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“There is an urgent need to raise UK Skills levels to help drive productivity, growth and jobs.”

“There is an urgent need to raise UK Skills levels to help drive productivity, growth and jobs.”. Vince Cable , Secretary of State for Business, Innovation and Skills. “The skills and capabilities of our People are ultimately the basis for our long-term competitiveness.”. Charlie Mayfield ,

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“There is an urgent need to raise UK Skills levels to help drive productivity, growth and jobs.”

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  1. “There is an urgent need to raise UK Skills levels to help drive productivity, growth and jobs.” Vince Cable, Secretary of State for Business, Innovation and Skills “The skills and capabilities of our People are ultimately the basis for our long-term competitiveness.” Charlie Mayfield, Chairman, UK Commission for Employment and Skills

  2. About the UK Commission for Employment and Skills Aim: Transform the UK’s approach to investing in the skills of people as an intrinsic part of securing jobs and growth Provide outstanding labour market intelligence which helps businesses and people make the best choices for them Work with businesses to leverage greater investment in skills Maximise theimpact of employment and skills policies and employer behaviour to support jobs and growth Moreemployers taking ownership of skills Morecareer opportunities for young people Moreemployers investing in the skills of their people Morecollective action by employers through stronger sectors and local networks Five assets and 100 staff to deliver on outcomes

  3. Building a new approach to investing in skills Commissioner Insights & Networks Research Investors in People Investment Funds National Occupational Standards

  4. Our Commissioners

  5. If we don’t succeed our economic renewal is at risk.Our global performance is not world class and is falling.Skills have a role to play in raising future performance. Source: OECD Employment Outlook 2011 and OECD Productivity Database 2010

  6. Youth Unemployment (Under 25) in 2011 Source: Eurostat

  7. The UK picture Source: The Guardian 2012

  8. Employer Investment in Training: The Challenge

  9. Training in the UK There are 2.3 millionbusinesses of 1+ across the UK. Of which... 59% train (1.3 million) 41% do not train (0.9 million) Of those who do not train: 15% 26% Perceived need but met barriers* Said they had no training need *Also includes small proportion that said don’t know or no reason, or that people learnt as they went Barriers cited include: i ¹ £ Time Cost Lack of information about what is available

  10. Training in the UK Sectors matter When we look at investment in training by sector there is considerable variation: 85% Health & Social Care 69% Energy UK Average: 59% 57% Manufacturing 53% Construction 52% Digital & Creative 6

  11. The consequences of not training: Employers who do not train, on average, are twice as likely to fail Training raises firm survival and performance rates

  12. Encouraging employers to Invest in Training: Some Solutions

  13. Our investment funds InvestmentFunds Over 75 countries Works over 26 languages Licensed delivery partners across the globe

  14. EIF 2: Case study e-skills UK, Higher education pathways Employers highlighted the problem of graduate employability in the IT industry The UK Commission and employers have co-invested over £1 million to back e-skills UK in a project that builds upon the success of the IT Management for Business (ITMB) degree. By the end of the project over 2,000 students will have taken part and the gender imbalance in IT courses will also be addressed with more females being encouraged into the profession. “The ITMB degree gave me the skills and connections I needed to secure a position at BA. The content reflects the knowledge you need in a business setting” Christine McKibbin,ITMB graduateNorthumbria University

  15. Employer ownership vision Employers should have the space to own the skills Skills solutions should be designed by employer-led partnershipsto raise quality and support innovation Public contributions for vocational training should move to employer incentives and investmentsto support sustainable investments “We need to take determined steps to encourage greater employer ownership of skills, working to secure a sustainable partnership for the long term.” Charlie Mayfield, Chairman UK Commission for Employment and Skills

  16. Employer ownership pilot 34 successful Pilot projects starting now Investments are well balanced across sectors, regions and employer size and include: • Nissan Motor Manufacturing (UK) Ltd • Rolls Royce Plc on behalf of LEEAC • Siemens Plc • PricewaterhouseCoopers LLP • GE Aviation Plc

  17. Key features- EOP Round 1 Employer leadership Collaborative approaches Innovative proposals Support and opportunities for young people Strong employee and employer partnerships

  18. EOP Round 1: Sembcorp Sembcorp The North East Process Industry – a Vision, Strategy and Tactical approach to deliver skilled people to sustain and grow the Sector Objectives: • Supply chain firms will recruit 100 apprentices and assist up to 100 graduates. Activities include: • Creating a streamlined Pre-Apprenticeship Programme leading on to Apprenticeships • Acquiring a range of added value, industry relevant skills sets aligned to Gold Standards achieving faster productivity by apprentices and graduates

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