London: The UK’s leading hospitality businesses have pledged to create 100,000 paid employment opportunities for young people who are not in education, employment or training (NEET), as part of an initiative developed in partnership with UKHospitality and the Department for Work and Pensions.
The programme will focus on people aged 18 to 24 and involve major brands, including McDonald’s, Burger King, Nando’s and Wagamama. The initiative aims to help young people enter the workforce by providing access to employment opportunities in the hospitality sector.
UKHospitality Chief Executive Allen Simpson stated that the sector was the UK’s largest employer of young people, offering valuable career pathways. Simpson added that the commitment reflected the government’s recognition of hospitality as an important sector in addressing the NEET challenge.
According to the Office for National Statistics, an estimated 981,000 people aged 16 to 24 in the UK were not in education, employment or training between April and June this year.
The announcement follows a similar commitment by major retailers last month to provide 100,000 jobs for young people. Former Marks and Spencer Chief Executive Marc Bolland, who was appointed by the government to lead youth employment reforms, played a key role in securing the retail sector agreement.
Rising operating costs
The hospitality industry has faced rising operating costs in recent years, including higher staffing expenses, increased employer National Insurance contributions and elevated energy bills. These pressures have affected businesses’ ability to recruit and retain staff.
The government had previously pledged to eliminate lower minimum wage rates for workers under 21, describing the differences as discriminatory and proposing to bring their pay in line with the national rate.
Meanwhile, the Conservatives have pledged to reduce employer National Insurance contributions on jobs held by young people if they win the next general election. The proposal would cut the rate from 15 percent to 7.5 percent for workers aged 21 to 24, at an estimated cost of £2.3 billion.
The government is also expected to review school exclusion policies as part of wider efforts to prevent young people from becoming disconnected from education. The review will seek views on improving support for pupils at risk of exclusion, helping students return to school after suspension and ensuring children continue learning outside the classroom.
School attendance is another concern. Students who miss at least 10 percent of school are 3.9 times more likely to become NEET, highlighting the link between educational engagement and future employment prospects.
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