Inactivity has been growing across the developed world and is especially high in old industrial areas. A general move towards more flexible labour markets and the restructuring in these regions over the past quarter of a century have led to a change in the supply and demand conditions for employment. There is an increasing dependence on school and higher education qualifications and associated transferable skills and competencies, while the decline of traditional occupations has left many without jobs and facing multiple barriers to regaining employment. Often lacking demonstrable and accredited human capital and work experience, individuals with such employability problems have been concentrated in particular households and communities-polarising society. Policy interventions are required to address these obstacles and social exclusion, but central government appears reluctant to face the full direct costs of implementation. More radical innovative solutions are now being proposed at the metropolitan level.
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