skills shortages: what the construction industry looks like now and into 2020
TRANSCRIPT
SKILLS SHORTAGES: WHAT THE CONSTRUCTION INDUSTRY LOOKS
LIKE NOW AND INTO 2020Uncover how to head off the looming construction skills shortage that
threatens to destabilise the sector
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On the surface, the UK construction sector is booming; the industry has turned the corner on the 2008 recession. Better still, according to analysts:
300,000
homes must be built each year
to meet the government’s house building targets by 2020.
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THAT’S GOOD NEWS – IN THEORY.
But the reality represents a stark challenge for the sector between now and 2020. To hit the government target, the industry needs to hire:
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ONE MILLION
NEW STAFF BY 2020.
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20,000TRAINEES ENTERING THE INDUSTRY PER ANNUM.
BUT THERE ARE CURRENTLY ONLY
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40,000EXISTING CONSTRUCTION WORKERS ARE EXPECTED TO LEAVE THE INDUSTRY DUE TO RETIREMENT OVER THE NEXT DECADE.
AND…
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That represents a very real construction skills shortage now and in the future.
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The construction skills shortage issue is exacerbated further by the lack of white-collar workers coming into the sector. From quantity surveyors to architects, the numbers needed simply aren’t there.
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THE IMPLICATIONS?
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THE INDUSTRY IS ABOUT TO BE ENGULFED IN A TIDAL WAVE OF
WORK BUT IT’S STRUGGLING ALREADY WITH A HUGE SKILLS
SHORTAGE, WEAK TIER 1 BALANCE SHEETS, AND A LACK OF INVESTMENT IN CAPACITY.
– Richard Threlfall, Head of Infrastructure, Building and Construction at KPMG UK talking to Construction Enquirer in July, 2015.
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HOW SHOULD THE INDUSTRY REACT TO THIS CONSTRUCTION SKILLS
SHORTAGE CRISIS?
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According to the ConstructionSkills 2020 Vision Project, there are several scenarios that could affect how the industry evolves over the next five years and beyond.
The FOUR key areas that are pertinent to the issue of staffing are:
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1IMPROVING THE UK CONSTRUCTION INDUSTRY’S IMAGE
In the eyes of potential employees, making it a more attractive sector to work in and to ensure critical inward migration rates don’t fall; the sector must ‘shout out’ about its success stories to attract fresh talent.
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2ENHANCING INDUSTRY PRODUCTIVITY
Through Modern Methods of Construction (MMC) and innovation via training (especially for managers) to help deal with any potential skills and labour shortages, plus boost productivity and reduce waste, while reducing labour requirements via automation where possible.
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3TRAINING PERSONNEL ON A ROLLING BASIS
To ensure as the industry evolves over the next five years, the existing workforce does as well so they meet quality and health and safety commitments while bolstering their own skill sets.
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4INCREASING THE ROLLOUT OF ICT SOLUTIONS
To help drive up efficiency and enhance the communications, collaboration and integration of all key project departments whether on- or off- site.
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These four steps are essential for creating an engaged workforce who will benefit from having all pertinent information to hand wherever they are, making their working lives simpler and more efficient.
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These four steps are essential for creating an engaged workforce who will benefit from having all pertinent information to hand wherever they are, making their working lives simpler and more efficient.
It’s a key strategy for boosting staff retention rates while safeguarding your company from ‘poaching’ and the construction skills shortage, and encouraging those who are new to the industry to work for you, and not a competitor.
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REMEMBER:The next five years represent a very real opportunity for the construction sector - as well as a series of challenges that will need to be overcome for the industry to grow.
- Train and equip all staff to ensure they are ready to meet the rigours of next five years.
Ultimately, the construction industry must boost its image to ensure existing workers don’t leave the sector, all while attracting new talent into industry.
- Aim to make their working lives easier so they spend more time on the job, rather than being distracted by admin ‘busywork’.
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