No jobs for youths, say bosses

But they support Key's new scheme

Employers may not have work for jobless youth even if they get a $5000 subsidy for hiring them.

On Sunday Prime Minister John Key announced a $152 million funding package to move young people off the dole queues.

In the last year, the number of 16-24 year-olds on the benefit has increased from 4000 to 17,000.

As well as paying for thousands to be trained, the package includes $20 million for Job Ops, a subsidy paid to employers who give entry level jobs to unemployed youths.

The $5000 subsidy would be paid to employers who give youth full-time positions of at least 30 hours per week for 26 weeks.

Jobs can not replace current roles, or roles lost due to redundancy and must be paid at the minium wage of $12.50 per hour.

While Fitzroy Engineering managing director Richard Ellis supported the scheme he said it did not mean the company would be able to hire unemployed youth. "We would certainly do it if we could guarantee the amount of work to sustain them but right now we haven't got a lot of work for our own people," he said.

Taranaki president of the Master Builders' Association Andrew Pepper likewise gave the subsidy the thumbs up but said a seasonal downturn combined with the recession meant few builders would be able to hire anyone.

"There is probably not enough work for it right now, but then again there are some that have work and they would be foolish not to look at the opportunity to get a subsidy for an employee."

Mr Pepper said there was light at the end of the tunnel for the building industry and expected the amount of work being done to increase by Christmas.

Taranaki Regional Council chief executive Basil Chamberlain said the council would be looking at the Government's package very closely and definitely using the subsidy to hire unemployed youth if it could.

"We normally employ quite a bit of casual workers over the summer period and if that could coincide with helping young people who need jobs we will be looking at what we can do."

Lou Roebuck, of New Plymouth youth support service Waves, said the subsidy was a positive move by the Government as something had to be done about the huge numbers of youth willing to work but unable to get jobs.

"Six months is not going to cost employers a lot of money and it might give a person a chance to get a job, get some money in their pocket and build their self-esteem. But of course we are not going to know if it will work or not until some employers have done it."

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