Universal credit and employers
How Universal Credit and the UK’s active labour market policies affect the way businesses recruit, retain and progress their staff.
Research Summary
May 2021 to January 2023
Active labour market policies (ALMPs) are government interventions typically focused on moving unemployed people into work.
Employers are fundamental to ALMP outcomes – they offer the employment opportunities that job seekers are trying to access, but research has tended to ignore their views and experiences.
Our research addressed this important gap. It explored employer views of ALMP and the requirements that underpin Universal Credit for people who are unemployed and workers on a low income.
It also considered how employment services such as Jobcentre Plus and other providers can work more effectively with employers, leading to better outcomes for individuals and the wider economy.
The project addressed four key questions:
- How are UK ALMPs understood and experienced by employers?
- How does ALMP affect UK businesses – including how they recruit, retain and progress their staff?
- How does the impact of ALMP on employers vary in different sectors (including retail, hospitality and social care)?
- How can the public employment service work effectively with employers, and lead to better outcomes for individuals and the wider economy?
The qualitative study included 124 interviews with employers, policymakers and other key stakeholders.
The support of the Economic and Social Research Council (ESRC) is gratefully acknowledged (Grant Ref: ES/V004093/1).
“As the national membership body campaigning for high-quality services for the UK’s jobseekers and low earners, understanding how employment services interact with UK employers is important to us. It’s at the centre of everything our members deliver”
Elizabeth Taylor, Chief Executive of the Employment Related Services Association (ERSA)
Research team
Principal Investigator: Dr Katy Jones Dr Katy Jones | Manchester Metropolitan University
Senior Research Assistant: Dr Calum Carson
Related news and outputs
Final Report: Jones, K and Carson, C (2023) Universal Credit and Employers: Exploring the Demand Side of UK Active Labour Market Policy – Final Report
Academic publications: A step too far: Employer perspectives on in-work conditionality – Katy Jones, Calum Carson, 2024
Partners and funding
