Enhancing Skills

Manufacturing a world class future...

23 August 2010

Engineering, manufacturing and science skills

shortages are costing the North East economy

nearly £5 million in lost productivity

FREE SKILLS SURGERY TO HELP LOCAL FIRMS

Semta, the sector skills council for science, engineering and manufacturing technologies has today released new research which estimates that skills shortages across the region are costing almost £5 million in lost productivity.

The data reveals that despite the impact of the recession, five per cent of engineering, manufacturing and science companies still have vacancies they are not able to fill because of skills shortages. In addition, 22 per cent of North East businesses in Semta’s sectors report skills gaps amongst staff – a figure that is projected to increase as older skilled workers retire, taking their skills with them.

To help combat the skills issues that businesses in the North East are facing, Semta is hosting free drop in surgeries for engineering, manufacturing and science companies. The sessions, which will be held at Wynyard Park House in Billingham on 24th, 25th and 26th August will help companies identify ways to improve their productivity and profitability, as well as offer advice on creating a motivated workforce and improving quality performance.

Philip Whiteman, Chief Executive of Semta said: “We know that investing in skills has helped many businesses in our sectors survive the downturn. We’ve seen that businesses working with Semta’s National Skills Academy for Manufacturing achieve, on average, a 6:1 ratio of return on their investment, reinforcing to all companies the real value of skills development.

”We’re encouraging businesses of all sizes to come along and speak to our specialist team. Whilst companies in Semta’s sectors have been working hard to fill their skills gaps and beat the effects of the recession, these gaps are still costing the North East economy millions of pounds so there is still work to be done.”

The research also reveals that 11,000 new recruits will be needed in these sectors between now and 2016. Of these, more than 3,000 will be required to have higher level skills, demonstrating the need to ensure that businesses in the region have the right development and training in place for their workforces.

Semta can help businesses in the North East ensure they have the right training in place to meet their individual needs. It offers a full spectrum of support to help the region’s companies that do not have a business plan (56 per cent) or a training plan (48 per cent) in place. In addition, with over a quarter of businesses (27 per cent) admitting they haven’t offered any training over the past 12 months, and only 18 per cent currently offering apprenticeships, Semta is able to support with the development and implementation of new training programmes.

Semta’s National Skills Academy offers a wide range of quality approved programmes specifically designed to deliver real benefits to individuals and their companies. There are programmes and qualifications in Business Improvement Techniques, Leadership and Management, Employability, Health & Safety and technical skills. To support individuals there is an e-learning centre with over a 1,000 courses ranging from How to Make Presentations, through Environmental legislation and policy to Six Sigma. The cost of e-learning modules starts £5 - £10.

One company in the North East that has already benefited from Semta’s support is commercial furniture producer, Remploy Ltd. Based in Newcastle, Remploy offers employment to people with disabilities and 90 per cent of its 87-strong workforce have learning or physical disabilities.

Prior to Semta’s involvement, the organisation had struggled to access funding to tackle key skills gaps. Semta identified European social funding that allowed Remploy to put staff through Numeracy & Literacy and Performing Manufacturing Operations (PMO) NVQs to help improve employees’ core skills, team-working ability and motivation.

Pat McDermott, Head of HR Operations and Organisational Development, Remploy said:

“Feedback so far on the training has been fantastic. The improvements are really starting to take shape and people are really engaged. ”

Remploy management, impressed with the outcomes of the training, intend to continue the roll out of the training programme to all its employees.

Science, engineering and manufacturing companies in the North East interested in finding out more about employee skills training or the drop in skills surgery should contact Semta Customer Services on 0845 643 9001 or email customerservices@semta.org.uk