ALMOST three-quarters of young people in Scotland claim that life is harder than ever for the young unemployed, according to a new report, as another reveals that a slowdown in the recruitment sector indicates that the job market is losing momentum.
The study by the Prince’s Trust and the Royal Bank of Scotland Group (RBS) found that nearly half of young people north of the Border think finding a job is harder than this time last year.
However, 54 per cent of young people surveyed think starting a business is a viable route out of unemployment, the trust said. The research has been published to highlight the trust’s new campaign, the A-Z of Young Businesses, which is encouraging unemployed young people to consider self employment.
Heather Grey, director of the Prince’s Trust Scotland, said: “It is clear that it’s a difficult time for young people in Scotland, as they’re becoming increasingly disillusioned with their lives. The Prince’s Trust is committed to ensuring young people receive the right support to help them move forward into education, training, employment and self-employment.
“Through our Youth Business Scotland programme, young people have the opportunity to explore and test their business ideas and will be fully supported by business mentors. The start-up funding the trust offers is a vital investment for our young entrepreneurs and allows them to create opportunities for themselves at a time when unemployment remains a persistent barrier.”
One of those to benefit has been Amy Dolan, 21, from Edinburgh, who decided to set up a furniture redesign business after being unable to find a job.
In January 2012, she approached Youth Business Scotland for advice on a business plan and in April received a £1,250 loan and was assigned a business mentor who is helping her to establish her business, Ziggy Sawdust.
Dolan said: “I was worried I wouldn’t be taken seriously setting up a business at such a young age, so to have an organisation which has such faith in young people gave me so much confidence.”
The latest Bank of Scotland Report on Jobs today reveals that the number of people being appointed to permanent jobs fell in July for the first time this year. Demand for both permanent and temporary staff among recruitment firms increased at a weaker rate in July, while average salaries for permanent positions fell for the second month in a row – with the rate of decline for this the fastest for 22 months.
Donald MacRae, chief economist at the Bank of Scotland, said: “The Scottish labour market showed a marginal improvement in July but is losing momentum.
“The number of people appointed to permanent jobs declined for the first time this year, showing the effect of the current slowdown in the economy. However, the number of vacancies continued to increase, giving hope that the upwards trend in employment can be maintained.”