Resources

Global Skill Shortages

Category: Employment Trends

A skilled workforce is vital for meeting the challenges of the global economy.

Now is the time more than ever for governments globally to co-operate and work with firms to prevent skill shortages and to identify key areas where certain industries are lacking the essential skilled worker.

Representatives of companies need to think strategically to minimise skill shortages and to put a process in operation to engage in such shortages.  Investment in training and developing skills is compulsory to re-balance the deficiency in major industries where the absence of expertise skills is increasing, which will ultimately affect productivity.

Train to Gain

The government needs to recognise a long-term policy on filling the skill shortages, in order to ensure global healthy competition.  Some companies sadly remain oblivious to the advantages of taking on apprentices and retaining their workforce.

Apprenticeships are a proven method of dealing with both current and future workforce matters. Apprenticeships allow employers to attract high-quality recruits and enhance the skills and productivity of a company’s present employees.

Organisations should also appreciate the favourable benefits of apprenticeships, such as recognising local talent within their area instead of having to look further a field (allowing young people to flourish) and at the same time establishing a healthy workforce appropriately furnished to meet increasing demands.

It is clearly evident that skill shortages threaten productivity, decrease competitiveness and de-moralise a workforce.

A company should recognise and assess their current and future training requirements 

It is accepted that technical progress has raised the demand for the average skilled worker and skill shortages are more apparent in companies that use the most advanced technology in their production process. 

Therefore, an organisation should accommodate their staff individually to the most suitable training programme, this will encourage staff retention, eliminate wasted time and interference of production.   Consistent development in training will increase the level of skills within a company.   Also a company will be protecting and promoting their employment branding, as being regarded as a considerate and caring employer.

Ageing Workforce

Participation and engagement of the more mature, older worker is an essential objective of the UK labour market.  Companies need to start thinking about offering that experienced key worker flexibility in order to offer first-hand knowledge to the unskilled worker, thereby prolonging positive productivity and challenge competition.

An organisation should be open and informal with their employees (as they approach retirement) to any necessary adjustments, which could encourage their retention.  Many firms are quite willing to allow staff to remain after the normal retirement age of 65.

Health of Employee

An employee’s health is considered to be a private matter rather than the responsibility of a company’s HR department.  Companies value and appreciate the older worker in sectors with skill shortages and are eager to keep them.

The economic powers of China, Russia, India and Brazil have rapidly developed and with a decrease in the birth rate in the UK and an ageing workforce, the competition for skilled workers will continue to increase, especially as the trend for students preferring non-technical degrees escalates.

In conclusion, emphasis must be placed on the need to train, failure to appreciate such an approach, will consequently have the effect of alienating certain sectors of a potential workforce.