Making it Work: Tackling worklessness through innovation Dr. Jo Casebourne, Director of Public and Social Innovation, Nesta …

1. How can innovation in the labour market reduce worklessness?

What is innovation? …but alsoNot only…

It’s a complicated system Mapping some of the players in the low end of the labour market enables us to build up a picture of the dynamics of the system – for instance, how different elements influence each other and how changes in one area might affect other areas. In a fully functioning system all these elements would be aligned to enable individuals to be connected to work. Lots of actors Confusing for individuals and employers. Cost In total, the government spends £5 billion per year on this system, yet it’s not working effectively in connecting people to work. Current emphasis Emphasis usually on Jobcentre Plus and Work Programme but lots happening beyond this.

The Six Stages of Innovation Successful innovation passes through six stages: (Taken from p12-13 in Murray, R; Caulier-Grice, J and Mulgan, G (2010) The Open Book of Social Innovation. NESTA)

Where next? More experimentation: We call for more experimentation around ideas. Local areas could commit to a package or programme of innovations that included those that created or shaped new markets, supported self-employment and used intermediaries to improve the efficiency of job-matching. More measurement and assessment: We also argue for prototyping with much more intensive measurement and assessment of what works so that successful models can be scaled up. There is little evidence currently on the effectiveness of many of the examples in this paper. Adopting any of these ideas provides an opportunity to test whether these are actually effective at tackling worklessness. An international independent evidence centre for the labour market with a global learning/knowledge exchange network would help make the case for sustaining, scaling and diffusing successful innovations.

2. Where next for innovation in tackling worklessness?

Examples: stimulating new markets and self-employment service voucher scheme – Belgium consumer subsidy to encourage the use of personal services provided by the unemployed enterprise programme young people loans + business support + mentoring Self employmentStimulating new markets specialist part-time recruitment service works with employers to create part-time positions

Examples: improving matching apprenticeship training agency model covers admin and statutory employment obligations supports recruitment links with training provider a recruitment agency covers admin and statutory employment obligations screens and match candidates New intermediaries – pooling work

Examples: improving matching employer or peer to peer care contact centres volunteering peer-to-peer manual labour e.g. IKEA assembly chores market/ auction local tasks surveys taking photos of things marketplace transcribing user testing surveys Tech platforms enabling micro-jobs

Examples: connecting work and learning Connecting working and learning structured programmes specific technical qualifications many sectors apprentice-based businesses often targeted at disadvantaged groups e.g. catering work experience with sole traders e.g. skilled trades