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Catastrophic Systems Failure in Youth Employment StrategyLabour has failed to tackle soaring youth unemployment and must launch a "system reset" involving a fresh attempt to overhaul health and disability benefits, a report commissioned by the government is to warn. Alan Milburn, who is leading a review into why almost a million young people are not in education or work, said ministers had so far responded with a series of disjointed jobs programs.The Milburn Review's Stark Assessment"It's going in the wrong direction," Milburn said. "When you look at that picture I guess our conclusion is it's a catastrophic systems failure." The former Labour health secretary will say in a highly anticipated report due to be published that the government must take a fresh approach to overhauling Britain's system of welfare and jobs support for young people.UK's Youth Unemployment Crisis in NumbersExperts have warned of a crisis in youth jobs, with official figures expected to show the number of young people not in education, employment or training (Neet) is close to breaking through a million. Britain has the third-highest rate of 16-24-year-olds who are neither earning or learning among wealthy European countries.Policy Conflicts and Economic PressuresThe figures come with Labour under pressure from business leaders who argue that the £25bn increase in employers' national insurance contributions by the chancellor, Rachel Reeves, and an attempt to equalise minimum wages between young and older workers have contributed to soaring rates of youth joblessness.Path Forward: Welfare Reform with Employment FocusMilburn criticised Labour's previous attempts for prioritising cost savings over outcomes for people with health conditions and disabilities. "If you frame welfare reform through a cost-out lens, guess what you get? That's not the way to approach this," he said. "It's needed more for moral reasons than for fiscal reasons. It can't be right that young people who want to work are not being supported to do so."

The Welfare Bill Conundrum Tackling the root causes of joblessness, instead of cutting benefits, is the best way to get the welfare bill down, and polling shows voters support that approach, according to research by the Joseph Rowntree Foundation. The Economic Impact of Joblessness In a forthcoming report, JRF economists show that hitting the government’s target of getting 80% of the working age population into jobs would cut the cost of universal credit by £10bn – an eighth of the current bill. The Data Analysis The research points out that official projections show spending on non-pensioner benefits “will remain flat, at around 5% of GDP for the remainder of the parliament”. A survey of more than 4,000 voters showed that 59% supported the idea of reducing the welfare bill in the longer term by tackling the underlying causes. The Impact Analysis The research seeks to push back against the “dominant political narrative” that spending on social security is “spiralling”. Instead, it points out that claims for health-related universal credit have risen more since the Covid pandemic in places where there are fewer jobs available locally, many of them former industrial or coastal areas. The Prediction The report contains calls for the government to prioritise measures such as increasing support for public health, building more social housing, and regenerating struggling regional economies. The research comes ahead of this week’s publication of the interim report from an inquiry into tackling young people not in education, employment or training (Neet) by Alan Milburn, the former cabinet minister who went on to chair the Social Mobility Commission.

Lead: Schools as a Pipeline to JoblessnessPeter Hyman, former adviser to Tony Blair and Keir Starmer, told the Guardian that the UK education system is acting as a “pipeline” to worklessness for a large cohort of young people. In launching the report Inside the Mind of a Young NEET, he called for urgent, radical reforms – including a ban on social media for under‑16s – to stop a “national scandal” of youth who are not in education, employment or training.Hyman’s Call for Radical Education ReformThe ex‑headteacher argued that the current system traps young people in a “rejection economy” where schools, employers and social‑media platforms all fail them. He urged ministers to overhaul curricula, increase vocational pathways, and create real‑world youth hubs that give teenagers alternatives to endless screen time.NEET Statistics Highlight a Growing Crisis12.8% of 16‑24‑year‑olds are classified as NEET in 2026, up sharply from post‑pandemic lows.Almost 1 million young people are currently NEET – the highest level in more than a decade.The NEET rate peaked at 16.8% in 2012 after the 2008 financial crash.The UK now has the third‑highest rate of NEETs among Europe’s richest countries.Broader Socio‑Economic ImpactAnalysts warn that the surge in youth joblessness compounds existing mental‑health challenges, creating a self‑reinforcing vortex of poverty, loneliness and economic shock. The report links the rise to a combination of factors – Covid‑19 disruptions, social‑media addiction, and a labour market that increasingly rewards experience that NEETs cannot obtain.Looking Ahead: Potential Policy ShiftsWith Alan Milburn set to publish a related government‑commissioned report next week, pressure is mounting for the UK to act. Possible outcomes include a statutory ban on social‑media use for children under 16, expanded vocational training programmes, and the establishment of community “youth hubs” that provide work experience and social connection. If implemented, these measures could curb the NEET surge and restore a clearer pathway from school to sustainable employment.

On May 1, Gaza’s labour market faces an unprecedented collapse. Workers such as Ibrahim Abu al‑Esh and Yousef al‑Rifi are scraping together meagre wages by clearing debris or baking in makeshift stalls, while unemployment has surged to 80 % and poverty to over 93 % amid a prolonged blockade.Gaza’s Labourers Turn Rubble into Daily BreadIbrahim Abu al‑Esh, a 24‑year‑old accounting graduate, spends his days clearing stones and collapsed roofs on a bomb‑damaged building so a bulldozer can remove the wreckage. He earns 80 shekels ($27) a day to support a family of nine in a Jabalia displacement camp. Yousef al‑Rifi, 32, now works in a temporary roadside bakery, earning roughly 50 shekels ($17) a day under harsh conditions.Staggering Unemployment and Poverty Figures Reveal Economic CollapseUnemployment in Gaza: 80 % (≈250,000 workers out of work)Poverty rate: > 93 %Population reliant on humanitarian aid: > 95 %Daily wages for labourers: 80–50 shekels ($27–$17)These statistics were released by the Gaza Ministry of Labour to coincide with International Workers’ Day.Humanitarian Blockade Deepens the Crisis for Gaza’s WorkforceThe ongoing Israeli blockade restricts the flow of goods, limits humanitarian‑organisation operations, and keeps crossing points closed, preventing the revival of productive sectors. Without access to building materials, fuel, or stable food supplies, informal jobs remain unsafe and poorly paid.Outlook: Prospects for Recovery Amid Ongoing ConflictUnless the blockade is lifted and reconstruction pathways are opened, the labour market is likely to remain stagnant. Experts warn that prolonged joblessness will erode social stability and hinder any post‑war economic rebound, leaving Gaza’s workers to continue “striving to earn a living” under increasingly desperate conditions.