Skills

1
Skills Sectoral Change
2
SKILLS AS A DRIVER OF PRODUCTIVITY

• What do skills in the region look like?

3
QUALIFICATION LEVELS Level 4

• Working age population with at least level 4,
  South West 2004

Source DfES, analysis of APS data, 2006
4
SKILLS FOR LIFE NEETS

• Despite will qualified workforce there are
• skills for life issues in the region
• Skills for Life Survey shows
• 14 in South West classified with literacy skills
  at Entry Level 3 below
• 49 in South West with numeracy skills at Entry
  Level 3 below
• Estimated at 15 of young people aged 17 are not
  in education, training or employment

5
SECTORS

• What do sectors in the region look like?
• The industrial profile similar to national
  primarily concentrated within service-related
  industries
• 1/5 of employment within the wholesale and retail
  trade
• Just over 13 in real estate and business-related
  activities
• Public sector employment accounts for 27
• Manufacturing accounts for 13

6
SECTORS

• How does this compare to the national
• picture?
• Agriculture, the wholesale/retail trade, hotels
  restaurants, and public administration,
  education, health social work, are marginally
  more important to the region
• Transport communications, financial
  intermediation, and the real estate, renting
  business activities sector slightly less than the
  national average

7
OCCUPATIONS

• What does the occupational structure look
• like?
• Occupational profile of the employment of the
  region is broadly similar to England as a whole
• Marginally more people employed in skilled trades
• Fewer plant machine operatives
• Marginally more employed in elementary
  occupations and personal services

8
FORECAST DEMAND

• How is demand forecast to change?
• Continue declining in primary, secondary and
  manufacturing industries
• Continue increasing across mainly service-related
  industries
•  
• Banking finance and transport communications
  show only marginal projected increases. Already
  have below average employment levels in the region

9
FORECAST DEMAND

• Nationally, increases for managers senior
  officials, professional associate
  professionals, personal service, and sales
  customer service occupations.
• South West, increases in managers smaller, only a
  0.9 increase in employment share compared with
  1.3 nationally.
• Increase in associate professionals is also
  smaller with 1.2 in the region compared with 2
  nationally.

10
FORECAST DEMAND

• Decreases in elementary, administration
  secretarial, skilled trade occupations, and
  process, plant machine operatives
• The decreases for skilled trades less in the
  South West (-1.6) than nationally (-2.3)
• Smaller decreases for process, plant and machine
  operatives and elementary occupations

11
ELEMENTARY OCCUPATIONS

• Share of employment in elementary occupations is
• higher in 2 of the 3 main industries of
• employment in the South West
• distribution, hotels and restaurant
• banking and finance

12
ELEMENTARY OCCUPATIONS

• Employment within the banking sector, 2002

Source Demand Supply report
13
ELEMENTARY OCCUPATIONS

• Employment within the hotels restaurants
  sector, 2002

Source Demand Supply report
14
REPLACEMENT DEMAND

• What is replacement demand?
• Put simply - there are not enough people
  entering the
• employment market to replace those who are
  leaving
• through retirement...
• It is reported nationally that for all
  occupations, replacement demand is about 10 times
  larger than the net changes in employment that
  are projected for 2002 to 2012.
• By 2012, there are expected to be 13.5 million
  job openings principally as a result of
  retirements.

15
SKILLS SECTORS

• So, what does this all mean?
• Under developed demand from employers
• Reliance on low productivity sectors
• Replacement demand significant issue for many
  industries more so in region than nationally