Skills Development Scotland and Fife Council workshop Friday 19 March 2010 Venue: Kingdom House Saltire Centre Glenrothes KY6 2AQ FIFE/SKILLS DEVELOPMENT SCOTLAND “TOWARDS A SERVICE DEVELOPMENT AGREEMENT” ‐ PARTNERSHIP WORKSHOP FRIDAY 19th MARCH 2010 PARTICIPANT BRIEFING PACK This pack has been prepared to support the Fife partnership workshop involving key staff from Fife Council, Skills Development Scotland, and a variety of other active partners within the local Community Planning mechanisms. The pack contains a series of background papers, key data/information summaries, and a suggested framework from which to agree how SDS can most effectively align its activities with those of other partners. Contents include: 1. The workshop programme 2. Fife Council Briefing Note 3. Briefing note 1 – which summarises key real time data relevant to partner activities in Fife 4. Briefing note 2 ‐ a summary of: the relevant local outcomes within the current SOA and the 7 SDS corporate outcomes 5. SDS delivery sites within Fife, and the lead SDS contact officers 6. The draft Service Delivery Agreement template (which will provide the key focus for workshop discussions) 7. The SDS Fife Briefing (December 2009) Collectively, these documents will inform and provide the backdrop for the workshop discussions. WORKSHOP PROGRAMME “TOWARDS A SERVICE DELIVERY AGREEMENT” FIFE/SKILLS DEVELOPMENT SCOTLAND WORKSHOP FRIDAY 19th MARCH: 2PM – 5PM 2.00: welcome, introductions and expectations, and workshop objectives 2.15: the building blocks ‐ short presentations by: • Skills Development Scotland • Fife Council 2.45: towards a service delivery agreement 3.00: local priority issues and actions to capture in the agreement • Information, advice and guidance • Skills development opportunities including literacy and numeracy • Curriculum for Excellence, 16 Plus Learning Choices and MCMC • National training programmes • Key sector/industry support • Employer engagement • Workforce development ‘gap’ 4.15: moving forward – developing and agreeing a service level agreement 4.45: conclusions and next steps 5.00: close FIFE COUNCIL BRIEFING NOTE TOPIC: Skills Development Scotland Workshop with Fife Partners – Friday 19th March ‐ 2pm to 5pm at Kingdom House, Glenrothes PREPARED FOR: Workshop Participants PREPARED BY: Anne Macintyre, Team Leader Partnership and Employability, Development Services, Fife Council DATE PREPARED: 9 March 2010 BACKGROUND: A meeting was held on 25 January 2010 involving Damien Yates, Ronnie Hinds and Senior Officers from SDS and Fife Council to discuss how to draw up a Service Delivery Agreement within the context of Fife’s Single Outcome Agreement. It was agreed that the best approach was to set up a workshop through the Opportunities Fife Strategic Group with input from Education and Fife Economy Partnership. A number of key themes were identified including: Information, advice and guidance Skills development opportunities including literacy and numeracy Curriculum for Excellence, 16 Plus Learning Choices and MCMC National training programmes Key sector/industry support Employer engagement Workforce development ‘gap’ This briefing note outlines local priorities in relation to the above key themes in preparation for the workshop. • • • • • • • Key documents to be circulated with this briefing note are Opportunities Fife Strategy and Fife Economic Strategy. ISSUES: 1. Information, advice and guidance The Council is committed to targeting services to those most disadvantaged in the labour‐market. At a time of economic recession, availability of quality Information, Advice and Guidance services which are genuinely accessible to all is increasingly important and in particular, to adults who are coping with barriers to employment. It would be helpful to have clarification on the extent of SDS’s role and commitment to working with this client group. For many adults, particularly those with low skills and qualifications, the journey back to or in and out of work will involve acquisition of core and vocational skills through participation in flexible Community Based Learning (CBAL) programmes. Integration of IAG within these programmes to support effective client progression has been identified as a priority for CLD partners involved in delivery of CBAL and we would welcome the opportunity to work collaboratively with SDS to build capacity within the partnership to deliver an appropriate level of IAG services to an identified quality standard. The Council has a lead role on the implementation of an Outreach & Engagement Strategy for Employability on behalf of the Opportunities Fife Partnership. The delivery model for the strategy takes services into local communities and targets those coping with barriers to employment, many of whom may find it difficult to access IAG services through more mainstream methods. Development of effective partnership working with agencies such as SDS and JCP is recognised as critical to the success of the strategy and this is being progressed under the auspices of the Opportunities Fife Client Engagement & Progression Delivery Group which is Chaired by the local SDS Manager. Again, some clarification on SDS’s role in supporting delivery of Outreach & Engagement services would be helpful in informing future developments. 2. Skills development Skills development is a strategic priority within the Opportunities Fife Strategy and a key action is to prepare a skills action plan so that local people can be prepared to capitalise on employment opportunities afforded by major capital projects such as second Forth crossing, CVF Aircraft and key growth sectors including renewables, tourism, retail, care and sustainable construction. The first stage in preparing this action plan is to undertake a skills review – focussing initially on Renewables but followed up by a broader review to identify Fife’s future skills requirements. The advice and support of SDS colleagues in this exercise will be crucial to ensure we capture relevant local, national and international information and perspectives. 3. Literacy and Numeracy The Fife Literacies Partnership, represented by private and public sector organisations since 2001, has successfully provided literacy and numeracy support across Fife. Partners work with around 4500 literacies learners per annum of whom approximately 70% are new learners. SDS has continually been involved within the Fife Partnership under the banners of Careers Scotland and Scottish Enterprise Fife and is currently represented on the Literacies Operational Group. The Council, as lead partner has applied particular priority and support to the literacies strategy, ensuring that appropriate funding was made available to the partnership. In terms of skills development, the partnership has continued to provide literacy and numeracy support for those either seeking work or employed. Particular success was achieved by the Fife Partnership for Essential Workplace Skills, a consortium of the Fife Literacies Partnership that ran a pilot project between 2007‐2008. Designed to focus on employer/employee engagement and awareness‐ raising, the project engaged with 51 employers and 664 employees. As a result of this, 329 employees participated in workplace delivered projects. This project, funded by Learning Connections and promoted by the Scottish Government, produced outstanding results in terms of developing a more comprehensive, Fife‐wide and co‐ordinated approach to raising employer awareness of literacies issues and engaging them with workplace literacies support. Building on the Essential Workplace Skills initiative, the partnership has continued to support skills development through Literacies Challenge Funded projects run by private and public sector partner organisations. Recent and current dedicated workforce projects include the Fife Fire and Rescue Service; Kingdom Homes Care Workers, Ingenico, Ark Housing Care workers and Fife Council Environmental Service Operatives. The Fife Council ESOL Service plays an important role in provision of literacies support to employees, whose first language is not English supported by funding from the Literacies budget, ESF projects and from Council budgets. In addition to this there are many employed learners participating in College‐ run Challenge funded projects and integrated courses. The current Literacies Action Plan, covering the period 2009‐2011 includes workplace/skills development. Outcome three of its targets aims to maintain the number of employed literacies learners and the number of employers supporting literacies learning. The partnership aims to deliver literacies to employed learners within both workplace and educational environments. Outcome five of the Literacies Action Plan aims to increase the number of young people within the age group of 16‐25 engaged in literacies provision. This will support the More Choices More Chances and 16 Plus Learning Choices programmes. There has been an increase in literacies provision for young people through the new Challenge funded Rathbone Training project and continuation of the IDTC Limited project. Both of these provide skills development for those young people that need support at pre‐entry and early entry into the workplace. In addition to the workplace literacies aspect, the Literacies Partnership has prioritised delivery in Scottish Index of Multiple Deprivation (SIMD) data zones. Outcome two of the Action Plan aims to maintain the level of dedicated literacies provision, with specific focus on areas with the greatest social need. The Challenge Fund scoring system is weighted to encourage providers to support delivery in these areas. In addition to the direct delivery of literacies provision the partnership provides staff training in literacies primarily through Fife Council ABE. ABE are an Accredited SQA Training Centre for the delivery of the PDA ITALL, PDA Dyslexia and 2 new HN Units in Tutoring Numeracy in Adult Literacies. Carnegie College also deliver the PDA Dyslexia. 4. Curriculum for Excellence, 16 Plus Learning Choices and MCMC The Fife response to MCMC has been developing since 2007. This has always been based on a strong strategic partnership involving FC, Third Sector, SDS and Fife Colleges in particular. As a result of significant work in this context, Fife has been able to set up a short term (until March 2011) 16+ LC Project Team to further develop a process based on school 16+ LC teams, key workers, post school transition groups and a strong Activity Agreement provision. SDS makes a significant contribution to this process and although developing, a number of aspects still require discussion and clarity ‐ the status of Activate Programmes (presently in 9 out 19 secondary schools. the role of SDS key workers and 16+ Transition Workers in the AA process the use of INSIGHT in relation to school 'offers' spreadsheets access to INSIGHT SDS Case Management 5. National training programmes • • • • • Fife partners welcomed the consultative approach adopted by SDS in preparing Demand Statements for national training programmes to shape the provision for 2010/11. Although timescales were extremely tight this year the strategic partnership structures in place through Fife Economy Partnership and Opportunities Fife provides an effective mechanism for consulting on design of future provision. 6. Economic Development Strategy and Key sector/industry support Fife Economic Strategy 2009 – 2020 outlines our priorities under the following six outcome themes: Outcome Theme: More Dynamic Businesses Priorities – how we’ll make a difference • Continue the reorganisation of Business Gateway to streamline business support services in Fife and align more effectively with partners • Implement enterprise actions arising from the Fife Culture of Enterprise Framework • Utilise the Fife Investment Fund to explore partnership with other Local Authorities to attract greater EU funding • Improve processing times for business planning applications • Harness the Fife Council trade exhibition programme to generate better business opportunities locally, nationally and internationally • Utilise the Supplier Development Programme to enhance supply chain procurement opportunities for Fife‐ based companies Outcome Theme: Extended Employment and Skills Opportunities Priorities – how we’ll make a difference • Restructure opportunity centres to become a flexible network of seamless employability support services under the ‘Opportunities Fife’ brand • Improve accessibility and targeting of employability services in deprived areas of Fife • Build on partnership working activities between Jobcentre Plus, Skills Development Scotland and Fife’s educational institutions to maximise employability efforts • Widening opportunities for engaging those without work in activities that will move them towards training and employment – particularly those who are furthest from the labour market • Expanding locally based degree level provision in Fife and ensuring that there are graduate level job opportunities available in Fife • Capitalising on training and employment opportunities afforded by major capital projects, such as the second forth crossing and the CVF Aircraft Carriers Outcome Theme: A Modern Business Infrastructure Priorities – how we’ll make a difference • Maintain an effective supply of employment land for Fife • Remediate key employment land sites in Fife to stimulate inward investment and support business expansion • Capitalising on the opportunities for training, employment and supply chain business growth from major capital projects in Fife such as the new Forth crossing and the Rosyth Multi‐Modal Container Terminal • Stemming retail leakage to competitive centres outwith Fife • Supporting renewable energy infrastructure projects such as the thermal biomass projects currently being developed by the private sector • Support the development of innovative cross‐forth travel Outcome Theme: Improved Knowledge and Research Base Priorities ‐ how we’ll make a difference • Business Gateway will provide support to stimulate and encourage innovation and growth in Small to Medium‐ sized Enterprises (SMEs) • Provide business research facilities for renewable energy to help facilitate the commercialisation of research in developments such as the Hydrogen Office, Methil • Establish a knowledge‐transfer network between local companies and educational institutions across Fife • Assist businesses to access national and other funding for research and development activities by better integrating services across public sector agencies, including St Andrews University and Fife’s colleges • Work in partnership with Scottish Enterprise to attract and retain more graduates to Fife‐based businesses, through the Fife Culture of Enterprise Framework • Continue to develop science and technology links within and outwith Fife by the creation of a science park associated with the University of St Andrews Outcome Theme: Business and Employment Growth in Key Sectors Priorities – how we’ll make a difference • Supporting renewable energy projects to transform Fife’s economy for the future and become a leading Scottish centre within the sector and creating or safeguarding 2,000 green jobs • Implement a multi‐agency approach to align skills development and business growth in Fife’s renewable energy sector • Ensuring that the right support structure is in place for tourism businesses to contribute to overall growth and provide business development and networking opportunities within the tourism business community • Use the ‘Promoting Fife’ initiative to provide targeted and customer‐focused tourism marketing that complements activities by partner organisations, such as VisitScotland • Maintain existing strengths and develop network activity in financial and business services, construction, creative industries and IT and technology • Connect niche sectors in Fife to city region activities to benefit from economies of scale Outcome Theme: Stronger Communities through Regeneration Priorities – how we’ll make a difference • Ensure renewable energy developments create employment and training opportunities to enhance the regeneration of deprived areas • Development and expansion of social enterprises as a key part of the local economy and job market in priority areas. This support will include tailored events and support with funding applications. • Tackling inequalities through regeneration and promotion of communities by investing in town centres will help to improve priority areas • Develop business incubation units in other priority areas, building on the success of recent provision in Kirkcaldy and Methil. • Delivering ‘Be Your Own Boss’ programmes throughout priority areas • Continuing to support town centre partnerships including Town Centre Management; Business Improvement Districts; and Business Associations, to ensure that businesses are stakeholders in the future of their town centre 7. Employer engagement More co‐ordinated employer engagement is a key priority for Opportunities Fife and an Employer Engagement Group (including SDS area manager) has been established to drive forward priority actions as follows: Develop an Opportunities Fife ‘employer offer’ and work proactively with employers to create employment pathways for key client groups • Capitalise on employment opportunities afforded by major capital projects such as second Forth crossing, CVF Aircraft and key growth sectors including renewables, tourism, retail, care and sustainable construction • Working proactively with public sector agencies as significant employers of target client groups • Deliver a responsive redundancy support service through PACE (Partnership Action for Continuing Employment) • Introduce measures to increase job sustainability and increased retention levels including vocational rehabilitation – see 5.8. • Create transitional employment opportunities through Future Jobs Fund, Community Task Force and Fife Intermediate Labour Market to prepare people for future jobs. 8. Workforce development • In addition to the workforce development support identified within Fife Economic Strategy, Opportunities Fife partners have applied for ESF Priority 2 funding for ‘Upskilling the Workforce’ programme and if successful will work with economic development, Business Gateway and employers to deliver this. We are also keen to address ‘in‐work’ poverty recognising that the average wage in Fife is significantly lower than the Scottish average and are using Fairer Scotland Funding to pilot approaches through ‘Making Work Pay’ linked to a workforce development initiative with Fife Works through which ILA’s are extensively promoted. There are also opportunities for workforce development within ‘Health Works’ – the Government’s review of the Healthy Working Lives Strategy which highlights new drivers to bring employability and health closer together linking NHS services and local employability services. Fife Council and NHS Fife will be drawing up an action plan to address the challenges presented through Health Works including improving retention rates for employees with health issues. It would be helpful to know specific areas of support that SDS can provide in developing services to employers including workforce development. BRIEFING PAPER 1: SUMMARY OF KEY DATA School leaver destinations 2008‐09 • A total of 3,888 young people left schools in Fife in 2008‐09. Of these, 85.7% left to a positive destination, and 14.3% to a negative, or unknown destination, both equalling the average rates across Scotland. The numbers entering a positive destination fell by 0.6% since 2007‐08, just lower than the decline of 0.8% in Scotland • There was a marked decrease in the number of leavers entering employment, dropping by 5.3% since last year to 12.9% in 2008‐09, the lowest level in 10 years, and considerably lower than the national average of 18.4% across Scotland • Reflecting the national trend, the proportion of school leavers entering further and higher education however, rose by 4.9% to 68.9%, its highest level in a decade. Amongst these, Fife had the highest percentage of leavers entering further education in Scotland • 12.1% of leavers in Fife were unemployed and seeking employment or training. This was 1.4% higher than the previous year, and above the national rate of 11.5% • 1.7% of leavers were unemployed and not seeking employment or training, just above the national rate of 1.6%. A further 0.6% of school leavers in Fife had unknown destinations, compared to 1.2% across Scotland National Training Programme: results for the first half of 2009‐10 • There were 1,052 new starts on training programmes in Fife between the 1st April and 25th September 2009, and a total of 2,531 trainees in training at the end of that period • The biggest number of trainees were in Modern Apprenticeships (MA)16‐19, accounting for 57.2% of the total in training. MA 20+ accounted for 18% of trainee numbers, Skillseekers accounted for 13.5%, and Get Ready for Work (GRfW) for 6.4% of trainees. Training for Work (TFW) and Lifeskills were the smallest programmes, with 4% and 0.9% of total trainee numbers • A total of 676 outcomes were achieved by trainees on national training programmes between 1st April and 25th September 2009. These included qualifications, progression to another training programme or into education, job outcomes, and retention or sustained job outcomes The More Choices More Chances (MCMC) group • The MCMC group comprise young people aged 15‐19 who are either unemployed and seeking employment/training, or who are economically inactive. At 16th November 2009, a total of 695 young people (known to SDS) were “unemployed and seeking”. 41% of this group were aged 17, 36% aged 15/16, and 23% aged18/19. 57% of the group were male and 43% female. 81% of the group had been unemployed for under 3 months, 15% had been unemployed for 3‐6 months, and 4% had been unemployed for 6 ‐12 months The School College Collaboration (SCC) Project • The SCC project works directly with S2‐S5 pupils and partners to ensure vocational study at school and post school learning activities are given equal status with other school/post school options • Results from year 3 show that SCC pupils in Fife are more likely to enter learning opportunities, particularly further education and training, and are less likely to be unemployed. Overall, 12% more SCC pupils entered positive destinations than the mainstream statutory leavers cohort. SCC is also shown to have increased awareness and understanding of learning opportunities amongst Fife pupils and is perceived to have had significant influence on pupils career plans, as well as increasing pupil confidence Full details of the above sets of data can be found at the following link on the SDS web‐site: http://www.skillsdevelopmentscotland.co.uk/briefings.aspx BRIEFING PAPER 2: SUMMARY OF RELEVANT LOCAL OUTCOMES AND ISSUES This briefing note summarises the key starting points to develop robust strategic linkages. These will inform the process to align SDS activities with those of the local authority and other Community Planning partners. Two related sets of outcomes are suggested as important starting points: (a) the local outcomes from the SOA of most relevance to SDS activities, and (b) SDS’s initial corporate outcomes1. The suggested format for a local partnership delivery agreement will build on the linkages apparent between these lists. This is reflected in the proposed Service Delivery Framework contained later in this pack. Single Outcome Agreement for Fife 2008‐11 ‐ related local outcomes • Economy Outcome 1: A dynamic business base and a skilled workforce • Economy Outcome 2: Success in key sectors of the economy • Economy Outcome 3: A knowledge Economy • Economy Outcome 4: Pathways to employment • Learning Outcome 3: Promoting educational achievement • Environmental Outcome 1: Less waste • Best value and excellence for Fife SDS corporate outcomes 1. More people progress, achieve and sustain positive destinations 2. Employers are more productive as a result in the skills and development of their employees 3. More effective labour supply 4. Equalities in learning and employment are improved across Scotland 5. SDS is valued by, and has a strong reputation with, customers and key stakeholders 6. SDS influences and stimulates a high performing skills system 7. SDS achieves its goals and delivers its services in ways that minimise environmental impacts 1 These may be refined in the course of the planning cycle. SDS LEAD CONTACTS/DELIVERY BASES Local Authority SDS Region Head of Region Area Manager Fife North East Gordon MacDougall Grant MacDougall [email protected] [email protected] Tel: 07771 943650 Tel: 01592 623028 Mob: 07736 364501 SDS main delivery centres Opportunity Centre, 12 Whytescauseway, Kirkcaldy KY1 1XF Tel: 01592 583345 Careers Scotland Centre, 15 East Port, Dunfermline, K12 7JG Tel: 01383 602378 Kingdom House, Saltire Centre, Glenrothes, Fife KY6 2AQ Tel: 01592 631155 DRAFT SERVICE DELIVERY AGREEMENT TEMPLATE The attached tables contain the framework for the draft Service Delivery Agreement between Skills Development Scotland and Fife Council for 2010‐11. This has been established as a result of a series of developmental discussions involving national and local SDS staff, and officers from the Council and other Community Planning partners. The format of the template has been taken from the joint SOLACE/Improvement Service good practice note on the use of outcome indicators within SOAs. The agreement has been developed to add value to a range of existing planning mechanisms, and in particular its format is designed to enable consistency and “read across” with the wider Single Outcome Agreement framework now in place. The agreement is intended to embed and clarify the contribution of the services and activities of SDS within the collective efforts of all local partners to address skills, learning and employability issues. It is focused on ensuring these combine to maximum effect to address locally identified priorities. At this stage the draft contained overleaf has mapped and correlated relevant national outcomes, and related local outcomes, and cross referenced these to SDS’s corporate objectives. Key generic SDS inputs and activities are also listed to aid developmental discussions within the workshop. The potential contribution of these, and how they can best combine with other partner activities, will be considered as appropriate within the workshop discussion session on key local issues. It is intended the workshop itself will make further progress in completing the template, and also identify how elements that cannot be completed on the day will be finalised. This will ensure a strong developmental dynamic in the process. The agreement will be used both as a review tool, and as the basis for the further development of joint working. Through application it will continue to be refined, and provide a solid foundation to integrate the ongoing work of SDS within the next generation of SOAs from 2011. Both SDS and Councils are committed to establishing the initial SDA by the end of March 2010. DRAFT Format for SDS Service Delivery Agreement for Fife Produced by: Date: Local Outcome Economy Outcome 1 A dynamic business base and a skilled workforce Economy Outcome 2 Success in key sectors of the economy Economy Outcome 1 A dynamic business base and a skilled workforce Economy Outcome 3 A knowledge economy Learning Outcome 3 15/03/2010 National Outcome 2. We will realise our full economic potential with more and better employment opportunities for our people. SDS Outcome/s SDS Inputs SDS Activities Employers are more productive as a result of investment in skills and development of their employees Chairing and contributing to PACE activities • • Local investment via national training programmes • SDS Key Sector Team 3. We are better educated, more skilled and more successful, renowned for our research and innovation 4: Our young people are More effective labour supply More people progress, achieve and sustain positive destinations All age careers guidance services SDS Key Sector Team Employers are more productive as a result of investment in skills and development of their employees Learn Direct helpline Equalities in learning are Local investment via national All age careers guidance services • • • • PACE co-ordination General careers guidance services and specific supports such as Careers Match and CV builder Local delivery of: Modern Apprenticeships; Get Ready for Work; Training for Work; and Skillseekers – with focus where appropriate on key sectors Scottish Employer Service Skills Gateways (Spring 2010) Skills for Growth (Summer 2010) Integrated Employment & Skills service in partnership with JCP (Summer 2010 rollout) • • My Learning Space (Summer 2010) My Learning Coach (Summer 2010) • • • • Scottish Employer Service Skills Gateways (Spring 2010) Skills for Growth (Summer 2010) Integrated Employment & Skills service in partnership with JCP (Summer 2010 rollout) • Local delivery of: Modern Apprenticeships; Get Ready for Work; Training for Work; and SDS Outputs Progress Against Outcomes X level 2 qualifications achieved Number of young people entering positive outcomes achieved as a result of participation in NTP’s Progress Against Long Term Outcomes An increase in economic activity rates DRAFT Format for SDS Service Delivery Agreement for Fife Produced by: Date: Promoting educational achievement successful learners, confident individuals, effective contributors and responsible citizens. improved across Scotland training programmes Targeted careers guidance services Individual Learning accounts Access to SDS branded learning centre network Learn Direct helpline Big Plus helpline 15/03/2010 • • • Skillseekers – with focus where appropriate on key sectors Targeted careers guidance services and specific supports such as Careers Match Scotland; and CV builder MCMC group targeting in schools Integrated Employment & Skills service in partnership with JCP (Summer 2010 rollout) • Utilisation/development of local branded learning centres • • • Promotion, allocation and monitoring of ILAs Use of Learn Direct helpline Big Plus local promotion and referral rates DRAFT Format for SDS Service Delivery Agreement for Fife Produced by: Date: Economy Outcome 4 Pathways to employment 7. We have tackled the significant inequalities in Scottish society Equalities in learning are improved across Scotland Local investment via national training programmes Targeted careers guidance services Individual Learning accounts Access to SDS branded learning centre network Environment Outcome 1 Less waste 14. We reduce the local and global environmental impact of our consumption and production SDS achieves it’s goals and delivers it’s services in ways that minimise environmental impacts Best Value and Excellence for Fife 15: Our public services are high quality, continually SDS is valued and has a strong reputation with customers and 15/03/2010 • • • • Local delivery of: Modern Apprenticeships; Get Ready for Work; Training for Work; and Skillseekers – with focus where appropriate on key sectors Targeted careers guidance services and specific supports such as Careers Match Scotland; and CV builder MCMC group targeting in schools Integrated Employment & Skills service in partnership with JCP (Summer 2010 rollout) • Utilisation/development of local branded learning centres Learn Direct helpline • • • Promotion, allocation and monitoring of ILAs Use of Learn Direct helpline Big Plus referral rates Big Plus Via all activities and approaches • Use of Video Conference facilities where appropriate Use of public transport where travel required • Partnership working e.g. Community Planning/SOA • • • Inputs to relevant local partnerships Development of SDA linked to the local area SOA Integrated Employment & Skills service in DRAFT Format for SDS Service Delivery Agreement for Fife Produced by: Date: improving, efficient and responsive to local needs 15/03/2010 key stakeholders links, PACE, IES work with JCP etc SDS influences and stimulates a high performing skills system Big Plus helpline – referral processes to providers partnership with JCP (Summer 2010 rollout) • • Big Plus referral mechanisms Integrated partnership delivery models via Learning Centre network ABERDEEN CITY FIFE BRIEFING DECEMBER 2009 NOVEMBER Chief Executive’s Message What is Skills Development Scotland? Since its formation in April 2008, Skills Development Scotland has pursued its key purpose of maximising Scotland’s sustainable economic growth by unlocking the potential of the country’s greatest asset – our people. Damien Yeates Chief Executive Delivering comprehensive information, advice and guidance for careers and learning, as well as delivering skills development By bringing together learndirect scotland, Careers Scotland and the main Skills and Training interventions of Scottish Enterprise and Highlands & Islands Enterprise, we have made major inroads to becoming a coherent body delivering comprehensive information, advice and guidance for careers and learning, as well as delivering skills development. We strive to be a catalyst for real and positive change in Scotland’s skills performance by helping individuals realise their full potential. We also help employers be more successful through skills development. We want to develop meaningful partnerships at national, regional and local levels. Through these partnerships, we will work towards fulfilling our vision and drive forward real, positive and sustained change in Scotland’s skills performance. The aim of this briefing is to let you know about our services and results and to give you an overview of the local labour market. We plan to produce these briefings on a quarterly basis and would welcome your feedback on what you would like us to include. You can get in touch via your local contact, see details below, or by sending an email to [email protected]. Alternatively, you can keep up to date with our activity by visiting our website www.skillsdevelopmentscotland.co.uk. Your local contact Grant McDougall Area Manager Fife T: 01592 623028 M: 07736 364501 E: [email protected] Our Services LEARNING EMPLOYMENT L Skills Development Scotland was created to change the way in which people learn, develop and utilise their skills, and also to help businesses and organisations build their capabilities and put their skills to their most productive use. Our core services include careers advice and guidance for young people still at school as well as adults looking to find work, those facing the threat of redundancy and for those looking to advance their career. CAREERS We are also actively engaging with employers and offer a variety of ways for people to develop their skills through a range work-based national training programmes, including Modern Apprenticeships, Get Ready for Work, Training for Work and Skillseekers. Together with Jobcentre Plus, we plan to introduce an integrated employment and skills service throughout Scotland in 2010. DEVELOPMENT We will soon be introducing a new brand identity to unify our work and to better connect with our customers. In the interim, you may be more familiar with what we do through the different services, brands and initiatives we have brought together under Skills Development Scotland. Here’s a brief summary of these with highlights for the first six months of 2009/10. Careers Scotland offers guidance to all school pupils from S2 onwards but is also freely available to adults of any age. For example, PACE is a unique Scottish partnership initiative which provides support to employees when an organisation announces redundancies. As part of PACE, Skills Development Scotland offers careers advice and information on financial help, including business start up. Other services available include CareersMatch Scotland which matches an individual’s skills and interests to occupations; a CV Builder which allows individuals to create and save their own CVs; Higher Education Conventions, a series of events that provide pupils with details about further and higher education courses in Scotland and beyond; and the Exams Helpline, which provides pupils and parents with impartial guidance on the clearing process and what their options are once the results are known. Fast facts, April-September 2009 • 125,959 visits were made to Careers Scotland centres across the country. • There were 173,412 face-to-face interventions with individuals to support their career planning, improve their readiness to enter the labour market through employability support or to aid their personal and social development through mentoring support. • 41,284 school pupils were supported to progress their career choices and to make a successful transition into work, training, or further education. The Scottish Government would like everyone to carry on learning throughout their life, whether it's to get a job or to improve their skills. We encourage this via learndirect scotland’s helpline, website and network of over 500 branded learning centres. ILA Scotland is a Scottish Government scheme that helps people pay for learning. It’s available to people over 16 who have an income of £22,000 a year or less, or who are on benefits. Up to £500 towards the cost of learning is available each year. BRIEFING FIFE DECEMBER 2009 The Big Plus is Scotland’s campaign to promote the free help that’s available for adults who need support with reading, writing and numbers. People who contact us are put in touch with local tutors. Fast facts, April-September 2009 • 954,691 visits were made to our family of websites. • 141,992 calls were made to our helplines. Another important area of our work is the delivery of four national training programmes where we work closely with a range of providers to promote recruitment and to ensure high quality delivery. Modern Apprenticeships offer people aged 16 and over the chance of paid employment combined with the opportunity to train for jobs at craft, technician and management level. They are an exciting way of gaining skills and qualifications that will help to start a career without having to study full-time, and are now available across a wide range of industries. Get Ready for Work is a national training programme for young people aged 16 to 19 who are not at school, college, work or in training. The programme has been developed to help them move into a job, further training or college. It helps them focus on what they want to do, learn new skills and gain the confidence to make progress. Training for Work provides training support for people aged 18 and over, who have been unemployed for at least 13 weeks and who are actively looking for work. The programme allows people to undertake vocational training linked to local labour market opportunities, enabling individuals to secure and sustain employment. Skillseekers is a vocational training programme for young people aged 16 to 19, who want to develop their skills and equip themselves for the world of work. It’s open to people who have left school and have a job or who are looking for work. Fast facts, all national training programmes combined, April-September 2009 Across Scotland • 21,595 unemployed 16 to 19 year olds received personal support to secure training, work or learning opportunities. • 18,346 adults over 20 years old engaged with us to make effective career decisions or to develop their skills and progress their careers. • There were 7,185 achievements, such as the attainment of a qualification, a job, or progression to another training programme. • We engaged with 23,123 small to medium sized enterprises in staff development and training. In Fife • 1,052 people were successfully recruited across the four national programmes. • 2,531 individuals were actively in training. • There were 676 achievements, such as the attainment of a qualification, a job, or progression to another training programme. BRIEFING FIFE DECEMBER 2009 Labour Market Overview Skills Development Scotland has a key role to play in making the link between the supply of people skills and the demand for businesses to meet their workforce requirements. In the past, through learndirect scotland for business, we focused on helping small to medium sized businesses. This focus will continue, but we will also help larger organisations too and work in partnership with key partners such as the Sector Skills Councils, trade unions and the Scottish Funding Council to achieve our goals. We will also prioritise our skills development activities in the Government Economic Strategy key sectors. These are creative industries, financial and business services, energy, food and drink, tourism, life sciences and universities. Fast Facts: Fife • The population of the Fife local authority area is 361,900. • 222,800, or 76.5%, are of working age. • During October 2009, 9,751 people were claiming Job Seeker’s Allowance. • In the same month, Jobcentre Plus reported 913 unfilled vacancies. • Employee jobs by Industry (March 2009). Agriculture and Fishing Energy and Water Manufacturing Construction Distribution, Hotels and Restaurants Transport and Communications 2% 1% 14% 8% 21% 3% Banking, Finance and Insurance 11% Public Administration, Education and Health 34% Other 5% Sectors with fewer than 500 jobs are not represented. Source: Office of National Statistics 2009 Latest News… • Skills Development Scotland’s Space School 2009 took off in November, with 14 young people from across Scotland attending a ten-day study trip to NASA Space Centre, Houston. The group took part in a range of activities and organisational visits to the United Space Alliance, The Wood Group Engineers, Johnson Space Centre and Rice University. Our relationship with NASA is an invaluable way of motivating and inspiring young people to aim higher. Visit our website to find out more about the initiative and to see how the group got on. • The Scottish Region of the National Training Awards took place in Edinburgh on 5 November. The awards, managed by UK Skills and delivered by Skills Development Scotland on behalf of the Scottish Government, inspire others through recognising best practice in learning and development. • The 8th annual Modern Apprenticeships Awards will be held in Glasgow on 9 December. Staged by Skills Development Scotland and sponsored by SQA, there are 106 entries in nine categories. All celebrate the high standards being reached by many employees, employers and learning providers involved in Modern Apprenticeships. • Visit our website to download our Partner Update Reports. Published every six months, they include our School Leaver Destination Report and full analysis of our skills programmes. GrowinG FiFE’S FuturE Fife Economic Strategy 2009-2020 Chairman’s Remarks ‘Fife - the easiest place to do business’ The Fife Economic Strategy 2009-2020 outlines a new direction for the Fife economy - one that integrates sustainability, promotes inclusion and generates strong and stable economic prosperity. This success must benefit local residents, communities and businesses and maintain and enhance the natural environment. This new strategy demonstrates Fife’s strong commitment to improving Scotland’s performance through sustainable economic growth as outlined in the Government Economic Strategy and reflected in Fife Council’s BIG 8 Objectives. Over the coming decades, the Fife Economy Partnership faces a number of significant challenges. Consulting partners on political, economic, social, environmental and technological trends has provided a robust foundation to ensure the direction we set for the Fife economy is equitable, inclusive and sustainable. In developing this strategy we have considered a variety of scenarios that encompass issues such as climate change, the cost of energy and transport connectivity. The Fife Economic Strategy will play a key role in tackling these issues. For instance, Fife can engage in the opportunities presented by climate change through leading the rest of Scotland towards a low carbon economy. There may be concerns among businesses that addressing climate change will have a negative impact on the economy but here in Fife we can show that it generates investment growth and employment. Combined investments of almost £200m by Tullis Russell, Diageo and Scottish Power in thermal biomass projects in Fife will not only reduce carbon dioxide emissions but will also reduce costs to the businesses and directly create or safeguard up to 1,400 jobs. Through the Fife Economic Strategy, we also intend to grow local businesses and communities in a manner that is economically and socially sustainable and remains sensitive to the environment. Transportation and connectivity improvements identified in the previous strategy continue to be of significance for future sustainable economic growth in Fife. The Fife Economy Partnership will capitalise on these developments by seeking training, employment and business opportunities in the construction of key transportation projects such as the new Forth crossing. Fife has enormous potential to be more competitive, grasp new opportunities and become the easiest place to do business. However, the Fife Economy Partnership cannot achieve this vision alone. This Fife Economic Strategy belongs to Fife’s people, its businesses and its communities. In reading this strategy, ask yourself, what is your role in Growing Fife’s Future? Through working together we will position Fife as a location of choice to live, work, visit and invest and ensure that Fife’s communities benefit from a prosperous, inclusive and sustainable economy. Fraser Phillips, Chair, Fife Economy Partnership 1 2 Introduction What is sustainability? New partnership working Since the introduction of Fife’s previous economic strategy, the Fife Economic Development Strategy 2005-2015, there have been substantial changes in economic, social and environmental issues that we must respond to. In other words, to become a truly 21st century economy, we must embrace sustainable development. But what do we actually mean by this? The Scottish Government defines the concept as: Ensuring the needs of today’s Fifers are met, as well as those of the future is our challenge. Fife’s inherent strength in renewable natural resources and renewable energy manufacturing and research has established a new sense of purpose and focus for the Fife economy of the future. To harness our strengths and help deliver on our objectives, a review of partnership working was undertaken. “development which secures a balance of social, economic, and environmental wellbeing in the impact of activities and decisions; and which seeks to meet the needs of the present without compromising the ability of future generations to meet their own needs”1. The review assessed existing working relationships between partners in economic development and helped determine an appropriate model for future partnership working. The outcome led to the creation of the Fife Economy Partnership (FEP). The new partnership will identify and drive the appropriate strategic policies and initiatives to grow the Fife economy. It will also deliver on the Fife Community Plan’s economic priorities that areagreed through Fife’s Single Outcome Agreement (SOA) – a concordat between Fife Council and the Scottish Government. In addition to changes in the way we work across Fife, there have also been changes in working relationships and responsibilities at a national level. Revitalised working relationships Following the Scottish Government’s Review of Enterprise Networks, the skills function of Scottish Enterprise has been moved into a new entity called Skills Development Scotland. Local offices have been merged into regional centres, with Fife now under Scottish Enterprise East. The responsibility for local regeneration and Business Gateway activities has also been transferred to local authorities. 3 A Scenario for Fife in 2020 In developing this strategy, a variety of forces such as climate change, demographic trends and technological advancement that are likely to have an impact on Fife over the coming decade have been considered. These have been developed into a scenario to illustrate how over the next decade Fife could ultimately benefit from the objectives and direction of this strategy. SuSTAINABLE SuCCESS: A 2020 SCENARIO The uK and Scottish economies have returned to sustained economic growth following the credit crunch of 2008. Tightened financial regulation and more prudent methods of banking have also led to a growth in sustainable business practices. Dramatic new evidence that climate change is accelerating faster than expected, coupled with large rises in the price of oil and other raw materials have caused a boom in renewable energy and environmental goods and services. Consequently, the Scottish Government pledge to make Scotland “The Green Capital of Europe” is beginning to bear fruit. The Energy Park Fife has been one of the main local beneficiaries of 4 the boom in renewable energy, with particular strength in the manufacture of wind turbines. The adjoining site that features the Hydrogen Office is now home to a network of spin-out companies from the university of St Andrews and hi-tech firms who have clustered together to spearhead research into clean technologies. Combined employment of both sites has now far exceeded the 2,000 green jobs target set out in the Fife Economic Strategy 2009-2020 and the success of reducing carbon emissions has led Fife to become the first local authority in the uK to generate more renewable electricity than it consumes domestically. Of particular benefit in attracting companies to Fife has been the development of zero carbon business space. This brought substantial inward investment, with many companies committing to reduce carbon emissions following recently introduced legislation. This was also aided through Fife taking part in a next-generation broadband pilot scheme. Subsequently, Fife now boasts the quickest digital connections of any local authority area in Scotland and a variety of businesses are keen to locate to benefit. As such, the John Smith Business Park (JSBP) has grown in strength and hosts a number of successful medium-sized financial services, IT and software companies. Average wages and productivity have also improved due to the diverse range of high-value added employment opportunities, swelling Fife’s contribution to the national economy. Significant growth in employment opportunities across the Kingdom resulted in Fife’s colleges expanding substantially to cope with demand for a more diverse range of courses. This led to Fife’s colleges becoming accredited Scottish Centres of Excellence in Renewable Engineering and Construction. Importantly, a successful campaign to embed a culture of enterprise in Fife led to the creation of innovative qualificationto-employment networks that guaranteed graduates a temporary position following graduation. These measures, coupled with initiatives in Fife’s deprived areas have seen greater retention of both graduate and migrant workers which has supported the substantial rise in Fife’s employment rate. The revitalisation of deprived areas and decline in inequalities was mainly the result of the Strategic Land Allocation (SLA) approach in planning and also a number of highly successful regeneration initiatives. Communities have become more engaged in the decision making process and this has generated a positive sense of purpose across the Kingdom but particularly more so in deprived areas. The empowerment of community groups has also led to more effective public-private partnerships, which has helped streamline planning applications and helped target investments to revitalise town centres more effectively. A significant turning point for Fife’s deprived communities has been the improvements in transport connectivity. The completion of the Kirkcaldy-to-Leith cross-forth ferry route proved particularly crucial in opening up investment in deprived areas. Other transportation projects, such as the successful completion of an under-budget second forth crossing (which was later upgraded with the Dunfermline to Edinburgh tram link), the reinstatement of the Levenmouth rail link and road improvements to the Redhouse roundabout, all supported wider inward investment to Fife and greatly improved access to services for many Fifers and visitors. The Fife economy of 2020 is in remarkably better shape than at the end of the credit crunch. A focus on sustainability has created a better balance between manufacturing, construction and service sectors. Fife residents and communities have benefited from the achievements of Growing Fife’s Future through new infrastructure, revitalised town centres, a healthier environment and less inequality. After over a decade of concerted action, Fife has become renowned as a high quality location of choice to live, work, visit and invest. wHAT wE wANT TO ACHIEvE To make this vision a reality, some headline objectives need to be set. using 2008 as a baseline up to the year 2020, the Fife Economy Partnership and relevant public agencies need to achieve: Six Strategic Objectives 1. Increase the number of employees in medium and large enterprises by 10% (6,000 jobs) 2. 80% of the working age population in employment 3. Attract private sector investment through Invest in Fife of £550m 4. Double the amount of business expenditure in research and development to £36m 5. Grow Fife’s tourism sector revenue by 20% (£51m) 6. Increase the number of people employed in green jobs by 2,000 5 1. where we are now 6 what we have achieved Business Support and Job Creation Organisation/Initiative Achievement Business Gateway Assisted 1,983 business start-ups, creating 3,057 jobs, and provided more than £1m of financial assistance over the period 2005-2008 Green Business Fife Fife Council is working with companies to tackle climate change and develop sustainability through Green Business Fife. A number of Fife-based businesses have already demonstrated their commitment through measures such as generating operating energy through on-site renewable sources or by simply reducing their own energy requirements Sector Networks The Fife Tourism Partnership, Creative Fife, TechnetFife, ContactFife, Green Business Fife and Fife Construction Forum encourage and support networking, business development activities and co-operation for companies in these key sectors Fife Social Economy Partnership Between November 2007 and April 2009, the Fife Social Economy Partnership assisted the start-up of seven new social enterprises. In the same period, 13 existing organisations were supported in making funding applications totalling £143,780 Fife Investment Fund In response to the credit crunch, the Fife Investment Fund provided 59 small businesses with £326,000 of funding to help invest and grow their business Inward Investment Organisation/Initiative Achievement Invest in Fife Invest in Fife secured an annual average of 11 investment projects, 684 jobs and £15.5m investment over the three years 2005-2008 Physical/Infrastructure Investment Organisation/Initiative Achievement Energy Park Fife Investment of over £12m in 22,000 square metres of industrial space on the 134 acre site at the Energy Park Fife aims to create a world leading hub for manufacturing and research activity in renewable energy. The development has attracted major companies who employ around 350 workers operating in fabrication, testing, assembly and engineering activities and the site is now moving into phase two of its development, where employment could rise to over 1,000 John Smith Business Park £17.5m of public and private investment in John Smith Business Park has created 100,000 square feet of high quality office accommodation on the 60 acre site. The total employment on site currently stands around 1,000 with the potential to rise to 5,000 over time Business Incubator Kirkcaldy The Business Incubator Kirkcaldy unit was opened to provide flexible, purposebuilt premises with office accommodation ranging from 160 square feet to 500 square feet to help businesses become established. Currently 12 units out of 35 are let, supporting approximately 50 jobs. In addition, a business incubator was developed in conjunction with Carnegie College at Methil Docks 7 A Changing Policy Environment Shaped by the principles for sustainable economic development and low carbon targets, the new Fife Economic Strategy is set within the context of the following national, regional and local strategic framework: • Government Economic Strategy defines the purpose of the Scottish Government to close the gap in the rate of sustainable economic growth between Scotland and the uK by 2011 • Skills for Scotland: A Lifelong Skills Strategy - sets out the Scottish Government’s objectives Fife Partnership and the Scottish Government that sets targets for the local economy as identified in the Fife Community Plan and reflected by the Council’s Big 8 ambitions for developing a cohesive lifelong learning system centred on the individual but responsive to employer needs • Edinburgh City Region Economic Development Framework – outlines areas where there is a case for collaborative action to improve the economic performance of the City Region • Fife Structure Plan 2006-2026 - sets out the strategic land use framework for Fife • Fife Community Plan - sets out Fife Partnership’s approach to delivering a shared vision for improving the quality of life in Fife • Fairer Fife Framework - outlines Fife’s approach towards tackling inequalities, poverty and deprivation The following diagram illustrates these linkages: • Fife Single Outcome Agreement (SOA) – a concordat between National and Local Policy Framework Government Economic Strategy Skills for Scotland: A Lifelong Skills Strategy UK Shared Framework Principles for Sustainable Development • Sustainable economy Edinburgh City Region Economic Development Framework Fife Community Plan (Single Outcome Agreement) Fife Structure Plan A Fairer Fife Framework Fife Council Plan (Big 8) Fife Economy Strategy 8 • Promoting good governance • Living within environmental limits • Use sound science responsibly • A strong, healthy and just society The UK Low Carbon Industrial Strategy: A Vision Fife Economy 2009 The Fife Economic Development Strategy 2005-2015 was written and delivered during a period of sustained national and local economic growth. At the time of reviewing and producing this revised Strategy for 2009-2020, the global economy is undergoing a serious downturn. The impact on businesses has been significant with company closures and job losses in construction, retail and finance in particular, but also extending into many other sectors. Fife has suffered a similar rise in unemployment as experienced nationally, with the number of jobseekers allowance claimants rising 60% between June 2008 and June 2009. Over the next few years we anticipate a low rate of economic growth as a result of the recession. However, the revised Strategy also looks at developing long term economic stability and strength from new opportunities. The Strategy must therefore plan for both the short and long term. It must provide greater flexibility to enable effective and appropriate responses to economic, social and environmental challenges and harness opportunities, including new technologies, when they arise. Employment Rate In the year to September 2008, Fife’s employment rate outperformed the Scottish and uK averages Solidarity and Cohesion Around 44,000 people in Fife are income deprived - the fourth highest of any local authority in Scotland Sustainability Renewable energy developments at Tullis Russell, Diageo and the Energy Park Fife will reduce carbon emissions through producing renewable electricity and potentially creating up to 2,000 new jobs 9 2. where we want to be 10 vision and guiding principles This Strategy will deliver the Fife Economy Partnership’s vision of Fife in 2020 as: The easiest place to do business – where a flexible business infrastructure and responsive services for new and growing businesses ensure that Fife is the location of choice for business investment from any industry sector. A centre of excellence for renewable energy – Fife’s strengths in providing an excellent business environment for renewable energy manufacturing, research and services have led to the region becoming a leader in renewable energy. We want Fife to be the first location of choice, where people and businesses choose to invest, work, learn, visit and live. To achieve this, Fife needs to become: • more prosperous, recognising that economic growth must contribute to the Government’s objectives for sustainable economic growth and equality in distribution of this wealth • more inclusive, ensuring opportunities are available for all. Greater community empowerment and better utilising the skills and talents of Fife’s people will cultivate sustained productivity and cohesion • adaptive to change, the future will certainly not see a return to businessas-usual. Changes in demands from customers; how goods and services are produced; the supply chain; the nature of competitive advantage; the way people live their lives and the regulatory context for business are all likely to be different. Organisations must ensure they can adapt to changing circumstances to realise sustainable success STRATEGIC FOCuS Following consultation with our key stakeholders and analysis of Fife’s performance against the previous strategy, we have concluded that our six strategic outcome themes should focus on: 1 Supporting the growth of dynamic businesses 2 Extending employment and skills opportunities 3 Developing a modern business infrastructure 4 Improving our knowledge and research base 5 Growing business and employment in key sectors 6 Stronger communities through regeneration • more environmentally conscious, through minimising wherever possible the use of non-renewable resources and being fully prepared to pursue a zero carbon future 11 OuTCOME THEMES OUTCOME 1 MORE dyNAMIC bUSINESSES Issues and Challenges Fife’s businesses are the primary drivers of its sustainable economic growth. They provide employment and earnings, contribute to a competitive business environment and create markets for other businesses. They also set the demand for our colleges and universities in supplying a skilled and informed workforce. A competitive business environment boosts productivity by stimulating investment, innovation and greater workforce development. Embracing sustainability and low carbon objectives will ensure Fife businesses are prepared for the future. Fife, in common with the rest of Scotland, needs to improve its business formation and survival rates to compete in the global market. Increasing our business start-ups will help to foster competition and innovation, achieve productivity gains and create employment opportunities. To improve survival rates, businesses will frequently have to consider their responses to issues caused by globalisation and sustainability (including climate change). The potential causes of low start-up rates in Fife include its enterprise culture, low levels of entrepreneurial skills and attitudes to risk. To address this issue, a Fife Culture of Enterprise Framework for Action is being developed. The Framework will provide a blueprint for creating a vibrant enterprise culture in Fife. It is intended to initiate a programme of entrepreneurial and enterprise development over the next three to five years that will lay the foundations for long-term change, while also addressing immediate priorities and actions. Therefore, providing the right conditions for Priorities how we’ll make a difference • Continue the reorganisation of Business Gateway to streamline business support services in Fife and align more effectively with partners • Implement enterprise actions arising from the Fife Culture of Enterprise Framework • Utilise the Fife Investment Fund to explore partnership with other Local Authorities to attract greater Eu funding • Improve processing times for business planning applications • Harness the Fife Council trade exhibition programme to generate better business opportunities locally, nationally and internationally • Utilise the Supplier Development Programme to enhance supply chain procurement opportunities for Fife-based companies 12 more business growth is as much about creating a culture of enterprise as it is about physical infrastructure. Individual entrepreneurial skills need to be enhanced to encourage more people to start a business and sole traders assisted to grow at transition stages. The Framework also illustrates the need to work in partnership with schools, colleges and universities to better understand business realities and to inspire a belief amongst young people in their capability to be entrepreneurial. A competitive business environment creates markets for other businesses and boosts productivity by stimulating investment, innovation and workforce development. Embracing new technologies and innovative practices; boosting employee skills and a more sustainable use of resources will help Fife businesses to become more successful and compete more effectively in an increasingly globalised world. Productivity gains and competitive advantage can be gained from more businesses in Fife trading globally. Businesses need to be able to capitalise on opportunities from developing economies and international markets and we need to minimise the barriers for businesses in exploiting these markets. OUTCOME 2 ExTENdEd EMPLOyMENT ANd SKILLS OPPORTUNITIES Issues and Challenges Fife’s people and labour supply are critical to its future prosperity and to that of the wider city region. A highly skilled and educated workforce is essential for economic growth, business competitiveness and innovation. To play their part in contributing to overall sustainable economic growth our people must be equipped with the right skills to meet the demands of a modern economy. we need to focus on reducing unemployment to ensure that all in society can play their part in and benefit from sustainable economic growth. A key challenge for Fife is the number of people who are without work – currently around 40,000. Significant proportions are on incapacity benefit and for some, profound health issues will mean that they may never be able to work. However, for the majority of those without work due to unemployment, caring responsibilities or premature retirement, there is clear evidence from pilot work undertaken in Fife that shows we can make significant inroads to getting people back to work. There have been improvements in skills at all levels throughout Fife but we still need to further improve and diversify the skills and educational attainment of our workforce. Lower qualification levels tend to be more prominent in those areas of Fife where unemployment is highest. Strong leadership skills and workforce development also need to be promoted and supported to enhance the skills of those already in work. we therefore need to improve skill levels that meet identified skill shortages and help to provide more sustainable employment opportunities. To do this we need to have a clearer understanding of employers’ skills needs for the future and provide a flexible training infrastructure that is able to respond more quickly to these requirements. we also need to encourage more people to take up qualifications in subjects to support the future demands of the labour market, such as low carbon construction skills, to ensure that Fife residents are suitably qualified to take advantage of employment and progression opportunities. we must get the most out of capital investment projects in Fife, particularly large scale ones such as the second Forth road bridge – these can provide training and employment opportunities for local residents. The FILM and LOAN projects already underway in Fife are helping the unemployed access training and employment opportunities with pilot schemes ongoing in John Smith Business Park and Energy Park Fife. Likewise, we must encourage young people to enrol on similar schemes as routes to employment. Finally, although the gap with the rest of Scotland is narrowing, there still remains a graduate deficit in Fife which requires to be addressed if Fife is to raise productivity and increase competitiveness and innovation. Priorities how we’ll make a difference • Restructure Opportunity Centres to become a flexible network of seamless employability support services under the ‘Opportunities Fife’ brand • Improve accessibility and targeting of employability services in deprived areas of Fife • Build on partnership working activities between Jobcentre Plus, Skills Development Scotland and Fife’s educational institutions to maximise employability efforts • Widening opportunities for engaging those without work in activities that will move them towards training and employment – particularly those who are furthest from the labour market • Expanding locally based degree level provision in Fife and ensuring that there are graduate level job opportunities available in Fife • Capitalising on training and employment opportunities afforded by major capital projects, such as the second forth crossing and the CvF Aircraft Carriers 13 OUTCOME 3 A MOdERN bUSINESS INFRASTRUCTURE Issues and Challenges A modern business infrastructure should provide an adequate supply of employment land, effective transport infrastructure and a range of business properties to attract appropriate investment. Fife needs to safeguard an appropriate employment land supply. The Fife Structure Plan 2006-2026 and complementary Local Plans require a sufficient supply of employment land that is located near to housing to reduce the need for travel and ensure deprived areas are linked better to employment hubs. Employment land in and around major settlements will ensure businesses can expand and new companies can relocate to premises that are flexible, adaptive and available to all types of enterprise. For instance, providing diversity in renewable energy facilities, such as the westfield Environmental Energy Park will enable Fife to develop inherent strengths, in addition to addressing the effects of climate change locally. within the lifetime of this strategy we will need to manage our environmental assets more sustainably. Key resources are rapidly depleting which will push up energy prices and therefore costs to businesses and the economy. To alleviate these resource constraints, low carbon business infrastructure will play a key role in meeting climate change targets and creating a low carbon economy. Our aim is to differentiate Fife as a centre of excellence for renewable energy and to do this we need to provide suitable sites for renewable energy developments whilst also ensuring that the supply chains are in place to support companies in this sector. An effective transport infrastructure can assist in opening up new markets for businesses and help to build the critical mass of businesses to drive up competitiveness and deliver growth. The previous strategy highlighted the need for increased connectivity for Fife with a second Forth road bridge. Now that this has been confirmed by the Scottish Government we need to ensure that businesses and residents can benefit from and fully optimise the training, employment and supply 14 chain opportunities that will arise from the construction of the crossing. The Rosyth Multi-Modal Container Terminal is another project listed as one of national significance by the Scottish Government and will become an important development to both attract firms and boost export capability for firms in Fife. In general, more efficient cross-forth transportation will open up business and employment opportunities within the wider city region for residents in Fife as well as providing a boost to tourism. Other transportation improvements, including the upgrading of Redhouse Roundabout and route improvements on the A92, will improve connectivity within Fife and to the wider city region and beyond. This will reduce constraints on major renewable energy projects, such as the Energy Park Fife and westfield Green Business Park. There are clear linkages between planning, transportation and the economy which contributes to and supports economic and business growth at the local, regional and national levels. The allocation of housing, employment land and delivery of transportation improvements all support economic development in terms of attracting people and business investment. Priorities how we’ll make a difference • Maintain an effective supply of employment land for Fife • Remediate key employment land sites in Fife to stimulate inward investment and support business expansion • Capitalising on the opportunities for training, employment and supply chain business growth from major capital projects in Fife such as the new Forth crossing and the Rosyth Multi-Modal Container Terminal • Stemming retail leakage to competitive centres outwith Fife • Supporting renewable energy infrastructure projects such as the thermal biomass projects currently being developed by the private sector • Support the development of innovative cross-forth travel 15 OUTCOME 4 IMPROVEd KNOWLEdGE ANd RESEARCh bASE Issues and Challenges In recent years, global competition has made Fife businesses less cost competitive, particularly in the manufacturing and construction sectors. Recent events in the economy emphasise the need for stronger working relationships between the private and public sector organisations responsible for stimulating innovation, enterprise and education. Knowledge transfer is a key driver of productivity and growth but Fife’s business base is still under-represented with companies whose core business is based in knowledge-intensive and research activities. Developing and promoting Fife as a business location to attract higher value business will be essential in increasing our knowledge and research base. To ensure our efforts are successful we must create more dynamism and emphasis on Fife’s unique strengths. we need to attract businesses whose competitiveness is driven by technology and knowledge. Fife’s ability to attract Regional Selective Assistance is a clear advantage in attracting this type of business. A key opportunity and focus for Fife is to become a centre of excellence for renewable energy - we need to ensure that research facilities for the industry are in place to support Fife in leading Scotland’s renewable energy sector. Better integration of services offered by the main public sector agencies, including St Andrews university and Fife’s colleges to benefit the renewable energy sector will also maximise opportunities. Aligned to this is the need to increase access to national research and development funding schemes for businesses to increase their research and development activities. 16 In developing our knowledge and research base, our focus should not be on science and technology alone, we also need to assist and encourage all businesses to apply knowledge and innovation to improve businesses operational performance through eco-efficiency, and sales performance by offering goods and services with a more competitive edge. Applying innovation to address resource efficiency and waste reduction across Fife’s business base can also increase competitiveness and aid sustainability. In the longer-term this may involve developing new business models and working relationships. If innovation and knowledge are to drive the economy then we also need to attract and retain more graduates within Fife. A crucial priority in achieving this will be to raise degree-level provision in Mid-Fife. The combination of employer demand for graduates and the provision of attractive places to live will also help increase the proportion of graduates. with the focus on growing the knowledge and research base there will be a sustained increase in demand for graduates in the future. Priorities how we’ll make a difference • Through Business Gateway will provide support to stimulate and encourage innovation and growth in Small to Medium-sized Enterprises (SMEs) • Provide business research facilities for renewable energy to help facilitate the commercialisation of research in developments such as the Hydrogen Office, Methil • Establish a knowledge-transfer network between local companies and educational institutions across Fife • Assist businesses to access national and other funding for research and development activities by better integrating services across public sector agencies, including St Andrews university and Fife’s colleges • Work in partnership with Scottish Enterprise to attract and retain more graduates to Fife-based businesses, through the Fife Culture of Enterprise Framework • Continue to develop science and technology links within and outwith Fife by the creation of a science park associated with the university of St Andrews OUTCOME 5 bUSINESS ANd EMPLOyMENT GROWTh IN KEy SECTORS Issues and Challenges In order to contribute to overall sustainable economic growth we need to maintain a focus on those sectors that have the greatest growth potential in terms of output and employment. To address the difficulties caused by the economic downturn, we need to differentiate between Fife’s longer term growth sectors and those that need to be maintained in the short term. At the same time, Fife needs to be ready for future opportunities as the economy recovers – this will mean ensuring that a flexible business infrastructure is in place to support any type of business investment. There is also scope to generate more opportunities locally by improving business understanding of the procurement process and tendering opportunities. The development of renewable energy offers significant opportunities for Fife in this respect with high value and long term business growth potential. Recently introduced legislation around climate change legally binds governments and businesses to reduce their carbon emissions. These targets mean renewable energy products will be in high demand and this presents significant opportunities for renewable energy manufacturing and clean technologies – sectors where Fife can offer competitive advantage. There is a clear opportunity for Fife to become the leading Scottish centre for renewable energy and we aim to have 2,000 people employed in green jobs by 2020 in the chart below. To help achieve this target, we need to ensure renewable energy developments boost the regeneration of deprived areas. Infrastructure such as skills training facilities or research centres will play a crucial role in offering new opportunities to local residents. There are a number of sub-sectors within the renewable energy sector where Fife can create opportunities and take the lead in a national context: Thermal bio-mass including Tullis Russell and Diageo projects Offshore wind energy Energy Park Fife and opportunities for inland manufacturing Fuel cells and power storage Hydrogen Office, Energy Park Fife Carbon capture and storage Longannet power station Anticipated Areas of Green Job Creation in Fife Research & Development 100 jobs Renewable Power Generation 200 jobs Fife Energy Park 1,000 jobs Sustainable construction 700 jobs Source: Fife Council, Development Services 17 However, for Fife to become a leader in renewable energy we must ensure that appropriate networks are in place so local supply chain opportunities are maximised to win business and investment. This is also true of other key sectors. The sector networks, such as Green Business Fife, CreativeFife, Fife Construction Forum and TechnetFife have created opportunities and provided advice and support to Fifebased businesses. These networks will continue and ensure Fife contributes more broadly to national targets. A key target championed by the Scottish Government that aims to grow the Scottish tourism sector by 50% by 2015 poses a substantial challenge for Fife. To grow Fife’s tourist trade, products such as golf need to promoted and marketed more effectively. A recent review of tourism in Fife identified the need for greater engagement with the business community in Fife-wide decision making and improvements to business development and networking opportunities. This is being addressed through a review of tourism partnership working in Fife and a new service level agreement with visitScotland. The Promoting Fife initiative will play a key role here in aligning local, domestic and international campaigns – ensuring consistency and cementing a preferred understanding of place. Tourism contributes around £250m to the Fife economy and supports 12,500 tourist-related jobs. In recent years, Fife’s tourist industry has seen increases in visitor expenditure, rising numbers of visits and gains in employment. These trends indicate that there is potential for tourism to be more lucrative than it is currently. Priorities how we’ll make a difference • Supporting renewable energy projects to transform Fife’s economy for the future and become a leading Scottish centre within the sector and creating or safeguarding 2,000 green jobs • Implement a multi-agency approach to align skills development and business growth in Fife’s renewable energy sector • Ensuring that the right support structure is in place for tourism businesses to contribute to overall growth and provide business development and networking opportunities within the tourism business community • Use the ‘Promoting Fife’ initiative to provide targeted and customerfocused tourism marketing that complements activities by partner organisations, such as visitScotland • Maintain existing strengths and develop network activity in financial and business services, construction, creative industries and IT and technology • Connect niche sectors in Fife to city region activities to benefit from economies of scale 18 OUTCOME 6 STRONGER COMMUNITIES ThROUGh REGENERATION Issues and Challenges Economic regeneration aims to strengthen our communities, create wealth and narrow the gap between the most and least deprived communities. This will be tackled by reducing unemployment and promoting job creation in the areas of greatest need. convinced of the benefits of recruiting from these priority groups and young people motivated to gain work skills and qualifications. Those who are in entry level jobs need to be encouraged and supported to gain the necessary skills to progress through employment, ensuring better financial security for themselves and their families. within Fife’s most deprived areas, almost 17% of the population are without work and, of those who are unemployed, 20% have been out of work for more than one year. Regeneration through renewable energy will offer a number of opportunities for many deprived areas in Fife. The Energy Park Fife and carbon capture developments at Longannet have the potential to create a variety of green jobs and training opportunities that local people can harness. To encourage business start-ups in priority areas, support needs to be accessible, and appropriate starter business premises need to be provided. The ‘Be Your Own Boss’ initiative assists unemployed people in deprived areas of Fife to look at self employment and social enterprise start-up as an option. The initiative offers free information and training events, drop-in sessions and advice on grants. This has been supported by developing the provision of affordable business units in Kirkcaldy and Methil. These facilities offer additional advice and support on-site for new business start-ups. we also need to provide support programmes and initiatives for those who are furthest away from the labour market as well as those who are “job-ready”. Employers need to be Town centres are at the heart of our communities and a focus for local pride. Fife’s town centres have experienced new challenges as a result of the economic downturn. This has resulted in reduced footfall, redundancies and retail vacancies which have, in turn, led to lack of confidence in retail-led regeneration schemes and town centre developments. The partnership approach taken in Fife has led to the creation of Town Centre Management arrangements in Kirkcaldy and Dunfermline and emerging Business Improvement Districts in these towns. Other town centres have also benefited from support, including bespoke training opportunities and a pilot grant scheme to part-fund shop front improvements. These measures contribute to improving the appearance and vitality of town centres across Fife, benefiting local communities and the local workforce. Priorities how we’ll make a difference • Ensure renewable energy developments create employment and training opportunities to enhance the regeneration of deprived areas • Development and expansion of social enterprises as a key part of the local economy and job market in priority areas. This support will include tailored events and support with funding applications. • Tackling inequalities through regeneration and promotion of communities by investing in town centres. This will help to improve priority areas • Develop business incubation units in other priority areas, building on the success of recent provision in Kirkcaldy and Methil. • Delivering ‘Be Your Own Boss’ programmes throughout priority areas • Continuing to support town centre partnerships including Town Centre Management; Business Improvement Districts; and Business Associations, to ensure that businesses are stakeholders in the future of their town centre 19 3. How we will get there Having identified a number of challenges and priorities for action, the Fife Economy Partnership developed corresponding strategic themes through which the Strategy can be implemented, monitored and evaluated. STRATEGIC THEMES The strategic themes and objectives developed for the strategy are in response to, and reflect, our overall vision in terms of improving productivity and participation and increasing population through the principles of equity and sustainable development. The themes have been developed as “outcome themes” to reflect the outcomes that we need to achieve to realise our vision of a Fife that is the easiest place to do business and a leader in renewable energy. 20 The outcome themes and objectives will form the basis of the annual action plan which will direct the delivery of the Fife Economic Strategy. An Annual Action Plan will be developed to focus delivery of the Strategy. Deliverables will be outlined for each of the outcome themes, each with a specified timescale. DELIvERING THE STRATEGY MONITORING AND EvALuATION Delivery of the Strategy will be achieved though coordinated action from private and public sector partners. Building on the successes of the previous strategy, and the new Fife Economy Partnership (comprising strong representation from the private sector) will provide a new opportunity to align activities and deliver the objectives in this strategy. The integrated nature of the outcome themes demands clear cross-cutting working relationships between partners and also within individual organisations to ensure delivery of the outcomes. The revised Strategy will be subject to review in three years time. Monitoring on a regular basis will assess the overall impact of the Fife Economy Partnership’s activities under each outcome theme. A monitoring framework will be developed to measure the impact of actions and activities. Overall performance will be assessed against objectives set out under the economy theme of the Fife Community Plan and performance will be benchmarked through the Fife Single Outcome Agreement (SOA) concordat with the Scottish Government. 4349/OCT09 FINAL DRAFT Feb 2010 OPPO RT UNI TIES FIF E ST RATEGY 2010-2012 1. Introduction Opportunities Fife is the partnership responsible for driving forward the employability and skills agenda within Fife’s Community Planning structures. This is a key priority for Fife Partnership and for Scottish and UK Governments as it is recognised that meaningful and effective employability measures are essential for our economic recovery and will help tackle related issues of poverty, income inequality and health. The Opportunities Fife vision is ‘to enable the people of Fife to reach their full employment potentia l and con tribute to a thriving Fife economy’ . This strategy brings together More Choices More Chances (MCMC) and Workforce Plus into an all age employability framework to achieve this vision for Fife. This new strategy demonstrates the partnership’s renewed commitment to tackle unemployment and high levels of dependency on ‘workless benefits’. It contributes directly to Fife Economic Strategy’s outcome theme ‘Extended employment and skills opportunities’ and will focus on engaging with those who are further from the job market, improving skill levels and educational attainment and ensuring we have a highly skilled, educated and healthy workforce. Opportunities Fife will work closely with Fife Economy Partnership, Fife’s Education and Skills Executive Group and other strategic partnerships to successfully connect people to learning, skills and job opportunities. In realising this vision Opportunities Fife will deliver on the Fife Community Plan’s employability and skills priorities that are agreed through the Single Outcome Agreement and will contribute to Fife’s future prosperity. 2. Challenges This strategy is set within the very challenging context of a continuing global recession which has led to significant job losses and increasing unemployment levels both locally and at a national level. Data from the Office fro National Statistics highlights in November 2009 there were nearly 10,000 people registered unemployed in Fife claiming Job Seekers Allowance (JSA) – a 75% rise on comparative figures for November 2007. An additional 30,000 1 FINAL DRAFT Feb 2010 people are on other ‘inactive’ benefits such as Employment Support Allowance, Income Support and Disability Living Allowance which represents a total ‘Benefit Claimant’ rate of 17.8% for Fife – higher than the UK average and equal to the Scottish rate. This total of nearly 40,000 people reliant on ‘benefits’ presents a significant challenge for Fife’s employability partners. Jobcentre Plus data also shows the number of job vacancies notified to job centres has reduced by a quarter over the last year. Following experiences of past recessions in the 1980’s and 1990’s, the Office for National Statistics (2009) highlight that job losses are predicted to increase for the foreseeable future. After the 1980s recession, unemployment levels did not return to their pre-recession position at any point before the beginning of the next recession in the early 1990s. Following the 1990s recession, the economy recorded positive economic growth towards the end of 1991, but it took until 1997 for unemployment levels to return to their pre-recession positions. This serves to illustrate how long a challenge this will be for the Fife labour market to return to conditions prior to the credit crunch. Add to this the expected budget cuts and job losses in the public sector, and the scale of the challenge is even greater. Inevitably when the competition for jobs gets tougher, it is those who are already disadvantaged with limited experience and skills that are pushed further from the job market. Young people in particular are taking up a disproportionate share of the unemployed with 30% of all JSA claimants now under 25 years of age. Former Bank of England Monetary Policy Committee member, Professor David Blanchflower warns that we are at risk of losing a generation to unemployment. Other groups who require additional support as they struggle in the face of an increasingly competitive job market include lone parents, those with health issues including mental ill health, people with disabilities, ethnic minorities, exoffenders and those facing other barriers such as overcoming substance misuse or homelessness. The increase in unemployment is also having an impact on child poverty levels with fewer families finding work as the route out of poverty and across the UK there are almost 2 million children living in households with no working adult. Employability support has a crucial role to play in strengthening our most disadvantaged communities where reducing unemployment and creating jobs is a key element of our regeneration efforts. There is still much work to do in closing the gap between disadvantaged communities and more prosperous communities. The latest Scottish Indices of Multiple Deprivation (SIMD) published in November 2009 highlights pockets of enduring poverty and inequality in Fife. In the worst 20% datazones, one in three of the working age population is claiming benefits compared to one in twenty in the best 20% datazones. A summary of Fife’s labour market trends outlining the challenges ahead for the employability and skills agenda is included in Appendix A. 2 FINAL DRAFT Feb 2010 3. Employability Pathway To enable the people of Fife to reach their full employment potential and contribute to a thriving Fife economy, the Opportunities Fife partnership is committed to working together to improve the ‘employability pathway’ for clients and to achieve the maximum impact with the resources available. ‘Employability’ is defined as the combination of factors and processes which enable people to progress towards or get into employment, to stay in employment and to move on in the workplace. The employability pathway describes that journey from initial engagement to sustainable employment – illustrated below. Clients may enter at any stage of the pathway and services need to be flexible to meet individual client needs. The key focus for the Opportunities Fife partnership is to ensure we have effective partnership arrangements in place to provide a cohesive ‘employability pathway’ equipped to tackle collectively the current challenges facing individuals and employers in Fife. Fife Employ ability Pathw ay Emplo yab ilit y is t he c om binat ion of fa ctors and proc ess es which e nab le p eopl e to progre ss towards or get i nto e mpl oy ment, to st ay i n e mplo ym ent an d to m ove on i n the w orkpl ace Stage 1 Clien t Engagement C L I E N T S Engaging with target clients either through outreach or within agency settings, supporting access to employability services Stage 2 Individua l Needs Assessment Undertaking initial assessment of client needs and assets using a common assessment framework and preparing client Action Plans Stage 3 Specialis t Support Supporting individuals to overcome specific barriers such as disability, ethnicity, substance misuse, lack of confidence/mo tivation, childcare, money issues, etc providing signposting and preemployment support Stage 4 Employabi li ty Support Providing direct delivery of core skills, job search, enterprise support, career guidance, job related training and qualifications, work tasters and occupational health support Stage 5 Job Placeme nt Involved in employer engagement, job placement and brokerage and job coaching Stage 6 Sustaining Employmen t & Progress ion in Providing Work inwork training and support, mentoring, job development, employer support and occupational health support Ef fe cti ve Ca se Man age me nt a nd usi ng FO RT ( Fi fe On line Re ferr al and Tra cking) to mea sure pr o gressi on 3 E M P L O Y E R S FINAL DRAFT Feb 2010 4. Policy Context For the employability sector there is a wide ranging national and local policy context covering education and skills, employment, poverty, health and inequality. National policy: Wel far e Re for m – The introduction of Flexible New Deal and the roll out of Employment Support Allowance are seen as key elements in reducing welfare dependency, increasing economic competitiveness and in reconnecting the long term unemployed with the labour market. Skill s for S co tla nd - A Lifelong Skills Strategy, sets out the Scottish Government's objectives for developing a cohesive lifelong learning system centred on the individual but responsive to employer needs. Curri cul u m for E x celle nc e - Aims to achieve a transformation in education in Scotland by providing a coherent, more flexible and enriched curriculum from age 3 to 18. Significant statements about Skills for Work, Life and Learning are made in the recently issued Building the Curriculum 4. Achi e ving our P ot enti al - A Framework to Tackle Poverty and Income Inequality in Scotland including an intent to address Scottish Government targets relating to eradicating child poverty by 2020. The Framework explicitly recognises that a contribution is required from the private sector supported by the fact that one third of the poorest 30% of households in Scotland have at least one adult in paid employment. Equall y Well- A Scottish Government Ministerial Task Force report on reducing health inequalities published in 2008, explicitly makes the links to employability by stating that healthy life expectancy needs to be increased across the board to achieve sustainable economic growth. He alth Wor k s – A Scottish Government review of the Healthy Working Lives Strategy which highlights new drivers to bring employability and health closer together linking NHS services and local employability services. Local Policy: Fife Co m m uni ty Pl an an d Singl e Ou tco me Agree men t ( SO A) – Sets out Fife Partnership’s approach to delivering a shared vision for improving the quality of life in Fife and sets targets for skills and employment also reflected by Fife Council’s Big 8 ambitions. Fife Ec ono mi c S tra teg y 200 9-20 20 – Outlines a new direction for the Fife economy including extending employment and skills opportunities. The Fair er Fi fe Fr a me wor k - Outlines Fife’s approach to addressing inequalities, poverty and deprivation and identifies five key indicators of change including reducing income–poverty by getting more people into sustainable employment and by promoting financial inclusion. Join t H eal th I mpr ov e men t Pla n ( JHIP) - Provides a partnership framework for improving health and well being. Fife Adul t Lit era cie s Ac tio n Plan – Provides literacies support for over 4,000 adult learners in Fife per year including workplace literacies in partnership with employers. 4 FINAL DRAFT Feb 2010 5. Strategic Objectives The high level target for Opportunities Fife is to achieve an 80% employment rate by 2020 (in line with Growing Fife’s Future – Fife Economic Strategy). Figure 1 in Appendix A indicates the enormity of this challenge as Fife never reached an 80% employment rate prior to the current recession. Taking account of projected population changes over the period 2009 to 2020, this sets a target of an increase of 15,500 more people becoming economically active by 2020 (See Appendix B). In achieving this target there will be a strong focus on reducing inequalities and supporting those who are most disadvantaged in the labour market. Using 2009 as a baseline, Opportunities Fife will strive to achieve the following strategic outcomes over the period 2010 to 2012: Strategic O utcomes 2010-2012 1 Re du cing un e mplo y me nt: Increase the percentage of Fife’s working age population in employment to 80% - an increase of 5,000 becoming economically active by 2012 and a further 10,500 by 2020 2 Narr o w the in equ alit y gap Narrow the claimant rate between the 20% most deprived areas and the 20% least deprived by 4% - 1,750 people into work or training from 20% most deprived areas 3 Mor e C hoi ce s Mo re C han ce s Reduce the number of young people (aged 16 to 19) not in education, employment or training from 1,830 to 1,400 Increase the number of young people (age 16-24) employed by public sector organisations in Fife (targets to be agreed with Fife Council and NHS Fife) 4 Barrier s to wor k Increase investment in tackling barriers to employment through attracting £5m investment in targeted support measures (eg ESF, Fairer Scotland Fund, Deprived Area Fund, Wider Role) 5 Em plo yer en gag e men t Work with public and private sector employers to create pathways to sustainable employment opportunities for key target groups -150 employers engage with Opportunities Fife employment support and 1,500 job outcomes achieved 6 Skill s de velo p men t Increase the participation in in-work learning to 30% and decrease the number of working age population with no qualifications by 10% (2,000 people) 5 FINAL DRAFT Feb 2010 7 Cul tur e o f en terpri s e Support Fife Culture of Enterprise Framework and promote entrepreneurship through delivery of 300 awareness raising sessions in school, college and community settings 8 He alth Wor k s Work with employers and NHS Fife to deliver the local recommendations set out in Health Works including the ‘Fit for Work Service’ proposal – targets to be agreed 5.1 Reducing U nemployment Issues and challenges: Reducing unemployment is increasingly challenging in an economic downturn and particularly so in the face of continued job cuts in the private sector and anticipated cuts in the public sector. Unemployment is a lagging indicator so even when the economy recovers it will still be some time before employment begins to rise again. The key challenge is the number of people without work – currently around 40,000. Of this total almost half (around 20,000) are in receipt of Employment Support Allowance (ESA) or Incapacity Benefit and almost 7,000 are lone parents or carers. Many of these clients face significant barriers including health and caring responsibilities and we will work with Jobcentre Plus and other partners to continue to make inroads to getting people back to work through a range of programmes and initiatives. Priority Actions: • Partnership approach to maximise subcontracting opportunities for Flexible New Deal contracts in Fife • Implement outreach and engagement strategy and robust referrals to other agencies to reach those furthest from the labour market • Introduce case managed support to sustain progression over a sustained period • Introduce a Common Assessment Framework to improve the client journey and assist with referrals and information sharing • Tackle child poverty through proactive targeting of low income families and lone parents • Prepare health and employability action plan to drive forward Health Works proposals at a local level • Build capacity within the voluntary sector to reach target groups through voluntary sector employability forum 5.2 Narrow the Inequality G ap Issues and Challenges: The latest SIMD data published in November 2009 highlights enduring poverty and deprivation in Fife’s most disadvantaged communities. Concerted action through the Fairer Fife Framework and across a range of partnerships is required to address this. The key challenge for 6 FINAL DRAFT Feb 2010 Opportunities Fife is to improve accessibility and targeting of employability services in deprived areas and to invest in longer term support in recognition that clients will need support over a sustained period of time in order to progress. Priority Actions: Deliver Fairer Scotland Fund employability programme: • Proactive engagement in deprived areas through Opportunities for You outreach and engagement service including door-knocking and interagency working • Targeted support for homeless people in Glenrothes through Gilven House, support for ethnic minority communities through Equal and Next Steps programme for alcohol and drug users • Working for Families programme including childcare solutions, personal development and money advice • Enterprise and social enterprise awareness raising in disadvantaged areas through Business Gateway and BRAG • MCMC programme for those young people most at risk of disengaging • Employment support programme including intermediate labour market waged placements; in-work training and support; and new approaches to progress clients from minimum wage jobs • Participate in collaborative work programmes in targeted areas to contribute to Building Stronger Communities • Joint staff development programme to improve client’s journey towards employment 5.3 More Choices More Chanc es Issues and Challenges: The impact of the recession on young people in Fife is severe and a co-ordinated programme of support is in place to prevent young people becoming lost to unemployment. Evidence from the past tells us that young people who experience unemployment are scarred for life so it is particularly important that we help them avoid the trap of long term unemployment. This support starts within schools to prevent young people from becoming ‘not in employment, education or training’ at the end of compulsory schooling. Interventions are then focussed on getting young people into education, training and employment and providing adequate support to help them sustain these outcomes. Priority Actions: • Improve the analysis and reporting of information in relation to specific at risk groups and implement early intervention strategies • Support the development within schools of successful transition intervention programmes • Develop a range of mechanisms to support and retain students and robust mechanisms for reporting early leavers • Develop a targeted focus on outcomes for children leaving care • Further develop the Fife Opportunities database in line with Scottish Government E-prospectus proposals 7 FINAL DRAFT Feb 2010 • Develop case management support to sustain progression for targeted young people • Deliver a broad range of employability and skills programmes to meet aspirations of young people and labour market opportunities 5.4 Barri ers to W ork Issues and Challenges: The multiple barriers facing many long term unemployed people include lack of current skills, transport, childcare, other dependent care, poverty and debt, health including mental health, housing, substance misuse, domestic abuse and criminal convictions. A network of agencies may need to provide specialist support and the challenge for Opportunities Fife is to ensure that client’s diverse needs are met. Fife Rights Forum has developed Fife On-line Referral and Tracking (FORT) system which employability partners are developing as a tool to aid referral to a wide range of organisations and monitoring of client progress and outcomes. Priority Actions: • Delivery of partnership ESF Priority 1 programme tackling worklessness targeting those with multiple barriers to employment • Address financial barriers through implementing financial inclusion and employability front line training programme and partnership arrangements with CARF to provide dedicated money advice service for specific client groups • Increased use of FORT system for more effective referral and tracking of client progress • Effective delivery of discretionary funds to provide practical assistance for transition to work or training. 5.5 Employ er Engagement Issues and Challenges: Feedback from employers has consistently raised the issue of disjointed and multiple approaches from employability partners. There is no central point for employers where they can access advice and information on the range of employment programmes and incentives making it difficult for them to engage and fully participate. Clients are not currently accessing the full range of possible employment opportunities and equally employers are not accessing the full pool of potential talent because providers do not currently have mechanisms to share market intelligence or opportunities. The key challenge for Opportunities Fife is to better serve the needs of employers and will take the lead from the Fife Economy Partnership who will identify a representative to ‘champion’ a co-ordinated employer engagement approach. Priority Actions: 8 FINAL DRAFT Feb 2010 • Develop an Opportunities Fife ‘employer offer’ and work proactively with employers to create employment pathways for key client groups • Capitalise on employment opportunities afforded by major capital projects such as second Forth crossing, CVF Aircraft and key growth sectors including renewables, tourism, retail, care and sustainable construction • Working proactively with public sector agencies as significant employers of target client groups • Deliver a responsive redundancy support service through PACE (Partnership Action for Continuing Employment) • Introduce measures to increase job sustainability and increased retention levels including vocational rehabilitation – see 5.8. • Create transitional employment opportunities through Future Jobs Fund, Community Task Force and Fife Intermediate Labour Market to prepare people for future jobs. 5.6 Skills Development Issues and Challenges: The failure in past recessions has been in not supporting people to get the right skills to take advantage of the opportunities in the upturn or to move into areas of work not affected by the recession. A key priority will be to ensure that people have the right skills to take advantage of opportunities offered by forthcoming major engineering and construction projects and other public sector capital projects. Growth is also anticipated in renewables, tourism, low carbon construction techniques, retail and care sectors. There will be a continued need to focus on delivering core employability skills to help people become job-ready – including confidence building and motivation, timekeeping, communication, literacy and numeracy, entrepreneurship and IT. An application for European Social Funding Priority 2 – ‘Upskilling the Workforce’ has been submitted and if successful will put added investment into enhancing the skills of those already in work. Opportunities Fife will work closely with Fife Economy Partnership to develop Fife’s skills action plan to ensure that local people are suitably qualified to take advantage of employment and progression opportunities and play their part in contributing to and benefiting from sustainable economic growth. Priority Actions: • Commission skills review to inform Fife’s future skills needs for renewables and other known growth sectors • Develop skills action plan involving employers, Skills Development Scotland, schools, training providers and College/University sector to meet Fife’s future skills needs • Work with employers and economic development colleagues to deliver ESF Priority 2 ‘Upskilling the Workforce’ programme • Capitalise on training opportunities afforded by major capital projects and key growth sectors • Deliver bespoke and flexible training solutions for individuals and employers. 5.7 Culture of Enterprise 9 FINAL DRAFT Feb 2010 Issues and Challenges: Fife Culture of Enterprise Framework is based on the premise that our future economic success will depend on our ability to develop a culture that both encourages and values enterprise and provides a supportive environment for entrepreneurial activities. A key challenge for Opportunities Fife is to ensure that people we engage with have the opportunities to develop more positive attitudes to enterprise and enterprising behaviours as well as contributing to improved performance on entrepreneurship and business success. Priority Actions: • Develop an enterprising ethos embedded in education from early years through Curriculum for Excellence • Deliver awareness raising sessions in priority areas and follow on support for enterprise • Develop enterprising behaviours as part of core employability skills through community based learning, skills and employability programmes. 5.8 Healt h Works Issues and Challenges: Ill-health is estimated to cost the British economy £100 billion a year in lost productivity, lost tax and increased health and welfare costs. The Scottish Government report ‘Health Works’ states that there is increasing evidence to show that improving health and wellbeing of the working age population will increase sustainable economic growth. Equally it has been long recognised that for most people, being in work is better for their long-term health than being unemployed, and that unemployment can severely damage health in the longer term. A key challenge for NHS Fife and Opportunities Fife is to define the local pathway for providing support to those for whom health is a barrier to retaining or returning to work. Alongside this is the introduction of a ‘fitnote’ to replace the current ‘sicknote’ that will aim to keep people in work where it will help their recovery. This will present a real challenge to prevailing attitudes to health and work amongst employers, employees and healthcare staff. Priority Actions: • Public sector bodies in Fife to become exemplars and champions for Health Works • Opportunities Fife partners to promote importance of workplace health as part of ‘employer offer’ • Opportunities Fife to develop joint action plan with Fife Health and Wellbeing Alliance and Fife Economy Partnership in response to Health Works review. 6. Delivering the Strategy 10 FINAL DRAFT Feb 2010 The Opportunities Fife Strategic Group (OFSG) is made up of senior managers from Jobcentre Plus, Skills Development Scotland, Fife Council, Scotland’s Colleges Fife, CVS Fife, NHS Fife and representation from the employer led Fife Economy Partnership. The group is responsible for developing and driving policy direction for ‘employability and skills’ and will provide strengthened leadership for delivery of the strategy. The group reports to Fife Partnership through the Education and Skills Executive Group and Fife Economy Partnership (see Appendix C). An Action Plan will be prepared to focus on delivery of Opportunities Fife Strategy 2010-12 and this will be taken forward through three programme delivery groups with supported from Opportunities Fife Task Team: • • • More Choices More Chances Client engagement and progression Employer engagement A Quality and Performance group assists the OFSG in monitoring progress and making recommendations on best use of funding streams and programmes to meet strategic objectives. This group will also develop a quality framework and use peer assessment to introduce improvements to services across the partnership. A data sharing protocol has been developed alongside a shared platform for performance monitoring through Fife Online Referral and Tracking (FORT) system. A monitoring framework will be developed to measure progress and impact of activities and regular progress reports will be communicated via Opportunities Fife website www.opportunitiesfife.org.uk. This strategy will be reviewed in 2012 in line with the three year review of Fife Economic Strategy. Overall performance will be assessed against objectives set out under the education, skills and employment themes of the Fife Community Plan and performance will be benchmarked through the Fife Single Outcome Agreement. APPENDIX A Labour Market C hange in Fife 11 FINAL DRAFT Feb 2010 1. Introduction The Fife labour market has experienced significant change since the 1980s. Then renowned for its capabilities in industrial manufacturing, Fife has since undergone a period of transition, now offering a wider range of employment opportunities, particularly in the services sector. To fully understand labour market performance, long-term trends have been outlined that identify persistent issues in Fife’s labour market. 2. Employment Trends Fife’s employment rate tends to perform comparatively well against national trends. Fife is fortunate to have benefited from a rapidly rising population, at a time when net-immigration to Scotland has been relatively static which has helped ensure a suitable labour supply. A greater number of services job opportunities also enabled a wider number of people to obtain employment. The strength of employment growth in Fife, compared to the national average is reflected in Figure 1. Figure 1: Employment Rate of Working Age Population, 1999-2008 80.0 78.0 Rate (%) 76.0 74.0 72.0 70.0 Fife Scotland 68.0 66.0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Source: Office for National Statistics, Annual Population Survey/Local Labour Force Survey 3. Unemployment Trends 12 FINAL DRAFT Feb 2010 Since December 1992, both Fife’s and Scotland’s unemployment rate have gradually fallen. Figure 2 highlights how unemployment trends in Fife have reduced in-line with the national experience. These significant reductions throughout the past decade have meant that Fife’s unemployment rate started from a lower point than at the beginning of the 1980 and 1990 recessions. However, as ONS (2009)1 highlight; since unemployment began to rise in 2008, the pace of such rises has outstripped the initial rises in past recessions. Importantly, even when JSA claimants were falling, Fife’s Jobseekers Allowance (JSA) claimant rate never actually fell below the national average, meaning there may a combination of harder-to-reach or disengaged claimants in Fife’s labour market. Figure 2: Jobseeker Allowance Claimants (JSA) of Working Age Population, 1999 - 2009 6.0 Fife Scotland UK 5.0 Rate (%) 4.0 3.0 2.0 1.0 0.0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Source: Office for National Statistics, Claimant Count In 2009, JSA claimants comprised around a third of the total numbers of benefit claimants. Other benefits include Employment Support Assistance (ESA) (formally Incapacity benefit), Income Support, Lone Parent benefit, Carers Allowance, Severe Disability benefit, Disabled and Bereavement benefit. In-line with the trends in JSA claimants, total benefit claimant numbers fell throughout the last decade but have since begun to rise sharply since the beginning of recession. Figure 3 (overleaf) shows that total benefit claimants in both Fife and Scotland have remained persistently above the UK average since at least 1999. The impact of the recession on total benefit claimants in Fife now appears to be having a more pronounced effect as reflected in the Fife average now overtaking the Scottish rate. Figure 3: Total Benefit Claimants of Working Age Population, Sept 1999 – Aug 2009 1 ONS, (2009), The Impact of the Recession on the UK Labour Market, UK Government 13 FINAL DRAFT Feb 2010 20 19 18 17 Rate (%) 16 15 14 13 Fife Scotland UK 12 11 10 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 Source: Office for National Statistics, DWP Benefits 4. Educational Attainment Trends Despite discouraging unemployment trends in Fife over the past decade, there have been significant improvements in educational attainment. Figure 4 illustrates the number of people of working age in Fife who have no qualifications has fallen by 17,500 (-9.2%), whilst at the higher end of attainment, those achieving NVQ Level 4 or above has risen by 25,200 people (+9.6%). However, this does appear to have had a negative impact on those entering trade apprenticeships; although the -3.3% fall in Fife between 1999 and 2008 is in-line with the Scottish trend. Figure 4: Qualification Levels of the Working Age Population, 1999 & 2008 Qualificati on L ev el 19 9 9 20 0 8 Ch a ng e bet we e n 19 9 9- 20 0 8 % % Num b er Num b er Num b er % % with NVQ4+ 48,000 23.1 73,200 32.7 25,200 9.6 % with NVQ3 only 32,000 15.4 40,100 17.9 8,100 2.5 % with NVQ2 only 25,000 12.1 33,200 14.9 8,200 2.8 % with NVQ1 only 24,000 11.7 25,800 11.5 1,800 -0.2 % with Trade Apprenticeships 23,000 10.9 16,900 7.6 -6,100 -3.3 % with other qualifications 18,000 8.8 15,000 6.7 -3,000 -2.1 % with no qualifications 37,000 17.9 19,500 8.7 -17,500 -9.2 Source: Office for National Statistics, Annual Population Survey/Local Labour Force Survey 5. Scottish Indices of Multiple Deprivation (SIMD) 14 FINAL DRAFT Feb 2010 A more detailed and comprehensive geographical and social breakdown is provided by the Scottish Index of Multiple Deprivation (SIMD) 2009. The SIMD compiles data on income, employment, health, education, housing and crime to provide a detailed picture of area-based deprivation. The SIMD 2009 reports that 8 of the 453 datazones in Fife are within the lowest ranked 5% of all the datazones in Scotland. Figure 5 outlines that these same eight datazones were also Fife’s lowest ranked in the SIMD 2006. The increase in rank represents poorer performance in the indicators measured in the SIMD. In total, 83 of Fife’s datazones are in the lowest 20% of datazones in Scotland. Figure 5: SIMD Comparison of Fife’s Lowest Ranked Datazones SIMD 2009 Rank SIMD 2006 Rank Templehall 135 316 Gallatown West 150 161 Sinclairtown Central 174 354 Ballingry West 197 272 Methilhill East 272 296 Aberhill 283 361 Methil Memorial Park 286 308 Kirkland South 323 431 Source: Scottish Index of Multiple Deprivation 2006 & 2009, Scottish Government A total of 43,279 people of working age live in Fife’s lowest ranked 20% SIMD datazones. The total number of benefit claimants in these datazones is 14,100 (32.6%) including 3,666 claiming JSA (8.5%). A total of 54,627 people of working age live in Fife’s highest ranked 20% SIMD datazones. The total number of benefit claimants is 3,270 (5.9%) including 827 claiming JSA (1.5%). Closing this gap will take concerted efforts over a period of time and on a range of fronts including employability and skills. To reduce the gap in total numbers of claimants as a percentage of the working age population by just 4% will require 1,750 people from the worst datazones to move from benefits to work or training. 6. Child Poverty The Government’s target for a reduction in child poverty to 1.7 million is now unlikely to be met in 2010 and research carried out by Joseph Rowntree Foundation (JRF) has forecast that the target will be missed by at least 600,000. Significant progress has been made in reducing the number of children in low income non-working households but this progress has been wiped out by a rapid increase in the number of children in low income households where at least one adult is in paid work. The increase in unemployment is expected to result in more children from non-working households going into poverty and significantly two thirds of these children live with a lone parent. 15 FINAL DRAFT Feb 2010 Figure 6: Children in poverty Source: Joseph Rowntree Foundation 7. In-work poverty In work poverty is largely a function of low pay and low hours and has been increasing steadily before the onset of recession. Fife does not have as high a proportion of low paid workers as some areas (low pay tends to be concentrated in rural areas), however almost a quarter of Fife’s employees earn less than £7 per hour and the average wage in Fife is significantly lower than the Scottish average. As noted above, in work poverty impacts significantly on child poverty levels and if it’s ignored then the drive to lift children out of poverty will stall and the move from worklessness to work becomes less attractive. Figure 7: Employees Earning Less than £7 an hour, 2008 Source: Office for National Statistics, Annual Survey of Hours & Earnings (ASHE) APPENDIX B 16 FINAL DRAFT Feb 2010 Estimate of c hanges in w orking age population 2008 – 2020 GROS Estimate of working age population in 2020 224,203 80% economic activity rate in 2020 (Estimate) 179,362 Economic activity rate in 2008 (82.2%) 184,000 Estimated change in the No. of people who are economically active -4,638 GROS Estimate of working age population in 2020 224,203 80% Employment rate in 2020 ( Estimate) 179,362 Employment rate in 2008 (76.5% ) 171,100 Estimated NET increase in the No. of people in work Required 8,262 Sources: General Register of Scotland (GROS). ONS, Annual Population Survey ©crown copyright, 2009. NOTES: Estimated Working age population is based on the total of all males aged 16-64 and all females aged 16-59 and is taken from the total of the estimated individual age bands from the General Registers Office for Scotland. NET increase is defined as the number of extra people in work. This is after those people who have lost their employment have been factored into the total number of new jobs created. To achieve an employment rate of 80% the economic activity rate will have to increase to a higher level. The number of adults not in work in Fife at December 2008 was over 39,000. To achieve an Employment rate of 80% an economic activity rate of 90% is a more realistic requirement. This would require the number of economically active people in Fife to be increased by 15,541 from its current level of 184,000. The change in the eligibility rules for people who would have claimed Incapacity Benefit now having to claim Employment Support Assistance will lead to increases in the number deemed to be economically active however local initiatives targeting those claimants who are on long term incapacity benefit should be considered. APPENDIX C 17 FINAL DRAFT Feb 2010 FIFE PARTNERSHIP BOARD EXECUTIVE GROUP EDUCATION & SKILLS EXECUTIVE GROUP FIFE ECONOMY PARTNERSHIP Opportunities Fife Strategic Group Quality and Performance Group Opportunities Fife Co-ordinator/Task Team MCMC Delivery Group Client Engagement Delivery Group Employer Engagement Delivery Group Local & Thematic Networks 18
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