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Britain’s ‘Sliding into Economic Crisis’ in £85bn Pain Relief

Britain's 'Sliding into Economic Crisis' in £85bn Pain Relief
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EmerouBusiness reporter

Britain's 'Sliding into Economic Crisis' in £85bn Pain ReliefBritain's 'Sliding into Economic Crisis' in £85bn Pain ReliefGetty Images

The report says that a 22-year-old who drops out of work for health reasons could lose up to £1m over the course of their life.

The number of sick and disabled people out of work is putting the UK at risk of an “economic inactivity crisis” that threatens the country’s prosperity, according to a new report.

There will be 800,000 more people out of work today than in 2019 due to health conditions, costing employers £85bn a year, according to a review by former John Lewis Boss Sir Charlie Mayfield.

The problem could get worse without intervention, but Sir Charlie, who will lead a task force aimed at helping people get back into work, said it was “inevitable”.

The measure has been widely accepted, but some business groups say that the labor bill includes some disincentives for hiring people with disabilities.

One in five of working age is not at work, and is not looking for work, according to the report, which was commissioned by the Department for the Department for Department for work and pensions by making independent.

Without intervention, another 600,000 people could leave work for health reasons by the end of the decade.

Sir Charlie said sickness costs employers £85bn a year through issues including lost productivity and sick pay, but it also costs the wider economy.

“For owners, illness and staff turnover lead to disruption, costs and lost experience,” he said. “For the country, this means weaker growth, higher welfare spending and more pressure on the NHS”.

Speaking to the BBC, he said that “on the whole, work and health are mutually reinforcing”.

“So keeping people at work, keeping them active, actually helps them stay healthier.”

It costs the state £212bn every year without sick leave, or almost 70% of tax revenue, through lost output, increased welfare payments, increased welfare sales and increased burdens on the NHS.

People will be motivated to stay at work if health is considered “a shared responsibility between employees, employees and health services”, he said.

‘I Want To Find A Job’

Loz Sandom has health and physical conditions that make it difficult to find work, and the last time they worked was a year ago.

“I’m ready to do the work, and I want to. I want to find a job,” said the 28-year-old, who has a degree in digital illustration.

They say part of the challenge is that owners don’t know they have a “duty to provide reasonable adjustments.”

Britain's 'Sliding into Economic Crisis' in £85bn Pain ReliefBritain's 'Sliding into Economic Crisis' in £85bn Pain Relief

“It’s a shame because they’re missing out on so many wonderful people with disabilities who can do wonderful jobs.

“And I don’t blame the owners at all. They need support too,” added Loz. “There are things that can be put in place to help the owners, help save people.”

Responding to the report, the government announced a major partnership with more than 60 companies, many of them large employers, to “stop the increase in the flow of bad work”.

Companies include Tesco, Google UK, Nando’s and John Lewis.

In the next three years, they will “develop and refine the methods of occupational health in the workplace” aiming to “increase the rate of work, and increase the rate of work-to-work”.

The government aims to develop these changes to a voluntary certified standard by 2029.

Speaking to the BBC, Work and Pensions Secretary Pat McFadden said the report was a “win-win for employees with sickness issues or owners of these issues with serious sickness issues”.

“That’s in the interest of the employers because it’s good experienced staff and it’s also in the interest of the employees because most people want to stay at work if possible.”

The Fourgution Foundation Think Chief Executive Ruth Curtice: “The assessment of the proper support of the flow of the flow of the attack on the errors of the British organization in the wrong direction.”

Cipd, which represents HR professionals, welcomes the government’s vision for a way to prevent illness at work.

But Chief Executive Peter Cheese said: “The success of the report will depend on the extent of the recommendations on positive outcomes at a national and regional level.”

The report comes as the government tries to move forward with its Bill of Rights – which Some businesses say they will accelerate growth.

The proposed new law includes a right to guarantee hours and gaps in zero contracts without a job offer.

As well as Bill, Chancellor Rachel Reeves refers to Work Guaranteed of youth who have been unemployed for 18 months.

Those who do not make the offer may face having their benefits withdrawn.

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