It’s About a Vision, not a Spreadsheet

Though Generation Z are often branded as chronic moaners, dare I say they occasionally have a point. The vast majority of us have grown up in a society that has left us feeling bereft of the opportunities to progress like generations that have come before. It’s true that youth unemployment is going down and the National Living Wage has dramatically improved lives for the most vulnerable. Yet the question still remains – though young people may be getting jobs, will they lead to a career and a livelihood worth living?

A quick run-down of the sums shows that this cycle of underemployment – people working for fewer hours or using far less of their skillset than they are otherwise able and wanting to – simply is not sustainable. Research from Universities UK found barely half (53%) of university graduates were earning more than £27k within 15 months of graduation.

Even with tax cuts from the Spring Statement, take home pay for those on £27k is £22k, presuming that employees can afford not to opt-out of their workplace pension. With many of these graduates living in the capital, attracted by the higher wages available, grads are looking at an average rent of £1k per month, according to research from Spare Room.

This leaves the ‘average’ grad with disposable income of £10k per year without taking into account further bills (electricity, phone, WiFi…), the rising cost of living expenses or the average cost of commuting across London to access jobs that are even willing to pay £27k or more. Before that gives you a headache, spare a thought for the other half who are earning even less but still face the same costs!

Having said all this, the answer is much more about a vision than a spreadsheet. Young people are more than mere economic units that have the potential to contribute to our nation’s GDP or simply need budgeting lessons. We are fortunate enough to have been brought up in one of the best countries in the world for school standards. We have the knowledge and skills base to work hard, innovate, think creatively and achieve when the opportunity is there. Despite what critics may say, we are not all in thrall to social media or damaged beyond repair post-pandemic.  

Rather, young people often lack the tangible hope needed to create a culture of opportunity – where hard work can and does lead to jobs and opportunities that pay. Unless our government or its successors focus on breaking that cycle, on promoting the creation of well-paying jobs across the UK for all types of young people, we risk a further generation who lack the opportunities, drive and ambition to change our country’s fortunes.    

Claudia Toma
Consultant