Sector Skills Councils and 2012 – Developing an Olympic Workforce

Stephen Studd

CEO, SkillsActive

The Skills for Business Network• 25 SSCs covering 90% of the economy

• Employer-led organisations, licensed and recognised by Government across UK

• Increasing productivity through a demand-led qualification system

• Core responsibilities:– Labour market and skills analysis– National Standards– National Qualifications Framework

Responding to the 2012 challenge - SSC Clusters

1. Researching and Identifying the Skills Needs for 20122. Communication and Co-ordination3. Creating an Action Plan for Delivery4. Maximising the Opportunity

OLYMPIC BOARD

LOCOG

Sector Skills Councils and SSDA

DCMS, DfES, DWP, DTI. LDA, GLA. Job Centre Plus.

LSCBuilt Environment Cluster.

2012 Skills Legacy Cluster

ODA

The London Challenge

Proportion of the working age population

in employment

Employment shortfall to

London

Employment shortfall to England and

Wales

Greenwich 65.8% 5,844 13,842

Hackney 56.0% 19,974 27,611

Newham 58.7% 18,559 27,413

Waltham Forest 62.4% 11,451 19,721

Tower Hamlets 57.5% 17,355 24,813

London proportion of working age population in employment

69.6%

England and Wales proportion of working age population in employment

75.4%

5 Borough Gap 73,813 113,400

Key Outcomes of Cluster Work ProgrammeLondon Employment and Skills Taskforce (LEST)• Taskforce Proposals:1. Connecting job seekers to Games Related job opportunities2. Extended outreach to support more integrated brokerage

and training services, to engage “hard-to-reach” groups3. An Employer Accord to provide leadership and commitment 4. Pre-Volunteering Programme for excluded individuals5. Pre Employment Training for disengaged and disadvantaged

groups and Enhancing Skills and Training in Games-related sectors

6. Employment and skills planning for young people 7. Encouraging micro-enterprise8. Communicating the vision, the plans and the achievements

Key Outcomes of Cluster Work Programme

1. “What skills by when” 2006-2021: Baseline and Challenge Scenarios at construction, implementation and legacy phases

Baseline scenario for 2012:• Increase 1.2m jobs 2006-2012 UK-wide (240k London)• A further 1.8m jobs 2012-2021 UK-wide (440k London)Challenge scenario:• A further 55,000 jobs over baseline 2006-2012 UK-

wide (27k London)• A further 54,000 jobs over baseline 2012-2021 UK-

wide (28k London)

Chart 1: Changes in London employment

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10

20

30

40

50

60

70

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

Annual change in jobs, 000s

Baseline Challenge Scenario

Chart 2: Changes in UK employment outside of London

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2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

Annual change in jobs, 000s

Baseline Challenge Scenario

“What skills by when”Meeting the Challenge – 3 key assumptions:1. Improved External Environment - new and alternative transport

routes (improved availability of labour); successful regeneration of the Lower Lea Valley (private investment, new jobs, spending increase).

2. Community Benefits – employment opportunities and up-skilling of local residents.

3. Increased demand for skills – increase in tourism/tourist spending2006-2012 UK job increases above baseline:• Manufacturing (15,000), financial & business services (9,000),

distribution, hotels & catering (9,000), construction (9,000), government & other services (6,000), and transport & communications (5,000).

2012-2021 job increases above baseline:• Financial & business services (13,000), distribution, hotels &

catering (12,000).

Key Outcomes of Cluster Work Programme• Research reports:

2. Skills needed to improve visitor experience• London’s reputation• Recruitment difficulties in past Games: live

performers, chefs, catering managers, bus drivers, elite coaching and supporting roles.

• Identified skills currently lacking in the workforce: team working, customer service, complaint handling, communication skills, management skills.

• New skills that will be required: games knowledge, cultural awareness, disability awareness, language skills

Key Outcomes of Cluster Work ProgrammeCustomer Service Project• Analysis of customer service training in the UK• Development of a 2012 specific ‘Gold Standard’

training programme for those working in Hospitality, Leisure, Travel, Tourism, Retail, Transport, Security, Cultural and creative, Public services

• Flexible qualification to support learner and employer needs

SkillsActive Priorities• Increasing participation in sport and physical

activity• Creating a stronger infrastructure to deliver

legacy for the sports sectorSector Skills Agreement Themes:1. Improve the Quality and Range of Services 2. Improve Recruitment and Retention3. Professionalise and Upskill the Existing Workforce4. Match Supply to Demand5. Redirect Funding for Training6. Increase Sector Investment in our PeopleResult: increased employment, better qualified people,

increase in volunteering.

Olympic FocusImplications for the Sports Sector:1. More coaches in the community (levels 1-3) – with new skills

e.g. communication/customer care/engaging the hard to reach

2. Improved technical skills and support from NGBs (UKCC)3. Competitive and International Coaching (levels 4-5) - UK

Coaching Framework4. Support for athlete development - Advanced Apprenticeship

in Sporting Excellence5. More volunteeringGames Delivery1. Officials – higher level skills and new sports2. Facility Management – customer care, sponsorship

management3. Stewards - cultural awareness, customer service, language

skills4. Pre Volunteer Programme leading to Games Volunteers

SkillsActive DevelopmentsResponding to Employer Demand

• National Skills Academy• Skills Passports (including volunteers)• Sector Qualification Strategy qualification

reform• Qualification and Credit Framework - populated to

meet employment needs • 14 – 19 Diploma• Foundation Degrees

The Challenge for Skills from the London 2012 Games

A presentation to the Skills for Business network and external partners

Saxon Brettell, Cambridge Econometrics18th May 2007

Objectives of study• Identify the skills gaps that employers are currently

facing and shortages in the workforce that may have a negative impact on the staging of a successful Olympic and Paralympic Games 

• Identify the qualification levels that are required to host a successful Olympic and Paralympic Games and the lessons on this that can be drawn from previous Olympic and Paralympic Games and other relevant events 

• Identify the categories of employment that people will / can move onto after the Games

Method of study• Review of previous work• Assessing the need• Modelling scenarios – baseline and challenge• Interviews and workshops to test understanding

Taking advantage of opportunities - the Baseline and Challenge Scenarios• The Baseline Scenario

– committed Olympic Games expenditures as at submission– other contracted infrastructure projects as of start of

project• The Challenge Scenario

– higher spending captured with the Games• new direct spending estimates• enhanced tourism offer

– infrastructure projects triggered by the Games• Crossrail• Thames Gateway success

– enhanced legacy effects• tourism offer enhanced through better skills• more responsive labour market in London supporting

FBS• more investment in North East London• enhanced overall London competitive global offer

Projections of Skills Demand• Projections of employment by occupation

– expansion demand – replacement demand– 9 aggregate occupation categories– 12 countries and regions of the UK– SSC footprints– 2006-2021

• Skills– measured by 5 qualifications levels

Conclusions• Significant albeit relatively small gains to be made from skills

enhancements taking advantage of the opportunities generated by staging the Games in all regions– challenge scenario change is 12% above baseline change for

London by 2012 and 7% by 2021– proactive policy can generate gains in other regions

• The legacy effects can be secured– regeneration of North East London offers clear benefits to

London’s labour supply and image– upskilled workforce available for next generation of jobs– direct benefits for hospitality-related services and transport

& communications readily providing spill over benefits post 2012

– providing a focus and incentive for skills uplift for all sectors of the economy

• SSC involvement to date– Olympic Objectives/links to key

partners/LEST/PVP/Accord– Current projects– Research

• Creating a stronger infrastructure to deliver legacy for the sports sector– Passports– Volunteers– SSA priorities– NSA