes for young
47

people
England.49
Shaw Trust (2013), Making Work a Real Choice: interim report
48

and consultation, p.39


Welsh Affairs Committee, Third Report, The Work Programme in
49

Wales, p.21
In CPA16, 27 specialist providers were identified in the City of
50

Manchester, compared to only two in Wigan. Latest population


data from ONS mid-year population estimates 2012.

Stepping up: Bridging local disability employment gaps, July 2014 15


Chapter 4 Shaw Trust Enterprises: stepping stones to employment

Bridging local disability employment gaps: Whilst at different stages of development since
Shaw Trust Enterprises beginning to implement the stepping stone
throughout the past year, each enterprise
Improving employment outcomes for people with seeks to offer unique work placements with
disabilities, health problems and impairments integrated training and support to individuals with
in diverse local economic areas will require disabilities, health problems and impairments
determined action to accurately identify local facing severe barriers to work. They also have
barriers to work. This must be followed up by the potential to deliver additional social and
robust, locally-tailored policies to effectively environmental value through their trade and
break them down, closely aligned with national investment in local communities.
provision.
The business activities of Shaw Trust Enterprises
Within this context, community-based social range from plant nurseries to grounds
enterprises have the potential to play a maintenance services and wood recycling, to
central role in bridging local disability kitchen catering services and community cafés.
employment gaps through the provision The early signs are positive: for example at
of unique ‘stepping stone’ employment Shaw Trust Enterprise Greater London in
opportunities. Bromley, a wood recycling centre, out of 28
participants with a disability, health problem or
The previous chapter outlined the available impairment who have so far undertaken a paid
evidence on common barriers to employment work placement with integrated training and
alongside research on ‘what works’ to support support, 17 have progressed into external
more people with disabilities, health problems employment; a sixty per cent progression rate.
and impairments into jobs. This highlighted
positive findings from approaches which closely
integrate work, skills training and personalised
support with a clear focus on progression into
mainstream employment. When operated out of
social enterprises, the evidence shows strong
results for achieving not only sustainable
employment outcomes in the mainstream
labour market, but also improving participants’
confidence and social skills; reducing
recidivism for ex-prisoners; and improving
community wellbeing and the environment.51

A new and expanding network of Shaw


Trust Enterprises is rolling this model out in
communities across the UK. Eight Shaw Trust
Enterprises have so far been established,
as detailed in Figure D, embedded in local
communities from Portsmouth to Perth.

Nockolds, D (2012), Exploring success for intermediate labour


51

market social enterprises

Stepping up: Bridging local disability employment gaps, July 2014 16


Figure D: Shaw Trust Enterprises offering
stepping stone employment opportunities

Shaw Trust Enterprise Catering:


Hounslow, Harrow and Brentford, London.
Three community cafés and an additional kitchen providing
local catering services.

Shaw Trust Enterprise Clamp Hill:


Stanmore, London.
Garden centre and retail store.

Shaw Trust Enterprise Greater London:


Bromley, London.
Wood recycling centre specialising in collecting wood waste,
grading it and then either selling it on or using it to make
items such as shelves and other furniture.

Shaw Trust Enterprise Hampshire:


Portsmouth and Basingstoke.
Commercial grounds maintenance services, horticultural
centre and retail shop.

Shaw Trust Enterprise Lowestoft:


Lowestoft, Suffolk
Drinks and snacks delivery service to local schools, councils
and businesses.

Shaw Trust Enterprise North East:


Stockton-on-Tees and County Durham.
Two horticultural projects offering commercial grounds
maintenance services, wood recycling and retail store.

Westbank Enterprises:
Perth, Scotland.
Horticultural centre and plant nursery run in partnership with
Perth and Kinross Council. Soon to offer additional grounds
maintenance services, wood recycling, a retail store and
community café.

Shaw Trust Industries:


Doncaster
A supported business factory producing specialist plastic
casings and other products.

Stepping up: Bridging local disability employment gaps, July 2014 17


Case study

Lee’s experience, Shaw Trust


Enterprise Hampshire
Lee Care, from Portsmouth, was referred to
Shaw Trust Enterprise Hampshire by his
Work Programme adviser.

Lee had previously been a primary carer for his


grandmother, who suffered from dementia, for
twenty years. However, following her death, Lee
struggled with severe depression.

Shaken by the loss, he found it hard to return to


employment, and as a result lost confidence in
himself.

After spending some time as a volunteer tending Before the end of his paid placement, Lee saw
to local gardens, Lee’s Work Programme a carer role advertised at a local dementia
adviser suggested he volunteer on Shaw Trust home where he was looking after the garden.
Enterprise Hampshire’s 12-week work-based Lee applied for the role and was successful. He
training programme. Lee successfully signed begins work at the care home shortly.
up and completed the work placement and
training course, gaining a new qualification in the Lee says: “I’ve learned so much from
process. my time with the enterprise. I didn’t
do anything before, just stayed on the
He was then interviewed for a six-month settee. The experience helped me to meet
paid contract as a gardening assistant at the different people, get used to being in work,
enterprise, and was successful. This involved and improved my confidence. It’s a very
assisting his colleagues and team members to worthwhile scheme. It has brought me out of
provide grounds maintenance services to local my shell.”
schools, housing associations and hospitals,
helping with regular garden care, clearances and
landscaping.

Stepping up: Bridging local disability employment gaps, July 2014 18


Chapter 4 Shaw Trust Enterprises: stepping stones to employment

A personalised stepping stone to work Skills, training and qualifications


Shaw Trust Enterprise trainees quickly gain
Initially launched at Shaw Trust Enterprise
soft and transferable skills on the job such
Hampshire and now being rolled out across
as teamwork, timekeeping, organisation and
all Shaw Trust’s enterprises, ‘stepping stone’
communication. Progression in these areas often
opportunities will be characterised by:
represents a major achievement for individuals
who may have been unemployed for many years.
Fixed-term employment opportunities Shaw Trust Enterprises also offer rapid access to
basic skills training such as IT or literacy, as well
These can include paid contracts of up to six as formal vocational qualifications. For example,
months at most enterprises, as well as voluntary Shaw Trust Enterprise Greater London offers
work experience and training placements. level one certificates in basic construction skills
Referrals can be received from a wide range of (carpentry and joinery) or retail, whilst at Shaw
sources; including local Work Choice and Work Trust Enterprise Hampshire trainees can work
Programme providers, local authorities, mental towards a level one City & Guilds qualification in
health and learning disability teams, youth justice practical horticultural skills.
teams and others. Placements are aimed at
individuals with a disability, health problem or
impairment, or others facing severe barriers to “It gives me a piece of paper:
work. For example, some enterprises work with people will now listen to
ex-offenders. me because I have a proper
qualification” – Kriss, trainee
gardening assistant, Shaw
“I’ve always been able to ask questions Trust Enterprise Hampshire
and go at my own pace knowing the
opportunity is there for me to learn as
much as I want. My confidence has Personalised employability support
grown no end.” – Scott, administration A third key strand is the provision of personalised
assistant, Shaw Trust Enterprise employability support delivered both in one-to-one
Hampshire and group settings, alongside work placements
and training. At Westbank Enterprises, for
example, the on-site employment adviser
supports trainees to overcome individual barriers
to work such as low confidence, difficulty with
jobsearching, or access to mental health services.

“We bring together a new group of people


from a variety of backgrounds every
three months. They each have their own
story and issues and often have little or
no experience in gardening. The work is
hard and physical. But the reward is there
at the end when we see how they have
worked, seen their confidence grow and
succeeded in passing the City & Guilds
course.” – Kathee Pitt, project manager,
Shaw Trust Enterprise Hampshire

Stepping up: Bridging local disability employment gaps, July 2014 19


Chapter 4 Shaw Trust Enterprises: stepping stones to employment

This integrated and flexible stepping stone in Perth, for example, has been designed,
approach has the potential to make a funded and remains managed through an active
considerable contribution towards bridging local partnership between Shaw Trust and Perth and
disability employment gaps. Key to the model’s Kinross Council.
success will be:

Integrated, workplace-based support


As noted in chapter three, research has Realising economic, social and
highlighted the effectiveness of joining up environmental objectives
support in one place to help individuals furthest
from the labour market simultaneously gain the The stepping stone model, provided at social
confidence, work experience, skills and technical enterprises embedded within local communities,
expertise needed to move into sustainable holds clear potential for local areas to make
mainstream employment. significant progress in bridging local
disability employment gaps, the core objective
A personalised and flexible approach considered in this report. However there is also
scope to realise a range of other interrelated
Support is focused on what participants can do, social and economic benefits:
rather than what they can’t. A wide range of lower
and higher skilled job roles and qualifications will • Promoting a more inclusive society where
be available to suit the individual. There is also people with disabilities, health problems
potential for enterprises to adapt to local labour and impairments, or others at significant
market needs and address local skills gaps. disadvantage, can enjoy equal opportunity to
gain independence and reach their potential
Progression-focused through work. This is also required by the
There is a clear focus on progression into Equality Act’s public sector equality duty.
sustained mainstream employment. Trainees
at Shaw Trust Enterprises experience conditions • Driving local economic growth through
that closely mirror the open labour market. Staff narrowing the disability employment gap and
members engage regularly with local employers widening labour market participation. The
to identify vacancies and build local relationships. model also provides a unique opportunity to
address local skills gaps and respond to local
labour market needs.
“I had to get used to getting up early in • Promoting wider social and environmental
the morning and working in all weather. benefits through the provision of goods and
It’s given me a huge amount of confidence services of real community value, promoting
to go out there and find work. My work environmental sustainability and continued
at Hampshire is a stepping stone into investment in local communities.
permanent work.” – Neil, trainee gardening
assistant, Shaw Trust Enterprise Hampshire • Joining up local and national provision
through strong partnerships with a wide range
of local and national agencies. For example,
Strong local partnerships Shaw Trust Enterprises already work closely
Shaw Trust Enterprises seek to forge strong with national employment scheme providers,
partnerships with local government and other local authorities, NHS services and local
agencies, employers and residents to encourage probation trusts.
referrals, promote community engagement and
contribute towards achieving interlinking social
and economic aims. Westbank Enterprises

Stepping up: Bridging local disability employment gaps, July 2014 20


Enabling wide access to local stepping stone
opportunities for people with disabilities,
health problems and impairments – at social
enterprises embedded in local communities –
should therefore form a central part of new local
strategies to bridge disability employment gaps.
Doing so will not only improve employment
outcomes for individuals furthest from the labour
market, but also support the realisation of a
range of social and economic objectives.

Recommendation four: Wide access to


stepping stone employment opportunities
at community-based social enterprises
should be a central feature of new local efforts
to support more people with disabilities, health
problems and impairments into work. This
approach provides a unique opportunity to
realise a range of interlinked economic and
social objectives.

Stepping up: Bridging local disability employment gaps, July 2014 21


Case study

Westbank Enterprises, Perth


Westbank Enterprises is a new social
enterprise in Perth, Scotland.

Designed, funded and managed through a strong As a social enterprise, Westbank also brings
partnership between Shaw Trust and Perth and wider community benefits through the goods
Kinross Council, the project is a fully functioning and services it provides to local businesses and
commercial plant nursery producing and selling residents, environmentally friendly operations,
hanging baskets, plants, internal displays and and its continued investment into the community.
other items locally. However, it also provides Future plans for expansion include a new
unique ‘stepping stone’ employment opportunities community shop and café, grounds maintenance
for local people with disabilities, health problems services, wood recycling and biomass heating
and impairments, and others facing disadvantage – all of which will grow Westbank’s community
such as ex-offenders. impact and allow even more people in Perth and
Kinross to access stepping stone opportunities
By uniquely integrating work experience, and progress into work.
training and support, participants with serious
barriers to work are able to gain the confidence,
skills and experience to move into mainstream
employment. Opportunities are flexible and wide-
ranging to account for individual needs: from
low-skilled roles such as planting and picking, to
Jamie’s story
higher skilled work such as machine operation, Jamie Ferguson, from Perth,
managing deliveries, commercial sales and had been out of work for
environmental controls. two years after being made redundant.
His dyslexia and dyspraxia made writing
Alongside on-the-job guidance and training from
a CV, cover letters and application forms
nursery supervisors, participants complete basic
very difficult, compounded by not having
skills training courses and can work towards a
a reference from his previous job. Upon
formal horticultural qualification to bulk up their
joining Westbank Enterprises Jamie carried
CV. Additional personalised support, such as
out two days a week of work experience,
confidence-building, CV-writing and jobsearch
completed an employability skills training
assistance is provided by the on-site employment
course, and received extra support from
adviser, Giovanna. Each trainee agrees an action
Giovanna to write his CV and apply for
plan with Giovanna, focused on progression into
jobs. Thanks to the experience, training
mainstream employment.
and support received at Westbank, Jamie
has since been successful in gaining a
six-month job at the local council recycling
centre, which he hopes to make permanent.

Jamie says: “Everyone at Westbank


was very supportive and kind. The help
applying for jobs was especially useful.
I now know that there is support and
help out there when applying for a job.”

Stepping up: Bridging local disability employment gaps, July 2014 22


Chapter 4 Shaw Trust Enterprises: stepping stones to employment

Investing to promote social value As highlighted in chapter three, there remains a


pressing need to build the evidence base on
Local authorities and others have a further ‘what works’ to help individuals with disabilities,
opportunity to promote social inclusion and health problems and impairments into work.
economic growth by not only facilitating access The identification and dissemination of best
to stepping stone opportunities, but also practice will be essential to improving outcomes
purchasing and procuring the goods and on a meaningful scale. Shaw Trust Enterprises
services of local social enterprises that demonstrates a new model of support with great
provide them. potential to drive improved outcomes, and which
Shaw Trust will evaluate in order to contribute
For example, Shaw Trust Enterprise Hampshire towards this collective endeavour. Other public,
has many years of experience successfully voluntary sector and private sector organisations
delivering commercial gardening services for should embark on similar exercises in earnest.
the local authority at competitive rates in open
competition with other local businesses. This, The facilitation of a best practice sharing
in turn, allows the enterprise to expand its database by central government, in conjunction
operations and provide more stepping stone with industry trade bodies and providers, is
employment opportunities for local residents with one way that the dissemination of effective
disabilities, health problems and impairments, in interventions should be promoted. The evaluation
a ‘virtuous cycle’. of new programmes could also be promoted
through conditions attached to contracts in
In this sense, social enterprises offering stepping the commissioning process.
stone employment opportunities provide
an added opportunity for local authorities
to meet their obligations to promote social,
environmental and economic wellbeing through Recommendation five: Public, private
their procurement and commissioning. These and voluntary sector organisations should
obligations include the Social Value Act in commit to further testing and evaluation of
England, Wales and Northern Ireland, the new approaches to bridge the disability
sustainable procurement duty in Scotland, and employment gap, to build the evidence base
additional terms attached to EU funding. on ‘what works’. The Government should
facilitate this through the establishment of a
best practice sharing database.
Building the evidence base
Finally, there is strong potential for the use of
the social enterprise stepping stone model
with other disadvantaged groups facing
severe barriers to work. For example, Shaw
Trust Enterprises has begun to offer ex-offenders
access to its stepping stone opportunities. Indeed
research has highlighted that similar approaches
can be successful in reducing reoffending rates
of ex-offenders.52

52
Nockolds, D (2012), Exploring success

Stepping up: Bridging local disability employment gaps, July 2014 23


Chapter 5 Conclusion and recommendations

Rising employment across the UK is not filtering Finally, there remains a pressing need to further
through to people with disabilities, health build the evidence base to establish the most
problems and impairments. Policy makers effective innovations to support people with
must take urgent action to ensure a return to disabilities, health problems and impairments into
economic growth benefits this wide-ranging work. Research in this area remains insufficient,
group through clear strategies for bridging the making the identification of best practice and
disability employment gap. There is a clear moral its dissemination across the industry hard
imperative to break down the barriers to inclusion to achieve. Testing and evaluating different
and independence currently faced by thousands approaches, combining the collective efforts
of individuals with disabilities, health problems of the public, voluntary and private sectors, is
and impairments who want to work, while the therefore essential.
economic and social advantages to be gained
nationally and locally are too great to ignore. This report highlights a clear opportunity to
make significant progress on bridging local
Local areas have a clear opportunity to capitalise disability employment gaps. But it can only be
on new powers over employment and skills realised through a major collaborative, cross-
provision. But this will require concerted efforts sector effort to respond to local needs and
by local government leaders and LEPs to identify enhance support for people with disabilities,
local barriers to work faced by people with health problems and impairments across the UK.
disabilities, health problems and impairments.
Robust policies to bridge local disability
employment gaps must be placed at the heart of
local economic strategies, closely aligned with
national-level provision.

This report makes the case that stepping


stone employment opportunities at social
enterprises rooted in local communities can
play a central role in these efforts to bridge local
disability employment gaps. As demonstrated
by an expanding network of Shaw Trust
Enterprises, this approach uniquely integrates
work placements, training and personalised
employability support to successfully build
participants’ confidence, skills and experience
necessary to progress into mainstream
employment.

In this way local areas are provided with a unique


opportunity to achieve a range of interlinked
social, environmental and economic objectives:
from creating a more inclusive society where
everyone has a chance to gain independence
and reach their potential through work, to
realising huge financial savings and boosting
local economic growth.

Stepping up: Bridging local disability employment gaps, July 2014 24


Recommendations for action 4. Enabling access to stepping stone
employment opportunities
1. Identifying local needs and barriers Wide access to stepping stone
Local authorities and LEPs should carry out employment opportunities at social
comprehensive local disability needs enterprises rooted in local communities should
analyses to identify barriers to work faced by be a central feature of local efforts to support
people with disabilities, health problems and more people with disabilities, health problems
impairments in their area, and to underpin and impairments into work. This approach
local employment and skills strategies. This provides a unique opportunity to realise a
should involve direct consultation with range of interlinked economic and social
disabled people and service providers. objectives.

5. Building the evidence base on ‘what


2. Strengthening local economic
works’
strategies to bridge disability
employment gaps Public, private and voluntary sector
organisations should commit to the further
LEPs and local authorities should take full
testing and evaluation of new approaches
advantage of newly devolved powers and
to bridge local disability employment gaps,
funding by placing robust policies for
to build the evidence base on ‘what works’.
bridging local disability employment gaps
The Government should facilitate this through
at the heart of their economic strategies.
the establishment of a best practice sharing
This will be essential to ensure fulfilment of
database.
the public sector equality duty, as required
by the Equality Act 2010.

3. Integrating local and national provision The variety of barriers to work faced by
The design of new local solutions to bridge people with disabilities, health problems and
local disability employment gaps must impairments across the UK illustrates the
involve clear steps to integrate and align urgent need for locally tailored solutions to
local and national provision, through joint complement national provision. There is now
working between agencies and co-design a major opportunity – and clear social and
of services where appropriate. This will economic imperatives – for local economic
be essential to avoid service duplication areas to step up to this challenge.
and inconsistencies in support provided to

people with disabilities, health problems and
impairments furthest from the labour market.

Stepping up: Bridging local disability employment gaps, July 2014 25


Annex A: Disability employment rates by local enterprise partnership area

Disability employment rate

Overall employment rate

52
Hertfordshire LEP 77
Buckinghamshire Thames Valley LEP 52
77
44
Thames Valley Berkshire LEP 76
44
Enterprise M3 LEP 77
43
Solent LEP 74
New Anglia LEP 43
76
Worcestershire LEP 42
76
Greater Cambridge & Greater Peterborough LEP 42
75
41
Gloucestershire LEP 77
41
York, North Yorkshire and East Riding LEP 76
Coast to Capital LEP 41
75
Oxfordshire LEP 40
78
40
West of England LEP 73
39
Greater Lincolnshire LEP 70
South East Midlands LEP 39
75
Heart of the South West LEP 39
74
39
Dorset LEP 75
South East LEP 38
72
37
Derby, Derbyshire, Nottingham and Nottinghamshire LEP 70
Leicester and Leicestershire LEP 36
71
35
Northamptonshire LEP 76
35
Swindon and Wiltshire LEP 74
35
Cornwall and Isles of Scilly LEP 69
35
Stoke-on-Trent and Staffordshire LEP 72
The Marches LEP 35
73
34
Cheshire and Warrington LEP 75
Humber LEP 33
69
Leeds City Region LEP 32
70
Lancashire LEP 32
70
32
London LEP 69
31
Scotland 71
31
Greater Birmingham and Solihull LEP 65
31
Coventry and Warwickshire LEP 72
30
Sheffield City Region LEP 68
29
Wales 67
29
Black Country LEP 66
28
Greater Manchester LEP 67
27
Cumbria LEP 75
27
North Eastern LEP 67
25
Tees Valley LEP 64
25
Northern Ireland* 67
24
Liverpool City Region LEP 66

0 10 20 30 40 50 60 70 80

Source: ONS Annual Population Survey, Jan-Dec 2012 (latest available data). The disability employment rate refers
to the percentage of 16-to-64 year olds with a DDA-defined and/or work-limiting disability who are in work.

Stepping up: Bridging local disability employment gaps, July 2014 26


Annex B: The funding ‘spaghetti junction’ – Employment and skills initiatives

Central government departments


Work
Flexible
Experience
Pooled funding sources Support
Programme
Fund

Devolved nations Sector-


based work
academies
Big Lottery ESF/SFA
Work NEET ESF Flexible
Choice Jobcentre contracts fund for
Local authority and local Work Plus unemployed
enterprise partnerships Programme individuals

Innovation European
Fund Social
New pilots Fund (ESF) European
for ESA programmes Regional
claimants Department
Development
for Work and Fund
Pensions
DWP/ESF
Families
Community Residential contracts
Troubled Budgets training EU Structural
families colleges and Investment
programme Funds
New Help to
Enterprise Work
Fair Allowance
Chance
Fund
Department for Single Local
Communities Growth Fund
and Local
Government
Local
government-led
employment
Local employment
pilots
and skills schemes
such as IPS
programmes,
Local authority NEET provision

NOMS/
The funding and LEP-led
programmes
and supported
employment
ESF
contracts Ministry of
‘spaghetti junction’
Justice Employment and skills
initiatives Youth
Cabinet Engagement
Fund
Transforming Office
Rehabilitation
contracts

NHS and
CCGs City Deals

Local mental Youth


Contract
health
employment
programmes

Department for
Education
Jobs Growth
Wales Big Lottery

Devolved
nations National
Opportunities Citizen
Department Employee Service
for All – for Business, Ownership of
Scotland Skills support
Talent Match for Work Innovation and Skills
Programme Skills/Skills
leavers Funding Agency
Community
Jobs
Scottish Apprenticeships
Scotland
apprenticeship and
programme FE/training traineeships
programmes

National Supported
Careers Internships
Service

Stepping up: Bridging local disability employment gaps, July 2014 27


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