Under 25s most impacted by employment drop

The younger generations have been most affected by the pandemic with regards to employment prospects, as data shows that the under 25s have been hit the hardest.

Latest data from the Office of National Statistics (ONS) revealed that under 25s contributed to over 60% of the fall in the number of payroll employees since February 2020.

However, AMS warns that employers will end up feeling the longer term impact if they don’t invest in early careers now.

As Paul Modley, Global Talent Acquisition Director and Head of Diversity & Inclusion at AMS, explained:

“We’ve known for some time that young people have been extremely hard hit professionally by Covid-19, but these figures really do highlight just how difficult it has been. It’s been understandably tough for employers as budget restrictions and uncertainty gripped global markets, but for those firms with a UK base, this decline in employment and development opportunities for emerging talent will leave many companies playing catch-up with skills development later on.

“It is critically important that we invest in the future generation of the workforce as soon as possible, otherwise businesses and markets will be slow to recover and once again reach their full potential. The development of early talent is an important component to developing a sustainable workforce. In fact, we saw this play out after the 2008/9 financial crash, with employers reducing junior talent recruitment, only to be faced with skills shortages just a year later.

“Now is the time for employers to begin planning for real recovery – and the emerging generation will have a huge role to play in this. Businesses need to ensure they are investing in the skills development of the future, or we will see a significant shortage in the not-too-distant future.”

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