Leader: Chronic joblessness has become the new normal across Europe

At home and across the continent, governments are failing to address the causes of youth unemployment.

The greatest achievement of the Keynesian governments that ruled postwar Europe was to banish the spectre of mass unemployment from a continent haunted by the memory of the 1930s. Any return to pre-war austerity was viewed as both politically and economically unthinkable. But today, chronic joblessness has become the new normal across Europe. Five years since the present crisis began, EU unemployment stands at 10.9 per cent (26.4 million) and youth unemployment at 23.2 per cent (5.5 million). As Danny Dorling writes on page 22, “Even where the youth unemployment rate is lowest, in Germany, unemployment accounts for one young adult in every 13; in Austria it is one in 11 and in the Netherlands one in nine. What we now call low youth unemployment rates were once the highest we had ever seen.”
 
In the UK, while a modest economic recovery is finally under way after three years of stagnation, youth joblessness rose by 15,000 in the most recent quarter to a dismal 973,000 (21.4 per cent). Of this total, 274,000 have been unemployed for over a year. The cost to the economy in higher benefit payments, lost tax revenues and wasted capacity runs into billions. For the individuals affected, the consequences are no less grave. History shows that those who suffer joblessness early in their lives are often permanently scarred, with the long-term unemployed working two months a year less, on average, and earning between £1,800 and £3,300 a year less after the age of 25.
 
While in opposition, the Conservatives rightly rebuked Labour for its failure significantly to reduce youth joblessness, which, even in the boom years, never fell below 12 per cent and began to rise as early as 2004. Yet in government they have made a bad problem worse. Upon entering office, the coalition cancelled the Future Jobs Fund (only for a subsequent Department for Work and Pensions study to show that it had been an unequivocal success, with a net benefit to the economy of £7,750 per participant) and abolished the Education Maintenance Allowance, which had ensured that thousands who might otherwise have joined the dole queue remained in full-time education. After youth unemployment rose to a record high of more than a million, the government responded by introducing the £1bn Youth Contract, promising employers wage subsidies worth £2,275 to take on 160,000 18-to-24- year-olds over the next three years. Since the programme was launched in June 2012, just 4,690 jobs have been created.
 
In the short term, a compulsory jobs guarantee – such as that promised by Labour –would help address the cyclical crisis, but in the long term more ambitious structural reform is required. This should not mean, as some on the right suggest, stricter curbs on immigration and cuts to pay and benefits for young people. A study by the National Institute of Economic and Social Research found that, between 2004 and 2010, youth unemployment among domestic workers rose fastest in areas with low numbers of migrants, and economists have consistently failed to find any evidence that the minimum wage deters employers from taking on the young.
 
Instead, the coalition needs to focus on improving the range and quality of apprenticeships available to the 50 per cent of teenagers who do not go to university, a group that was woefully neglected by the Blair and Brown governments. At present, just one in three large companies and one in ten small companies offer apprenticeships. Despite evidence that investment in skills is the greatest inoculation against unemployment, the number of youth apprenticeships fell last year. To reverse this trend, the government, with its fondness for outsourcing, could begin by making the offer of apprenticeships a condition of receiving public-sector contracts.
 
As the economy stutters back into life, prompting hyperbolic talk of “boom Britain”, the greatest danger is that those left behind by the recovery will be forgotten. If the country is ever to return to something close to prosperity, we cannot afford to continue to waste the potential of so many of our young.
Unemployed young people on the streets of Athens. Photograph: Getty Images.

This article first appeared in the 19 August 2013 issue of the New Statesman, Why aren’t young people working

Show Hide image

Indie band The 1975 want to “sue the government” over the Electoral Commission’s latest advert

Frontman Matt Healy perhaps isn’t aware that the Electoral Commission is not, in fact, the government (or believes that this is part of a wider conspiracy).

How do you make registering to vote in the EU Referendum cool? It sounds like something  from The Thick of It, but judging by the Electoral Commission’s latest TV ad for their new voting guide, this was a genuine question posed in their meetings this month. The finished product seems inspired by teen Tumblrs with its killer combination of secluded woodlands, vintage laundrettes and bright pink neon lighting.

But indie-pop band The 1975 saw a different inspiration for the advert: the campaign for their latest album, I Like It When You Sleep For You Are So Beautiful Yet So Unaware Of It (Yes, a title perhaps even more cumbersome than “The EU Referendum - You Can’t Miss It (Phase One)”).

Lead singer Matt Healy posted a picture of the guide with the caption “LOOK OUT KIDZ THE GOVERNMENT ARE STEALING OUR THOUGHTS!!” back on 17 May. The release of the TV spot only furthered Healy’s suspicions:

Healy perhaps isn’t aware that the Electoral Commission is not, in fact, the government (or believes that this is part of a wider conspiracy).

The 1975’s manager, Jamie Oborne, was similarly outraged.

Oborne added that he was particularly “disappointed” that the director for the band’s video for their song “Settle Down”, Nadia Marquard Otzen, also directed the Electoral Commission’s ad. But Otzen also directed the Electoral Commission’s visually similar Scottish Referendum campaign video, released back in September 2014: almost a year before The 1975 released the first promotional image for their album on Instagram on 2 June 2015.

Many were quick to point out that the band “didn’t invent neon lights”. The band know this. Their visual identity draws on an array of artists working with neon: Dan Flavin’s florescent lights, James Turrell’s “Raemar pink white”, Nathan Coley’s esoteric, and oddly-placed, Turner-shortlisted work, Bruce Nauman’s aphoristic signs, Chris Bracey’s neon pink colour palette, to just name a few – never mind the thousands of Tumblrs that undoubtedly inspired Healy’s aesthetics (their neon signs were exhibited at a show called Tumblr IRL). I see no reason why Otzen might not be similarly influenced by this artistic tradition.

Of course, The 1975 may be right: they have helped to popularise this particular vibe, moving it out of aesthetic corners of the internet and onto leaflets dropped through every letterbox in the country. But if mainstream organisations weren’t making vaguely cringeworthy attempts to jump on board a particular moment, how would we know it was cool at all?

Anna Leszkiewicz is a pop culture writer at the New Statesman.