Skills shortages continue despite Leitch Report

Over half (53 per cent) of organisations say their learning and development work has not yet been influenced by the government’s post-Leitch skills agenda, according to the Chartered Institute of Personnel and Development’s annual learning and development survey. Only 13 per cent have signed the Employer Skills Pledge, despite the majority of organisations reporting that they will require a broader range of skills in two years and 44 per cent reporting they will also require a higher level of skills.

But, despite a gloomy economic outlook, 25 per cent of respondents expect the funding of learning and development to increase over the next year rather than decrease – with the majority (51 per cent) predicting that funding will remain stable.

The reality in the public sector is different: 45 per cent of respondents reported a cut in training funds available over the past 12 months. Voluntary sector organisations continue to spend more per employee per year on training, compared with both the private sector and public sector. A total of 77 per cent in the voluntary sector reported that funding for training has remained stable or increased, compared with 75 per cent in the private sector and 54 per cent in the public sector.

Victoria Winkler added: “It is encouraging that many employers are stepping up training efforts despite starting to feel the economic pinch. With employers still reporting recruitment difficulties, it is clear that investing in learning and development will continue to be crucial if firms are to maintain the skilled workforce they need to meet their objectives. Cutting investment in learning and development means employers will risk struggling to compete when the economy picks up again.”