Staying In, Moving Up: Employment Retention and Progression

CFE, commissioned by the London Development Agency (LDA) has carried out research to measure employment retention and progression in London. The report sets out the challenge London faces to help people get in, stay in and move on at work.

The research carried out by CFE involved, for the first time in the UK, measurement of employment retention and progression through accessible secondary sources of data. CFE developed a robust indicator framework to enable the analysis of retention and progression to identify priority groups within London who would benefit from in work support.

Our report 'Staying In, Moving Up: Employment Retention and Progression in London' is the first of a suite of five research reports commissioned by the LDA. The research will help inform their strategic investment strategy going forward through better understanding London’s labour market and identifying new and innovative ways of getting more value from its investments. 

Key findings include:

  • Two in five Londoners of working age are either out of work (1.5 million) or in low paid jobs (436,000 people)
  • One in two out of work benefit claimants returns to benefits within six months of leaving. This percentage has been steadily increasing over the last seven years.
  • The level of ‘cycling’ is slightly higher for Jobseeker’s Allowance claimants who make up 80% of those people on out of work benefits. The report finds that almost 6 in 10 JSA claimants (55%) who leave the benefits system return to benefits within six months. 
  • In London and the UK, Lone parents face particular challenges in retaining employment. Two in five (40%) lone parents placed into work through the flagship New Deal programme return to benefits within 13 weeks.
  • Nearly one in ten low-skilled, low-paid Londoners receives job-related training whilst in work, compared to one in two working in lower managerial and professional occupations
  • Certain groups experience disproportionately high levels of unemployment such as disabled people (45%), young people (46%), Bangladeshi/Pakistani ethnic minorities (47%) and lone parents (43%)
  • People who experience long-term barriers to sustained employment and wage rises are more likely to be female, have certain disabilities, work part-time or be in low-paid occupation

The report defined retention and progression as follows:

Employment retention: being continuously employed over a sustainable time period or ‘staying steadily employed in any job for a minimum period of at least 12 months’

Employment progression: individual progression into a ‘better job’, i.e. higher pay; better benefits and conditions of service; regular hours; increased responsibility and career advancement

The research findings will be used to inform the design of the LDA's programmes and projects in 2010 and 2011 to better address the employment and skills needs of Londoners in the future.


The executive summary can be found here.

The full report can be found here.

For media enquiries about this publication please contact Lucy Bartram on
0116 229 3300.


November 2009