Labour shortages putting the brakes on local business growth
BUSINESSES across the Humber are struggling to fill just about every type of job you can think of – that’s according to feedback from firms of all sizes during the February round of Chamber Area Council meetings.
From micro businesses to big multinationals where welders can earn more than GPs, the message is the same – we can’t find enough suitable staff to fill our vacancies!
The Chamber’s Quarterly Economic Surveys (QES) have been highlighting the same issues for months and feedback from Chamber members is consistent. The survey for Quarter 1 is now live and all businesses are urged to take part by clicking here Hull and Humber Chamber of Commerce (hull-humber-chamber.co.uk)
The British Chambers of Commerce is also flagging up concerns nationally following the latest ONS Labour Market Figures. A spokesman said: “Businesses are crying out for people to fill job vacancies at all skill levels, and this must be the number one focus for government if it’s serious about economic growth.
The Chamber has also been consulting with local stakeholders as part of its role as a delivery partner for the Local Skills Improvement Plan (LSIP) for Hull and East Yorkshire in a bid to identify the key priorities and changes needed in the area to help ensure post-16 technical education and training is more closely aligned with employer and local labour market needs.
Nationally, the BCC says there are still a huge number of vacancies, currently sitting at 1.134 million, and this is stopping firms in their tracks. It means they are struggling to meet the orders on their books, and it puts any plans for growth far out of reach.
"It is also ramping up pressure on wages, currently at the highest rates seen in the private sector outside of the pandemic. This has been identified by the Bank of England as a factor in its decisions to raise interest rates to tame inflation.
“Government plans to get the UK’s untapped labour force into employment are a step in the right direction, but we need to see more action to address the barriers that are holding people back.
“The Spring Budget represents a golden opportunity for the Chancellor to ease the pressure on families which have been squeezed out of the labour market by childcare costs.
“Older workers need carefully tailored careers advice, job seeker support and rapid re-training opportunities to help bring their skills and experience back to the workforce.
“Businesses should play their part by adopting flexible working policies, wherever possible, and by supporting staff training needs.
“And crucially, Government should reform the Shortage Occupation List to help firms fill urgent job vacancies from outside the UK when they cannot recruit locally. The List should include jobs at all skills levels where there is clear evidence of a national shortage."
Chamber President Mike Whitehead said: “There is so much going on in the Humber at the moment with so many exciting projects, but we know firms are struggling to recruit the right people to fill these jobs.
“I am pleased the Chamber won a contract to deliver LSIPs locally, and this will help with the future direction of training, but companies need to be able to recruit people to these vacancies now or it will hold back our region’s development.
“We need to find a way to bring the long-term unemployed back into the jobs market and equip them with the skills our local businesses need today, so we can be even more successful tomorrow!”
