Retail Chiefs Warn April Reforms Risk Wiping Out Flexible Student Jobs

Britain could be sleepwalking into a youth jobs crisis just as new employment reforms take effect, with retailers warning that rules designed to protect workers may end up pricing thousands of young people out of the workplace.

It’s not just Business111.com that’s concerned. The British Retail Consortium (BRC) has called on the government to make sure that the reforms which start to come into force on the 1^st of April don’t decimate our younger workforce. Monsoon’s chief executive is quoted as warning the reforms could restrict flexibility around working hours and push up hiring costs, which we’re already seeing in the case of small and micro businesses. Young people want flexible roles to allow them to do paid work while they study or take on other roles. The BRC’s own research shows 7 in 10 workers aged 18 to 29 value flexibility at work.

Around three quarters of a million young people work in retail, and that’s more than a quarter of the retail workforce which means they are crucial. Retail is the most important route into work for young people. Hospitality is the other major employer of young people and it’s under siege at the minute with rising wages taxes and business rates. Add the rise of the use of AI for entry level jobs and you can see why the number of young people not in work, education or training is almost a million.

This isn’t just a ‘here and now’ problem that will be resolved as the pendulum swings back and the economy recovers. Businesses need people, but if they are too expensive to employ and AI can fill the void, then they won’t go back to hiring people when the economy improves. The worry is that on top of all the other pressures they face, small and micro businesses in particular, will be forced to cut hours and roles as the employment rights reforms become a reality. The reforms include guaranteed hours and restrictions on fire and rehire practices. Businesses don’t want to treat people unfairly but they are scared of the reforms, what they will mean for their workforce and how much they will cost. The government is right to want to raise employment standards and rights and most employer agree with the sentiment but not at the cost of local, flexible jobs and the small and micro businesses that create those jobs.

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