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Youth Employment Scotland - Employer Recruitment Incentive

18/07/2013

The Scottish Government have launched Youth Employment Scotland which is an Employer Recruitment Incentive (ERI) targeted at young unemployed people age 16 – 24.  It will fund 50% of the cost of employing a young person on National Minimum Wage for 6 months.  Jobs must be between 25 hours and 40 hours. No other costs can be claimed ie National Insurance, travel, training or management fees.  You can supplement this if you wish or your Local Authority might provide some additional funding.

The programme is administered by Local Authorities and we have attached a list of contacts.

Angela Constance, Minister for Youth Employment is keen to see this programme aligned to Community Jobs Scotland so it will help you extend your Community Jobs Scotland employee for an additional 6 months.  The Scottish Government have agreed that Community Jobs Scotland employees are eligible for the Employer Recruitment Incentive and that their does not need to be a break in employment.

If you have had a Community Jobs Scotland employee who left and is unemployed they may be eligible for the Employer Recruitment Incentive.

 

National Minimum Wage

The following are the current National Minimum Wage levels and the new rate that comes into force on 1 Oct 2013.

Year

21 and over

18 to 20

Under 18

 

2013 (from 1 October)

£6.31

£5.03

£3.72

 

2012 (current rate)

£6.19

£4.98

£3.68

 

 

What Funding could you claim

Based on employing a young person for 35 hours at National Minimum Wage for 6 months the costs would be as follows:                                                                                                      

 

Total NMW Costs

ERI Contribution

Employer Contribution

 

Year

21 and over

18 to 20

Under 18

21 and over

18 to 20

Under 18

21 and over

18 to 20

Under 18

 

2013 (from 1 October)

£5,742

£4,577

£3,385

£2,871

£2,288

£1,692

£2,871

£2,288

£1,692

 

2012 (current rate)

£5,632

£4,531

£3,348

£2,816

£2,265

£1,692

£2,816

£2,265

£1,692

 

 

What you should do

If you want to access the Employer Recruitment Incentive you should contact the Local Authority at least 4 weeks before the end date of your Community Jobs Scotland employee  to apply for the incentive.  If you have any problems please let your local SCVO contact know.

 

Employer Recruitment Incentive for Targeted Groups

I have also included information on this incentive.  It is aimed at the following groups of young people:

  • 16-24 year olds who have been looked after and are eligible for after care support from their Local Authority.
  • 16-24 year olds who have a significant role in looking after someone else who is experiencing illness or disability.
  • 16-24 year olds who have been convicted or cautioned for a criminal offence but have completed their sentence.

It can fund up to £1,500 and if you have a young person who falls into these categories you can also apply for this as well as the new ERI.

 

Support from Local Authority Employability Partnerships

If you have a young person who is likely to complete Community Jobs Scotland without a positive destination you can also access support from your local employability partnership.  This could include support with getting a job after they finish a job.  I have attached a list of the leads for each Local Authority Employability Partnership.  It would be worthwhile contacting them 6 weeks before the end of the Community Jobs Scotland job to see what support they have available.

 

Encouraging Young People to work in the Third Sector

If you are creating jobs in your organisation you can also uses these incentives if you employ unemployed young people aged 16 – 24 who meet the criteria.

I hope all these initiatives help you either extend the job of your Community Jobs Scotland employee, help them gain a sustainable job and encourage more young people to work in the third sector.

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File Local Authority Youth Contract Leads.pdf62.08 KB