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PRO INSTALLER AUGUST 2015
PRO SKILLS
@proinstaller1
Warning over apprenticeship levy
Business leaders have spoken out over Government plans to introduce an apprenticeship levy, after research
revealed that firms in sectors including construction are struggling to recruit higher-skilled workers.
A survey from the Confederation of British Industry (CBI) found that
over two thirds of firms
believe they will need
highly-skilled staff in
the coming years.
More than half of businesses, 55%, think they will
be unable to find the right
talent to fill job vacancies,
according to the poll which
was carried out with education specialist Pearson.
The CBI has warned
that plans announced by
Chancellor George Osborne
in July may do little to deliver the quality training the
country needs.
In his post-election
Budget, Mr Osborne said
he would levy large firms
to fund apprenticeships,
as part of efforts to create
three million extra on-thejob training schemes.
Katja Hall, the CBI’s
deputy director, said: “The
Government has set out its
stall to create a high-skilled
economy, but firms are
facing a skills emergency
now, threatening to starve
economic growth.
“Worryingly, it’s the highgrowth, high-value sectors
with the most potential
which are the ones under
most pressure. That includes
construction, manufacturing,
science, engineering and
technology.
“The new levy announced
in the Budget may guarantee funding for more
apprenticeships, but it’s
unlikely to equate to higher
quality, or deliver the skills
that industry needs.”
‘demand for skilled
staff is rising’
The CBI’s survey of 310
businesses, which employ
some one million workers
between them, found the
skills crisis is having the
biggest impact on some of
the country’s most important sectors.
It found that around 73%
of construction firms and
69% of manufacturers said
that demand for skilled staff
is rising.
Ms Hall pointed out that
the building sector already
has a levy on training,
which is run via the Construction Industry Training
Board (CITB).
Steve Radley, director of
policy at the CITB, said:
“Levies alone won’t deliver quality apprenticeships
- it is also critical to have
proper forecasting of skills
demand and better engagement with training providers
to meet employer needs.
“But well-designed levy
systems, if they have buy-in
from employers, can play a
positive role in tackling the
skills challenge.”
Source: www.citb.co.uk
Shortage of skilled
workers drives up pay
A shortage of skilled workers in the construction industry is driving
up pay, a report on the state of the UK jobs market shows.
Engineers were the
most sought-after
workers in June, with
construction workers
also in high demand.
Pay inflation increased in
July well above the historical trend for June due
to the shortage of skilled
staff.
Weekly earnings in the
construction industry saw
a month-on-month rise,
according to the Report On
Jobs, which is compiled by
Markit, the Recruitment and
Employment Confederation
(REC) and accountancy firm
KPMG.
Ingrid Waterfield, a
director at KPMG, says
workers who are skilled in
a high-demand profession
can have their “pick of
jobs”.
That means that anyone
wanting to train in the
construction industry can
expect to find a good,
well-paid job with plenty
of prospects for career progression.
The report found that
hiring activity is being hampered by a lack of candidates, while the number of
permanent positions filled
by jobseekers has slowed
to the lowest rate for two
years.
It is feared the skills shortage could harm productivity
and hinder the UK economy’s ability to grow.
Ms Waterfield told The Telegraph it could be the “start
of something worrying”
and could have an impact
on organisations’ ability to
grow.
The market tends to slow
down during the summer
months because people
assume hiring is put on
hold until after the summer
holidays.
Also, the impact of a fresh
crop of graduates on the
‘could have an impact on
organisations’ ability to grow’
There are several contributory factors causing the jobs
market to stagnate, according
to Ms Waterfield, as firms
come up with increasingly
innovative ways to hold on
to their skilled staff.
labour market is unlikely to
be felt for another month.
Ms Waterfield is calling
for improved communication between the recruitment and education sectors
to try to encourage more
young people to learn
sought-after skills.
Tom Hadley, director of
policy at REC, says: “Businesses are really struggling
to find the people they
need. Vacancies continue
to rise, candidate availability has fallen steeply and
we’re seeing this affect the
amount of placements being made each month.
“Large-scale infrastructure
projects such as railway upgrades could also be held
back if we haven’t got the
right people to fill roles.”
Source: www.citb.co.uk
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