Skills in Scotland 2006 Launched

The results of Scotland’s most comprehensive employers’ survey have shown that, while demand for labour in Scotland is high, the labour market generally works well to meet that demand.

Skills in Scotland 2006, a major survey that interviewed 6,300 employers in Scotland about their views of the labour market and skill related issues, was released today (15 February 2007) by Futureskills Scotland.

Key findings of the survey are:

• Most Scottish workers are considered fully proficient at their jobs by their employers.  For those that are not, often it is because they have just started their job and are ‘learning the ropes’. 
• Businesses tell us that these ‘skill gaps’ have little impact on their business.  Often, this is because employers provide training for staff to overcome such gaps
• The majority of Scottish employers provide training for their staff and about four in ten employees had received some off-the-job training in the 12 months leading up to the survey.
• Attracting appropriately skilled staff is a secondary challenge for business, alongside attracting new customers and keeping up with changes in technology.
• The number of skill shortages - where an employer finds it difficult to fill a vacancy because applicants do not have the right skills, qualifications or experience - remain small, equivalent to around one per cent of the total jobs in Scotland and affecting just eight per cent of establishments. 
• However, where there are skill shortages their impact on business can be significant in terms of cost, quality of service and innovation. Skill shortages are more common among smaller workplaces.
• Where skill shortages occur, employers consider applicants to be principally lacking in ‘softer’ core skills such as oral communication, customer handling and problem solving.

Deputy Minister for Enterprise Allan Wilson said:

"I welcome this report which shows that Scotland has a highly-qualified workforce. 

“It’s encouraging to see that the majority of Scottish employers mirror our commitment to investment in training and are reaping the benefits with more than nine in every ten employees identified as fully proficient at their job.  There is still however work to be done to involve employers to realise the value of investment in workforce development.

“This survey shows that skills shortages are not widespread, they are equivalent to around 1% of the working population.  But we also recognise that where they do occur they can seriously affect business performance. That is why we are working closely with the Sector Skills Councils to engage with employers and training providers to ensure that the supply of skilled workers meets the demands made on the workforce. 

“I’m also encouraged that employer perception of the work-readiness of school leavers has improved - highlighting the good work of Careers Scotland and the Enterprise Networks through the 'Determined to Succeed' and 'Get Ready for Work' programmes."

Dr. Patrick Watt, Head of Futureskills Scotland, said:

“Our employer survey is the largest of its kind in Scotland.  It provides a robust assessment of employers’ views on skills, recruitment and training.  Skills in Scotland 2006 summarises the results for Scotland as a whole

“I look forward to working with other bodies throughout 2007 to examine these results in more detail”

Niall Stuart, Policy Manager, Federation of Small Businesses Scotland, said:

“As Scotland’s largest direct member business organisation, the Federation of Small Businesses welcomes this analysis on the skills needs of Scotland’s employers.
It is critical that there is an objective and reliable examination of the issues on this scale and Skills in Scotland 2006 provides a sound evidence base. We will be working with Futureskills Scotland to further develop the findings in this report to identify specific issues for our members.”

Dr Janet Lowe, Chair of the Scottish Funding Council's Skills Committee said:

"The Skills Committee welcomes the results of the 2006 Survey. The Employers Skills Survey is a key part of the evidence base which informs the Committee's work on ensuring that provision is meeting the needs of the economy.
 
"The results of the previous surveys have influenced the Committee's agenda of priority areas for action, in particular the decision to focus on the improvement of learners' 'core' or 'soft' skills."