CBI alert over skills shortage
MORE than half of businesses in the North West fear they will not be able to recruit enough high-skilled workers to succeed in the future, according to the CBI/Pearson Education and Skills Survey.
This year’s UK-wide survey, including 102 firms which employ people in the North West, found that 67% of firms in the region need more highly skilled staff, particularly in key sectors such as science and engineering, construction and manufacturing.
But 51% are not confident that they will be able to find the high-level skills needed to meet demand and grow. Businesses are already reporting real problems in recruiting people with science, technology, engineering and maths (STEM) skills – with 21% currently struggling to employ graduates with sufficient STEM skills.
CBI regional director North West Damian Waters said: “While the North West economy continues to make headway we must be on our guard as local growth risks being undermined by a shortage of the higher-level skills businesses need to get on, and the situation is only set to get worse.
“High-growth, high-value sectors, with the most potential are under the most pressure, like science, engineering, digital and manufacturing. We must make sure that our education and skills system is truly responsive to the needs of business and that young people receive much better careers advice, if we are to propel the North West economy forward in the years ahead.”
More, and better quality apprenticeships are part of the answer – and employers are stepping up to the skills challenge. 69% of firms responding to the survey intend to expand their apprenticeship programme or start one in the next three years – the best result since the survey began in 2008.
Across England 78% of businesses are not satisfied with the current performance of careers advice in schools and colleges.
Business also wants to see universities doing more to improve the business relevance of undergraduate courses (54%) and help students become job-ready (39%) if the challenge is to be met.
President of Pearson’s UK business Rod Bristow said: “Building a world-class school and qualifications system is the best long-term solution for securing sustainable, skilled workers and economic growth.
“We must prepare young people for the world of work through closer engagement and collaboration between the business community, universities, schools and further education colleges.”
Meanwhile, another survey has revealed SMEs in the North West believe the economy is in better shape today than before the recession, with investment levels growing as a result.
The research by Yorkshire Bank says that small companies in the region, on average, intend to invest 9% of their annual turnover back into their business.
Nearly half (46%) of SMEs in the North West believe the UK economy is in better condition today than it was before the recession in 2008-2009.
