Employer Skills Survey 2017 - assets.publishing.service.gov.uk · • Skills gaps in the existing workforce • Skills underutilisation • Upskilling - the need for staff to acquire

Employer Skills Survey 2017England slide pack

Introduction• This is the fourth survey in this

biennial series.

• The study focused on the following areas:

• Recruitment and skill-shortage vacancies

• Skills gaps in the existing workforce

• Skills underutilisation

• Upskilling - the need for staff to acquire new skills or knowledge

• Training and workforce development

• High Performance Working practices

Employer Skills Survey

2017

21 minute telephone interview

England: 71,527

interviews

With person responsible

for recruitment,

HR and skillsSites with

2+ employees

were eligible

Fieldwork carried out

between May and October

2017

Covers all business sectors of

the economy

Questionnaire Coverage

Achieved interviews

All the figures presented in this slide pack are subject to a margin of error. At a 95% confidence level, the maximum margin of error is less than one percentage point at the overall level and typically

between one and three percentage points across the region and sector sub-groups.

Population Number of interviews

England 1,602,000 71,527

By region

East Midlands 131,000 6,801

East of England 181,000 8,111

London 290,000 10,269

North East 61,000 5,195

North West 191,000 8,263

South East 274,000 10,155

South West 177,000 7,992

West Midlands 154,000 7,483

Yorkshire and The Humber 144,000 7,258

By sector Population Number of interviews

Primary Sector & Utilities 60,000 3,761Manufacturing 38,000 5,498

Construction 106,000 5,622

Wholesale & Retail 152,000 11,841Hotels & restaurants 58,000 6,917Transport & Storage 23,000 3,317

Information & Communications 54,000 3,436

Financial Services 15,000 2,195Business Services 239,000 11,582Public Administration 3,000 859Education 10,000 4,516Health & social work 34,000 6,315

Arts & Other Services 71,000 5,668

Population counts taken from the ONS Inter-Departmental Business Register (IDBR), March 2016, and have been rounded to the nearest thousand

Survey population: size of establishment

54%

21%

15%

5% 9%

9%

15%

12%

12%

43%

100+50 to 9925 to 4910 to 245 to 92 to 4

% of all establishments % of all employment

Source: ONS Inter-Departmental Business Register (IDBR), March 2016

employees

Survey population: sector

Source: ONS Inter-Departmental Business Register (IDBR), March 2016

5% 5%

9%

20%

9%

3%5%

2%

23%

1%3%

7%8%

2%

8%

4%

16%

7%

5%4% 4%

19%

4%

9%

13%

5%

Prim

ary

Sect

or &

Util

ities

Man

ufac

turin

g

Con

stru

ctio

n

Who

lesa

le &

Ret

ail

Hot

els

&R

esta

uran

ts

Tran

spor

t &St

orag

e

Info

rmat

ion

&C

omm

unic

atio

ns

Fina

ncia

l Ser

vice

s

Busi

ness

Ser

vice

s

Publ

ic A

dmin

Educ

atio

n

Hea

lth &

Soc

ial

Wor

k

Arts

& O

ther

Serv

ices

% of all establishments

% of all employment

Key definitions

Skills gapsSkill-shortage vacancies

Inci

denc

eD

ensi

ty

Under-utilisationVacancies

Proportion of establishments with at least one employee

deemed by their employer to be not fully proficient in their

role

The number of staff reported as not fully proficient as a

proportion of all employment

Proportion of establishments with at least one employee with skills and qualifications

more advanced than required for their current job role

The proportion of all staff with skills and qualifications more advanced than required for

their current job role

Proportion of establishments reporting at least one vacancy

Vacancies as a proportion of all employment

Proportion of establishments reporting at least one skill-

shortage vacancy(i.e. vacancies which are reported to be hard-to-fill because applicants lack relevant skills,

qualifications or experience)

Skill-shortage vacancies as a proportion of all vacancies

Establishment base

Employment base

Proportions are based on the number of establishments, defined here as a single location of an organisation, where at least two people work.

Proportions are based on the total number of employees and working proprietors across establishments.

Recruitment and skill-shortage vacancies

15%

20%

20%

14%

19% 17%

15%

19%

22%

18%

23% 21%

13%

16%

16%

13%

18%

20%

16%

22% 20%

14%

18%

21%

13%

20%

20%

13%

18%

18%

2.5%3.4% 3.6%

1.9%2.9% 2.9% 2.6%

3.3%4.3%

3.1%4.1% 3.7%

2.2%2.8% 2.7%

2.1%2.8% 3.2%

2.6%3.8% 3.8%

2.7% 3.1%3.7%

2.1%

3.5% 3.9%

2.1%3.1% 3.1%

Incidence and density of vacancies by regionIncidence of vacancies Density (vacancies as % of employment)

England East Midlands

East of England

North West

North East

South East

London South West

West Midlands

Yorkshire and The Humber

20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017

873,000 57,000 110,000 175,000 27,000 101,000 150,000 87,000 94,000 71,000

Number of reported vacancies (2017)Base: All establishments (2017 England: 71,527; regional base sizes range from 5,195 in North East to 10,269 in London)

Density of vacancies by sector

5.3%

3.4%

2.2%

3.1%

4.1%

3.5%

4.5%

2.5%

5.4%

3.0%

3.1%

2.1%

1.9%

4.2%

4.0%

1.9%

3.8%

4.1%

3.5%

4.0%

2.8%

5.9%

3.2%

3.1%

2.5%

2.4%

Arts & Other Services

Health & Social Work

Education

Public Admin

Business Services

Financial Services

Information & Communications

Transport & Storage

Hotels & Restaurants

Wholesale & Retail

Construction

Manufacturing

Primary Sector & Utilities

2017

2015

14,000

49,000

31,000

125,000

106,000

33,000

37,000

30,000

192,000

39,000

42,000

127,000

48,000

Num

ber o

f rep

orte

d va

canc

ies

(201

7)

Base: All establishments (2017 base sizes range from 859 in Public Admin. to 11,841 in Wholesale and Retail)

4%

6%

6%

3%

6%

5%

4%

5%

8%5%

6%5%

3% 4%

5%

4% 4%

6%

5%

7%

5%

4%

5%

8%

4%

7%

7%

3%

5%

5%

22%23%

22%

19%

23% 23%

25%

22%

25%

23%

20%

17%

21%

24%25%

23%

21%22%

27%26%

21%

17%

24%

30%

21%

23%

25%

17%

22%

18%

Incidence and density of skill-shortage vacancies by regionIncidence of skill-shortage vacancies (SSVs) Density (SSVs as % of vacancies)


East of England

North West

North East

South East

London South West

West Midlands


20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017

194,000 13,000 28,000 30,000 7,000 22,000 31,000 26,000 24,000 14,000

Number of skill-shortage vacancies (2017)Base: All establishments (2017 England: 71,527; regional base sizes range from 5,195 in North East to 10,269 in London)

Density of skill-shortage vacancies by sector

21%

21%

16%

8%

26%

21%

24%

37%

18%

20%

34%

31%

27%

26%

21%

23%

14%

23%

17%

27%

29%

16%

18%

35%

29%

36%



Education

Public Admin

Business Services

Financial Services


Transport & Storage


Wholesale & Retail

Construction

Manufacturing


2017

2015

5,000

14,000

11,000

23,000

17,000

9,000

10,000

5,000

45,000

5,000

10,000

27,000

12,000

Num

ber o

f ski

ll-sh

orta

ge v

acan

cies

(201

7)

Base: All establishments with vacancies (2017 base sizes range from 264 in Public Admin. to 3,417 in Business Services)

19%

17%

17%

29%

33% 30%

27%

22%

23%

14%

11%

15%

38%

44%

42%

27%

19%

24%

14% 15%

16%

24%

32%

31%

14%

14%

14%

Density of skill-shortage vacancies by occupationDensity of skill-shortage vacancies (SSVs)

Managers Professionals Associate Professionals

Caring, Leisure, Other Services

Skilled Trades Sales and Customer Service

Admin. and Clerical

Machine Operatives

Elementary

Base: All establishments with vacancies in the given occupations (2017 base sizes range from 1,641 for Machine Operatives to 4,093 for Elementary)

20152013 2017

4,000 34,000 30,000 10,000 34,000 25,000 17,000 16,000 19,000

Number of skill-shortage vacancies (2017)

20152013 201720152013 201720152013 201720152013 201720152013 201720152013 201720152013 201720152013 2017

Technical and practical skills lacking among applicants65%

41%

38%

33%

32%

30%

27%

27%

23%

22%

21%

16%

16%

28%

5%

5%

4%

2%

2%

1%

1%

2%

1%

4%

2%

2%

Specialist skills needed for the role

Solving complex problems

Knowledge of the organisation's products and services

Reading and understanding instructions, guidelines etc

Knowledge of how the organisation works

Basic numerical skills

Complex numerical skills

Writing instructions, guidelines etc.

Basic IT skills

Adapting to new equipment

Advanced IT skills

Manual dexterity

Communicating in a foreign language

Skill lacking among any applicants

Main skill lacking

Base: All with skill-shortage vacancies – up to two occupations followed up (5,975)Figures are shown as a percentage of all skill-shortage vacancies followed up (not a percentage of all establishments)

People and personal skills lacking among applicants 51%

39%

37%

36%

35%

34%

27%

26%

25%

16%

7%

7%

4%

5%

4%

2%

3%

2%

1%

0%

Ability to manage and prioritise own tasks

Customer handling skills

Managing their own feelings, or those of others

Team working

Managing or motivating other staff

Persuading or influencing others

Sales skills

Instructing, teaching or training people

Setting objectives for others and planning resources

Making speeches or presentations

Skill lacking among any applicants

Main skill lacking

Base: All with skill-shortage vacancies – up to two occupations followed up (5,975)Figures are shown as a percentage of all skill-shortage vacancies followed up (not a percentage of all establishments)

Impact of skill-shortage vacancies

Base: All establishments with hard-to-fill vacancies that are all as a result of skill shortages (5,503)

84%

48%

43%

42%

39%

34%

34%

31%

25%

22%

5%

Increase workload for other staff

Have difficulties meeting customer services objectives

Lose business or orders to competitors

Experience increased operating costs

Delay developing new products or services

Have difficulties meeting quality standards

Have difficulties introducing new working practices

Outsource work

Withdraw from offering certain products or services altogether

Have difficulties introducing technological change

None

Action taken to overcome skill-shortage vacancies42%

36%

15%

11%

11%

11%

10%

8%

8%

2%

39%

33%

12%

13%

7%

9%

11%

9%

4%

2%

Increasing advertising/ recruitment spend

Using new recruitment methods

Redefining existing jobs

No action taken

Offer training to those less well qualified

Increasing training to existing workforce

Increasing/ expanding trainee programmes

Using contractors/ contracting out

Increasing salaries

Making the job more attractive

2017

2015

Base: All establishments with hard-to-fill vacancies that are all as a result of skill shortages (2015: 5,495; 2017: 5,503)

Any action taken

89% (86% in 2015)

Recruitment of EU nationals to fill hard-to-fill vacancies

61%Have not recruited or tried to recruit

non-UK nationals to overcome hard-to-

fill vacancies

Base for pie: All establishments with hard-to-fill vacancies (8,232)Base for column: All that had recruited or tried to recruit non-UK nationals in response to having hard-to-fill vacancies (3,336)

37%have

4%7%

44%

46%

EU nationals only

Both

Non-EU nationals only

Don't Know

90%of those who tried to recruit non-UK nationals to fill hard-to-fill vacancies looked to recruit EU nationals

Tried to recruit:

Skills gaps in the existing workforce

15%

14%

13%

12%

16%

13%

17%

13%

16%

15%

13%

9%

18%

14%

13% 16%

14%

15%

16%

14% 12%

14%

14%

17%

14% 15

%

12%

13%

15% 13%

5.1% 5.1%4.3% 4.4%

5.0%

3.9%

5.9%5.1% 5.5% 5.7%

5.0%

3.4%

4.6%

5.7%

4.6% 4.6% 4.7% 4.9%5.9%

5.3%

4.1%4.7% 4.3%

5.5%4.9%

5.5%

4.4% 4.6%5.2%

3.5%

Incidence and density of skills gaps by regionIncidence of skills gaps Density (% of al staff with a skills gap)


East of England

North West

North East

South East

London South West

West Midlands


Base: All establishments (2017 England: 71,527; regional base sizes range from 5,195 in North East to 10,269 in London)

20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017

1,060,000 78,000 141,000 160,000 47,000 155,000 162,000 130,000 106,000 81,000

Number of skills gaps (2017)

Density of skills gaps by sector

3.8%

3.3%

4.0%

7.6%

5.2%

3.6%

5.8%

4.3%

7.2%

5.4%

3.7%

6.8%

4.1%

3.9%

3.2%

2.8%

4.0%

4.2%

4.9%

4.7%

3.3%

6.6%

4.9%

3.8%

5.6%

4.9%



Education

Public Admin

Business Services

Financial Services


Transport & Storage


Wholesale & Retail

Construction

Manufacturing


2017

2015

28,000

112,000

38,000

192,000

118,000

38,000

43,000

43,000

200,000

41,000

61,000

101,000

44,000

Num

ber o

f ski

lls g

aps

(201

7)


3.0%

2.8% 2.0%

3.8%

3.0%

2.6%

5.4% 5.5%

4.0%

4.9%

5.6%

3.7% 5.2% 5.3%

5.5%

4.4%

4.1%

3.7%

7.9%

6.6%

7.0%

5.0%

6.8%

5.1%

7.2%

7.1% 6.4%

Density of skills gaps by occupationDensity of skills gaps




Admin. and Clerical

Machine Operatives

Elementary

Base: All establishments with staff in the given occupations (2017 base sizes range from 11,463 for Caring, Leisure and Other Services to 68,786 for Managers)

20152013 2017

82,000 81,000 69,000 118,000 90,000 82,000 229,000 98,000 210,000

Number of skills gaps (2017)

20152013 201720152013 201720152013 201720152013 201720152013 201720152013 201720152013 201720152013 2017

Main causes of skills gaps75%

62%

56%

31%

31%

27%

24%

23%

15%

21%

18%

22%

72%

59%

56%

34%

29%

25%

26%

29%

19%

18%

20%

20%

New to the role/ training not complete (transient)

Staff are new to the role

Their training is currently only partially completed

Staff lack motivation

They have had training but their performance has not improved sufficiently

Unable to recruit staff with the required skills

Staff have not received the appropriate training

The introduction of new working practices

The development of new products and services

Problems retaining staff

The introduction of new technology

Transient skill gaps only

2017

2015

Base: All establishments with skills gaps - up to 2 occupations followed up (2015: 15,409; 2017:14,806 )Figures are shown as a percentage of all skills gaps (not a percentage of all establishments)

Impact of skills gaps

50%

26%

24%

22%

21%

16%

11%

41%

52%

26%

25%

24%

21%

17%

11%

40%

Increased workload for other staff

Have higher operating costs

Have difficulties meeting quality standards

Have difficulties introducing new working practices

Lose business or order to competitors

Delay developing new products or services

Outsource work

No impact

Base: All establishments with skills gaps (14,806)

Technical and practical skills that need improving among staff with skills gaps

Base: All establishments with skills gaps (14,806)Figures are shown as a percentage of all skills gaps followed up (not a percentage of all establishments)

47%

38%

36%

34%

31%

28%

25%

22%

21%

20%

19%

14%

12%

10%

6%

3%

2%

4%

2%

2%

1%

1%

1%

2%

3%

1%







Basic IT skills

Writing instructions, guideline etc.



Advanced IT skills


Manual dexterity

Skills lacking amongexisting staff

Main skill lacking

58%

49%

45%

42%

37%

34%

27%

26%

25%

16%

12%

7%

11%

4%

6%

2%

2%

4%

2%

0%


Team working






Sales skills



Skills lacking amongexisting staff

Main skill lacking

People and personal skills that need improving among staff with skills gaps

Base: All establishments with skills gaps (14,806)Figures are shown as a percentage of all skills gaps followed up (not a percentage of all establishments)

Action taken to overcome skills gaps

66%

54%

45%

43%

34%

27%

21%

16%

68%

56%

46%

45%

33%

27%

20%

15%

Increase training activity / spend or increase /expand trainee programmes

More supervision of staff

More staff appraisals / performance reviews

Implementation of mentoring / buddying scheme

Reallocating work

Changing work practices

Increase recruitment activity / spend

Nothing

2017

2015

Base: All establishments with skills gaps (2015: 15,409; 2017: 14,806)

Recruitment of EU nationals to overcome skills gaps

84%Have not recruited or tried to recruit

non-UK nationals to overcome skills

gaps

Base for pie: All establishments with skills gaps (14,806)Base for column: All that had recruited or tried to recruit non-UK nationals in response to skills gaps (2,571)

15%have

3%6%

51%

40%

EU nationals only

Both

Non-EU nationals only

Don't Know

91%of those who tried to recruit non-UK nationals in response to skills gaps looked to recruit EU nationals

Tried to recruit:

Skills under-utilisation

30%

34%30

%

33%

25%

34%

32%

35%

32%

36%

26%

36%

31%

33%

27%

37%

31%

32%

32%

35%

7.0%8.5%

6.8%8.4%

6.1%7.2%

8.4%9.5%

7.8%

10.1%

5.8%7.6% 7.6%

9.5%

6.4%8.4%

6.5%7.5% 7.0%

8.4%

Incidence and density of skills under-utilisation by region

Incidence of under-utilisation Proportion of staff considered to be under-utilised


East of England

North West

North East

South East

London South West

West Midlands


2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017


Density of skills under-utilisation by sector

10.5%

6.1%

5.5%

5.2%

6.8%

7.1%

8.9%

5.0%

12.8%

8.4%

6.5%

3.2%

6.1%

12.5%

8.8%

6.1%

7.5%

7.5%

5.4%

10.6%

6.2%

15.4%

9.5%

9.1%

4.8%

9.2%



Education

Public Admin

Business Services

Financial Services


Transport & Storage


Wholesale & Retail

Construction

Manufacturing


2017

2015


Upskilling

Reasons for staff requiring upskilling

38%

38%

35%

35%

24%

13%

44%

42%

40%

41%

30%

New legislative or regulatory requirements

The introduction of new technologies or equipment

The development of new products and services

The introduction of new working practices

Increased competitive pressure

The UK's decision to leave the EU

2017

2013

Base: All establishments in Module 2 (2013: 37,559; 2017: 35,490)

* Code not asked in 2013

*

Anticipate a need for upskilling

63% (70% in 2015)

Prevalence of a need for upskilling by sector

72%

82%

83%

83%

74%

82%

82%

67%

61%

68%

62%

62%

68%

59%

71%

73%

80%

67%

71%

71%

57%

54%

60%

54%

57%

57%



Education

Public Admin

Business Services

Financial Services


Transport & Storage


Wholesale & Retail

Construction

Manufacturing


2017

2013

Base: All establishments in Module 2 (2017 base sizes range from 392 in Public Admin. to 5,810 in Wholesale and Retail)

32%

45%38

%

26%29

%

18%

12%

11%

31% 27%

37%

39%

30%

20%

22% 17%

14%

13%

Occupations affected by a need for upskilling

Managers Professionals Skilled Trades

Administrative Caring, Leisure. Other Services

Associate Professionals

Sales and Customer Services

Machine Operatives

Elementary

2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017

Base: All establishments in Module 2 with staff in the given occupations (2017 base sizes range from 5,661 for Caring Leisure and Other Services to 34,107 for Managers)

Incidence of need for upskilling

Technical and practical skills that need improving in the next 12 months

Base: All establishments who anticipate a need for new skills in next 12 months (31,314)Data cannot be compared to 2013 (the last time upskilling questions were asked), due to a change in the skills lists

48%

47%

43%

38%

31%

30%

30%

26%

22%

19%

15%

13%

12%





Basic IT skills


Advanced IT skills


Writing instructions, guideline etc.



Manual dexterity


People and personal skills that need improving in the next 12 months

Base: All establishments who anticipate a need for new skills in next 12 months (31,314)Data cannot be compared to 2013 (the last time upskilling questions were asked), due to a change in the skills lists

45%

39%

39%

36%

35%

33%

31%

31%

31%

19%


Team working






Sales skills



Training and workforce development

66%

64% 69

%

65%

63% 68

%

67% 69

%

63%

63%

48%

48%

49%

47%

48%

48%

48%

49%

47%

47%

53%

51% 56

%

54%

50% 55

%

55%

55%

49%

50%

Train Train off-the-job Train on-the-job18

%

16% 20

%

18%

15% 20

%

19%

19%

16%

16%

England EastMidlands

East ofEngland

London North East North West South East South West WestMidlands

Yorkshireand theHumber

Train on-the-job only

Proportion of employers providing training in the last 12 months by region


55%

62%

58% 60

% 64%

61%

60%

77%

68%

90%

91%

86%

67%

43% 45

% 47%

39%

40% 43

%

41%

57%

50%

76% 80

%

69%

48%

37%

49%

40%

50% 54

%

47%

48%

66%

54%

76%

82%

74%

57%

Train Train off-the-job Train on-the-job

12% 17

%

11%

21% 24

%

18% 20

%

20%

18%

14%

11%

17% 19

%

Train on-the-job only

Proportion of employers providing training in the last 12 months by sector


66% 34%

41% 59%

don’t train

of employers in training equilibrium (no desire to increase training)

44% 54% 31% 69%

Wanted to train more Do sufficient training Wanted to train Did not want to train

(Base: 55,775) (Base:14,731)

of employers want to train more

Training Equilibrium: employers’ interest in providing more training than they were able to

Among those who train

Among those who don’t train

of all employers train

Base: All establishments (71,527)*Note training employers responding ‘Don’t know’ (2%) have been included in the group ‘Wanted to undertake more training’ on final measure

Don’t know

35%

35%

36%

47%

65%

74%

83%

Supervisory training

Management training

More advanced induction training

Training in new technology

Basic induction training

Health and safety / first aid training

Job specific training

Types of training provided

Base: All establishments that train (55,775)

Any induction training67%

62%

63%

62%

66%

60%

60%

58% 64

%

62%

61%

60%

64%

60% 63

%

60%

62%

69% 64%

61%

61%

64%

65% 67%

63%

62%

62%

58%

67%

60%

60%

Number and proportion of staff trained by regionProportion of staff trained over last 12 months


East of England

North West

North East

South East

London South West

West Midlands



20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017 20152013 2017

15,233,000 1,118,000 1,577,000 3,074,000 612,000 2,011,000 2,496,000 1,501,000 1,407,000 1,376,000

Number of staff trained (2017)

Number and proportion of staff trained by sector

60%

78%

75%

75%

60%

70%

54%

57%

65%

55%

53%

50%

50%

60%

80%

76%

60%

61%

71%

54%

51%

63%

59%

50%

49%

51%



Education

Public Admin

Business Services

Financial Services


Transport & Storage


Wholesale & Retail

Construction

Manufacturing


2017

2015

294,000

965,000

504,000

2,294,000

1,124,000

589,000

499,000

620,000

2,846,000

603,000

1,691,000

2,520,000

684,000

Num

ber o

f sta

ff tra

ined

(201

7)


50%

48%

50%

70%

70%

71%

64%

63%

63%

52%

53%

53%

60%

58%

58%

81%

80%

80%

63% 66

% 61%

57%

54%

52%

55%

55%

60%

Proportion of staff trained by occupation

Proportion of staff trained over last 12 months




Admin. and Clerical

Machine Operatives

Elementary

20152013 201720152013 201720152013 201720152013 201720152013 201720152013 201720152013 201720152013 201720152013 2017

Base: All establishments with staff in the given occupations (2017 base sizes range from 11,463 for Caring, Leisure and Other Services to 68,786 for Managers)

Days per person trained Total training days

2011 2013 2015 2017 2011 2013 2015 2017

England 7.9 6.7 6.8 6.4 97.1m 94.9m 99.9m 97.6m

East Midlands 7.9 6.9 7.1 6.5 7.8m 8.5m 8.2m 7.7m

East of England 7.0 6.6 6.3 6.4 9.1m 9.1m 10.0m 10.0m

London 7.7 6.1 6.3 6.2 15.7m 15.7m 16.8m 19.0m

North East 8.2 6.8 6.9 7.2 4.4m 4.0m 4.4m 4.4m

North West 8.3 8.1 7.2 6.0 13.6m 14.5m 14.9m 12.0m

South East 8.1 6.3 6.3 7.0 16.5m 14.3m 14.3m 17.5m

South West 6.7 6.8 6.9 6.0 8.4m 9.9m 10.6m 8.9m

West Midlands 8.7 7.1 7.5 5.8 10.6m 10.0m 10.8m 8.2m

Yorkshire and The Humber 8.6 6.2 7.5 7.1 11.0m 9.0m 9.9m 9.8m

Training days

1%

1%

1%

1%

1%

2%

2%

2%

3%

3%

4%

7%

9%

66%

Business not operating long enough

Trained staff will be poached by other employers

The courses interested in are not available locally

External courses are too expensive

Employees too busy to give training

Training not needed due to size of establishment

Employees too busy to undertake training

Learn by experience/Learn as you go

Managers lack time to organise training

Any staff training arranged and funded elsewhere

No training available in relevant subject area

No money available for training

Training not considered a priority

All staff are fully proficient / no need for training

Base: All establishments that do not provide training (14,731)

Reasons for not providing any training

2%

2%

3%

3%

4%

4%

5%

15%

49%

51%

Staff turnover

Lack of knowledge about training opportunities and/orsuitable courses

A lack of good local training providers

Staff now fully proficient

Difficulty finding training providers who can deliver trainingwhere/when we want it

Staff not keen

A lack of appropriate training / qualifications

Hard to find time to organise training

Unable to spare more staff time

Lack of funds for training

Base : All establishments who would have provided more training in the past 12 months if they could (25,481)

Reasons for not providing further training

Training and workforce development - summary

2011 2013 2015 2017

% of employers that train 65% 66% 66% 66%

% of employers that train off-the-job 46% 48% 48% 48%

% that only train on-the-job 19% 17% 17% 18%

% of staff trained over the last 12 months 54% 62% 63% 62%

Days training per person trained 7.9 6.7 6.8 6.4

Total training days provided 97.1m 94.9m 99.9m 97.6m

High Performance Working practices

11%11%

15%15%15%15%

21%34%

37%37%

40%41%

44%47%48%

51%52%

58%67%67%

83%

Creates teams to work on projectsTrade union consultation

IIPHolds ISO9000

Employee consultationProcesses to identify high potential or talented individuals

Work shadowing/stretching/supervisionIndividual performance related pay

Flexible benefitsTraining budget

Awards performance related bonusesFlexible working

Formally assess performance after trainingTask discretion

Training planTraining needs assessment

Task varietyBusiness plan

Annual performance reviewOn or off job training

Equal opportunity policy

High Performance Working practices

9%of employers adopt 14 or

more of the HPW practices and are therefore classified

as HPW employers

Base: All establishments in Module 1 (36,037)

High Performance Working and skills challenges

Base for all charts: All establishments in Module 1 by HPW classification (HPW: 5,501; non-HPW: 30,536)

…yet are more likely to have skills gapsamong their workforce…

…and are much more likely to train their staff…

22%

12%

HPW non-HPW

Have skills gaps

96%

64%

HPW non-HPW

Train

HPW employers are more active in the recruitment market…

41%

18%14%

8%3% 2%

HPW non-HPW

Have vacancies Have HtFVs Have SSVs

Conclusions

Current state of skills in England• There has been a 9% increase in the number of reported vacancies, from 797,000 in 2015 to

873,000 in 2017. However, the proportion of employers with vacancies has stayed at 20%.

• Around one-fifth (22%) of these vacancies were proving hard-to-fill due to applicants lacking the

necessary skills, qualifications or experience (i.e. skill-shortage vacancies), similar to 2015

(23%).

• The number of skills gaps among the existing workforce has dropped from 1.18 million to

1.06 million; a decrease from 5.1% of the total workforce in 2015 to 4.3% in 2017.

• Specialist skills needed for the role and ability to manage and prioritise own tasks were the

main technical and practical, and people and personal skills lacking among both applicants and

existing staff.

• A third of employers (34%) reported having under-utilised staff, that is staff with qualifications

and skills beyond those required for the role (up from 30% in 2015).

Impacts and response• The impact on businesses’ productivity and growth potential are key impacts of skills

challenges, with potential to restrict both aspects in the short and long term. The impact of skills

challenges were felt most notably on current staff with employers reporting increased workloads

for other staff as an impact of skill-shortage vacancies (84%) and as an impact of skills gaps

among existing staff (50%).

• Despite persistent skills challenges, the proportion of employers that train has remained

consistent over time (66%) and in 2017 the number of days training per trainee decreased from

6.8 days in 2015 to 6.4 days in 2017.

• Whilst 41% of employers wanted to provide more training, the main barriers preventing them from

doing so centred on a lack of funds for training (51%) and lack of staff time to spare (49%).

• When looking ahead to the next 12 months, a smaller proportion anticipated a need for staff to

acquire new skills than they did in 2013 (63% compared with 70%)

Documents

Employer Skills Survey 2017 - assets.publishing.service.gov.uk · • Skills gaps in the existing workforce • Skills underutilisation • Upskilling - the need for staff to acquire