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Work Foundation

@workfoundation.bsky.social
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The Work Foundation is a leading think tank for improving work in the UK. Part of Lancaster University Management School.

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Work Foundation @workfoundation.bsky.social · 18/09/2026
READ: Stabilisation is not recovery: what next for jobs, pay and living standards? Earlier this week, we hosted an online event to look at what the ONS labour market inflation statistics mean for workers, employers and the Government: www.lancaster.ac.uk/work-foundat...
lancaster.ac.uk
Stabilisation is not recovery: what next for jobs, pay and living standards? - Lancaster University
The UK labour market may be showing tentative signs of stabilising, but conditions remain challenging for workers and employers. The Work Foundation at Lancaster University hosted an online event to…
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Work Foundation @workfoundation.bsky.social · 16/09/2026
EVENT: Join us at 14.00 on Zoom for our next #WorkMatters event on how can Government boost jobs, pay and living standards as the UK labour market loses momentum? Sign-up: eventbrite.co.uk/e/work-matte...
WORK MATTERS 2026
14.00 - 15.00 | Wednesday 16 September 2026 | Online
How can Government boost jobs, pay and living standards?
The UK labour market is continuing to lose momentum. Unemployment has risen to 4.9%, while vacancies have fallen to their lowest level outside the pandemic for more than a decade.  Inflation remains above target and pay growth is slowing, raising concerns that progress on living standards could stall.

As politicians head for party conference season, and the Government looks ahead to the Budget, what does a cooling labour market mean for workers, employers and policymakers?

Ben Harrison
Director,
Work Foundation at Lancaster University

Nicola Parkinson
Group Head of People, Eric Wright Group

Sanjay Raja
Chief UK Economist, Deutsche Bank

Prof Hilary Ingham
Head of Economics, Lancaster University

Work Foundation logo
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Work Foundation @workfoundation.bsky.social · 10/09/2026
READ: Why place matters in the youth employment crisis Earlier this week with @centreforcities.bsky.social, we brought together regional leaders and experts to discuss how metro mayors can help tackle the youth employment crisis: www.lancaster.ac.uk/work-foundat...
lancaster.ac.uk
Why place matters in the youth employment crisis - Lancaster University
Centre for Cities and the Work Foundation at Lancaster University hosted an online event to discuss how metro mayors can help tackle the challenge of around a million young people across the UK not br...
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Work Foundation @workfoundation.bsky.social · 07/09/2026
EVENT: How can Government boost jobs, pay and living standards as the UK labour market loses momentum? Join us at 14.00 on Wednesday 16 September for our online Work Matters 2026 event, exploring the big challenges facing the UK labour market. Register: www.eventbrite.co.uk/e/work-matte...
WORK MATTERS 2026
14.00 - 15.00 | Wednesday 16 September 2026 | Online
How can Government boost jobs, pay and living standards?
The UK labour market is continuing to lose momentum. Unemployment has risen to 4.9%, while vacancies have fallen to their lowest level outside the pandemic for more than a decade.  Inflation remains above target and pay growth is slowing, raising concerns that progress on living standards could stall.

As politicians head for party conference season, and the Government looks ahead to the Budget, what does a cooling labour market mean for workers, employers and policymakers?

Ben Harrison
Director,
Work Foundation at Lancaster University

Nicola Parkinson
Group Head of People, Eric Wright Group

Sanjay Raja
Chief UK Economist, Deutsche Bank

Prof Hilary Ingham
Head of Economics, Lancaster University

Work Foundation logo
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Work Foundation @workfoundation.bsky.social · 02/09/2026
Online event: Join the Work Foundation & @centreforcities.bsky.social at 14.00 on 8 Sept to explore what Metro Mayors & mayoral authorities can do to tackle the youth inactivity challenge. We're delighted to be joined by Oliver Coppard (Mayor, South Yorkshire): us02web.zoom.us/webinar/regi...
Tuesday 8 September | 14.00 - 15.00 | Online

Reducing youth economic inactivity
The role of metro mayors

Oliver Coppard, Mayor of South Yorkshire — Keynote
Alice Martin, Head of Research, Work Foundation at Lancaster University
Elaine Bowker, Principal & Chief Executive, The City of Liverpool College
Michelle Burton, Head of Employment and Skills, West Yorkshire Combined Authority
Andrew Carter, Chief Executive, Centre for Cities (chair).

Work Foundation and Centre for Cities logos.
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Work Foundation @workfoundation.bsky.social · 27/08/2026
"And there is scope for Government to provide additional support to employers to improve recruitment, induction, mentoring and workplace adjustments to help ensure these workplace policies are not creating additional barriers to young people seeking work.” (8/8)
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Work Foundation @workfoundation.bsky.social · 27/08/2026
“In particular, to ensure the Jobs Guarantee genuinely strengthens the first rungs on the jobs ladder for young people it must create additional, secure jobs that provide realistic routes to sustained employment and progression. (7/8)
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Work Foundation @workfoundation.bsky.social · 27/08/2026
"Government and employers must therefore focus urgently on expanding the quantity and quality of entry-level opportunities available to them. (6/8)
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Work Foundation @workfoundation.bsky.social · 27/08/2026
"can be particularly demoralising. “This decline in employment opportunities is critical, as without improving young people’s access to secure jobs, it will be very challenging to sustainably reduce the number of young people outside the labour market. (5/8)
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Work Foundation @workfoundation.bsky.social · 27/08/2026
“And although nearly three quarters (73%) of employers recognise youth worklessness as a national crisis, over a third (36%) report having cut entry-level jobs in the last year. For young jobseekers, facing repeated rejection and struggling to secure a foothold in work... (4/8)
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Work Foundation @workfoundation.bsky.social · 27/08/2026
"Work Foundation research indicates the number of ‘starter’ jobs accessible to people entering work for the first time has fallen by 49% over the last decade, leaving only one starter vacancy for every three NEET young people nationally. (3/8)
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Work Foundation @workfoundation.bsky.social · 27/08/2026
"but it would be a mistake to assume this is a turning point as it remains 30,000 higher than a year ago. “Although more young people are now looking for work than a year ago, they are doing so at a particularly difficult moment to take their first steps into the labour market.
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Work Foundation @workfoundation.bsky.social · 27/08/2026
Comment from @benrharrison.bsky.social, on the latest NEET figures from @ONS: ⬇️ “Today’s figures indicate there are no quick fixes to the youth employment crisis facing the UK. The number of young people out of education, employment or training may have dipped just below one million (1/8)
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Work Foundation @workfoundation.bsky.social · 26/08/2026
Government must focus on creating more good-quality, additional jobs for young people – while helping employers, especially smaller firms, recruit and support them. This must include making the Jobs Guarantee bolder to support more young people into work. (7/7)
RECOMMENDATIONS
The Work Foundation is calling on the UK Government to make the Jobs Guarantee bolder by:
Focussing on good jobs: ensuring roles offer a living wage, training, security and clear progression.
Keep it voluntary: participation should remain a choice for young people
Prioritise additional, socially and locally useful work
Fund trusted local intermediaries that are well placed to support young people furthest from work
Provide practical wraparound support for employers.

Work Foundation and Lancaster University logos
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Work Foundation @workfoundation.bsky.social · 26/08/2026
Our analysis points to a capacity-opportunity gap: large employers are more able to support young people facing barriers, but are also much more likely to have cut entry-level roles. Smaller firms retain more routes in, but often lack capacity to provide support. (6/7)
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Work Foundation @workfoundation.bsky.social · 26/08/2026
Technology appears to be reshaping entry routes. 43% of employers say investment in AI or automation has reduced entry-level roles, rising to 60% among large employers. 44% have used AI or automated systems to screen applications. (5/7)
Technology appears to be reshaping routes into entry-level jobs 
43% of employers say investment in AI or automation has reduced entry-level roles, rising to 60% among large employers
44% have used AI or automated systems to screen applications for young people. 

Source: Work Foundation analysis of nationally representative Survation survey of 1,001 UK senior business leaders (May 2026)

Work Foundation and Lancaster University logos
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Work Foundation @workfoundation.bsky.social · 26/08/2026
Employers know they have a role to play. 76% say businesses have a responsibility to do more, while 59% offer placements, apprenticeships, internships or work experience and the same share provide feedback to unsuccessful young applicants. (4/7)
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Work Foundation @workfoundation.bsky.social · 26/08/2026
Nearly three quarters (73%) of employers say the number of young people not in education, employment or training is a “national crisis”. More than one million 16–24-year-olds are NEET – the highest number since 2013. (3/7)
Senior business leaders agreeing with the following statements 1. Young people aged 16–24 are generally ready for the world of work (agree)	60%
2. Young people today face greater barriers to entering work than five years ago (agree)	73%
3. The level of young people not in education, employment or training (NEET) is a national crisis (agree)	73%
4. Employers have a responsibility to do more to support young people into work (agree)	76%

Source: Work Foundation analysis of nationally representative Survation survey of 1,001 UK senior business leaders (May 2026)

Work Foundation and Lancaster University logos
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Work Foundation @workfoundation.bsky.social · 26/08/2026
Entry-level cuts are most common among medium-sized and large employers. Almost half of medium firms (48%) and large employers (46%) have reduced roles in the last 12 months, compared with 24% of small employers. (2/7)
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Work Foundation @workfoundation.bsky.social · 26/08/2026
Employers say youth worklessness is a national crisis – yet more than one in three (36%) have cut entry-level jobs for 16–24 year olds in the last year. Our new analysis reveals a continuing decline on routes into work. (1/7) Read: www.lancaster.ac.uk/work-foundat...
More than one in three (36%) employers have reduced the number of entry-level jobs available to young people aged 16-24 in the last 12 months.

This rises to almost half of medium-sized (48%) and large employers (46%)  – twice the rate of small employers (24%).

Source: Survation survey of 1,001 senior business decision-makers (May 2026)

Work Foundation and Lancaster University logos
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Work Foundation @workfoundation.bsky.social · 20/08/2026
The UK’s jobs drought isn’t just about how many jobs are available. It’s also about where new opportunities are being created – and who can access them. We look beneath the labour market figures to examine where jobs are growing and where they are disappearing: www.lancaster.ac.uk/work-foundat...
Chat showing sectors that are:
Declining but accelerating
Declining and slowing
Growing and accelerating
Growing but slowing
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Work Foundation @workfoundation.bsky.social · 10/08/2026
The Employment Rights Act 2025 will introduce new rights to guaranteed hours, reasonable notice of shifts and payment when shifts are cancelled or curtailed at short notice. But critical decisions remain for the Government. (3/3) Read: www.lancaster.ac.uk/work-foundat...
ALT TEXT: RECOMMENDATIONS. 1. The Government must define ‘reasonable’ notice of shifts as 28 days in advance and set out a requirement that employers must provide full payment for cancelling or curtailing shifts less than a week in advance. 2. The Employment Rights Act contains a new right to a contract reflecting guaranteed hours for workers on zero hour and low hour contracts. The Government must define what is meant by 'low hours' and ensure it is not set too low which would enable employers to sidestep the new right. 3. Enforcement through the Fair Work Agency must be adequately resourced and kept under ongoing review to ensure workers are empowered to take up their right to guaranteed hours contracts. Work Foundation, Lancaster University. Supported by TUC.
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Work Foundation @workfoundation.bsky.social · 10/08/2026
Through interviews and seven-day digital diaries our research highlights four features of life on a zero-hour contract: 1. Work-life chaos 2. Financial insecurity 3. Power imbalance 4. Workers are 'living in limbo' (2/3).
ALT TEXT: Zero-hour contract workers feel in limbo. “I think my life would feel a lot less chaotic if I had a regular work schedule.” - Emma, 25, Bartender. “People on zero-hour contracts have no status.” - Amna, 36, Supply Teaching Assistant. “Wish life could just have a bit more structure and less stress, having a specific contract at work would really help with that." - Michelle, 39, Waitress. Work Foundation, Lancaster University. Supported by TUC.
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Work Foundation @workfoundation.bsky.social · 10/08/2026
📢 A record 1.24 million people are employed on zero-hour contracts. Our new report, supported by @tuc.org.uk, shows that many workers are trapped in a cycle of unpredictable hours, financial insecurity and one-sided flexibility (1/3). Read➡️ www.lancaster.ac.uk/work-foundat... Video⬇️
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Work Foundation @workfoundation.bsky.social · 31/07/2026
🏆️ This month’s #ResearchoftheMonth goes to @resolutionfoundation.org for their report on what policies can incentivise employers to hire more young people. It looks at whether Government policy has made it too expensive to hire young people. Read: www.resolutionfoundation.org/publications...
Resolution Foundation

Take a chance on me
How can employers be incentivised to employ NEETs?

Nye Cominetti, Julia Diniz, Lindsay Judge, Imogen Stone, Greg Thwaites
June 2026Summary of demand-side policy reforms current, and recommendation extensions.
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Work Foundation @workfoundation.bsky.social · 29/07/2026
Workplace health support is often weakest where workers may need it most. Access to support is shaped by the size of an employer, the nature of a job and who makes up the workforce. The result is health provision often compounds existing inequalities. Read: www.lancaster.ac.uk/work-foundat...
The availability of healthcare support varies for different groups, with better-than-average support for large and medium businesses, those with high revenues, and those with few low-income staff; and worse-than-average support for those with majority young, female, low-income or older staff, and smaller businesses. Work Foundation Lancaster University Centre for Organisational Health & Well-being
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Work Foundation @workfoundation.bsky.social · 27/07/2026
📖 Where you live can shape whether you find work and what it feels like to be shut out. Young people’s prospects are shaped by the strength of their local economy, the jobs available nearby, transport connections and the support they can access. Read: www.lancaster.ac.uk/work-foundat...
The availability of jobs per NEET young person and varies by English region. North East 6.4 and East Midlands 5.1 are the highest.

Work Foundation
Lancaster Management School
With thanks: Liverpool City Council
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Work Foundation @workfoundation.bsky.social · 21/07/2026
Today’s ONS labour market figures may look stable, but beneath the headline data the new Government faces three major challenges: falling real pay in the private sector, fragile household finances and rising youth unemployment. Read our analysis: www.lancaster.ac.uk/work-foundat...
lancaster.ac.uk
The three key labour market challenges facing the new Government - Lancaster University
While it’s all change in Number 10 Downing Street, today’s labour market figures indicate a stable labour market with headline employment, unemployment and inactivity rates largely unchanged. However,...
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Work Foundation @workfoundation.bsky.social · 21/07/2026
"Improving education and employment support will only go so far without concerted action to create more good-quality jobs and give young people a clear route into secure and sustainable work.” (9/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
“While the Government is right to focus on making the education system work better, it must also focus on the demand side. (8/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
"Young jobseekers face an acute shortage of opportunities with starter job vacancies down by almost half over the past decade. This is especially significant in the North East & East Midlands, underlining how a young person’s prospects can depend heavily on where they live. (7/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
“While unemployment has remained unchanged at 4.9%, the labour market is proving particularly unforgiving for young people aged 16 to 24. Youth unemployment now stands at 16.4%, its highest level for 11 years, with around one in six young people seeking work. (6/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
"low-income households that are likely to be hit hardest and short-term interventions must be matched by a credible plan to deliver secure, well-paid work and stronger growth in every part of the country. (5/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
“The Government’s announcement to remove VAT from household electricity bills is a good first step to provide vital breathing space for workers struggling to make ends meet. But with inflation expected to rise in the coming months, Ministers must go further to support (4/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
"(in constant 2026 prices) than a year earlier. “Work Foundation analysis suggests just one in five businesses are planning inflation-beating pay rises in 2026, indicating cost of living pressures could intensify in the months ahead. (3/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
“Pay growth across the economy continues to slow but living standards are coming under renewed pressure for private sector employees. Since October 2025, private sector wages have failed to keep pace with rising prices and average real weekly earnings are £1.75 lower (2/9)
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Work Foundation @workfoundation.bsky.social · 21/07/2026
Comment from @aman93.bsky.social, on the latest labour market figures from the ONS⬇️ “Today’s figures expose the scale of the labour market challenge facing the new Prime Minister, as private sector pay falls in real terms and youth unemployment reaches an 11-year high.” (1/9)
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Work Foundation @workfoundation.bsky.social · 17/07/2026
Government cannot rely on employers alone. We’re calling for targeted pay rises for the lowest paid, support with essentials such as transport and childcare, and properly funded plans to create secure, well-paid jobs. Read our write-up: www.lancaster.ac.uk/work-foundat...
lancaster.ac.uk
Renewed squeeze: How employer’s and Government can respond to rising prices and falling living standards in 2026 - Lancaster University
As Andy Burnham MP prepares to enter Downing Street, rising prices and faltering wage growth are pushing workers into a renewed cost of living squeeze.
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Work Foundation @workfoundation.bsky.social · 17/07/2026
A weaker labour market is also shifting the balance of power at work. Vacancies are at their lowest since 2021, while 12% of employers have made redundancies because of rising costs and 13% have cut staff hours. (6/7)
Cost pressures are impacting employers and workers

One in eight (12%) employers say they have had to make redundancies due to rising costs 

13% have had to cut the hours of existing staff.

Source: Survation survey of 1,001 senior business decision-makers (May 2026)

Work Foundation and Lancaster University logos
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Work Foundation @workfoundation.bsky.social · 17/07/2026
But support is uneven. One in seven employers (15%) plan no new cost of living support in 2026, rising to 29% among firms with fewer than 50 staff. Smaller businesses often want to do more but have far less financial headroom. (5/7)
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Work Foundation @workfoundation.bsky.social · 17/07/2026
Most employers are trying to help. 82% plan some form of financial wellbeing support, including extending benefits packages (27%), offering more flexibility over work and benefits (26%), and providing overtime (24%). (4/7)
Above inflation pay rises (22%)
Eight in ten employers are supporting staff with rising costs. The key support measures are:

Offering flexibility on working patterns (26%)

Offering overtime (24%)


Source: Survation survey of 1,001 senior business decision-makers (May 2026)
Extending benefits packages (27%)

Work Foundation and Lancaster University logo
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Work Foundation @workfoundation.bsky.social · 17/07/2026
Household resilience is stretched as average real regular pay increases have risen by just 0.1% as inflation remains high. ONS data shows 1 in 3 people (34%) say they are struggling to afford energy bills, while 25% would be unable to cover an unexpected £850 cost. (3/7)
89% of UK adults say the cost of living is the biggest issue facing the UK
one in three people (34%) said they were struggling to afford energy bills
one in four (25%) could not cover an unexpected £850 cost.
Source: ONS Public opinions and social trends, Great Britain: June 2026
Work Foundation and Lancaster University logos
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Work Foundation @workfoundation.bsky.social · 17/07/2026
A representative survey of 1,001 senior business leaders, conducted with Survation, finds planned above-inflation pay rises fall to just 16% among firms with fewer than 50 staff, where financial pressures are often most acute. (2/7)
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Work Foundation @workfoundation.bsky.social · 17/07/2026
Workers face a renewed cost of living squeeze as rising energy bills, stalling wage growth and a weakening labour market leave households exposed. New analysis finds just 22% of employers plan inflation-beating pay rises in 2026. Read (1/7): www.lancaster.ac.uk/work-foundat...
Only one in five employers are planning to provide pay rises above inflation this year. 

This falls to one in six (16%) for businesses with less than 50 employees. 
22%

Source: Survation survey of 1,001 senior business decision-makers (May 2026)

Work Foundation and Lancaster University logos
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Work Foundation @workfoundation.bsky.social · 06/07/2026
How can the UK build mentally healthy workplaces? With 2.8m people out of work due to ill health, employers must move beyond one-off wellbeing initiatives and focus on prevention, job design and support for line managers. Our latest Work & Health Summit blog: www.lancaster.ac.uk/work-foundat...
lancaster.ac.uk
Opinion - Lancaster University
Blogs and Opinion pieces from the Work Foundation; the leading think tank for improving work in the UK.
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Work Foundation @workfoundation.bsky.social · 03/07/2026
Can the UK keep up momentum on healthier working lives? With 2.8m people economically inactive due to ill health, prevention, good job design and practical support for employers must be at the heart of reform. Read more:
lancaster.ac.uk
Can the UK keep up momentum on healthier working lives? - Lancaster University
The UK continues to face a significant crisis at the intersection of health and work, with health-related economic inactivity close to 2.8 million people. The Government has accepted the Keep Britain…
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Work Foundation @workfoundation.bsky.social · 02/07/2026
EVENT: Join us on Tues 14 July at 14.00 to discuss new research into how zero-hour contract workers experience insecurity, flexibility & unpredictability in their working lives, & how different policy choices could shape the future of work for workers: www.eventbrite.co.uk/e/in-limbo-t...
14.00 - 15.00 | Tuesday 14 July 2026 | Online
In limbo? The experiences of zero-hour contract workers
The UK Government came into office pledging to end one-sided flexibility by banning 'exploitative' zero-hour contracts. The Employment Rights Act 2025 will introduce new rights to guaranteed hours, reasonable notice of shifts, and compensation when shifts are cancelled, moved or curtailed at short notice. The Government is currently consulting on how these measures will operate in practice before they come into force in 2027.

Join us to discuss new research into how zero-hour contract workers experience insecurity, flexibility and unpredictability in their working lives, and how different policy choices could shape the future of work for these workers.

Speakers include Alice Martin (Work Foundation), Tim Sharp (Trades Union Congress (The TUC)) and George Williams (Work Foundation).

Work Foundation logo.
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Work Foundation @workfoundation.bsky.social · 01/07/2026
At a time when work and health is central to the UK’s growth agenda, this research will provide vital evidence for employers and policymakers on how to move from reacting to ill health, towards preventing it. (3/3) Read more: www.lancaster.ac.uk/work-foundat...
lancaster.ac.uk
Lancaster to lead £1.8 million project to promote healthy work environments and sustainable work - Lancaster University
Lancaster is to lead a team of universities in a £1.8 million project, exploring how to promote sustainable work through healthy psychosocial work environments.
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Work Foundation @workfoundation.bsky.social · 01/07/2026
The three-year project will examine how work is designed, organised and managed — and what the UK can learn from policy and practice here and internationally to support healthier, fairer and more sustainable jobs. (2/3)
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Work Foundation @workfoundation.bsky.social · 01/07/2026
We are pleased to support a new £1.8m @NIHRresearch funded research programme led by Professor Stavroula Leka at @LancasterUni, exploring how healthier psychosocial work environments can promote sustainable work and prevent poor mental health. (1/3)
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