The Department for Work & Pensions is setting out to work with trade associations and their members to tackle skills gaps and support more people getting into work and starting meaningful careers.
The Department for Work & Pensions (DWP) is making a concerted effort to work more closely with trade associations, such as the Trussed Rafter Association (TRA) and Timber Development UK (TDUK), with a clear focus on helping businesses find the people they need to fill business vacancies while opening up more meaningful career opportunities for people across the UK.
This comes at a time when the labour market remains challenging, particularly among younger people. Almost one million 16-24-year-olds are currently not in education, employment or training (NEETs), and reversing that trend has become a major priority for the DWP.
There is a growing recognition in government that trade associations sit right at the centre of this challenge. They understand the pressures facing employers, from skills shortages to regional recruitment gaps, and they have direct access to the businesses that are actively hiring. That puts them in a strong position to help shape a more practical, joined-up approach between government and industry.
During a recent webinar, the DWP said trade associations “play a key role by sharing sector insights, shaping local delivery plans, and helping ensure the new employment and skills services meet the real needs of employers”.
Through its Strategic Relationships Team, the DWP is looking to build genuine partnerships with trade associations, creating a two-way flow of information. The aim is simple: give employers better access to candidates and support, while the DWP gains a clearer picture of what different sectors actually need from the workforce.
Speaking during the webinar, Minister for Employment Rt Hon Dame Diana Johnson DBE underlined the importance of closer collaboration between government and industry, noting that trade associations have a vital role to play in shaping a stronger labour market.
She said: “Trade associations are essential partners in helping us design programmes that respond to the needs of the labour market. By working more closely with employers and industry bodies, we can create opportunities for young people starting out, support those changing careers, and help more people move into and stay in work.”
Youth Guarantee
The government has committed £2.5 billion to the Youth Guarantee, a programme designed to ensure every young person has access to opportunities to earn or learn while building the skills employers are looking for.
The Youth Guarantee sets out to provide young people with the right support, through more than 100 Youth Hubs (increasing to over 360 across the UK) that offer support to help young people secure employment, co-located with other services such as mental health. There will also be 150,000 additional work experience placements created, as well as 145,000 additional sector-based work academy programme placements.
There will also be expanded support for SMEs recruiting 16-24 year olds into flexible apprenticeships, and £2,000 incentives being introduced from October 2026.
Financial support for employers is also being increased, with payments of £3,000 available from June 2026 for employers who recruit 18-24 year olds who have been on Universal Credit and out of work for more than 6 months.
Jobs Guarantee
Alongside the Youth Guarantee sits the Jobs Guarantee, which will see fully subsidised roles created for young people who have been out of work for longer periods of 18 months. For employers, that means the government covering wages for part-time roles, alongside support with onboarding and development, helping to reduce both cost and risk when bringing in new talent.
For sectors such as construction and timber, where skills shortages are a long-standing issue, these initiatives offer a real opportunity to bring new people into the industry and develop their skills in a way that works for businesses.
The support on offer goes beyond funding. Jobcentre Plus is evolving into more of a careers-focused service, backed by a new National Jobs and Careers Service that will bring together employment support and careers advice. At a practical level, employers can tap into free recruitment support, from advertising vacancies and shortlisting candidates through to hosting job fairs and running work experience placements.
Programmes such as Sector-Based Work Academy Programmes (SWAPs) and work trials are also designed to give employers a chance to see candidates in action before making a commitment, while giving individuals the confidence and experience they need to step into the workplace.
The DWP has been clear about where it would like support from industry trade associations, setting out five key areas where associations can make a real difference:
- Champion the Youth Guarantee across your sector – bring together employers who are willing to support the initiative and create opportunities for young people
- Share what’s already working – highlight existing schemes, training routes and initiatives that are already helping people into the industry
- Encourage new opportunities – work with members to create more entry-level roles, apprenticeships, placements and training pathways
- Promote the sector to new audiences – use communications, campaigns and case studies to show why your industry is a great place to build a career
- Feed back real-world insight – give the DWP a clear picture of the barriers, challenges and opportunities within your sector so future policy is grounded in reality.
There is also a strong emphasis on collaboration at a local level. With hundreds of Jobcentre locations across the country, there is scope to tailor support to regional skills gaps, while initiatives such as Youth Hubs aim to bring together employers, training providers and support services in one place.
Nick Boulton, Director of the Trussed Rafter Association, said: “With the right collaboration in place, there is a real opportunity here to turn a challenging labour market into something far more positive, for businesses and for the people looking to build a career within them.”
Find out more and get involved
If any TRA or TDUK member wishes to get involved, you can contact the DWP Strategic Relationships Team at srt.recruiterofchoice@dwp.gov.uk, or visit business.gov.uk/recruit to connect with a local employer advisor and start the conversation.
