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Covid-related job losses 'deeply concerning', says Caithness business leader


By Alan Hendry

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Businesses across all sectors have been hit hard by the pandemic, with Highland-wide jobless figures rising by 97 per cent since March.
Businesses across all sectors have been hit hard by the pandemic, with Highland-wide jobless figures rising by 97 per cent since March.

Local business leader Trudy Morris has warned that figures revealing the scale of Covid-related job losses are "deeply concerning" and give a stark insight into the impact of the pandemic on livelihoods in the north.

Ms Morris, the chief executive of Caithness Chamber of Commerce, said there was an urgent need for further support for businesses after it emerged that unemployment in the Highlands had almost doubled since the start of the coronavirus crisis.

Her views were echoed by Caithness councillor Raymond Bremner, who said it was clear that the economy needed "serious attention and an injection of financial support and investment".

Region-wide jobless figures have climbed by 97 per cent since March, and the number of Highland people aged 16-64 seeking work is estimated to be 6567.

Locally the increase in unemployment in the area covered by Wick jobcentre is put at 62 per cent, with numbers having gone up from 615 in March to 1001 by October.

Highland Council said the outlook for next year appeared even more bleak. Latest projections suggest that unemployment could exceed 10,000 across the region by the spring, with 2200 of those out of work being young people.

Ms Morris said: "These figures are deeply concerning and represent the very real impact that the Covid-19 pandemic is having on livelihoods across Caithness, as well as the wider Highland region. They are also clear evidence that the furlough scheme, while undoubtedly a worthy intervention, has not been sufficient to address all the impacts on business and protect these jobs.

"It is clear to us that there is a real and urgent need for immediate further support for businesses. While the £185 million recently announced by the Scottish Government is welcome, this will be cold comfort to those who have so little cash left that they have only weeks to survive.

"With regard to the impact on young people, the Scottish Government has rightly announced several initiatives aimed at boosting employment and apprenticeship opportunities. However, these still require businesses to take on a significant financial burden at a time when they can afford it least.

"Immediate cash support for businesses struggling as a result of the pandemic is needed to stave off further job losses and reduction in employment opportunities in the near future."

Ms Morris added: "It is also important that we do not lose sight of the wider economic picture facing the region. There are several upcoming opportunities in sectors like offshore wind and aerospace, and the north Highlands needs targeted investment in infrastructure, transport and training to ensure that these opportunities can be capitalised on.

"As well as immediate support, we need the Scottish and UK governments to recognise the long-term economic and social benefits of investing in the north Highlands, and to make firm commitments to support development in this area.

"We will hear much in the weeks leading up to the Scottish budget about financial constraints and competing priorities, and we are sympathetic to these concerns. However, we must not let the Scottish Government lose sight of the fact that failure to support business and invest in regions like the north Highlands has a real impact on people's lives and livelihoods."

It is vital that we realise that the economy needs serious attention and an injection of financial support and investment.

Councillor Bremner, who represents Wick and East Caithness on Highland Council, said: “The growing unemployment rate is of real concern in Caithness, as it is in the whole of the Highlands. It’s a national problem as a result of the coronavirus pandemic.

"At a meeting of Highland Council communities and place committee of Highland Council held three weeks ago we reviewed the update of humanitarian and welfare support that various agencies are committed to providing for those who are finding themselves unemployed or in a position of hardship.

"Governments need to do everything they possibly can to mitigate and support the challenges that our communities are facing at the moment.

"It was frustrating that there was hesitation in confirming the continuation of the furlough scheme at a critical point for many but I hope that we have clarification in respect of that much sooner when it is due to come to an end in March next year. It is a critical support for businesses and employers.

"It is vital that we realise that the economy needs serious attention and an injection of financial support and investment – that includes locally here in Caithness, over and above the challenges we have been facing pre-pandemic. It will be something to the fore of many members as we consider the decisions that need to be made in the new year.”

While the pandemic and the risk of a no-deal Brexit are being blamed for much of the sharp rise, the council admits underlying issues such as lack of opportunities for young people have also played a role. It is now spearheading the efforts of a multi-agency economic task force including NHS Highland and Highlands and Islands Enterprise to regenerate the economy.

Key to the council’s response – which is set to be discussed at a full meeting of members on Thursday – will be the launch of a new job creation programme.

The council administration wants to see the local authority commit to offering a wide range of direct work experience and job creation opportunities. Councillors will also be asked to agree to a proactive leadership role with community partners through the Highland Employability Partnership to help people find work.

And they will be asked to approve proposed staffing changes aimed at ensuring the council has capacity to effectively undertake the necessary work, including the recruitment of a new employability team leader, budgeted at £135,000 over two years.

The deputy leader, Councillor Alasdair Christie – who has seen the impact of joblessness first-hand through his work as manager with Citizens Advice Scotland – insisted that “we will get through this together”.

He said: “For everybody this has been a horrendous year, with Covid and the lockdown, but now we are seeing the economic impact across Scotland and the Highlands.

“I think it is quite clear that everybody has got to do all they can to mitigate this. We are in a very serious situation – 10,000 unemployed projected and whatever other retail outlets may go on top of the ones we already know about.

“These are very difficult times and we all know what unemployment can do to communities.”

While he also wants to see more support from the Scottish and UK governments, Councillor Christie – who heads up the council’s coronavirus recovery board – added: “I think it is really positive that the council is trying to create as many employment opportunities as it can and encourage and work in partnership with other organisations to do likewise.

“It is quite clear we need a pan-Highland approach and by working together – the council, other agencies and, most of all, the Highland people – we will get through this together.”


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