Empowering Career Transitions in a Changing World: Karen Blake Coaching's Role

The workplace is changing at an unprecedented rate. Demographic, technological, and policy shifts are reshaping our labour market. Some of these changes have been accelerated by the pandemic, changing the size and composition of our workforce. These changes have far-reaching consequences for both individuals and businesses.

According to a recent report by the Learning & Work Institute (L&W), career changers in the UK face significant challenges (L&W, 2023). The study highlights the financial penalties associated with changing sectors and the importance of practical and financial support for individuals during these transitions. You can access the full report by visiting the Learning & Work Institute's website: All Change Report.

As the director of Karen Blake Coaching (KBC), I am well aware of the difficulties that people face when navigating these transitions. KBC is a UK-based independent career coaching and training provider with the mission of empowering individuals to thrive in their careers and achieve their goals. We've been on this journey since 2017, and our dedication to supporting professional growth and development has never wavered.

The Learning & Work Institute's article, based on their "All Change" report, reveals an important aspect of the difficulties that career changers face. As technology advances, including artificial intelligence, and people live longer lives, more people will need to change jobs and careers. However, the article emphasises that fewer people are changing industries now than before the global financial crisis. Part of the reason for this is that doing so can result in a financial penalty, which is greatest for those leaving industries such as construction and retail.

According to the study, full-time career changers face an average pay cut of ￡3,731 (14%) per year. This initial drop in income is likely to be difficult for many people to manage given financial obligations for home and family, despite the fact that people who change jobs see their pay grow 2.9 times faster than those who stay in the same job.

1.7 million of the 7.4 million people who started a new job in 2022-23 switched industries. According to L&W research, job moves are one-third higher in retail and twice as high in hospitality compared to the UK average, with many people moving between these industries. People with lower qualifications are 30% more likely to switch sectors than people with higher qualifications, and young people are three times more likely to switch sectors than older people, implying that career change is especially important among lower-income workers.

If training is required to change industries, career changers could face a retraining bill of up to ￡40,000: for a one-year full-time course, the average worker would lose ￡30,000 in lost wages plus course fees, on top of the subsequent drop in earnings.

Longer working lives mean that 50-year careers will become more common. As a result, there will be an increasing need for people to update their skills and change jobs and careers multiple times. More assistance is needed to help people adjust to these changes.

The Learning & Work Institute has proposed the Lifelong Learning Entitlement as one such solution. This initiative aims to raise awareness of career change opportunities, develop flexible and tailored learning programmes, and provide financial assistance to those retraining. This includes making Career MOTs more accessible, providing more flexible training options, and providing financial assistance through maintenance loans and Universal Credit.

There are solutions available, and they are intended to empower individuals to thrive in their careers regardless of the challenges they may face. It's not just about changing jobs; it's about adapting to a changing work environment.

While Karen Blake Coaching is committed to providing assistance, the focus remains on you. The "All Change" report serves as a reminder that your career transition is part of a larger industry transformation. It is about ensuring that you have the knowledge, resources, and financial support to successfully navigate these transitions.

"More people will need to change careers as 50-year careers become the norm and our economy continues to change," said Stephen Evans, CEO of the Learning and Work Institute. However, fewer people are doing so now than prior to the global financial crisis. One reason for this is the career changer pay penalty, as well as lost earnings while retraining. We must provide more practical and financial assistance so that people can take advantage of the opportunities that lie ahead, or risk leaving too many people behind by waves of economic change."

The "All Change" report and the Learning and Work Institute's reflection highlight the challenges, but they also emphasise the importance of providing individuals with practical and financial assistance. This perfectly aligns with KBC's mission of empowering individuals to thrive in their careers. We are more than just a coaching service; we are your partner in developing a resilient and adaptable career.

As we navigate these changes, our goal remains the same: to empower individuals to achieve their career goals, no matter what obstacles they face. The "All Change" report acts as a guidepost, directing us as we adapt and evolve to better serve our clients. Your success is our success, and we will thrive together in this changing world of work.