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SCOTTISH REPERCUSSIONS OF THE STRATEGY UNIT REPORT – ‘ETHNIC MINORITIES AND THE LABOUR MARKET’

DescriptionNote of event held by Scottish Executive, Scottish Enterprise and CRE Scotland on
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Official Print Publication Date
Website Publication DateApril 02, 2004

SCOTTISH REPERCUSSIONS OF THE STRATEGY UNIT REPORT - 'ETHNIC MINORITIES AND THE LABOUR MARKET'

Note of event held by Scottish Executive, Scottish Enterprise and CRE Scotland on

19 January 2004

THIS IS A NOTE OF PROCEEDINGS ONLY. IT IS NOT AN ACTION PLAN FOR THE SCOTTISH EXECUTIVE, SCOTTISH ENTERPRISE AND CRE SCOTLAND. THE VIEWS EXPRESSED ARE NOT NECESSARILY THOSE OF THE ORGANISERS.



Contents

· Agenda for the day

· Scottish Repercussions of the Strategy Unit - Research - presentation given by Alison Colvine*

· Workshop 1: Building Employability

Facilitators - Maria McCann (Scottish Executive Education Department) and John Christie (External facilitator)

· Workshop 2a: Connecting People with Work: Transitions to Employment

Facilitator - Peter Beaumont (Scottish Executive Enterprise, Transport and Lifelong Learning Department)

· Workshop 2b: Barriers to Enterprise

Facilitator - Scott Skinner (Scottish Enterprise)

· Workshop 3: Equal Opportunities in the Workplace

Facilitator - Morag Patrick (CRE Scotland)

· List of attendees

* If you would like copies of the other presentations please contact Alison Colvine (0131) 244 ) 244 0560 andalison.colvine@scotland.gsi.gov.uk



Ethnic Minorities and the Labour Market in Scotland

Scottish Repercussions of the Strategy Unit Report
Scottish Enterprise - 19 January 2004

9:15 am to 9:45 am Registration

9:45 am Welcome and Introduction

Lena Wilson, Scottish Enterprise (Chair)

10:00 am Scottish Executive Deputy Minister for Enterprise and Lifelong Learning

Lewis Macdonald MSP

10:20 am Background to the Report

Zamila Bunglawala, Report Project Team

10:50 am Setting the Scottish Context - Employer's perspective

Gordon Dewar, First Group Ltd

11:20 am Setting the Scottish Context - Research

Alison Colvine, Scottish Executive Equality Unit

11:50 am Question and Answer Session

12:15 pm Lunch

1:15 pm Workshops

1. Building Employability

Maria McCann, Scottish Executive

2a. Connecting People with Work: Transitions to Employment, Peter Beaumont, Scottish Executive

2b. Connecting People with Work: Enterprise,Scott Skinner, Scottish Enterprise

3. Equal Opportunities in the Workplace,Morag Patrick, Commission for Racial Equality

3:15 pm Coffee

3:45 pm Summation

Yvonne Strachan, Scottish Executive Equality Unit

Mark Batho, Scottish Executive Lifelong Learning Group

Kay Hampton, Commissioner for Scotland and Deputy Chair of the Commission for Racial Equality

Workshop Reports

Plenary Q&A

Next Steps

4:30 pm Close



SCOTTISH REPERCUSSIONS OF THE STRATEGY UNIT REPORT - RESEARCH

Alison Colvine

  • I am going to look at what background information exists in Scotland
  • One of today's aims is to look at how applicable the SU findings are to a Scottish setting
  • I will try and outline a Strategy Unit finding and contrast with a Scottish one
  • The analysis was completed by Zamila Bunglawala
  • I have also been assisted in preparing for this presentation by Amy Wilson (Scottish Executive Central Statistics Unit) and Laura Turney (Social Research Equalities), both of whom are here today
  • The statistics used from the 2001 census
  • This is the best source of information we have in this area
  • I am also using terminology from the census, including census categories for ethnicity classifications
  • Work is currently underway in the Scottish Executive on ethnicity classifications with a view to review classification use
  • Unfortunately this presentation is not a complete analysis as a lot of comparable information does not exist in Scotland .
  • We know that more research is needed to provide a clear picture in Scotland
  • I will identify and highlight areas where more work is required
  • This is not necessarily a work programme for the Scottish Executive and Scottish Enterprise.
  • Our work programme will be informed by this but it is possible that others will be best placed to take this work forward

  • A copy of my presentation is your packs. The slides are very detailed. I thought the information would help with workshop activity.

I will look a some high level issues raised by the report and examine the implications of this - My talk will look at the following areas:

  • Summary of Ethnic Minorities and the Labour Market report findings
  • Demography
  • Geography
  • Labour Market Performance
  • Causes of disadvantage
  • Understanding disadvantage
  • Implications of this work?





SUMMARY OF SU REPORT FINDINGS

Zamila has already looked at the report in detail; I would like to pick up on a few points -

The report set out policy conclusions in four principal areas:

These are -

  • Building employability - by improving education and skills
  • Connecting people with work - by addressing the problems facing individuals in deprived areas
  • Achieving equal opportunities in the workplace
  • Delivering change through new UK Government structures.

Ethnic minorities will account for half the growth in the working-age population in Great Britain over the next ten years. This will create fresh challenges and opportunities for policy, employers and the economy, as well as for ethnic minorities themselves.

There are multi-layered variations in the labour market achievements between and within different minorities, with groups like Indians, Chinese and Africans doing well, while groups like Pakistani, Bangladeshis and Caribbeans are under-performing in the labour market. However, even successful groups are not doing as well as they should be, given their education and other characteristics.

The Strategy Unit report outlines a package of measures to understand and the complex reality faced by ethnic minorities: going beyond anti-discrimination policies to more targeted action in education, employment, housing and discrimination.

We need to consider how to take this forward in Scotland

ANALYSIS: Demography

Demographical information for Scotland

Ethnic minorities currently make up 8 per cent of the British population. For Scotland the figure is 2 per cent.

Currently 60 per cent of Scotland's ethnic minority population are aged under 30, compared to just over 30 per cent of Whites. So there is a younger age profile.

There is a projected fall in Scotland's working age population of 1% by 2013. Both of these factors will impact on the ethnic minority make of Scotland's working age population.



ANALYSIS: Geography

In Scotland ethnic minorities tend to be disproportionately concentrated in major cities. We can view this by Council area.

Out of the total Ethnic Minority population in Scotland:

31% live in Glasgow City;

18% in Edinburgh City;

6% in Aberdeen City.

Between 70 and 90 per cent of all ethnic minority groups in Scotland are to be found in large urban and other urban areas, compared to 60 per cent of Whites. It is possible to identify even further, that this large percentage of the Scottish ethnic minority population are located in a very small number of wards.

Although for most ethnic minority groups, the majority of the population live in urban areas. For some groups (notably the census categories of Chinese, Caribbean and Black Scottish/Other Black) a reasonable number live outside the large urban areas, so we will need to consider the dispersal of the population.

Using the area based Scottish interim index of deprivation, we know that 10 per cent

of Scotland's ethnic minorities live in the 100 (10%) most deprived wards. This would suggest that unlike England, there is no immediate correlation between deprived areas and a high density of the ethnic minority population. However we are not suggesting that this lack of correlation means there is no poverty amongst ethnic minority groups.

Overall, a low percentage of residence in deprived areas would suggest relative affluence for the remaining population. However, analysis shows that ethnic minorities face many factors which can contribute to deprivation and social isolation.

For example:

  • Larger than average family size
  • Greater propensity to live in households which consist of 2 or more families
  • One third of all Pakistanis, Bangladeshis and Africans live in accommodation below the census standard room measure which could give some indication of overcrowding
  • Limited access to mainstream and targeted services.

When settling in Scotland ethnic minorities took up residence in central areas, not necessarily characterised as deprived, and where housing was available. Anecdotal evidence suggests that they may now 'trapped' in this overcrowded accommodation. Their continued residence to date in these areas where they face the factors outlined above suggests they may be encountering deprivation on a level that is not apparent when looking at the current area based index. Future work on the index of deprivation will allow for analysis at a smaller area level which may provide more insight into the relationship between ethnicity and deprivation.

For some ethnic minority groups living alongside fellow ethnic minorities is a cultural preference and norm due to reasons such as language and religious observance. Moving into non-ethnic minority areas therefore may not always be the best option. Such settlement choice is also present when minority groups actively choose not to be geographically mobile due to levels of discrimination they feel they may encounter in other areas.

ANALYSIS: Labour market performance

Ethnic minorities' labour market achievements can be measured using three key indicators:

  • Employment/unemployment rates
  • Occupational attainment
  • Levels of self-employment.

Salary is also a useful indicator but statistics here are not available. The experiences of different ethnic minority groups vary widely, but all ethnic minority groups in Scotland perform worse than White Scots in the labour market, compared to England where Indians and Chinese are on-par with or out-perform Whites.

Scotland's ethnic minorities experience unemployment rates between two and three times greater than those of Whites. Within this overall picture, significant differences exist between ethnic minority groups. Proportionally Pakistanis and Bangladeshis have low rates of economic activity, but high levels of economic activity and employment are found in the Indian and Caribbean groups. What is even more compelling is that this is exactly the same situation found, for these particular groups, in England.

How and why this is the case requires detailed analysis of the employment opportunities and support available to these groups and their use of them. This requires a closer look at labour market programmes administered by Jobcentre Plus and it's agencies.

The 'employment rate gap'

When the employment levels of all ethnic minority groups are combined and measured against the level of Whites a gap is found. This is called the employment rate gap. In England this gap has persisted for over 15 years at around 16 percentage points. In Scotland, the gap is greater. It is 19 percentage points.

The Pakistani, Bangladeshi and African/Black Scottish groups have the highest unemployment rates, and are comparable with rates in England.

Between 15 and 20 per cent of Pakistani and Bangladeshi working age males have never worked before compared to less than 5 per cent of White males. Between 40 and 50 per cent of Pakistani and Bangladeshi working age females have never worked before, compared to less than 10 per cent of White working age females.

Some of the employment rate gap could be the result of discrimination and deprivation.

The Strategy Unit report labelled this 'unexplained' quantification the 'ethnic penalty'. However, in the absence of salary/wage data, an 'ethnic penalty' cannot be quantified for Scotland and it would require further research to define this for the Scottish context.





There are big differences in occupational attainment and levels of self-employment and under-employment

Attainment

In Scotland, there is a sharp variance between groups across sectors with the most disadvantaged groups being over-represented in a narrow range of occupations:

· 1 in 3 Pakistanis in employment described themselves as managers and senior officials, compared to 1 in 10 of Whites. While this may suggest an employment status commensurate with relative affluence, these managers and officials are mainly found in small-scale retail

· Half of all Bangladeshis are employed in the hotel and catering industry

· 1 in 3 Indians described themselves as working in professional occupations.

The census relies on self completion so we could re-do this analysis using socio-economic categories to obtain a more detailed picture.

Under-employment and unemployment

To analyse economic disadvantage we would need to look at type of organisation and number of hours worked:

· Concentration in the retail, catering and service sectors can lead to informal employment practices and breaches of employment and pay legislation between and within all groups

· Ethnic minorities work disproportionately longer hours than Whites, with 1 in 4 Pakistanis and Bangladeshis working 49 hours or more, compared to 1 in 7 Whites.

Concentration in a narrow range of industries and high levels of unemployment and under-employment are reflective and suggestive of several factors such as:

· Limited opportunity and support available to enter the labour market or branch out into other sectors

· Skills mis-match for employment opportunities available

· Barriers to labour market entry such as childcare

· Lack of knowledge of in-work financial benefits

· Discrimination towards ethnic minorities

· Inter-ethnic discrimination; abuse of employment rights

· Home-working or non-declaration of employment.

The degree to which these factors individually or collectively contribute to the current performance of ethnic minorities in the labour market would require detailed analysis. At present we don't have enough data to analyse which departments are meeting the needs of ethnic minorities.

The limited data available from Jobcentre Plus at the current time shows a 6-9 percentage point gap in parity of outcomes between ethnic minorities and Whites from New Deal labour market programmes. Further analysis of why this is the case is required from New Deal providers in areas of ethnic minority concentration.

There are alternatives to mainstream education and employment available to all, through the form of skills based employment, such as Modern Apprenticeships. The degree to which such options are given to and accessed by ethnic minorities in schools or Jobcentres, is unclear and more work is needed to understand this.

Self-employment

High levels of self-employment in Ethnic Minority groups are found in England and Wales , but Scotland 's levels are higher. In both cases such tendencies towards entrepreneurialism can have various causes from push and pull factors. It is for this reason that self-employment is a less reliable indicator of labour market success.

Research into the level of support and advice available to the small business sector; ethnic minorities' access and use of such services, and the level of turnover in this sector by ethnic minorities and Whites is going to be carried out. This will help our understanding of how and why ethnic minorities come to choose self-employment as a choice of labour market activity and why they continue to remain in this sector, despite the evident long number of hours worked in narrow industries.

ANALYSIS: Education

Educational attainment is a significant determinant of labour market entry and progression. As such, a clear understanding of individual ethnic minority groups and their performance throughout the education cycle is needed.

School education

Although it will be possible to analyse educational attainment by ethnicity, this data is not yet available from the School Census. It may be several years before there is sufficient data from which to draw robust conclusions. In the absence of such data for ethnic minorities aged under 16, it is difficult at present to assess the complete mixture of educational attainment levels.

The mainstream services available to this age group, and indeed their parents should be assessed. This includes Connexions and the Careers Service. Levels of support available through PTA meetings and ethnic minority attendance here should also be assessed.

Further, targeted initiatives directed at social inclusion and youth engagement need to be assessed. The degree to which they meet the needs of ethnic minorities, their level of outreach and flexibility and whether they approach this complex problem of inclusion through education and employment engagement in a co-ordinated manner needs to be analysed.

As with all policy areas, co-ordinated local and strategic delivery is key to positive outcomes and change when the client group is as diverse as ethnic minorities are.





Post 16 education

Educational attainment is uneven between and within ethnic minority groups. Some members of the Pakistani and Bangladeshi groups have disproportionately poor skills and few qualifications while others within the same ethnic minority groups have high numbers of graduates.

In post-16 education, the levels for all groups appear very mixed:

· 26 per cent of Pakistani and Bangladeshi pupils aged 16-34 have no qualifications, compared with 14 per cent of Whites, but only 12 per cent of Indians and Caribbeans

· At graduate level, all ethnic minorities out-perform White Scottish, specifically Indians at 41 per cent compared to White Scottish at 16 per cent.

However people with higher levels of qualification will not necessarily stay in Scotland.

Data on students at Scottish Higher Education Institutions shows that, for both males and females, the proportion of ethnic minority students has increased over the last 4 years (from 5.4% to 8.8% for males and from 3.5% to 4.9% for females).

Differences are also apparent between ethnic minority groups when looking at field of study (data for 1997/98-200/2001):

· 16% of Indian students were studying medicine and dentistry compared to only 3% of White students

· 41% of Chinese students and 39% of Caribbean students were studying Business Administration compared with 14% of White students

· 11% of Pakistani students were studying information technology compared with 4% of White students

· 7% of White students were studying Education compared with only 2.3% of Pakistani students, 1% of Indian students and 1% of Chinese students.

The class of degree awarded to students, across all fields of study, also shows differences between ethnic minority group.

We should take care when interpreting these figures since no account has been taken of the differences in degree class across different subjects.

· With the exception of Chinese students, all other ethnic minority groups have a lower proportion of first class degrees

· All ethnic minority groups have a lower proportion of second class degrees and a higher proportion of 'other' degrees than White students.

There does appear to be a clear divide within ethnic minority groups and this variance may be explained by social class. High numbers of ethnic minorities at graduate level is clearly positive. However, the institutions from which these ethnic minority graduates are studying needs to be monitored as the calibre of educational institution is also a labour market success determinant.

In summary, there is a clear need to improve our understanding of why there is such a gap between and within the groups at all levels in the education system. However, there is simply not enough data to draw any analytical conclusions at this time.

ANALYSIS: Understanding Discrimination

We recognise that ethnic minorities remain disadvantaged in the labour market in ways that go beyond the experience of Whites. We do understand that discrimination militates against ethnic minorities in the labour market.

In addition to human capital, factors such as social background, region and language fluency can also explain some of the differences in labour market performance between ethnic minority groups but do not account for such differences in their entirety.

However, in the absence of an 'ethnic penalty' statistic for Scotland, it is necessary to make use of statistics which can indicate the presence and impact of discrimination in the workplace and wider society.

Information like the Scottish Social Attitudes survey tells us that 56 per cent of Scottish people polled believed there to be a lot of prejudice against ethnic minorities. In addition, young people in Scotland are more likely to think prejudice exists against ethnic minorities than are older people, with 63 per cent (Young People) and 43 per cent (Older people).

The majority of private sector employers polled in a CRE research publication were found to have a written equal opportunities policy in place. However, less than half were able to demonstrate that they had put these policies into practice, which has implications for equality in the workplace. The CRE in Scotland also recently published 'Towards Race Equality' which reviews the Race Equality Schemes of public authorities in Scotland. It showed that progress is being made but many areas required further development. These reviews indicate that in both the private and public sector, work needs to be done to address equality in policy and practice.

There are powerful norms about the acceptability of discrimination in employment and society. In recognition of this the Scottish Executive is already undertaking work in this area. Racism and the workplace is one of the key themes of the One Scotland Many Cultures Anti Racism campaign. In addition the STUC have started a two year project 'One Workplace Equal Rights' which aims to mainstream equality and tackle racism in the workplace.

We know that more work is needed to understand discrimination on various factors in the labour market including access to services.

So:

· Today is the first stage in trying to draw these themes together in Scotland

· More research and analysis is needed to understand Ethnic Minorities and the Labour market in Scotland

· Any input from discussion today will influence the way we take this agenda forward in Scotland

· Hopefully this presentation and accompanying handout will assist you in the workshop activity.

So a lot of interesting information has immerged. We need to consider the implications of this material in the following areas:

· Building Employability

· Connecting People with Work: Transitions to Employment

· Connecting People with Work: Enterprise

· Equal Opportunities in the Workplace.

Next Steps

· Review published report

· Find best ways to feed into UK machinery

· Set up meeting with Scottish Executive consultants.



Workshop sessions

Workshop 1 - Building Employability

Facilitators - Maria McCann (Scottish Executive Education Department) and John Christie (External Facilitator)

Summary of discussion in workshop

There are significant differences between the UK and Scottish context that are not acknowledged by the report, but that must be taken into account if its conclusions are to be effectively implemented.

1. What are the key omissions and differences from a Scottish perspective?

The group recommended adopting a holistic approach in Scotland. The Cabinet Office report focuses on schools but there is much to be gained by considering the contributions to be made by Further and Higher Education as well as Community Education and other education services. The development of integrated children's services in local authorities also offers opportunities to develop a joined-up approach to this issue and therefore ensure a shared set of values and principles amongst all staff involved in delivering services to children and young people.

The fact that 80% of the workforce in 2002 is already in work lends weight to the significant role which adult and continuing education can play in Building Employability.

The shortage of good statistical attainment data in Scotland compared with the rest of the UK is an important difference but one which can be overcome and it was acknowledged that data on attainment will begin to come on stream soon. Under-reporting of ethnicity was identified as an area of difficulty. Nevertheless it was apparent that the level of debate in Scotland about the education of ethnic minority groups would benefit from better information about the actual performance of children from different backgrounds. This would also allow the better targeting of resources to support minority ethnic groups. Better tracking of the progress made by young people from school to further and higher education and into employment is required.

The opportunity to build on existing models such as Integrated Community Schools could be considered. The value of applying resources which are already available and avoiding the potential for duplication of effort is considered vital to the success of any possible action plan to emerge from these considerations.

Participants felt that the differences in communities across Scotland must be acknowledged. There will not be a single solution to this issue. It is important that the report is clear about the reality of the diverse nature of Scottish life and the different challenges which face different minority ethnic groups in cities, towns and rural areas of Scotland. The influence of local contexts would need to be considered. For example, in Glasgow the main post-school destination is further education, and in Edinburgh it is employment. There was a strong concern that the differing and changing characteristics of minority ethnic groups should be recognised in the context of a desire to promote employability. Differing needs arising within groups would also need to be recognised. Research and other questions should be framed in these more detailed terms rather than in highly general terms. The contribution of Social Inclusion Partnerships (SIPs) was queried as the definition of SIP areas may exclude the areas which contain the largest numbers of minority ethnic groups.

The inability of schools to engage with parents from minority ethnic groups was emphasised in discussion. This was thought to be particularly important at key pupil transitions eg Nursery/P1, P7/S1, S4/5. Unfamiliarity with the workings of the education system was felt to be a limiting factor on parents' aspirations for their children. A further factor was thought to be lack of support from schools and other related services such as Careers Scotland, given to non-English speaking parents This was thought to be an area of activity to which major importance should be attached.

Concern was expressed that young people internalise the negative stereotypes of their communities. In particular young Pakistani boys were felt to have suffered from a low self-image created by years of discrimination in Scottish society.

The identification of Scottish examples of good practice was felt to be both possible and highly desirable. GOALS was identified as a programme which had had success in raising expectations The Cabinet Office Report contains examples of good practice from elsewhere in the UK.

In terms of the general curriculum it was recognised that there continued to be a need to address the multi-cultural and anti-racist education (MCARE) agenda, including the celebration of diversity, as well as to take a more purely anti-racist perspective. In this context it was noted that the development of information literacy would have an important contribution to make to these related agendas. Such curriculum concerns were noted as being of great, general significance and not just for schools attended by pupils from minority ethnic groups; they should be significant concerns in all schools. The continuing and central importance of EAL provision was noted; it was suggested that some desire existed for clear standards to be developed in relation to the provision of EAL.

It was noted that the potential of Educating for Citizenship and Health Promoting Schools should be reviewed in the context of Building Employability. These excellent developments should be capable of accommodating some of the curricular issues relating to anti-racist education.

The current review of the curriculum should take account of black culture, history and the cultural experience of young people from minority ethnic groups.

2. What steps are needed to ensure effective implementation of the strategy in Scotland?

a) What changes to existing structures and services are required?

b) Are any new structures, institutions, and/or services required?

Participants suggested :

National guidance could set out strategic overview but recognise there will require to be local responses to local circumstances.

Improved monitoring of attainment and career destinations of minority ethnic groups.

Scottish Enterprise to make available stats related to minority ethnic group take up of Modern Apprenticeships.

Identification of good practice from Integrated Community Schools and SIPs to consider whether there are models which can be disseminated to the wider education community.

Identification of good practice in schools with minority ethnic pupil groups in engaging parents.

Review role of HMIE in reporting on schools' and colleges' support for pupils and students from minority ethnic groups.

Review of careers education for pupils from ethnic minority groups and also of guidance offered at S2/3 and S4/5.

Review of funding to deprived areas to consider whether minority ethnic groups are being overlooked by programmes such as SIPs.

Ensure that the curriculum review committee, which is drawing up principles for the future curriculum framework, is made aware of the Cabinet Office report and this conference.

Any national guidance should be addressed in the first instance to all sectors of the education service in Scotland.

Consider how these issues fit within existing national priorities and reporting systems in order that unnecessary duplication and bureaucracy is avoided.

Workshop 2A - Connecting People with Work: Transitions to Employment

Facilitator - Peter Beaumont (Scottish Executive Enterprise, Transport and Lifelong Learning Department) Executive

Summary of discussion in workshop

The aim of this workshop was to consider the findings of Chapter 5 of the Strategy Unit's report and how these fit with the Scottish dimension. There are multiple barriers which prevent ethnic minorities from performing as well in the labour market, even when they possess the right skills and qualifications. These include:

· Geographical mobility

· Lack of support and information

· Employer discrimination

· Other barriers including the possession of a criminal record, health problems or drug use.

Jobcentre Plus has an action plan to try to help address these barriers including client engagement and outreach; flexibility of provision and incentives for offices to reach their targets in respect of this client group.

The area of employment links a number of policy areas, including Education, Housing, Childcare and Training, and requires a joined up policy response. Chapter 5 of the report also covered the area of enterprise, but this was being dealt with by a different workshop.

In Scotland, Jobcentre Plus is responsible for provision to help reduce the number of unemployed (either directly or via contracted provision). It does this through the 6 main New Deal programmes (New Deal 18-24; New Deal 25 Plus; New Deal 50 Plus; New Deal for Lone Parents; New Deal for Disabled People; and New Deal for Partners) and other Welfare to Work initiatives. The UK Government has also set out a strategy to engage ethnic minority jobseekers, businesses and providers in New Deal.

There are also smaller scale area-based initiatives, Action Teams and Employment Zones, which offer more flexible provision in specific geographical locations. These are also a range of other initiatives aimed at the harder to help client groups, including Progress2Work and LinkUP, StepUP, Pathways to Work, and the Job Retention and Rehabilitation Pilot.

Specifically in Scotland, Jobcentre Plus has an Ethnic Minority Development Officer based in the Welfare to Work Team who offers support to all 11 Districts, and builds links with organisations that work closely with minority ethnic clients. There are also 2 Ethnic Minority Outreach Workers, one in Glasgow and one in Edinburgh, who engage with the Minority Ethnic communities to increase engagement for Jobcentre Plus. This small team has had some success with their outreach work by arranging events in places of worship, and gaining the trust of community leaders, and therefore the community.

As well as the UK Government's Welfare to Work provision there are also a range of devolved activities which contribute to increasing the number of people moving into employment. These include the New Futures Fund; Training for Work; Modern Apprenticeships and Skillseekers; Careers Scotland; Basic Skills Provision; Beattie and help for those not in education, employment or training (NEET); Further and Higher Education and thematic SIPs.



There were 2 key areas identified where we could make a difference in Scotland. These were:

  • Client engagement
  • Employer participation.

The workshop delegates then split into 2 groups to discuss the pre set questions.

Group 1

What are the key omissions and differences from a Scottish perspective?

Participants highlighted:

  • 3 percentage point difference between employment rate gap (16% UK; 19% Scotland)
  • high levels of self employment
  • education and outcomes - if current problems persist will lead to further employment problems
  • Demographics - 2% ethnic minority population in Scotland but 8% in GB
  • Devolved Administration responsible for some key areas for change - different agencies and funding mechanisms
  • Geography - need to consider settlements in rural areas
  • Historical industrial changes and developments
  • Breakdown in Ethnic Minorities different in Scotland
  • Funding Mechanisms different in Scotland
  • High ethnic minority population in Glasgow where low employment rates and economic activity rates are a big problem
  • Perception that ethnic minority women do not wish to be active in the labour market is possibly not accurate.

What steps are needed to ensure effective implementation of the strategy in Scotland?

Participants suggested:

  • For employers generally, training for both senior and front line staff needs to be better to ensure that they know what is required of them by having an equality policy
  • Mainstream diversity training into induction and practical training
  • Better signposting in relation to advice and support available to organisations
  • Better flexibility in existing provision to ensure those who need the help most get it
  • No new structures required, but better communication and partnership working between existing ones
  • Use recognised business figures to promote the business case
  • Have specific targets
  • Make use of the whole market by making schemes, such as New Deal, more flexible
  • The outreach approach is seen as a positive step and should be used as often as possible
  • The provision of funding streams should be made more understandable and more accessible but there should be close monitoring of how the money is used.

List of priority actions and who should be responsible.

Participants suggested:

  • COSLA - should be more proactive at sharing best practice and addressing areas of possible weakness in practice across Local Authorities
  • Scottish Executive - has to show leadership on this agenda, become an exemplar employer for others to benchmark against
  • Employers - will have to be aware of the agenda and react to the current situation
  • Buffer organisations should be used to help gain trust between central organisations and the ethnic minority communities
  • Jobcentre Plus and the Executive should be fore runner in employing people from ethnic minority backgrounds
  • Closer monitoring of any funding such that usefulness of different schemes can be ascertained
  • Share good practice and innovative ideas for recruiting ethnic minority individuals.

What resources will be needed?

Participants suggested:

  • Funding required to mainstream
  • Need the correct skillset
  • Need to acknowledge the work of the voluntary sector.

How will progress be monitored and success measured?

Participants suggested:

  • User friendly progress against duties under the RR(A)A
  • Not further research
  • Learn to deal with lack of statistics.

Workshop 2b, Barriers to Enterprise

Facilitator - Scott Skinner (Scottish Enterprise)

Summary of discussion in workshop

The Report identified a number of issues associated with the development of ethnic minority enterprises. These included:

· A lack of economic intelligence with regard to the size, scope and value of the sector

· The domination of the sector by service industries

· Access to finance

· Lower business activity due to location (in some areas of the UK there were less market opportunities for business development)

· Lack of networking opportunities.

The Report found that Afro Caribbeans faced the biggest barriers to enterprise and highlighted the low levels of engagement with business support mechanisms from ethnic minorities.

The Strategy Unit's Recommendations and current activity in Scotland

The Strategy Unit made a number of recommendations to address the issues faced by ethnic minority businesses. These included:

· Greater engagement of business development organisations with ethnic minority entrepreneurs

· Engagement with ethnic minority SMEs to encourage them to diversify from traditional sectors

· The establishment of Business Forums

· The development of an Awards Scheme

· Use of Community Development Finance Initiatives for funding

· Public Procurement

· Research to increase knowledge on the sector.

In Scotland the Scottish Executive and Scottish Enterprise are undertaking research to gain a better understanding of ethnic minority businesses. Scottish Enterprise and Careers Scotland monitors its service delivery ensure that its business development, skills and careers service are accessible to all members of the community. A Business Event is being planned for later in the year.

What are the key omissions and differences from a Scottish perspective?

The group felt that networking is of vital importance for business development and growth and a key skill is knowing how to network. Participants said that ethnic minority groups tend to have good networks within their own communities but the key issue is to broaden these networks to the wider community.

It was suggested that Scottish Enterprise engage better with ethnic minority community networks. In addition it would be useful to better understand the ethnic minority entrepreneur use of the Business Gateway. However it should be remembered that some entrepreneurs will not need the services of the Business Gateway.

Participants said that accessing business advice and information is also essential. For example, ethnic minority businesses could receive more advice about what kind of services are available and where to go for help. Participants said that there may be an issue about how Business Gateway is perceived by ethnic minority businesses. Further work may need to be done to understand this as the relationship between the client and the Business Advisor. The groups consider this important as business advice should try to be flexible, culturally sensitive and meet people at their point of need.

It was suggested that Scottish Enterprise look at how to access ethnic minority "community capital" as much knowledge about business start up and finance is held by the ethnic minority communities themselves. Ethnic minority businesses may be able to offer business services (e.g. accounting services) which could form part of a support package for entrepreneurs.

Accessing finance isa key requirement for any business yet it was felt there are many issues associated with accessing finance via Business Gateway especially in relation to retail businesses and the issue of displacement.

Participants said that Scottish Enterprise could look at the push and pull factors associated with ethnic minority entrepreneurship. The majority of ethnic minority businesses are set up because "push factors" - lack of opportunities in the labour market or discrimination, rather than "pull factors" - seeing an opportunity in the market place.

There could be a role for a thematic Community Development Finance Initiative (CDFI) . Some in the group saw a need for greater engagement with the banking sector in Scotland. Banks are perceived to be remote and risk averse. There may also be a role for the development of Micro Credit schemes, targeted at ethnic minorities, involving Scottish Enterprise, EU funding and the major clearing banks.

Participants felt there is a need to highlight positive role models for ethnic minority entrepreneurs. Ethnic minority entrepreneurs have established successful businesses and employ many people. These positive and inspirational stories could be highlighted and celebrated.

A suggestion was made that public procurement may provide a key opportunity for ethnic minority businesses.

Establishing such a procurement network does, however, take time as it involves bringing companies together but it does represent a substantial opportunity for ethnic minority businesses.

Participants felt that an awards scheme for business could be seen as patronising but there is a need to celebrate ethnic minority businesses and to highlight in the media their success and their contribution to the Scottish economy.

There is also a need to increase knowledge of the sector to further inform policies and projects. Many of the issues detailed in the Strategy Unit report are, however, equally applicable to rural areas.

Since 1999 Glasgow has become home to many asylum seekers who have now been grated refugee status or the right to remain in the UK. It is anticipated that these numbers will increase over the next few years. These New Glaswegians tend to be highly qualified and many have run businesses in the countries they fled from. In late 2003 Glasgow Chamber of Commerce (supported by the Scottish Executive, Glasgow City Council, Scottish Enterprise Glasgow and Glasgow North Ltd) launched two projects to help professionally qualified refugees access the professions and to help semi skilled or manual workers access the labour market. At the same time Business Gateway is looking at the barriers refugees face to getting into enterprise and starting a business with a view to addressing these through a pilot project in 2004/2005.

What steps are needed to ensure effective implementation?

Participants said that no more structures at Enterprise Agency level are required to address these issues but what could be required is a change in attitude towards ethnic minority businesses. Reference was made to Scotland's declining and aging population and lower levels of entrepreneurship when compared to other UK regions. Scotland needs to engage more efficiently with ethnic minorities and ethnic minority businesses.

Services to ethnic minority businesses could be more flexible and engagement with communities sincere. Packages could be put in place to access finance and business support. The value of ethnic minority businesses should be recognised and celebrated. Participants raised the need for face to face engagement with ethnic minority networks and Business Advisors need to be aware of cultural differences. Business Gateway advisors should reflect the diversity of Scottish society. It was felt that it would be useful to understand the ethnic minority business sector and further research should be commissioned in this area.

Priority Actions

The group felt that no single body can lead on developing ethnic minority businesses and labour market issues. What is required is a joined up partnership approach. The undernoted could be taken forward as early priority actions:

· Engaging with the ethnic minority communities, establishing the relationship between ethnic minority community networks and Scottish Enterprise. This relationship could be developed as part of the research process into understanding the needs of ethnic minority entrepreneurs

· Investigations could be undertaken into developing an approach to Public Procurement

· Early action could be undertaken to publicise the success of ethnic minority businesses.



Workshop 3 - Equal Opportunities in the Workplace

Facilitator - Morag Patrick (CRE Scotland)

Summary of discussion in workshop

1. What are the key omissions and differences from a Scottish perspective?

· The report's conclusions are based on English data and do not take account of the scale and type of issues in Scotland. Are the recommendations equally applicable to Scotland's ethnic minority population?

· Scotland's ethnic minority population is 2% compared to 8% for the UK. Have problems of isolation (and possibly connected harassment) because of lower numbers been taken into account? This may have a direct effect on labour market participation and retention

· Scotland lacks comprehensive information on ethnic minorities and the labour market, as well as information on employers' understanding of discrimination legislation

· Need to promote consideration of Scotland's future demographics as part of the equality and diversity agenda.

Recommendation 17 -

In order to provide better information, support and guidance to employers

i. ACAS should double the size of, and publicise the support it offers through, RREAS. Consideration should also be given to further expansion of RREAS [by Q1/2004];

ii. Field Account Managers and Vacancy Filling Managers in Jobcentre Plus should be proactive in delivering information, raising awareness about the importance of race equality and promoting the support services available to the employers with whom they work [by Q1/2004];

iii. the CRE should disseminate best practice in the implementation of the 2000 Race Relations (Amendment) Act to the private and voluntary sectors [by Q1/2005]; and

iv. the Small Business Service (SBS) should raise awareness among small business owners of the importance of race equality policies and practices by incorporating the issue into all aspects of the guidance that they provide to small businesses [by Q1/2004].

· It was felt there is a need to consider implications of high level of Small and Medium Sized Enterprises in Scotland

· It was felt there are problems with SMEs access to information and support and Business Gateway does not provide this service

· Some employers are disadvantaged because they lack an HR department

· It was felt there is a need to consider different needs of SMEs and establish channels of communication with them.

Recommendations 22, 23 and 24

22 - In order to ensure that patterns and trends in Employment Tribunal cases are properly noted and addressed, DTI should:

i. collect and publish data on repeat offences by specific employers in cases of racial discrimination that have been upheld [by Q2/2004]; and

ii. mandate the Presidents of Tribunals to monitor racial discrimination cases (including cases that have been abandoned and dismissed) and report findings to the Secretary of State at DTI. This should take the form of an annual report and, in response to key issues that are highlighted, should seek an action plan from relevant departments [by Q4/2004].

23 - DTI should carry out a review of the most effective means to tackle systemic racial discrimination among employers [by Q1/2004]. Part of this review should examine the case for adapting the powers of Employment Tribunals to make wider recommendations to effect change both for the complainant and the work environment more broadly.

24- DWP and DTI should develop a research programme to improve understanding of the nature, causes and extent of racial discrimination and harassment in the labour market [by Q4/2003]. In the light of this improved understanding, the research programme should assess potentially promising future approaches to tackling racial discrimination and harassment in the labour market.

It could be established if there fewer sources of advice in Scotland for individuals who think they have been discriminated against in employment, leading to fewer cases and more cases being withdrawn.

We could consider how can we ensure that patterns and trends in Scottish Employment

Tribunal cases are monitored and addressed given the relatively small number?



2. What steps are needed to ensure effective implementation of the strategy in Scotland?

c) What changes to existing structures and services are required?

d) Are any new structures, institutions, and/or services required?

· Could conduct more research to check that the report's conclusions apply to Scotland

· There is a Ministerial Champion to oversee the implementation of the UK Government's policy, could a Scottish Ministerial be appointed to help ensure a co-ordinated approach on race equality.

Recommendation 17 (see above)

· A one stop shop for employers was recommended to provide information on all discrimination legislation, promote the business case for diversity, and provide a simple toolkit and advisory services. The service could offer tailored support to SMEs and could be linked to the Fresh Talent initiative

· It was felt that a great deal of education could be required from school through to employer to ensure a basic understanding of equal opportunity and diversity, the business case for diversity, good practice, and to address the stigma around positive action.

Recommendations 22, 23 and 24 (see above)

· DTI has lead responsibility and this leaves a vacuum in Scotland, because the Scottish Executive does not have the power to take forward these measures. Therefore there could be an enhanced link between the DTI and the Scottish Executive to ensure that measures are properly communicated and progressed in Scotland

· The CRE could be given power to send questionnaires to those who withdraw cases in order to understand why they do so

· Employment Tribunals Scotland will now send tribunal decisions to CRE Scotland direct in order that they can take follow up action

· Ensure that there is a Scottish dimension to the DWP/DTI research currently underway to understand racial discrimination and harassment in the labour market. Does the Scottish Executive have any input and how could this be followed through?

· Better funding of advice agencies and law centres in Scotland could be required to develop specialist expertise in racial discrimination cases.



3. For your workshop, list the actions that should have priority.

a) Who should take lead responsibility for the main actions?

b) What resources will be needed?

How will progress be monitored and success measured?

Recommendations 17 (see above) and 18

DTI and DWP should conduct an independent review of how the information and support mechanisms available to employers about race equality can be strengthened as well as the extent to which, once strengthened, they meet the needs and influence the practices of employers [by Q2/2006].

· It was recommended that Scotland needs a strategy to deliver these recommendations and the Scottish Executive should take lead responsibility for this

· Employers could benefit from a one stop support service on equality and diversity and this service should co-ordinate the many existing initiatives in Scotland. The service could cater for large, medium and small businesses

· The service could be delivered by a new 'equality commission', or possibly Chambers of Commerce, ACAS, and/or Jobcentre Plus

· Success could be measured by a reduction in Employment Tribunal cases, improved access to information for employers, increased knowledge of discrimination legislation, changes in employer behaviour, and improved career progression for ethnic minorities in the long term.

Recommendations 22, 23, 24 (see above) and 28

Priority 1 - Research

The problem is who could do it. There is a 'policy vacuum' because the DTI has limited presence in Scotland. It was suggested that the Scottish Executive could take lead responsibility for

· the review of the most effective means of tackling systemic racial discrimination among employers and

· research to improve understanding of racial discrimination and harassment in the workplace?

Priority 2 - Establish effective link between DTI and Scottish Executive functions

Note recommendation 28 (1) - responsibility for delivery on the conclusions of this report lies with a Ministerial Champion. Is there scope for a Scottish Ministerial Champion?

Priority 3 - DTI review

The DTIs review of the most effective means of tackling systemic racial discrimination among employers it was hoped that this will include a Scottish dimension.

Priority 4 - Better funding of advice agencies and law centres in Scotland

Priority 5 - Employment Tribunals Scotland to send decisions direct to CRE Scotland

Priority 6 - CRE should be empowered to send questionnaire to those who withdraw cases in order to understand why they do so.



Equal Opportunities in the Workplace Workshop - some suggested courses of action

  1. ACAS /REAS has a contribution to make workers of the agency feel that links need to be strengthened with the Scottish Executive because they should be helping to paint a bigger picture of the Diversity Agenda and how it is working in practice in Scotland. It was thought that Scottish Executive could be more responsive in terms of building its links with other agencies working on a national level.

  1. There is work already being done or developed in other parts of the country eg Fife Council have an Equality Forum and are trying to Equality Proof their work but find there is no-one that can help them.

An effective mechanism for sharing information and good practice between cities was highlighted as an issue.

  1. Procurement was discussed as many employers ask questions around what kind of policies they should have in place in order to meet the requirements of procurement and think that this is as far they need to go but what Councils and other organisations need to ensure is that there is evidence behind the policy in terms of how they are putting it into practice, when dealing with outside contractors; eg Fife Council have Key workers to help and support employers in this process to address the policy/practice gap.

  1. A platform should be developed for the type of work being done (as above work) so that it can be shared between agencies across the country. It was thought that Scottish Executive in partnership with CRE could be more proactive in terms of building its links with other agencies working on Race Equality at a local, regional and a national level in different cities across the country.

  1. It was acknowledged by the workshop participants that there is a lot of work currently taking place on the issue of diversity in the workplace, through local partnerships etc but that it all takes place in a very piecemeal ad hoc manner and that there was not enough sharing of this information between organisations/employers across the different sectors. What is needed is to build an information network of all agencies working with black/minority ethnic communities so as to have a central location/database that agencies can refer to for assistance on equality/diversity issues and which helps to paint a more holistic picture for Scotland. It was thought that the Scottish Executive could be responsible for pulling this together.

  1. It was also debated that many agencies which are set up to help and support employers are not necessarily the ones which are used by them eg ACAS is seen as an agency which has an assisting role but also does training, develops partnerships within their agency networks etc. It was important for ACAS and similar agencies to have a re-profile launch in order to change the perceptions of agencies that they are multi-functioning organisations and how to access all their services. ACAS and other agencies who work with employers should carry out more awareness raising events about their services to

change employer perceptions but need more resources to be able

to do this eg there are currently only 2 people in ACAS employed

to do this work on a national level. Again the Scottish Executive could work with these agencies to carry out this work.

  1. The Intermediate Labour Market was also discussed as an element in the process of engagement in the Workforce for black/minority ethnic communities. For many, this can be the first experience of the labour market and if it is not a positive experience for them then it can very much set them back in terms of reaching their potential, achieving employment status and progressing in their chosen jobs/careers. It was highlighted that high levels of support are needed for people from the b/me communities and this means working closely with training providers. This again brought up the issue of procurement as many of these agencies are given contracts to deliver training by large organisations like Scottish Executive, Scottish Enterprise, Glasgow City Council etc and more needs to be done to ensure that agencies involved in this process are meeting the legislative, policy and practices needed for full procurement compliance.

It was suggested that an assessment be carried out of what work is currently being done is this area and by whom. Scottish Executive, CRE and other relevant organisations could initiate a mapping exercise of this.

  1. Lastly, it was reiterated that Scotland needs to be more joined up in terms of the work being done with black/minority ethnic communities across the country. Organisations are very much involved in collaborative work in their own specialisms, sectors etc but this needs to be widened out to a bigger audience, so that those who require assistance be it advice , information, support with any Race Equality issues know where they can access it.

As point 5 above.



List of attendees

Professor Pamela Abbott Caledonian Centre for Equality and Diversity

Asma Abdullah Meridian

Mr Rizwan Ahmed Ethnic Minorities Enterprise Centre

Mr Amjid Akram Edinburgh Chambers of Commerce

Mrs Parveen Amjal EMEC

Miss Najmah B. Chaudry Glasgow Anti Racist Alliance

Zamila Bunglawala

Peter Beaumont ETLL- Scottish Executive

Mr Frank Blair ACAS

John Christie Facilitator

Mr Brian Climmie Careers Scotland

Alison Colvine Scottish Executive

Ian Connolly Jobcentre Plus Office for Scotland

Tony Conroy Learning and Teaching Scotland

Ms Ruth Cooper Scottish Parliament

Mr Christopher Coore Cymbiosis Consultancy Ltd

Pamela Couper Sikh Sanjog

Pat Davers BBC Scotland

Morna Davidson AEGON UK

Pauline Davidson Press Office

Helen Davison Scottish Funding Council for Further & Higher Education

John Deial

Gordon Dewar First Group

Mr Jai Dhillon Jobcentre Plus Glasgow Direct

Elaine Drennan Scottish Executive

Eli Dutton University of Strathclyde

Ms John Ferguson SCVO

Phillip Ford

Brij Gandhi Meridian

Anil Gupta COSLA

Mr Zaffir Hakim STUC

Mr Austin Hardy The Wise Group

Sarah Hart Scottish Executive, ETLLD, Transitions to Work Division

Marie Howie Fife Council-Fife House

Kim Hunter HR POLICY & PAY, Scottish Executive

Andrew Johnson Strathclyde University

Ms Janine Kellett Scottish Executive, ETLLD

Mr Kaiser Khan Glasgow City Council

Nancy Kirkland Lothian Primary Care NHS Trust

Mrs Lifang Lamb Fife inclusion & Employability team

Ms Denise Laughlan Scottish Executive

Colin Lee CEMVO-Broadman House

Miss Anne MacDonald Highlands and Islands Enterprise-Inverness

Mr George Mackenzie ACAS

Jane McLuckie Townsend DWP Ethnic Minorities Employment Division

Donald MacPherson Jobcentre Plus office for Scotland

Maria McCann Scottish Executive

Mrs Anne McNelan Scottish Childminding Association

David McPhee Scottish Executive, ETLLD

Colin Milne Employment Tribunals Scotland

Tania Morlan Objective 3 Partnership-Caithness House

Ruth Munro Learning and Teaching Scotland

Mr Alan Nicholson SID, Scottish Executive

Denise Nixon

Betty Orr Careers Scotland

Morag Patrick Commission for Racial Equality

Audrey Peacocke Dosti Muslim Groups

Mr Michael Phillips EMPOWER Scotland

Ms Alison Reid Scottish Further Education Unit

Inspector Liz Reynolds ACPOS Diversity Strategy

Ms Rosie Rutherford Cymbiosis Consultancy Ltd

Mr Raza Sadiq Positive Futures Careers Scotland

Kate Sanford Glasgow Chamber of Commerce

Ann Scott Scottish Executive Education Department

Tisha Shaw Linknet Mentoring Ltd

Ms Sylvia Shearer The Scottish Executive

Ms Shona Simon Employment Tribunals Service

Padam Singh Careers Scotland

Prem Singh EMPOWER Scotland

Scott Skinner Scottish Enterprise

Yvonne Strachan Scottish Executive

Mr Amer Tariq AL Noor Fabrics

Fiona Taylor Scottish Funding Council for Further & Higher Education

Rachael Thomas Scottish Enterprise Fife

Mr Fergus Timmons Skillnet

Dr Laura Turney Scottish Executive

Caroline Wagstaff

Helen Wales AEGON UK

Ruth Walker Scottish Executive

Patsy Watt Learning and Teaching Scotland

Mrs Amy Wilson Scottish Executive

Page updated: Thursday, March 31, 2005