Complacent employers threat to UK growth

Complacent employers who are ignoring the training and skills needs of their staff could pose a long-term threat to the UK’s economy, according to a major study amongst British employers published today.

Three in five employers admit that problems are looming as the workforce ages whilst the level of training remains static, according to the report, commissioned by labour market economists at Skills for Business.

The study of more than 13,000 UK employers* also revealed that:

Two out of three employers admit that they have problems recruiting new employees with the skills they need
Yet three in five employers do not provide yearly training plans for their employees

And one in two employers believed that the skills required by UK workers have remained unchanged, despite rapid technological advances and the increasing threat of international competition

Professor Mike Campbell, Director of Research at Skills for Business and one of the country’s most prominent labour market economists said: Complacent employers could pose a serious threat to the future of the UK’s economy. With the age of our skilled workforce rising and many employers failing to train enough of their staff, we are sitting on a skills timebomb. Our productivity levels are already 8% lower than the EU average, amounting to some 80 billion of lost output to our economy. If this situation continues, there is a very real risk that it could have serious economic implications for the future prosperity of the UK.

Skills for Business - the network of Sector Skills Councils covering around four out of five workers in the UK - is working with employers and training providers to improve the provision of employer-friendly training throughout the UK. Employers seeking to address the skills shortages within their organisations or requiring advice on skills development should contact their relevant Sector Skills Council via: