Retail

How to reduce unemployment in the retail industry

In recent years, unemployment has become a pressing issue for the government. Less people out of work means fewer people claiming job seekers allowance and a rise in overall disposable income, both advantages for the state of the economy. With the closure of high street stores set to continue in 2019, and retail workers facing the highest levels of unemployment, it’s important that successful retailers do what they can do reduce unemployment in the industry — but how?

Disability and employment

To reduce the amount of people who are out of work down to a disability, The Minister for Disabled People, Health and Work launched a campaign in 2018 which retailers can voluntarily opt in to. It is called the “Disability Confident” employer scheme which provides employers with the skills, examples and confidence to recruit and develop disabled employees.

The government aims to see one million more disabled people in work by 2027 and this is a great opportunity for retailers who are doing well in the industry to expand their workforce. By looking at the Disability Confident list of employers that have signed up, we can see that branches of big names such as Asda, Barclays, and B&M Bargains are all committed.

A diverse workforce

It was reported in 2017 that retail companies in the FTSE 100 are ahead of other industries when it comes to gender diversity. Retailers should focus on broadening their selection process when it comes to the recruitment process. This can ensure that those who’ve lost a job in a retail position face equal opportunity when it comes to finding a new role.

If you encourage diversity in gender and cultural background when hiring, this will benefit your employees, and the business itself. Ultimately, when a workforce is representative of a customer base, it can lead to a better understanding of the target market and an improvement in business performance.

Training

For many retailers, the jobs of their in-store employees may be at risk whilst recruitment in their digital marketing and e-commerce teams are still growing. Therefore, an important consideration to make is whether retail employees should be trained in other areas of the business too. Or at least should their knowledge of the company and its products or services be valued so that their given the opportunity to progress in another area of the business after redundancy?

It is clear there are advantages and disadvantages to this idea, but it’s certainly something for retailers to think about before making mass redundancies across the business. Cross-discipline training can also encourage more loyal employees and therefore those who are more invested in the performance of the retail business as a whole.

Collaborations with charities

You can also reduce unemployment levels by collaborating with charities who are there to help those who are struggling to find work.

For example, partnering with a disabled or mental health charity can help you reach those who are out of work because of a disability or health issue and encourage them to apply.

Another example of this is men’s suits retailer, Charles Trywhitt. This company has a long-standing partnership with the Prince’s Trust which involves fundraising and a mutually beneficial relationship. This charity works closely with vulnerable young people who need a helping hand to get their lives back on track.

Charles Trywhitt took advantage of one of their “Get Hired” days — a day of greetings and interviews with young people who have been through The Prince’s Trust Programmes to get to know some potential employees.

 

It is clear there are a range of considerations that retailers are currently making or should think about when it comes to reducing unemployment. As some companies pave the way, it’s down to other industry players to make big changes too.

 

Sources

https://www.theguardian.com/business/2019/feb/27/retail-workers-facing-high-unemployment-thinktank-finds
https://www.theguardian.com/business/2019/jan/21/over-23000-shops-and-175000-high-street-jobs-predicted-to-go-in-2019
https://www.burton-sweet.co.uk/retailers-encouraged-to-employ-more-disabled-workers/
https://www.gov.uk/government/publications/disability-confident-employers-that-have-signed-up
https://www.ctshirts.com/uk/princes-trust-interview.html

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