5,000 jobs vacant in UK automotive sector due to skills shortage – report

A NEW Automotive Council report has revealed the depth of the skills shortage facing the sector.

It suggests up to 5,000 current vacancies in the automotive industry are causing significant impact on business operations.

The report, which was developed by automotive industry consultants SMMT Industry Forum on behalf of the Automotive Industrial Partnership, surveys a range of British-based automotive firms, from vehicle manufacturers to component suppliers.

It seeks to identify the areas of employment in which it is most difficult to recruit, and provide an means for industry and government to tackle the skills issue.

Around 19% of the unfilled vacancies cited in the report are identified as ‘critical’ and having a significant impact on company operations.

Of the top ten job types for which recruitment is most difficult, the majority are in engineering – with the top two in-demand roles being design and production engineers. The knock-on effect, according to the report, is that companies are hiring temporary contractors and increasingly recruiting from abroad.

The renaissance of the UK automotive industry since the recession has brought significant success to the sector and helped to sustain just under 800,000 jobs across Britain.

2015 was the best year in a decade for car production with 1.59m vehicles built, and volumes are forecast to reach an all-time record two million by 2020.

The UK also achieved notable success in productivity levels, which have increased 40% since 2010 to make UK labour productivity the highest in Europe.

But this success could be undermined by the lack of skilled engineers to fill new jobs, despite efforts made by companies to increase training and apprenticeships.

Jo Lopes, chair of the Automotive Industrial Partnership and head of technical excellence at Jaguar Land Rover, said, “These are very significant findings which present a valuable basis for government and industry to jointly tackle this issue head-on and ensure that the growth potential of the industry in the coming years is fulfilled.

“The Automotive Industrial Partnership has already made some important steps since its inception – including the introduction of a range of training programmes – and it will have a crucial role to play in addressing the skills challenge.”

Skills minister Nick Boles said: “Our automotive workforce is the most productive in Europe and this goes a long way to explaining why production hit record levels last year.

“But this report shows we cannot be complacent. The sector needs to maintain its high productivity and international competitiveness and address the required demand of skilled workforce, engineers and designers.

Mike Hawes, SMMT chief executive, said: “The automotive industry has already invested heavily in apprenticeships and training for existing staff to grow and develop a new generation of skilled workers. However, even more support is needed.

“The struggle to fill vacancies is holding back growth and opportunities for business, and it is essential that both government and industry work together quickly to identify ways to plug this gap. Future schemes must focus on quality not just quantity – and more support is needed to promote STEM subjects in schools.”

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