Insightful Employer Skills Survey 2015 Findings in England

Employer Skills Survey 2015 England Slide Pack May 2016

Contents Background 3 Employers experiences of skill shortages 7 Retention difficulties 17 The internal skills challenge 23 Under-utilisation of skills 35 Employer investment in training and skills 41 High Performance Working Practices and Product Market Strategies 55 Conclusions 61

ESS 2015 overview 75,129 telephone interviews with establishments in England 9,616 follow up interviews on training spend ESS 2015 is the third time the survey has been run at UK-level The 2015 survey covers establishments with 2 or more people working at them The 2011 survey included establishments with one employee these were not covered in 2013 or 2015. Where comparisons are made with 2011 or 2013 findings, these are based on re-weighted 2011 data (configured to represent the 2+ employment business population used in 2013 and 2015).

Achieved interviews / confidence intervals For a question asked of all respondents where the survey result is 50%, we are 95% confident that the true figure lies within the range 49.64% to 51.36% (Maximum) Sampling Error England 1,488,171 75,129 +/-0.36 By region By region East Midlands 120,461 7,179 +/-1.16 East of England 169,817 8,445 +/-1.07 London 260,283 10,630 +/-0.95 North East 55,916 5,642 +/-1.30 North West 178,229 8,631 +/-1.05 South East 257,799 10,685 +/-0.95 South West 167,484 8,493 +/-1.06 West Midlands 144,557 7,879 +/-1.10 Yorkshire and The Humber By size of establishment By size of establishment 2-4 767,588 16,346 +/-0.77 5-24 559,433 41,013 +/-0.48 25-49 85,347 9,860 +/-0.99 50-99 42,867 4,882 +/-1.40 100-249 22,950 2,263 +/-2.06 250+ 9,986 765 +/-3.45 Number of interview s (Maximu m) Sampling Error Number of interviews Population Populatio n By sector By sector Agriculture 68,835 2,651 +/-1.90 Manufacturing Electricity, Gas and Water Construction 85,875 5,821 +/-1.28 8,236 880 +/-3.30 133,703 6,334 +/-1.23 Wholesale and Retail Hotels & Restaurants Transport and Communications Financial Services 313,469 13,126 +/-0.86 133,022 7,274 +/-1.15 113,494 7,538 +/-1.13 133,625 7,545 +/-1.13 32,777 2,121 +/-2.13 Business Services Public Administration Education Health and Social Work Arts and Other Services 319,313 11,158 +/-0.93 15,162 721 +/-3.65 47,477 4,549 +/-1.45 110,011 6,963 +/-1.17 106,897 5,993 Population counts taken from IDBR March 2014 +/-1.27

Profile of survey population Establishments vs. Employment England 33% 67% 52% 2-4 9% 38% SINGLE SITE MULTISITE 5-24 24% PRIVATE SECTOR 86% 6% 25-49 12% 73% 3% 50-99 13% 9% 3RD SECTOR 10% 2% 100-249 15% PUBLIC SECTOR 4% 1% 17% 250+ 28% Data taken from ESS 2015 Base: All establishments (75,129) Data based on IDBR March 2014 counts

Key definitions Proportions are based on the number of establishments, defined here as a single location of an organisation, where at least two people work. Establishment base Proportions are based on the total number of employees and working proprietors across establishments. Employment base Vacancies Skill-shortage vacancies Skills gaps Under-utilisation Proportion of establishments with at least one employee deemed by their employer to be not fully proficient in their role Proportion of establishments with at least one employee with skills and qualifications more advanced than required for their current job role Incidence Proportion of establishments reporting at least one skill- shortage vacancy Proportion of establishments reporting at least one vacancy The proportion of all staff with skills and qualifications more advanced than required for their current job role Density The number of staff reported as not fully proficient as a proportion of all employment Vacancies as a proportion of all employment Skill-shortage vacancies as a proportion of all vacancies

Section 1: Employers experiences of skill shortages 7

Incidence and density of vacancies by region Incidence of vacancies Density (vacancies as % of employment) 23% 22% 20% 20% 19% 19% 18% 18% 18% 18% 17% 16% 16%16% 15% 15%15% 14% 14%14% 14% 14% 13%13% 13% 13% 13% 12% 12% 11% 4.1% 3.8% 3.3% 3.5% 3.4% 3.1% 2.7%3.1% 3.1% 2.9% 1.8%2.2%2.8% 2.8% 2.7%2.6% 2.7%2.6% 2.2%2.5% 2.4% 1.9%2.1% 1.8%2.1% 1.8%2.1% 2.0%1.9% 2.0% 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 England East East of England London North East North West South East South West West Midlands Yorkshire and The Humber (7,522) (7,607) Midlands 2011: 2013: (8,735) (8,763) (7,253) (7,269) (10,592) (10,730) (8,372) (8,476) (5,529) (5,614) (9,925) (10,371) (74,156) (75,255) (8,377) (8,511) (7,851) (7,914) (10,685) 2015: (5,642) (8,631) (8,493) (7,545) (75,129) (7,179) (7,879) Base: All establishments (as shown) (10,630) (8,445)

Incidence and density of vacancies by sector Incidence of vacancies Employers with at least one vacancy (2015) Density (vacancies as % of employment) 16,164 4,750 33,340 35,319 23,942 1,710 16,864 59,715 21,716 6,167 54,153 15,890 3,708 2015 2013 34% 31% 30% 30% 32% 27% 23% 22% 21% 20% 18%19% 19% 19% 18% 17% 17% 16% 15% 14% 14% 12% 12% 7% 5.4% 5.3% 5% 5% 4.1% 3.4% 3.7% 3.7% 2.8%3.5% 3.4% 3.0% 2.4%3.1% 3.3% 3.1% 2.3% 1.8%2.2% 2.2%1.9% 2.5% 1.9% 2.1% 1.6% 1.5% 2.0% 1.7% Education Public Health & Social Work Hotels & Restaurants Arts & Other Services Electricity, Gas & Water Manufacturing Business Transport & Comms Financial Services Wholesale & Retail Construction Agriculture Administration Services 2015: (4,549) (721) (6,963) (7,274) (5,993) (880) (5,821) (11,158) (7,538) (2,121) (13,126) (6,334) (2,651) 2013: (4,756) (696) (6,882) (7,314) (6,090) (935) (6,389) (12,000) (5,743) (1,886) (14,321) (5,980) (2,263) Base: All establishments (as shown)

Incidence and density of skill-shortage vacancies by region SSV Density (SSVs as % of Vacs) 15% 22% 23% 15% 20% 23% 14% 26% 22% 14% 23% 20% 15% 21% 24% 17% 23% 21% 17% 27% 26% 15% 17% 24% 15% 21% 23% 17% 17% 22% Incidence of establishments with vacancies Incidence of establishments with skill-shortage vacancies 23% 22% 20% 20% 19% 19% 18% 18% 18% 18% 17% 16% 16% 16% 15% 15% 15% 14% 14% 14% 14% 14% 13% 13% 13% 13% 13% 12% 12% 11% 7% 7% 6% 6% 6% 5% 5% 5% 5% 5% 5% 4% 4% 4% 4% 4% 4% 4% 4% 4% 3% 3% 3% 3% 3% 3% 3% 2% 2% 2% 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 England East East of England London North East North West South East South West West Midlands Yorkshire and The Humber Midlands (74,156) (75,255) (7,253) (7,269) (8,372) (8,476) (9,925) (10,371) (5,529) (5,614) (8,735) (8,763) (10,592) (10,730) (8,377) (8,511) (7,851) (7,914) (7,522) (7,607) 2011: 2013: (75,129) (7,179) (8,445) (10,630) (5,642) (8,631) (10,685) (8,493) (7,879) (7,545) 2015: Base: All establishments with vacancies (only 2015 shown)

Density of skill-shortage vacancies by sector 29% Electricity, Gas & Water 1,228 20% (28*) 34% Construction 9,914 22% (123) 29% Transport & Comms 19,99 9 26% (201) Manufacturing 31% 12,61 5 (177) 21% Financial Services 11% (34*) 6,363 26% Number of Business Services SSVs (2015) 28% 44,81 1 (722) 21% Health & Social Work 23% (425) 22,48 3 27% Agriculture 25% (31*) 21% 2015 2013 Arts & Other Services 1,639 24% (407) 20% 11,80 0 Wholesale & Retail 18% (378) Hotels & Restaurants 18% 23.09 8 (614) 16% Education 11% 16,04 0 (228) 8% Public Administration 24% (181) Base: All establishments with vacancies (only 2015 shown) * Figure should be treated with caution due to low base size (<50) 7,497

Density of skill-shortage vacancies by occupation Number of SSVs (2015) 3,677 36,792 26,357 8,578 32,837 22,483 12,826 15,852 14,742 44% 2011 SSV density 2013 SSV density 2015 SSV density 38% 34% 33% 32% 29% 27% 27% 24% 22% 20% 19% 19% 19% 18% 17% 15% 15% 14% 14% 14% 14% 12% 11% 10% 9% 8% Managers Professionals Associate Professionals (2,807) (2,895) Admin and Clerical (2,243) (2,314) Skilled trades Caring, leisure Sales and Cust. Service (1,964) (2,202) Machine Operatives (941) (949) Elementary et al (2,233) (2,752) (2,589) (2,992) (834) (998) (2,422) (2,684) (1,884) (2,140) 2011: 2013: (3,777) 2015: (1,119) (3,429) (3,460) (2,789) (3,228) (3,729) (2,534) (1,468) Base: All establishments with vacancies in each occupation (as shown)

Technical and practical skills lacking among applicants 63% Specialist skills needed for the role 29% 39% Solving complex problems 4% 37% Knowledge of the organisation's products and 6% 30% Knowledge of how the organisation works 2% 29% Complex numerical skills 1% 27% Reading and understanding instructions, 2% 25% Writing instructions, guidelines etc. 25% Basic numerical skills 1% 23% Basic IT skills 4% 23% Advanced IT skills 4% Skill lacking among any applicants Main skill lacking 19% Adapting to new equipment 1% 15% Manual dexterity 2% 15% Communicating in a foreign language 1% Base: All with skill-shortage vacancies that received the new lists of skills descriptors (6,472)

People skills lacking among applicants 46% Ability to manage and prioritise own tasks 6% 38% Customer handling skills 9% 33% Team working 3% 31% Managing their own feelings, or those of others 3% 30% Persuading or influencing others 1% 29% Managing or motivating other staff 2% 24% Sales skills 3% Skill lacking among any applicants 21% Setting objectives for others and planning 21% Instructing, teaching or training people Main skill lacking 1% 17% Making speeches or presentations Base: All with skill-shortage vacancies that received the new lists of skills descriptors (6,472)

Impact of skill-shortage vacancies 84% 83% Increase workload for other staff 49% 48% Have difficulties meeting customer services objectives 42% 42% Experience increased operating costs 42% 42% Lose business or orders to competitors 40% Delay developing new products or services 2015 2013 43% 35% 34% Have difficulties meeting quality standards 34% 36% Have difficulties introducing new working practices 30% 29% Outsource work 24% 24% Withdraw from offering certain products or services 23% Have difficulties introducing technological change 20% 94% 95% Any impact Base (2013/2015): All establishments with hard-to-fill vacancies that are all as a result of skill shortages (3,879 / 5,495)

Action taken to fill skill-shortage vacancies 40% Increasing advertising/ recruitment spend 38% 32% Using new recruitment methods 34% 12% 12% Redefining existing jobs 9% Increasing/ expanding trainee programmes 7% 9% Increasing training to existing workforce 7% 8% Using contractors/ contracting out 7% 6% Preparing to offer training to those less well qualified 5% 2015 2013 4% Increasing salaries 3% 3% Recruiting workers who are non-UK nationals 4% 2% Making the job more attractive 1% 3% Other 5% 13% 13% No action taken Base (2013 / 2015): All with hard-to-fill vacancies (5,073 / 7,797))

Section 2: Retention difficulties 17

Incidence of retention difficulties - by region 10% 9% 9% 9% 8% 8% 8% 8% 7% 5% 10% England East East of England London North East North West South East South West West Midlands Yorkshire and The Humber Midlands 8% (37,792) (3,628) (4,213) (5,297) (2,840) (4,317) (5,484) (4,238) (3,992) (3,783) Base: All establishments in Module 2 (as shown)

Incidence of retention difficulties - by establishment size 32% 22% 19% 15% 10% 10% 5% 8% 2 to 4 (8,239) 5 to 24 (20,536) 25 to 49 (5,039) 50 to 99 (2,482) 100-249 (1,120) 250+ (376) Base: All establishments in Module 2 (as shown)

Incidence of retention difficulties by sector 15% 12% 11% 11% 11% 10% 8% 8% 7% 6% 6% 6% 6% (1,063) (3,702) (3,020) (3,797) (2,314) (3,429) (435) (3,160) (2,899) (6,660) (5,632) (1,339) (342) Base: All establishments in Module 2 (as shown)

Occupation most affected by retention difficulties 22% 19% 13% 10% 10% 9% 8% 4% 2% Managers Professionals Associate Professionals Admin / clerical Skilled Trade Caring / leisure Sales / customer service Machine Ops Elementary / service Base: All establishments with retention difficulties (4,066)

Reasons why it is difficult to retain staff 55% Not enough people interested in doing this type of work 39% Too much competition from other employers 34% Wages offered are lower than those offered by other organisations 33% Long/unsocial hours 31% Staff don't want long term commitment 29% Lack of career progression 25% Geographic location of the site 22% Impact of the benefits trap 20% Unattractive conditions of employment 10% Difficult to find experienced/skilled staff 4% Nature of work is too difficult/mentally and physically tiring 2% Cost to employer 1% Students come and go 3% Other Base: All establishments experiencing retention difficulties (Module 2: 4,066)

Section 3: The internal skills challenge 23

Incidence and density of skills gaps by region Incidence of skills gaps Density (% of all staff with a skills gap) 18% 18% 18% 18% 17% 17% 17% 17% 17% 17% 16% 16% 16% 15% 15% 15% 15% 15% 15% 14% 14% 14% 14% 14%14% 14% 13% 13% 13% 12% 5.1% 5.0% 6.0%5.9% 5.6%5.9% 5.7% 5.7% 5.7% 5.7% 5.7% 5.6%5.1% 5.1% 5.6% 5.6% 5.5% 5.5% 4.0% 5.20% 5.1%4.6% 5.0% 4.9% 4.6%5.1% 4.7%4.3% 4.6% 4.4% 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 England East East of England London North East North West South East West Midlands Yorkshire and The Humber (7,522) (7,607) South West Midlands (8,735) (8,763) (7,253) (7,269) (10,592) (10,730) (8,372) (8,476) (5,529) (5,614) (9,925) (10,371) (74,156) (75,255) (8,377) (8,511) (7,851) (7,914) 2011: 2013: (10,685) 2015: (5,642) (8,631) (8,493) (7,545) (75,129) (7,179) (7,879) (10,630) (8,445)

Incidence and density of skills gaps by establishment size Incidence of skills gaps 2013 Density (% of all staff with a skills gap) 47%48% 2011 2015 45% 43% 43% 39% 39% 35% 35% 34% 31%30% 23% 21% 19% 8% 6.9% 7% 6.4% 5.9% 5.5% 5.5% 6.1% 5.6% 5.0% 6% 5.5% 5.1% 5.0% 4.6% 4.8% 4.3% 4.6% 3.5% 2.8% 2.7% 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2011 2013 2015 2 to 4 5 to 24 25 to 49 50 to 99 100-249 250+ 2011: 2013: (14,875) 2015: (16,346) (15,457) (41,136) (42,969) (41,013) (9,860) (9,259) (8,760) (4,790) (4,699) (2,691) (2,463) (2,263) (1,322) (990) (765) Base: All establishments (as shown) (4,882)

Incidence and density of skills gaps by sector Incidence of skills gaps Number of skills gaps (2015) Density (% of all staff with a skills gap) 81,286 118,374 90,103 136,760 208,453 31,304 101,513 12,335 98,584 220,754 40,484 35,659 9,092 25% 2013 2015 21% 20% 19% 19% 18% 18% 17%18% 18% 18% 17% 16% 16% 16% 15% 13% 13% 13% 12% 12% 12% 10% 10% 8.8% 8.9% 7.6% 8% 8% 7.2% 6.8% 5.2% 5.7%5.5% 5.4%5.4% 5.4% 5.1%5.2% 4.4%5.0% 4.9% 3.6% 4.4%3.8% 4.0% 4.1% 3.7% 3.6% 3.4%3.3% 3.0% Public Admin Hotels & Restaurants Education Manufacturing Wholesale & Retail Financial Services Health & Social Work Electricity, Gas & Water Transport & Comms Business Services Arts & Other Services Construction Agriculture 2013: 2015: (696) (721) (7,314) (7,274) (4,756) (4,549) (6,389) (5,821) (14,321) (13,126) (1,886) (2,121) (6,882) (6,963) (935) (880) (5,743) (7,538) (12,000) (11,158) (6,090) (5,993) (5,980) (6,334) (2,263) (2,651) Base: All establishments (as shown)

Skills gaps density by occupation Number of skills gaps (2015) 56,879 116,281 86,375 77,887 166,780 85,479 99,264 198,608 132,128 221,898 7.9% 2013 2015 7.2% 7.1% 6.8% 6.6% 5.6% 5.5% 5.4% 5.3% 5.2% 5.1% 5.1% 5.0% 4.9% 4.4% 4.1% 3.8% 3.0% 3.0% 2.8% England Overall Managers Professionals Associate Professionals (1,276) (1,262) Admin and Clerical (3,694) (3,627) Skilled trades Caring, leisure et Sales and Cust. Service (4,462) (3,804) Machine Operatives (1,336) (1,499) Elementary al 2013: 2015: (75,255) (75,129) (3,509) (2,960) (1,445) (1,281) (2,678) (2,639) (2,038) (1,994) (4,312) (3,791) Base: All employment (as shown)

Main causes of skills gaps 59% Staff are new to the role 62% 56% Their training is currently only partially completed 58% 34% Staff lack motivation 41% 29% They have had training but their performance has not improved 38% 29% The introduction of new working practices 31% 26% Staff have not received the appropriate training 29% 25% 25% Unable to recruit staff with the required skills 201 5 20% 20% The introduction of new technology 19% 20% The development of new products and services 18% 17% Problems retaining staff 72% New to the role/ training not complete (transient) 75% 20% Transient skill gaps only 17% Base (2013/2015) : All establishments with skills gaps - up to 2 occupations followed up (16,563 / 15,409 ) Figures are shown as a percentage of all gaps (not a percentage of all establishments)

Impact of skills gaps by establishment size Staff not fully proficient has a minor impact on establishment performance 45% 55% 58% 48% 50% 47% 50% Staff not fully proficient has a major impact on establishment performance 23% 18% 17% 16% 16% 14% 14% England Overall 2 to 4 5 to 24 25 to 49 50 to 99 100-249 250+ (15,409) (1021) (8,526) (2,991) (1,648) (889) (334) Base: All with skills gaps (as shown)

Impact of skills gaps Increased workload for other staff 52% Have higher operating costs 26% Have difficulties meeting quality standards Have difficulties introducing new working practices 25% 24% Lose business or order to competitors 21% Delay developing new products or services 17% Outsource work 11% No impact 40% Base: All establishments with skills gaps (15,409)

Technical and practical skills that need improving among staff with skills gaps 47% Specialist skills needed for the role 12% 39% Solving complex problems 3% 37% Knowledge of how the organisation works 4% 36% Knowledge of the organisation's products and 5% 31% Adapting to new equipment 3% 30% Reading and understanding instructions, 3% 29% Basic IT skills 2% 27% Advanced IT skills 2% 25% Complex numerical skills 2% 24% Basic numerical skills Skill lacking among existing staff 0% 23% Writing instructions, guideline etc. 1% Main skill lacking 14% Manual dexterity 2% 13% Communicating in a foreign language 2% Base: All with skills gaps followed up with the new lists of skills descriptors (37,381)

People and personal skills that need improving among staff with skills gaps 59% Ability to manage and prioritise own tasks 10% 55% Team working 9% 47% Customer handling skills 12% 46% Managing their own feelings, or those of others 3% 40% Managing or motivating other staff 7% 39% Persuading or influencing others 2% 31% Setting objectives for others and planning 3% 29% Instructing, teaching or training people 3% 24% Sales skills Skill lacking among existing staff 3% 16% Making speeches or presentations Main skill lacking Base: All with skills gaps followed up with the new lists of skills descriptors (37,381)

Action taken to overcome skills gaps 68% 68% Increase training activity / spend or increase 56% More supervision of staff 59% 46% More staff appraisals / performance reviews 51% 45% Implementation of mentoring / buddying 47% 33% Reallocating work 36% 27% Changing work practices 2015 2013 31% 20% Increase recruitment activity / spend 16% 10% 11% Recruiting workers who are non-UK nationals 15% 16% Nothing Base (2013 / 2015): All establishments with skills gaps (16,563 / 15,409)

Changes in the number of SSVs and skills gaps over time % Change in SSVs since 2013 % Change in Skills Gaps since 2013 154% 145% 79% 76% 66% 58% 54% 29% 36% 37% 32% 30% 26% 26% 19% 15% 11% 2% 3% -3% -11% -11% -15% -28% -61% -59% Constructio n 2013: 2015: Financial Services Transport & Comms Wholesale & Retail Education Hotels & Restaurants Agriculture Health & Social work Manufacturin g Electricity, Gas & Water Business Services Arts & Other Services Public Admin (6,334) (2,121) (7,538) (13,126) (4,549) (7,274) (2,651) (6,963) (5,821) (880) (11,158) (5,993) (721) (5,980) (1,886) (5,743) (14,321) (4,756) (7,314) (2,263) (6,882) (6,389) (935) (12,000) (6,090) (696) Base: All establishments (as shown)

Section 4: Under-utilisation 35

Incidence and density of skills under-utilisation by region Incidence of under-utilisation Skills under-utilisation density 32% 32% 32% 31% 31% 30% 30% 27% 26% 25% 8.4% 7.8% 7.6% 7.0% 7.0% 6.8% 6.5% 6.4% 6.1% 5.8% East of England Yorkshire and The Humber North West South East London South West East North East West Midlands England Midlands (75,129) (7,179) (8,445) (10,630) (5,642) (8,631) (10,685) (8,493) (7,879) (7,545) Base: All establishments (as shown)

Incidence and density of skills under-utilisation by establishment size 50% Incidence of under-utilisation Skills under-utilisation density 45% 40% 35% 35% 35% 34% 34% 30% 30% 29% 25% 20% 15% 16.5% 10% 8.8% 5% 6.4% 5.5% 4.9% 4.8% 0% 2-4 (16,346) 5-24 (41,013) 25-49 (9,860) 50-99 (4,882) 100-249 (2,263) 250+ (765) Base: All establishments (as shown)

Incidence and density of skills under-utilisation by sector Incidence of under-utilisation Skills under-utilisation density 40% 37% 36% 36% 34% 31% 30% 26% 26% 25% 24% 23% 19% 12.8% 10.5% 8.4% 7.8% 7.1% 6.8% 6.8% 6.5% 5.5% 6.1% 5.2% 3.8% 3.2% (7,274) (4,549) (721) (6,963) (5,993) (13,126) (2,121) (880) (7,538) (11,158) (6,334) (5,821) (2,651) Base: All establishments (as shown)

Occupations where under-utilisation is most prevalent 9% Elementary staff 38% Managers 2% Machine operatives 9% Sales and customer services 7% Caring, leisure and other 6% Skilled trade occupations 7% Professionals 14% Admin. / clerical staff 8% Associate Professionals Base: All establishments with under-utilised staff (22,879)

Reasons why staff are working in roles for which they have excess qualifications and skills They are not interested in taking on higher level role 26% Working hours suit them better 15% Lack of jobs in desired higher level role 10% To gain experience / current role is lower level in same industry as 10% They own the business / are a partner in the business 9% Temporary role / stop gap 7% Attractive conditions of employment 7% Family-run business 4% Competition for higher level roles / struggling to get higher level job 4% Actively seek staff with quals / skills beyond needs 4% Qualifications / skills not relevant to job role 3% They have more than one job 1% Not particular reason / it just happened 10% Base: All establishments with under-utilised staff (22,879)

Section 5: Employer investment in training and skills 41

Proportion of employers providing training in the last 12 months by region Train on-the-job only Train Train off-the-job Train on-the-job 67% 67% 67% 66% 66% 65% 65% 65% 65% 64% 55% 54% 54% 53% 52% 52% 52% 52% 51% 51% 51% 50% 50% 48% 48% 48% 48% 47% 47% 45% 20% 20% 20% 18% 17% 17% 17% 17% 15% 15% England East East of England London North East North West South East South West West Midlands Yorkshire and The Humber Midlands (8,493) (7,879) (75,129) (10,685) (10,630) (5,642) (8,631) (7,545) (7,179) (8,445) Base: All establishments (as shown)

Proportion of employers providing training in the last 12 months by size Train Train off-the-job Train on-the-job Train on-the-job only 97% 96% 95% 92% 92% 91% 88% 87% 85% 83% 82% 77% 76% 63% 58% 51% 37% 35% 20% 16% 16% 13% 11% 11% 2-4 (16,346) 5-24 (41,013) 25-49 (9,860) 50-99 (4,882) 100-249 (2,263) 250+ (765) Base: All establishments (as shown)

Proportion of employers providing training in the last 12 months by sector Train Train off-the-job Train on-the-job Train on-the-job only 93% 91% 88% 84% 82% 78% 77% 75% 73% 73% 71% 69% 67% 64% 63% 62% 61% 60% 59% 58% 58% 57% 53% 53% 52% 52% 51% 50% 49% 48% 48% 46% 45% 44% 43% 40% 38% 37% 33% 22% 21% 21% 18% 17% 17% 17% 17% 16% 13% 11% 11% 9% Manufacturin g Constructio n Electricity, Gas etc. Health and Social Work Public Admin Financial Services Hotels & Restaurants Transport & Comms. Wholesale & Retail Business services Arts and Other Education Agriculture (11,158) (7,274) (5,821) (7,538) (6,334) (13,126) (6,963) (721) (2,121) (880) (2,651) (4,549) (5,993) Base: All establishments (as shown)

Training Equilibrium: employers interest in providing more training than they were able to of all employers train don t train 66% 34% Among those who train Among those who don t train (Base: 57,422) (Base:17,007) 30% 70% 46% 2% 52% Wanted to train Wanted to train more Did not want to train Do sufficient training Don t know 42% 58% of employers want to train more of employers in training equilibrium (no desire to increase training) *Note training employers responding Don t know have been included in the group Wanted to undertake more training on final measure Base: All establishments (75,129)

Types of Training and Workforce Development provided Job specific training 86% Health and safety / first aid training 75% Basic induction 66% Training in new technology 49% Any induction 68% Management training 37% Supervisory training 37% More advanced induction 37% Any induction 68% Base: All establishments that train (57,422)

Number and proportion of staff trained by region Total number of staff trained (millions) 2011 2013 2015 12.3 14.1 14.8 1.0 1.2 1.1 1.3 1.4 1.6 2.0 2.6 2.7 0.5 0.6 0.6 1.6 1.8 2.1 2.0 2.2 4.3 1.3 1.5 1.5 1.2 1.4 1.4 1.3 1.5 1.3 69% 67% 67% 66% 65% 64% 63% 63% 62% 62% 62% 62% 61% 61% 61% 60% 60% 60% 60% 58% 58% 56% 56% 55% 55% 54% 53% 53% 52% 50% England East Midlands East of England (8,372) (8,476) London North East North West South East South West West Midlands (7,851) (7,914) Yorkshire and The Humber (7,522) (7,607) 2011: 2013: (74,156) (75,255) (7,253) (7,269) (9,925) (10,371) (8,735) (8,763) (10,592) (10,730) (8,377) (8,511) (5,529) (5,614) (10,685) (75,129) (5,642) (8,631) (8,493) (7,179) (7,879) (10,630) (7,545) 2015: (8,445) Base: All establishments (as shown)

Proportion of staff trained by size 2011 2013 2015 71% 70% 69% 68% 66% 66% 64% 63% 60% 58% 58% 56% 54% 54% 52% 42% 42% 40% 2-4 (7,815) 5-24 (32,442) 25-49 (8,044) 50-99 (4,543) 100-249 (2,585) 250+ (1,284) (964) (742) 2011: 2013: 2015: (7,506) (33,903) (8,550) (4,463) (2,401) (8,214) (32,597) (9,055) (4,640) (2,174) Base: All establishments (as shown)

Number and proportion of staff trained by sector 2011 2013 2015 Total number of staff trained 2015 (millions) 0.1 1 0.1 0.5 2.1 1.1 1.1 0.6 2.5 0.8 1.7 2.4 0.6 79% 78% 75% 76% 75% 70% 68% 68% 66% 66% 65% 65% 63% 62% 60% 61% 60% 60% 60% 56% 56% 56% 56% 55% 55% 54% 53% 52% 52% 50% 51% 49% 50% 48% 45% 43% 42% 41% 39% 2011: 2013: 2015: (703) (6,791) (1,160) (5,485) (13,060) (7,202) (6,861) (1,452) (12,656) (1,214) (4,582) (6,872) (6,118) (2,263) (6,389) (935) (5,980) (14,321) (7,314) (5,743) (1,886) (12,000) (696) (4,756) (6,882) (6,090) (2,651) (5,821) (880) (6,334) (13,126) (7,274) (7,538) (2,121) (11,158) (721) (4,549) (6,963) (5,993) Base: All establishments (as shown)

Proportion of staff trained by occupation 2011 2013 2015 81% 80% 79% 74% 70% 66% 64% 63% 63% 63% 60% 58% 58% 57% 57% 57% 55% 55% 54% 53% 52% 50% 49% 48% 47% 47% 46% Managers Professionals Assoc. Admin / clerical Skilled Trades Caring, Leisure, Other services (10,716) Sales & Customer service (23,192) Machine operatives (11,204) Elementary Professionals (11,795) 2011: (70,647) (13,809) (42,972) (17,264) (25,914) 2013: (72,749) (14,322) (10,282) (44,503) (19,260) (11,583) (22,872) (11,405) (26,334) 2015: (72,396) (14,560) (11,158) (44,471) (19,789) (12,694) (21,499) (11,496) (26,215) Base: All establishments with staff in each occupation (as shown)