Skills shortage threatens to put brake on automotive growth
A SKILLS shortage in key areas is threatening to put the brakes on the sector’s growth in the West Midlands.
More than half of manufacturing and engineering companies surveyed by Consilium Recruit planning to take on staff this year, but potential shortages have been identified in product and process engineering, maintenance and quality functions.
This is driving up employment costs with skilled workers able to drive up their wages.
Consilium Recruit director Russell Tuck said: “Despite a fairly positive outlook, the lack of engineers continues to be an issue which in turn has progressively forced up wage costs, particularly in acute skill shortage areas. This shortfall means that labour costs in Britain are now among some of the highest in Europe.”
He also warned that employment rules are making it harder for companies to bring in talent from outside Europe.
“In addition the Government’s visa policies are continuing to prevent growing firms from attracting much-needed global talent into the UK workplace,” he added.
The findings were published in Consilium’s 2016 Manufacturing Salary Survey, which was the result of a cross section of the automotive sector including major manufacturers, suppliers, motorsport companies and support businesses were questioned.
