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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)
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
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%
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
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)
England East Midlands
East of England
North West
North East
South East
London South West
West Midlands
Yorkshire and The Humber
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%
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
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)
Base: All establishments (2017 base sizes range from 859 in Public Admin. to 11,841 in Wholesale and Retail)
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
Managers Professionals Associate Professionals
Caring, Leisure, Other Services
Skilled Trades Sales and Customer Service
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%
Specialist skills needed for the role
Knowledge of the organisation's products and services
Solving complex problems
Knowledge of how the organisation works
Reading and understanding instructions, guidelines etc
Adapting to new equipment
Basic IT skills
Writing instructions, guideline etc.
Basic numerical skills
Complex numerical skills
Advanced IT skills
Communicating in a foreign language
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%
Ability to manage and prioritise own tasks
Team working
Customer handling skills
Managing their own feelings, or those of others
Managing or motivating other staff
Persuading or influencing others
Instructing, teaching or training people
Sales skills
Setting objectives for others and planning resources
Making speeches or presentations
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
England East Midlands
East of England
North West
North East
South East
London South West
West Midlands
Yorkshire and The Humber
2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 2017 2015 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 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%
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
Base: All establishments (2017 base sizes range from 859 in Public Admin. to 11,841 in Wholesale and Retail)
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%
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
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%
Knowledge of the organisation's products and services
Specialist skills needed for the role
Adapting to new equipment
Solving complex problems
Basic IT skills
Knowledge of how the organisation works
Advanced IT skills
Reading and understanding instructions, guidelines etc
Writing instructions, guideline etc.
Complex numerical skills
Basic numerical skills
Manual dexterity
Communicating in a foreign language
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%
Ability to manage and prioritise own tasks
Team working
Managing or motivating other staff
Customer handling skills
Instructing, teaching or training people
Managing their own feelings, or those of others
Persuading or influencing others
Sales skills
Setting objectives for others and planning resources
Making speeches or presentations
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
Base: All establishments (2017 England: 71,527; regional base sizes range from 5,195 in North East to 10,269 in London)
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
Base: All establishments (2017 base sizes range from 859 in Public Admin. to 11,841 in Wholesale and Retail)
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
England East Midlands
East of England
North West
North East
South East
London South West
West Midlands
Yorkshire and The Humber
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
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%
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
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)
Base: All establishments (2017 base sizes range from 859 in Public Admin. to 11,841 in Wholesale and Retail)
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
Managers Professionals Associate Professionals
Caring, Leisure, Other Services
Skilled Trades Sales and Customer Service
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%)