We take a look at what the skills gap is, why it’s started to form, which skills and industries have high demand, and how you can make sure you keep up-to-date with current trends.

Fl416 Blog Header What Is The Skills Gap
We’re living through an interesting part of history. Advancements in technology are rapidly changing our lives and the way we work. We’re also more connected than ever before, allowing us to stay in touch and perform our duties from just about anywhere in the world. Yet this rate of change and development means that employers need new and evolving skill sets. As such, some fear a ‘skills gap’ is opening.

There is some debate on the severity and scope of this skills gap, yet it has the potential to cause some real issues. We explore what exactly it is, which industries are lacking certain skills, and how you can keep on top of your personal development for your career.

What is the skills gap?
Let’s start by exploring what we mean when we use the term skills gap. In reality short, it’s the difference between the skills needed to do a particular job and those that are available. However, as we’ll see, it can impact different levels of the job industry:

For individuals
The skills mismatch means that some people don’t have the right skills for the jobs available. For example, some figures show that in the UK, around 40% of UK workers don’t have the right qualifications for their current jobs. This means that some people are underqualified, and some are overqualified.

Estimates suggest that by 2030, nearly 20% of the workforce will be significantly under-skilled for their jobs. As a result, many could find themselves being less productive in their work, less satisfied with it, or even out of work completely. Right now, it can mean that finding an appropriate job in a relevant industry is more difficult.

For businesses
For businesses, the skill gap is also problematic. They’re finding that talent pools are limited in certain areas/professions, meaning that roles are taking longer to fill. This lack of qualified personnel also has several impacts on businesses. It can cause:

A loss of productivity
A higher rate of staff turnover
Lower levels of morale
Lower-quality work
An inability to expand the business
A loss of revenue
Clearly, these are all potentially damaging effects that arise from a mismatch of skills. It can ultimately mean that companies aren’t able to fulfil the demands of their customers, whether it’s in delivering products or services.

For industries
When these problems are extrapolated out across entire industries, the issues become even more evident. Talent shortages could be widespread, and as well as a lack of role-specific personnel, there may also be a lack of skilled managers to train those who are coming through. On the other hand, we may even end up in a situation where some industries have a high number of low-skilled people applying for a small number of low-skilled jobs.

Such instances could see the rate of progress in certain industries slow, as many positions remain unfilled. What’s more, such widespread gaps could have a significant impact on the economy.

Does it really exist?
Of course, not everyone agrees that there is such a thing as this skills gap. A quick internet search will highlight a number of high-profile articles with claims like ‘the skills gap was a lie’. Many of these refer specifically to the US jobs market in the wake of the 2009 financial crisis.

According to some data, as unemployment rose, employers were looking for candidates with more skills, education, and experience. As the rate of unemployment started to fall, so did the expectations of employers. However, there are many other angles to this issue.

As we’ll explore, in the UK at least, there are clear signs that there are industries where there is a shortage of qualified professionals. What’s more, some data suggests that although levels of education are higher, basic skills like numeracy and literacy may be lagging behind.

Why does the skills gap exist?
There are several theories on why a skills gap might exist. Often, these depend on the industry and type of role. However, there are some suggestions that apply across just about every area of work:

Technology
With the rise in disruptive new technologies such as artificial intelligence, machine learning, and automation, the world of work is changing. There is the potential for many roles to be made obsolete in the coming years, with new positions opening to support these new innovations. Additionally, things like the gig economy are meaning a fundamental shift in the way people find work.

With these advances, the types of job roles and skills that employers need are changing, and there aren’t always the people to fill them. A 2018 Deloitte study suggested that in the US manufacturing industry alone, the skills gap could see around 2.4 million roles unfilled between 2018 and 2028.

Education
One of the areas where there are problems emerging is in education. The overall level of education in the UK is high – a recent OECD report shows there are more graduates than non-graduates in the job market. However, employers are seeing gaps in areas such as basic literacy, numeracy, and IT skills.

Despite this lack of relevant knowledge, there isn’t a lot being done to promote further learning and upskilling. Some figures suggest that just 24% of UK workers have spent time reskilling over the last two years.

Training
Some schools of thought suggest that the skills gap isn’t just down to individuals and the education system. In previous generations, employers would hire graduates or untrained newcomers and train them to do the job. Nowadays, with the gig economy and pressure for instant results, many companies are seeking those who are job-ready. Experience is valued more than potential, and expectations and requirements often reflect this.

There are additional challenges here too. For example, fewer people are starting apprenticeships in the UK. This could be because funding for them (and adult learning in general) has fallen 45% since 2009-10.

Source: https://www.futurelearn.com/info/blog/what-is-the-skills-gap

The Office for National Statistics has estimated that more than 1 million people in Britain have suffered or are currently suffering from “post-COVID syndrome”, commonly known as “Long COVID”. The National Institute for Health and Care Excellence (NICE), has defined post-COVID syndrome as “signs and symptoms that develop during or after an infection consistent with COVID-19, continue for more than 12 weeks and are not explained by an alternative diagnosis.” Long COVID represents the next great unknown when it comes to employers’ response to the COVID-19 pandemic and its impact on workforce management is potentially far-reaching.

In recent guidance, Acas encourages employers to treat Long COVID like any other illness. However, that advice masks the fact that Long COVID is not like other serious illnesses regularly dealt with by HR professionals. Symptoms of Long COVID vary greatly, ranging from breathlessness or organ damage to depression or memory loss. There is still much debate in the medical literature concerning the causes of Long COVID, as well as, crucially, its prognosis. It will therefore be very difficult for employers to obtain clear medical evidence on which to base their decisions. The TUC has recently called for long COVID to be recognised as a disability and individuals with serious symptoms may well be disabled for the purposes of the Equality Act 2010, though, with virtually no evidence on the likely duration of symptoms (that is, whether the condition is likely to last for at least 12 months and therefore be “long term”), this is currently another unknown. A supportive (and prudent) employer however will err on the side of caution and will need to be thinking about appropriate adjustments for affected employees. Failure to make reasonable adjustments will put employers at risk of disability discrimination claims, and potentially other indirect discrimination claims based on the fact that certain groups sharing a particular characteristic may be at a higher risk of developing Long COVID.

However, this may be easier said than done for employers. The uncertainty in the medical science makes it very difficult for employers to make informed decisions about the type of adjustments that may be appropriate to support employees suffering with Long COVID, or, with uncertain prognoses, about what adjustments the business can support over the indefinite term. This could potentially be very difficult for HR teams to manage, with costs (in financial and business terms) that may be difficult to estimate with any accuracy.

There are some simple practical things that employers can begin to think about to prepare to support employees suffering Long COVID symptoms:

Build your HR team’s and your managers’ knowledge. It is important that employees suffering from Long COVID are treated sensitively and supportively, and building understanding will help. The Faculty of Occupational Medicine of the Royal College of Physicians has released guidance on Long COVID for employers and managers.
Maintain an open line of communication, and encourage employees to speak to managers or HR if they are struggling. Symptoms can vary significantly from one affected worker to another, and indeed from one day to the next. Therefore, it is important to have regular one-on-one check-ins with affected employees to understand their symptoms and their needs, and how you can support them to maintain their performance.
Seek medical advice from occupational health. Although there are still many uncertainties in the medical community about Long COVID, particularly in relation to prognosis, an occupational health specialist may still be able to provide you with helpful advice as to what adjustments may help to support an employee with particular symptoms.
Try to be flexible and innovative in the ways in which you provide adjustments. As discussed, Long COVID is an emerging issue and much of it is unknown. However, what is clear is that it will affect a lot of individuals, so, to remain competitive, employers will need to make efforts to retain key talent.
Be wary of “COVID-fatigue” and factor this into your management strategy. In our experience dealing with long-term sickness cases, for example where employees are diagnosed with a condition like cancer, management are very supportive when first becoming aware of a concern, but can become less supportive where illnesses have been continuing for a long time. With what will potentially be a chronic condition, HR professionals should be working from the start to facilitate long-term solutions and ensure that managers and teams are able to adjust and support the individual over an indefinite time period.
If it is not possible to support individuals with Long COVID, exercise caution when it comes to dismissal conversations. The same considerations will apply as in other capability dismissal situations. However, employers will need to be aware of the risk of a challenge on the basis of unreliable medical evidence, given the many unknowns with this condition.

Source: http://employmentblog.practicallaw.com/managing-cases-of-long-covid-the-next-unknown/

On Monday, the Road Hauliers Association said the 70,000 HGV driver black hole had reached “catastrophic levels”.

The easing of lockdown has unsurprisingly seen hospitality venues dealing with pent-up demand from punters desperate to kick-start a post-Covid social life.

Great news for the economy – in theory.

But the stark reality is drivers are now rarer than hen’s teeth, and that demand is pushing logistics to breaking point.

Over recent weeks, The Grocer has reported on wholesalers supplying both retail and foodservice sectors being forced to hike up driver wages, national hauliers demanding more lolly for key routes and convenience store shelves left empty.

This week, JW Filshill became the latest wholesaler to be caught in the perfect storm of a high volume of orders and not enough drivers to deliver goods. Some retailers are waiting up to three days for deliveries, which is particularly tricky for short shelf life products.

Nisa retailers also felt the brunt of the shortage this week as the symbol group attempted to reduce a backlog of chilled orders following an IT systems failure at logistics giant Culina. The lack of HGV drivers compounded the problem, and left the convenience chain disadvantaged as it tried to play catch up.

The Grocer understands smaller regional outfits are beginning to dig deep and ‘price match’ the 10% to 20% salary increases offered by national rivals last month.

Those unable to take a carrot approach have cancelled delivery routes. In this climate it’s unlikely they will be picked up by a rival, so customers will be forced to visit a competitor’s cash & carry instead.

On top of this, suppliers have reportedly started to reduce unloading windows in wholesale yards to as little as 15 minutes as they attempt to shave off precious time and get to the next drop, adding further pressure to wholesalers.

The RHA recognises the severity of the problem. This week, it issued the government with a 12-point plan in a bid to end the crisis. The wishlist headlines by urging Westminster to include HGV drivers on the Skilled Worker Shortage Occupation list, and includes a coronavirus recovery plan which would provide visas for a ‘seasonal workers’ scheme.

Next week, the Department for Transport and Department for Work and Pensions will hold a crisis meeting to try and address the problem. The aim will be to thrash out a plan of action for the rest of this year and a “medium-term plan” beyond that.

Frankly speaking, these can’t come soon enough.

The driver shortage is pushing the supply chain beyond the pressures it felt during the panic buying of March 2020.

Extending driver hours helped during the height of the pandemic, and is once again being called for by many wholesalers. But this band-aid approach is strong rejected by the RHA and haulage companies. Drivers are exhausted, they say, and it’s not a sustainable long-term solution.

Keeping the wheels turning on the food and drink industry was the government’s raison d’être this time last year. But it may only be a matter of time before care homes, hospitals and schools begin to see late deliveries, or god forbid, no deliveries at all.

Source - https://www.thegrocer.co.uk/the-grocer-blog-daily-bread/the-hgv-driver-shortage-has-hit-catastrophic-levels-industry-needs-government-intervention/656892.article

We have worked hand in hand with City Resource for almost 8 years. Over that period they have successfully supplied us with warehouse staff, HGV drivers, office staff and management roles, both temporary and permanent.

They are a very professional outfit and also very flexible in their working practices. They are GLA accredited and an REC Corporate Member which are very important to a company of our stature.

They possess all the necessary resources and are always at the end of the phone when needed, no matter what hour of day.

I would certainly recommend talking to City Resource about any vacancies you may have, they are great company to work with.

We have been using City Resource for the supply of temporary workers since 2008.

We can use up to 80 picker, packers and warehouse operatives across numerous shifts over 7 days a week. City Resource have supplied us with high volumes of inducted workers in a very short period of time. A good example of this was requiring 20 workers to start on the Saturday of a Bank Holiday weekend and we did not inform City Resource until the Friday afternoon.

We have a great working relationship and strong understanding of each others processes. I would recommend City Resource to any company that seeks a personal approach whilst maintaining high professional standards..

I speak from experience when I say that we can fully endorse City Resource as a partner in your business. Their communication, responsiveness and eagerness to please are second to none. We have found that they very quickly learned our business requirements and were able to supply suitable candidates for interview/weld test in consideration for a variety of roles.

Where issues have presented themselves they have always been helpful in resolving these in a no-nonsense professional manner

I am happy to endorse City Resource as a useful partner in gaining good employees for your business..

I have worked with City Resource for over 4 years now, during which time they have supplied me with both salaried and contract staff, specifically; production managers, AutoCAD technicians, office staff, skilled engineers and LGV Drivers. All of which were of a very high standard.

City Resource take the time to listen to your requirements and then match good quality candidates to your needs. They operate in an efficient, transparent manner to build relationships of trust. Furthermore, they guarantee their services through a rebate scheme, should things not work out. In general they charge competitive rates and importantly, we have always felt we were getting value-for-money in all our dealings with City Resource.

I have used the services of City Resource across two different companies now and have no hesitation in recommending them to others.

I source workers for our contracts in Spalding and assist the Peterborough office when necessary.

When I’m not working I spend time with my daughter and enjoy going to yoga classes.

My main job is the day to day running of the contracts for our Clients in Spalding, sourcing and organising the workers for each contract. I also assist the Recruitment Consultants based in Peterborough and we work as a team.

In my spare time I love to travel, spend time with my family and cook.

14 years recruitment experience, I look after everything driving! Recruiting LGVs to van drivers and transport manager to planners.

In my spare time I like the great outdoors, fishing, camping, speedway, football (Wolverhampton Wanderer fan!)