SSCs 3 Priorities for progressing Sectors in London...SSCs and their 3 top priorities for progressing their sectors in London 2 Ensuring that the Virtual Academy model is self sustainable

SSCs and their 3 top priorities for progressing their sectors in London

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INTRODUCTION

The following contributions came from some of the Sector Skills Councils (SSCs) operating in London; SSCs were asked to identified through their research and employer engagement the top three things that they [SSCs] would want to see progressed in order to support the competitiveness and growth of your sectors in London.

Sector Skills Councils are created by groups of influential employers and unions in industry of business sectors of economic or strategic significance. They exist to address the skills and productivity needs of their sector throughout the UK. They encourage employers to work together to develop solutions to meet these skills needs. They articulate the skills needs of their sector to government to ensure that the public and private training and education system meets these needs.

For more information on sectors and SSCs in London please see the Sectors pages on the London Skills and Employment Observatory: http://lseo.org.uk/sectors

Below they are listed in alphabetical order.

Top three things to progress in order to support the competitiveness and growth of our different sectors in London.

3 TOP PRIORITIES BY SSC AND THEIR SECTORS

Asset skills is the Sector Skills Council for facilities management, property, housing,

cleaning and support services, and parking industries. These industries make a vital contribution to the built environment both in terms of the management and protection of built assets, and to the quality of people‟s lives, and the sustainability and regeneration of communities.

The continuing development of Asset Skill's Virtual Academy covering the Business Services, Housing and Property sectors to advance uptake of new apprenticeships (at all levels) and other essential vocational learning including the development and delivery of low carbon qualifications.

Strengthening the quality and depth of the provider network to deliver flexible learning to the industry in London

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Ensuring that the Virtual Academy model is self sustainable for the future delivery of skills development for these sectors.

Cogent SSC is the Sector Skills Council for the Science based Industries (chemical

and biological transformation) and has the following three priorities for London.

To support a STEM-reliant skills-set that begins its development in school and progresses through the education and training sector to produce individuals who are in high demand by the Science Based and other industries.

To promote the ongoing development of the sector workforce to address a shortage of skilled technicians and managers able to embrace new technologies and performance management.

To support the current skills development infrastructure to ensure that it is able to take advantage of science based new technologies in environmental and low carbon related industries to develop the London workforce of tomorrow.

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ConstructionSkills is the Sector Skills Council for the Construction sector.

In consultation with industry and stakeholder members of the London Construction Skills Group the following issues were identified:

Apprenticeships – not generic but focussed on identified specific occupational needs in London.

o 16 – 18 years. o 19+ years – funding for skills training of older age groups. This also

impacts on the ability to attract a diverse workforce, as females tend to enter the industry when they are older than their male counterparts.

Creating a legacy of future skills capability in the local area. o Low carbon (i.e. retrofitting). o Understanding the changes within the qualification structure (Qualification

and Credit Framework) to support new construction methods, specifically off-site manufacture. Work towards simplifying the skills system.

o Transferable skills and re-skilling across industry sub-sectors (i.e. Olympic Park – infrastructure/housing/commercial).

Credible construction labour market intelligence and research to accurately inform area strategies and investment plans.

Some Good Practise Examples: These issues were considered against the Construction Skills Network Labour Market Intelligence Report 2010-2014 that Infrastructure and Housing will be the strongest sub-

http://www.cskills.org/supportbusiness/businessinformation/csn/csnoutputs/outputslondon.aspx

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sectors in London in the next few years, with the commercial sector rising towards the end of the forecast period. Apprenticeships – CITB-ConstructionSkills is the leading provider of construction apprentices. Over 77% of CITB-ConstructionSkills apprentices complete their full framework. This is 10% higher than the national average for the industry. A dedicated web portal, bconstructive, gives clear careers advice and guidance and, working with National Apprenticeship Vacancy Matching Service, supports apprenticeship applications to the construction industry. SkillBuild 2010 - The competition is run by CITB-ConstructionSkills with the endorsement of UK Skills, the competition managers for the bi-annual WorldSkills UK competitions. 9 London trainees, from 3 London colleges and NCC South, were successful at the SkillBuild regional heats and will compete at the national final on 8th – 10th Sept 2010 for the opportunity to challenge for a place on the WorldSkills UK team and progress to compete at the 2011 WorldSkills competition at ExCel in London on 5-8th Oct 2011. Collaborative working on 13 approved National Skills Academy for Construction projects in London, including Kings Cross Central, Olympic Park and the Decent Homes Programme. Through the National Skills Academy for Construction Client-based Approach, partnership working is taking place to influence the skills and employment strategy of public bodies, such as local authorities, through their procurement process. London Borough of Barking and Dagenham are the first London local authority to utilise this Approach to full effect.

Creative and Cultural Skills is the Sector Skills Council for Craft, Cultural

Heritage, Design, Literature, Music, Performing, and Visual Arts. 1. CPD and Business and Enterprise There is a broad range of CPD resources, courses and training available for creative and cultural practitioners, yet the industry often finds it difficult to access such training, and to finance such training. Consequently, identifying relevant provision, and developing provision with relevant partners to ensure that the needs of our employers are met are key.

2. Apprenticeships Creative Apprenticeships are an alternative route into the creative and cultural industries, based on vocational training rather than simply academic track record. These qualifications are designed and approved by industry, while on-the-job learning is a significant component.

3. Access to Information Advice and Guidance and Business Support Tools In an increasingly consumer driven environment, for education, training, and professional development; clear and accurate advice for people seeking to join the creative and cultural industries or to further their career or their businesses future is key.

http://www.bconstructive.co.uk/

http://www.cskills.org/newsandevents/campaigns/skillbuild.aspx

http://www.worldskillslondon2011.com/

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This is particularly the case in a region such as London, where nearly a quarter of all the industry is based.

Energy & Utility Skills is the Sector Skills Council for utilities and waste

management covers employers involved in: o the generation, transmission and distribution of electricity, combined heat and

power; o the production and distribution of gas and water; and o the removal of waste water and treatment of waste products.

Setting the context on how these priorities are set: The large scale projects in London which impact on Energy and Utility Skills sectors footprint include: the Olympics Park, the Olympic Village, Crossrail and the Westfield Shopping Centre along with major housing developments. In addition to this each of the local authorities have targets to achieve on refurbishment and retro-fit. Priorities therefore are:

1. Smart Metering – gas, water and dual fuel. This will be driven by the requirements of Local Authorities and Housing Associations targets as above as well as a complete retro fit including smart metering for the Olympic Village by 2013 to accommodate the transition from village into residential and social housing

2. Low Carbon developments. This is key on the Mayor‟s agenda and a big ticket

item which is here to stay due to the Government determination to meet 2020 targets

3. Improved mechanisms for employer engagement and financial support for them

in terms of skills and training developments Two other priority areas that came from meetings with employers are;

4. Apprenticeships at Levels 2, 3 and 4 5. Sufficient Training infrastructure to develop fit for purpose qualifications.

e-skills UK is the Sector Skills Council for Business and Information Technology

covering software, internet & web, IT services, telecommunications and business change;

e-skills UK’s top three priorities for London are:

London to support the launch and expansion of the National Skills Academy for


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IT in 2011 facilitating the development of essential IT professional skills in London.

London should embed IT user skills development, particularly at entry level (IT literacy) where needed, in all interventions, and in support of, creating a basic platform of employability skills.

London to support e-skills UK‟s expansion of Apprenticeships in London by supporting e-skills UK‟s conceptual plans to develop and implement a specific Higher Apprenticeship model for London which would be appropriate for small businesses as well as large companies.

e-Skills priorities are aligned to the relevant London Statement of Skills Priorities 2011/2012 as follows:

1. LONDON PRIORITY - High level skills are critical to driving the economy. London must ensure the supply of high skills is the right type and quality to meet employers‟ needs

e-skills UK response: The UK Commission for Employment and Skills' National Strategic Skills Audit 2010 concluded that Computing is the sector currently exhibiting the combination of greatest economic significance and greatest skill deficiency across the UK. “Very specific and significant” management and professional skills shortages have been identified in computing and software as “high priority skills needs for immediate action”. These occupations receive the highest rating because of the direct and indirect significance of the digital economy and the importance of these occupations within those industries. e-skills UK‟s own work with forecasting experts Experian has concluded that this growth is predicted to continue strongly to 2018. Whilst employment in the overall UK workforce is forecast to increase at 0.3% per annum, the IT & Telecoms professional workforce in London is predicted to grow at almost four times this rate (1.1% per annum). London needs more than 90,000 IT & Telecoms professionals over the next three years to meet the needs of London employers and the London economy including new emerging sectors. IT & Telecoms professionals are critical to underpin the success of London‟s key growth sectors

2. LONDON PRIORITY - Ensuring a basic platform of employability skills. Employability skills are important at all levels and should be central to all skills provision. Skills for Life need to be increasingly tied to employment outcomes and employer need

e-skills UK response:


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IT user skills are a key pillar of success in people‟s employability and essential in increasing the ability of unemployed persons to challenge for jobs in a very difficult economic environment

3. LONDON PRIORITY - Boosting the quantity and quality of Apprenticeships in key growth sectors. Driving up employer demand is critical, while training must be clearly linked to employer need.

e-skills UK‟s response: e-skills UK welcomes and supports London‟s drive to increase Apprenticeships in the Capital. e-skills UK is supporting London‟s priority by building on the foothold IT apprentices have in London as one of the top 10 apprenticeship frameworks (still at a low base) and within the growth sectors. e-skills UK would like to go further in London. A Higher Apprenticeship type model is currently operating in selected large corporate companies in the IT & Telecoms industry. e-skills UK have conceptual plans to develop this model and implement it in small businesses as well as large companies. FURTHER EVIDENCE FOR LONDON, PLEASE SEE APPENDIX – e-skills

The Financial Services Skills Council is the sector skills council which

supports UK talent across finance, accountancy and financial services. Our top three priorities to support the competitiveness and growth of our sectors in London are: 1. Apprenticeships: We need continued focus on higher levels and all age groups. Most careers in Accountancy and Financial Services, even at entry level, tend to be higher than the typical level 2, so availability of frameworks and funding at a higher level is key. Many careers in financial services, such as financial advice, also typically suit an older age group, where clients prefer to deal with professionals with a certain amount of life experience. It is therefore key to ensure funding for all ages. 2. Equality and Diversity: We continue to work to promote finance, accountancy and financial services as a career of first choice, and it is vital for the future of our sectors and their reputation that we attract under-represented groups. This is particularly the case in London with the City and Canary Wharf being surrounded by some of the UK‟s poorest boroughs. We need to continue to work with schools, further and higher education and employers to ensure a diverse workforce. 3. Retail Distribution Review:


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Retail financial advice will be a growing sector as consumers increasingly need to take more responsibility for areas such as their own pension provision. At the same time, from 2012 the minimum requirement to practise in this area will be a level 4 qualification (under the Financial Services Authority‟s initiative known as the Retail Distribution Review). It is vital that we ensure sufficient numbers of trained advisers in London to meet these increasing requirements.

GoSkills is the Sector Skills Council for passenger transport, which includes aviation

(airlines, airports and ground handlers), bus, coach, taxi and private hire, community transport, light rail, trams, metro, rail, UK waterways driver training and transport planning.

Passenger transport is of great importance to the UK economy, for individuals and businesses. As well as underpinning business and enabling leisure travel, passenger transport is critical for social inclusion.

Competition can be fierce in some industries, particularly those where the consumer has a modal choice. It is essential, therefore, that companies remain competitive and invest in their biggest resource, their staff.

As you would expect, there are a range of issues that we would wish to see progressed in order to support the competitiveness and growth of the sector. Our last annual survey of companies conducted early this year indicated that the main challenges they faced were increasing business efficiency and maintaining profitability, coping with rising fuel costs, and training and developing staff. Below are three examples of priorities on the skills agenda:

Customer service:

Quality of service is an important differentiator, and customers are often influenced by the experiences of others which often feature heavily in the media as well as their own personal experiences. Skills and training are crucial components of providing „service excellence‟ and there is a need for consistent customer service standards across service providers. Additional skills that can form part of ,or supplement, customer service skills would include disability awareness and intercultural (or diversity) awareness.

Coping with rising fuel costs/environmental issues:

Managers need to have the skills and understanding to identify and implement business efficiencies. It is expected that employers will continue to employ business efficiencies in periods of economic growth in the future. In recent years the has been a shift towards reducing fuel usage and reducing CO2 emissions particularly from vehicles. Training such as Safe and Fuel Efficient Driving can lead to companies saving 5-15% of the cost of their fuel. New low carbon vehicles will also help profitability as helping the environment. There is a continuing need for training to keep pace with technological change, on social responsibility, SAFED , and engineering/installation maintenance and repair occupations for new initiatives/vehicles.

Promoting and improving the image of the sector


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Often job roles do not appeal to the public because of the image of the sector. The promotion of careers and opportunities in the sector are important to help overcome the problem and to ensure that the industry can attract more and better skilled staff. There is a need to ensure that staff have the right training to project a helpful, modern positive image, and increased commitment to professionalism, qualifications and continuous professional development , (Driver CPC for example) , and particularly management and leadership training. Increased proficiency of skills will be needed to market the sector both in terms of the traveller‟s experience and as a place to work. We also recognise the importance of apprenticeship training and we are working with the sector to develop and encourage the take-up of apprenticeships, particularly with regard to the new Passenger Carrying Vehicle apprenticeship framework for the bus and coach industry.

LANTRA is the Sector Skills Council for land-based industries, which

comprises: Agricultural livestock and crops, animal care, animal technology, aquaculture, environmental conservation, equine, farriery, fencing, floristry, forestry and timber processing game conservation, land-based engineering, landscaping, productive horticulture and veterinary nursing. 1. Support entry to employment especially through apprenticeships

Help smaller employers overcome problems taking on apprentices by addressing concerns about employment issues and help them to offer the full range of work experience

Pass end-to-end responsibility for apprenticeship design, commissioning delivery and certification to SSCs so that programmes can be flexed to fully meet sector employer‟s needs. This will also bring in major apprenticeship-type programmes that cannot be accredited under the national programme

Make funding available equally over the 16-24 age group thereby removing barriers to employment in certain industries due to health & safety and machinery restrictions

Re-instate programme-led apprenticeships thus obviating the need for the apprentice always to be employed from the beginning of their programme, and with Lantra acting as managing agent for this

Migrate existing work-related programmes into apprenticeships by better recording of work experience and adopting the programme-led model

Promote innovative delivery not just restricted to college block release Develop higher level apprenticeships where required e.g. land-based engineering

and low carbon skills For Adult Apprenticeships, match programmes to SSC job profiles and offer on

the basis of assess-train-assess. This would increase buy-in from employers and participants, eliminate unnecessary training and reduce cost

2. Promote Lifelong Learning (LLL) and Continuous Professional Development (CPD) Specific projects in the Landbased and Environmental sectors have allowed Lantra to provide more flexible learning against business needs and have resulted in increased


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private investment and take up. We believe there is opportunity for LSEB to support the SSC network in introducing programmes which:

Provide a fully integrated system of training needs analysis, brokerage, sourcing learning and recording achievement

Quality assure providers and learning materials Make SSCs the „one-stop-shop‟ for employers, providers and learners (as in

Scotland) Be the route for any new sector-specific, co-investment to support additional

provision (e.g. Joint Investment Programmes) through approved providers

3. Provide Information, Advice and Guidance (IAG) on careers in the sector. The present system for delivering IAG and careers services in England in not fit-for-purpose. There is no single source for this information which increases commissioning costs and compromises accuracy. LSEB could commission SSCs:

to be the primary source in London for all sector-based IAG and Careers Pathways

to build on SSC produced LMI and support the further development of the London Skills and Employment Observatory

to produce and disseminate of high quality IAG to allow entrants to make better-informed career choices

to develop support materials for the Specialist Diploma now that government support has been withdrawn

to provide careers consultancy.

People 1st is the Sector Skills Council for the Hospitality, Leisure, Travel and

Tourism Sector; as a significant employer and growth sector in London, People 1st will be taking forward these solutions to help underpin the economic growth of London.

Focusing on three key skill solutions for the hospitality, leisure, travel and tourism sector in London, these are:

1. To target the 12,000 job seekers in London in order to attract and develop them to fill the 165,200 roles the hospitality, leisure, travel and tourism sector will create in London in the ten years to 2017

2. To attract and support, on an annual basis, 2,520 apprentices in the hospitality, leisure, travel and tourism sector in London, in order to bring London in line with the national sector average

3. To tackle poor customer service by putting 118,600 front line sector staff and managers in London through the WorldHost customer service training programmes by 2012


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These three skills solutions need to be underpinned by accessible, sector specific information, advice and guidance on www.uksp.co.uk - the sector‟s jobs and careers website that helps jobseekers target „Good Employers‟ who are committed to providing training and development opportunities to their staff and for employers to identify the most appropriate training and providers.

A more detailed paper available in Appendix explores these solutions in more detail, including their rationale and approach in taking them forward.

FURTHER EVIDENCE FOR LONDON, PLEASE SEE APPENDIX – People 1st

SEMTA is the Sector Skills Council for science, engineering and manufacturing

technologies and they have based their top priorities on the finding from the SEMTA Sector Skills Balance Sheet (SBS) and Sector Skills Assessment (SSA):

Sector-expert brokerage - the Sector Skills Assessment shows that only 45% of engineering employers in London are doing training, (suggests the business case for training has not been made, nor the link between their business strategies and skills).

Apprenticeships - in the SBS, technical skills were among the highest levels of shortage. The analysis indicates that Engineering establishments are most likely to report skill gaps in the skilled trades and managerial occupations (5% of establishments in each case). The most commonly cited technical skills gaps were for Computer Aided Design (CAD), Materials Requirement Planning (MRP) and general machining. The generic skills gaps highlighted were key or core personal skills (18%), management skills (12%), marketing or selling skills (6%) and IT/computer skills (3%). Apprenticeships for people of all ages address all these skills shortages.

Higher level STEM skills - again, the SBS shows the demand for Level 3 and above growing in London. The analysis points to a net requirement within the Engineering industry in London for the whole period 2005-2014 for about 3,000 people at Level 3, about 3,000 at Level 4 and about 1,000 at Level 5 or above.

SkillsActive is the Sector Skills Council for active leisure and learning, including

sport and recreation, health and fitness, the outdoors, playwork and the caravan industry. For London:

Apprenticeships – apprenticeships in the Active Leisure and Learning Sector are key to addressing skills gaps within the industry going forward. Apprenticeships provide an excellent route to employment for young people who have identified sport and leisure as

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a preferred career and are looking for a way of building a foundation of knowledge that is recognised by employers. The expansion of apprenticeships and the increase of take-up in small businesses and social enterprises/ 3rd sector organisations is increasing the competitiveness of the industry and increasing the skills base of those newly entering the sector. This increase has been driven through focussed work with SkillsActive‟s local partnerships since the publication of the SkillsActive Delivery Plan in 2009 and further support of this approach will be essential to continue the growth of the programme in the sector and expanding the excellent route into work and a coordinated development plan which leads to sustainable employment that apprenticeships provide. The training needed to make people ready for their first days work as an apprentice is often a stumbling block for individuals and employers to engaging with apprenticeships – basic requirements that meet personal and community safety needs for example. Please see the SkillsActive Delivery Plan, as accepted by the London Apprenticeship Taskforce in Spring of 2009, for detail of the support needed. However the main areas where the sector task and finish group requested support are:

sector specific marketing and promotion – including better integration with main stream plans

increased capacity of local networks to inform and support expansion at „grass roots‟ level

support for development of a funded entry to apprenticeships route Ready for work qualifications – the Active Leisure and Learning sector is driven by a diverse range of qualifications. Entry to the key sport and active leisure roles is often based on Vocationally Related Qualifications (VRQs) that give the skills and knowledge to do a specific role – for example sports coach or pool lifeguard. Employability status for entry level jobs within the industry is therefore often easier for those individuals holding this type of qualification than necessarily graduates or those who have high academic qualifications but no experience. Funding for qualifications rarely reflects this sector preference and means that individuals looking to enter the sector from college, unemployment or returning to work are often disadvantaged by the cost of training that can be levied before they are able to find employment to support it. A focus on how individuals can be supported to gain essential qualifications that will lead to sustainable employment and ongoing skills development would lead to a direct impact on the lives of those who are seeking employment in our sector.

Provider and Funding Flexibility – the current move towards Minimum Contract Levels by the Government and Skills Funding Agency will have implications for many sectors. The qualification range for the Active Leisure and Learning sector requires differing levels of technical knowledge. Some qualifications can only be effectively delivered by technical experts and there is a real risk of losing some of those training providers in London who are best at training the workforce. The development of the National Skills Academy for Sport and Active Leisure (NSA) and it‟s growing network of approved providers should form a perfect basis for the assessment of employer responsive provision and be used to inform the work being done by key partners going forward. Central to the working of the NSA are the quality assurance measures used to assess suitability for the network and the expertise accrued through Centres of Excellence and training organisations who are already working together to create cohesive employer offers.


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As part of the LSEB commitment to an „integrated and customer focussed skills system‟ a conversation about how London maintains the excellent diversity of training provision it is able to offer without compromising the quality needed or increasing bureaucracy is key to the Active Leisure and Learning sector.

Successes in action from SkillsActive

Through existing partnerships we have the following key projects working in London at the moment.

Mayor’s Legacy Skills Investment Programme - £3M managed by the National Skills Academy for Sport and Active Leisure to support skills development across the sector workforce in London focussing on aims to:

o support the growth and sustainability of local sports clubs o increase the number of Londoners volunteering in sport o recruit, retain and upskill the workforce – both paid and voluntary

Future Jobs Fund - £34.5M managed by the National Skills Academy nationally with circa £8M invested specifically in London to date and being used to support entry level jobs across the SkillsActive sub-sectors leading to additional training and employment outcomes through coordinated work between training provider, employers and funding partners

Apprenticeships – work with the geographical groups based by Local Authority has continued to be successful with partners taking responsibility for coordinating need and demand and looking for additional funding to support those employers who may otherwise be unable to offer apprenticeships

Skills for Justice is the Sector Skills Council that represents the fire and rescue

services, policing and law enforcement, youth justice, custodial care, community justice, the courts service, the prosecution service and forensic science. Skills for Justice supports a sectoral approach to skills with SSCs at the heart of directing funding to meet employer need and recognizing the valuable brokerage role that SSCs can play in getting the best out of investment in skills from employer, state and individual. Skills utilisation and brokerage through frameworks like Investors in People that can be remodeled to complement the competence based approach to workforce development adopted by SSCs. Specific for this sector: 1. IAG – informed choice is critical in a demand led system and the market won‟t work without the right information. Employability information (such as the success criteria stuff from colleges and employability statements from Higher Education Institutions) will inform learners, and individuals through IAG services for young and old alike, about what they can do but employers need IAG on where to access training and the right candidates in their area. So IAG for all!?


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2. Apprenticeships – pre entry, ladders of progression etc. 3. Licence to practice exploration of professional frameworks and their application in non-professional roles.

Skills for Logistics is the Sector Skills Council for logistics and wholesaling

and includes storage and warehousing, courier services, air, rail, road and inland freight and sea and coastal water transport.

Skills needs relating to the low carbon agenda. Our SSC mantra is that freight logistics touches every part of the UK economy and London would grind to a halt if these movements didn't happen. We are moving to a supply chain driven strategy as we move forward and therefore, by working with other stakeholders including collaboration with priority sector SSCs have a great opportunity to develop products and services that maximise environmentally friendly and safe working practices.

Investment in job readiness for skills gaps relating to individuals wanting to enter the industry, with a particular emphasis on employability skills across the mix of technical/academic abilities

Raising awareness of the strategic importance of leadership and management in the sector, especially for SMEs where opportunities for career progression are more limited. With an ageing workforce it is crucial to attract younger people into this industry in London who can aspire to management roles and beyond. However the difficulties of releasing staff for non mandatory training, especially during peak periods, don't lean themselves towards smaller employers investing time and money into this type of activity

Skillset - Top 3 Areas for progressing skills and productivity in London’s

Creative Media and Fashion & Textiles industries 1. Leadership & Management support

- The Train to Gain Leadership & Management Programme wasn‟t designed for the majority of companies that operate within the Creative industries. Even with the relaxed criteria of funding made available to companies of 5 employees or more, it excludes a large amount of Creative companies that employ less than 5 employees.

- So the key aspect of this, and wider support of the Creative Industries, is that it must be made available for micro-businesses, whether that be sole traders or ones with less than 5 employees


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- High level skills would be the focus, as with wider training needs (see below) - For the Fashion & Textiles industries, Sales & Marketing joins Leadership &

Management as an area of real need. 2. Craft, Technical, Digital skills for the current workforce at Level 4 and above

- 71% of London‟s Creative Media workforce was found to have reached at least the graduate / level 4+ qualification. This compares with the 35% of the population of working age that have attained that level across the UK economy as a whole.

- For this reason courses should be predominantly pitched at graduate and post-graduate level to effectively up-skill the existing workforce

- As reflected in Digital Britain, the need to invest in the content skills of the UK workforce is vital to the growth of our digital economy

- Craft & Technical skills in Fashion & Textiles are crucial to sustain these industries‟ contribution to the London economy. HMRC recorded the value of selected fashion and textiles goods exported from London totalled over £1.8 billion in 2009. The recent Mayoral Economic Development Strategy for London recognised the role of exports as a growth sector for London.

3. Support for Apprenticeships and Internships, with particular focus on helping SMEs, and Information, Advice and Guidance for all ages

- An incentive for employers who are willing to take on apprentices / interns but face financial difficulties because of their size

- This chimes with the recently released draft London Cultural Strategy, within which apprenticeships and on-the-job learning are seen as crucial pathways for young people to enter the Creative Media Industries with the requisite technical skills

- This could also incentivise Employers to address Diversity by allowing them to recruit new talent from more diverse backgrounds

- And it would ensure an increase in the number of employees with Level 3 and above.

- In Fashion & Textiles, a large number of the workforce are currently aged over 45 with a high proportion in key technical roles nearing retirement. Bringing new entrants into the sector with the requisite technical skills is a priority.

- Information, Advice and Guidance (IAG) plays a crucial role in signposting new entrants to the best routes into our industries, as well as to current practitioners in helping them upskill.

Skillsmart Retail is the Sector Skills Council for Retail.

The top three things that we would want to see progressed in order to support the competitiveness and growth of our sectors in London are:

1. Simplification of the skills system which would allow Skillsmart Retail to lead on the allocation of funded training direct to retailers or through retail skills shops


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(National Skills Academy for Retail) including that for Apprenticeships. We would expect the contracting process to be maintained by the SFA

2. Support for the National Skills Academy for Retail which ensures that these

centres of excellence are maintained as the only route to training and up-skilling for retailers who choose or are unable to offer this training in-house

3. Ensuring that pre-employment training for those who are unemployed, including

school leavers, ensures that these prospective employees have the employability skills required by employers and the programme utilises the sector specific routeway training materials for retail

SummitSkills is the Sector Skills Council for electro-technical, heating, ventilating,

air conditioning, refrigeration and plumbing Industries.

1) Support for environmental technology skills development within the

Building Services Engineering sector, ensuring appropriate funding arrangements for the up-skilling of existing operatives to take advantage of key incentives such as feed-in tariffs and the proposed renewable heat incentive.

2) Support for industry recognised, accredited training routes (including

support for the National Skills Academy for Environmental Technology and integration with the LDA low carbon skills & employment programme) allowing adults and the long-term unemployed to take advantage of the transition to a low carbon economy.

3) Support for Higher level skills including HE provision, Management &

Leadership and enterprise skills to aid BSE employers to successfully lead their businesses out of recession.


APPENDIX E-SKILLS SUPPORTING EVIDENCE:

London – how IT & Telecoms professionals support selected key growth sectors

1 Business services - e-skills UK’s employers (the IT & Telecoms industry) contribute £61bn of GVA (33% of the total professional & business services GVA contribution in the UK according to BIS data on Business and Professional Services) as follows:

Professional & Business Services

Definition from BIS: A 2020 Vision for Growth

Sector GVA GVA Share

London and SE share of exports

(£ bn) (%) (%) Telecommunications 23.5 1.9 87 Computer Services 37.5 3 81 Legal activities 18.4 1.5

81 A/C Services 13.4 1.1 Management Consultancy 16.9 1.4 74 Advertising 6.5 0.5 88 Architects/Tech Consultancy 22.9 1.8 55/61 Other business services 43.7 3.5

2 Creative industries (The e-skills UK industries Software, Computer Games and e-publishing is the largest Creative industry subsector accounting for 47% of Creative industry GVA and 35% of Creative industries employment according to the DCMS definition and 2010 estimates)

3 Other key growth sectors

• Hotel & restaurants • Retail & distribution • Transport & communications and • Low carbon

IT & Telecoms professionals employment in key growth sectors in London

There are 223,500 IT & Telecoms professionals currently working in London. 27% of IT & Telecoms professionals in London work in the Banking and Finance sector and 41% in Transport and Communications (ONS LFS 2009).

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Percentage of IT & Telecoms Professionals employed by broad industrial group in London

Source: Office for National Statistics Labour Force Survey (ONS LFS) April-June 2009 With the support of Central Government e-skills UK is launching the National Skills Academy for IT later in the year specifically to support IT & Telecoms professionals in the UK. e-skills UK’s Priority 1 – London to support the launch and expansion of the National Skills Academy for IT in 2011 facilitating the development of essential IT professional skills in London. IT user skills in London e-skills UK’s research states 2.9 million people in London, 82% of London’s total workforce use IT in their everyday jobs across all industry sectors and 92% of all job vacancies require applicants to have IT user skills. To fully bring the skills of IT users in line with those needed by employers in London would require the delivery of around 6.5 million development units[1] in 2010/11, primarily at intermediate level and, for the major part, focused on the area of ‘Using IT to Find & Exchange information’. A further 19 million development units would then be needed over the coming three years to ensure that employer skills needs and IT user abilities remain in balance. e-skills UK Priority 2 - London should embed IT user skills development, particularly at entry level (IT literacy) where needed, in all interventions, and in support of, creating a basic platform of employability skills. FURTHER EVIDENCE FROM PEOPLE 1ST A critical growth sector for London The hospitality, leisure, travel and tourism sector is an important employer and growth sector for London:

• The Hospitality, leisure, travel and tourism (HLTT) sector has been identified in the draft London Skills Priority Statement 2011/12 as a key growth sector to 2020.

• Hospitality alone contributes over £7.5 billion to London’s economic output1 and accounts for one in 16 jobs2

1 Regional GVA 2007, Office for national statistics (http://www.statistics.gov.uk/downloads/theme_economy/CRC2008ALL.pdf - data released 2009) 2 Labour Force Survey 2009, Office for national statistics

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http://www.statistics.gov.uk/downloads/theme_economy/CRC2008ALL.pdf


• In the ten years to 2017, employment in HLTT is forecast to grow by nearly 10 percent in London - requiring an additional 165,200 people if replacement demand is taken into account3.

• It requires both lower skilled operational staff as well as managers and higher skilled staff - 65,700 in so-called elementary roles and an additional 51,400 managers and 6,600 chefs4.

• The sector is critical to underpin the success and the image of the London 2012 Olympic and Paralympic Games.

Key sector challenges and their alignment to the needs of London The sector’s growth and productivity is being undermined by a number of skill needs and these chime with the skills and labour market challenges facing London:

Sector challenge London challenge The sector needs an additional 165,200 staff in London in the ten years to 2017

There are currently 11,7455 jobseekers in London

65 percent of sector employers with skills gaps believe customer service skills need improving amongst their workforce – this equates to roughly 118,600 people

The 2012 Olympic and Paralympic Games will attract almost one million additional visitors to London6

16 percent of sector establishments employing chefs do not believe that their chefs have the required skills to meet the needs of their business – this equates to roughly 8,800 people

Nine percent of the London workforce lack the skills required by their employer

Eight percent of sector establishments employing managers do not believe that their managers have the required skills to meet the needs of their business – this equates to roughly 17,800 people

Nine percent of the London workforce lack the skills required by their employer

Source: National Employer Skills Survey 2009 (unless otherwise stated) Tackling three skills solutions Significant progress has been made in putting in place the right qualifications and training programmes to address the specific skill needs facing the sector. Much of this work has resulted in their delivery in London through our collaboration with employers, learning providers and partners. A summary of this activity is outlined at annex A. We envisage that progress will continue in these areas, but at the same time there needs to be a seismic push in three areas:

• Supporting job seekers through a credible pre-employment routeway into the sector • Addressing skill gaps by raising the number of sector apprentices in London to the

national sector average • Rolling out a credible customer service programme that improves the customer service

provision of sector businesses.

3 Working Futures 2007-2017 (2008), LSC/IER/CE, electronic resource 4 Working Futures 2007-2017 (2008), LSC/IER/CE, electronic resource 5 Jobcentre Plus, Office for national statistics (July 2010) 6 VisitBritain (2007): The value of the London 2012 Olympic and Paralympic Games to UK tourism, http://www.visitbritain.org/Images/VB%20VL%20Tourism%20Impact%20Study%20-%20full%20report_tcm139-166763.pdf

3

http://www.visitbritain.org/Images/VB%20VL%20Tourism%20Impact%20Study%20-%20full%20report_tcm139-166763.pdf

http://www.visitbritain.org/Images/VB%20VL%20Tourism%20Impact%20Study%20-%20full%20report_tcm139-166763.pdf


Co-ordinated action in these three areas will, with only two years to go before the 2012 Games, accelerate progress in ensuring the hospitality, leisure, travel and tourism sector can provide the experience visitors expect and in turn can fully benefit from London hosting the Games. This will ensure a lasting legacy which will have positive repercussions for London as a quality tourist destination for decades to come. The three skills solutions are explored below:

1. To target the 12,000 job seekers in London in order to attract and develop them to fill the 165,200 roles the hospitality, leisure, travel and tourism sector will create in London in the ten years to 2017

Recent Jobcentre Plus figures show 11,745 job seekers in London. The Hospitality, leisure, travel and tourism sector despite the recession continues to grow and requires 165,200 additional staff in the ten years to 2017. Last year in London, over half of sector employers were recruiting. Employers want to see a consistent pre-employment programme that addresses the fundamental skills and knowledge required by those entering the sector. People 1st has created the Employment 1st programme that has been shaped and endorsed by leading sector employers and addresses both the specific employability and sector skills and knowledge required by those entering the sector. The programme therefore guarantees jobs. It is also at the heart of the ‘Service Academy’ concept that is supported by 30 sector employers and has been co-ordinated by People 1st. Employment 1st has been delivered In London through our partnership with the London Employer Accord and is currently being used with 60 unemployed people seeking employment with City Inns and could be rolled out across London. Any pre-employment programme must provide progression to pre-apprenticeship and apprenticeship programmes. In this way we can help support those that have the potential to develop into higher skills and management positions, but also will help resolve the problem of a high proportion of job seekers not staying in employment on completion of their programme. Good information, advice and guidance is also critical and this is addressed further in this paper. Many employers committed to the Service Academy approach also offer apprenticeships. Amongst these employers are a number of large contract food service management companies who are bidding for catering contracts for the Games. LOCOG figures7 estimate that they require 17,000 staff to deliver the direct service. This includes: 5,500 on the catering team and 2,500 chefs. A more co-ordinated assault on attracting and developing job seekers is therefore critical and this approach provides a strong solution. In addition, the problem of attracting and developing chefs will acerbate the current skills shortages for chefs. The Chef Conversion Programme that has been tested in Northern Ireland provides an intensive chef programme, delivered by colleges to those who have lost their job during the economic downturn or those looking for a career change. It provides a six month intensive delivery of the level 2 Diploma in Professional Cookery as well as hands on experience with employers in industry.

2. To attract and support, on an annual basis, 2,520 apprentices in the hospitality, leisure, travel and tourism sector in London, in order to bring London in line with the national sector average

7 Reference LOCOG presentation to London 2012 Catering Employment and Skills Forum Aug 2010

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Apprenticeships provide the backbone in addressing the critical skill gaps and shortages in the workplace. The hospitality, leisure, travel and tourism sector has one of the largest apprenticeship uptakes of any sector of the economy. In 2008/09 there were 18,000 registrations in England. This is predicted to grow over the coming years to 22,574 by 2012/13. However, our estimates suggest that delivery of the apprenticeship in London is only 20 percent of the national sector average and that there needs to be approximately 2,520 sector apprentices in London annually to raise it to the national level. More needs to be done to correct this market failure. More innovative delivery mechanisms need to be established to help engage and support new employers to offer apprenticeships. Discussions with London employers has identified that a ‘virtual hotel school’ whereby apprentices develop their skills across a number of different employers with the support of a provider would allow these employers to start offering the apprenticeship. Any investment in this model would be offset by a significant increase in apprenticeship numbers in London. There also needs to be a concentred promotion of the apprenticeship to employers in London. A co-ordinated campaign to raise employers awareness with sector employers is necessary as is the creation of a network of London sector apprentices and employers offering the apprenticeship to help them not only feel a sense of identity, but also help collectively address some of the often unique issues of being an apprentice or offering an apprenticeship in London. Strong provider support is critical and the London branch of the Professional Association of Catering Education (PACE - representing heads of hospitality departments in colleges) and workbased providers in the Association of Learning Providers need to be part of any such co-ordinated activity. From this August, the new Professional Cookery Apprenticeship has pathways for chefs specialising in Indian, Bangladeshi, Chinese and Thai cuisine. Changes to immigration policy means that Asian and Oriental restaurants will struggle to recruit skilled chefs. The apprenticeship provides them with an opportunity to recruit and develop chefs within the UK. However, the number of providers offering these routes needs to be increased and employers need to understand available financial support, particularly as many are small, independent operators. Funding for the apprenticeship needs to be made more transparent to ensure employers understand their own financial contribution. Given their needs, it should be available for all ages and greater support will be required to incentivise smaller, independent operators to consider offering the apprenticeship. As highlighted above, the need for a strong pre-apprenticeship programme is critical. A programme could be put together quickly and could build on the experience and success of the Young Apprenticeship. The Young Apprenticeship is currently being delivered by eight partnerships in London. Any programme should not be restricted by age. 3. To tackle poor customer service by putting 118,600 front line sector staff and

managers in London through the WorldHost customer service training programmes by 2012

65 percent of sector employers in London with skills gaps believe their staff do not have sufficient customer service skills to meet the needs of their business – this represents approximately 118,600 sector employees in London. People 1st holds the UK rights to the WorldHost customer service programme that was developed and successfully delivered in British Columbia to support the sector in the preparations for the 2012 Vancouver Winter Olympic and Paralympic Games.

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The WorldHost programme is made up of four components that can be mixed and matched depending on the needs of the business or destination:

• Principals programme: a one day customer service programme developed for front line staff working in the sector

• Accessibility: a half-day programme aimed at understanding the needs of visitors with a disability

• Cross-cultures: a half-day programme designed to increase awareness of meeting the needs of international visitors

• Ambassadors: a half-day programme designed for local ambassadors to increase their knowledge of the local area and to give them the tools to support visitors around a local area.

A management programme is also available aimed at first-line managers and supervisors. These qualifications can lead to national qualifications, including the level 2 and 3 sector-specific customer service qualifications developed to reflect the findings of research into ‘World-Class customer service’, funded by the London Development Agency. WorldHost formally launches in November 2010, but also has the backing and commitment of a large number of sector employers, including visitor attractions such as the London Eye. The programme will be delivered by colleges, workbased providers and directly by employers. A co-ordinated rollout in London would help raise the customer service being offered by front line staff in the sector, but also their knowledge of London as a destination to aid the visitor experience. People 1st is working with a number of Sector Skills Councils on a wider roll out across the broader visitor economy. The importance of robust and relevant information, advice and guidance Any push to tackle skills priorities needs to be supported by accessible, employer-friendly information, advice and guidance. People 1st has developed uksp.co.uk – as the sector’s job and careers website. The site promotes career opportunities in the sector, allows an employer to advertise vacancies as well as target registered users looking for jobs. There are currently over 55,000 registered users. It also highlights career development routes into and across the sector, explains key training programmes, qualifications and apprenticeships and enables users to find local training provision. The existing jobsite can be adapted, and as we approach the 2012 Games it can allow sector employers to find experienced staff for the duration of the Games in and around London. People 1st has the agreement of the PACE London branch to link their hospitality and tourism students through uksp.co.uk with sector employers looking for staff during the Games. A similar model was successfully adopted for the 2012 Winter Games in Vancouver.

Opportunity for co-ordinated action in London The three solutions outlined in this paper are critical in addressing the skills and labour market needs of the sector. This approach is being taken forward at a national level, but given the high proportion of sector employers in London, its unique skills and pre-employment infrastructure and

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its hosting of the Games in 2012, it provides an opportunity to accelerate activities in these areas in order to make real inroads in London. Annex A Progress over the past two years In 2007, People 1st launched Raising the Bar Skills Strategy for the Hospitality, Leisure, Travel and Tourism sector in London (2007). This outlined how a number of national and London-specific initiatives would be rolled out in London. Challenge Progress in addressing the challenge Sector employers are confused about what qualifications are available

• Removal of over half of available sector qualifications

• Clear development pathways developed to promote progression into and through the sector

• Strengthen delivery through the London branch of the Professional Association of Catering Educators (PACE) made up of hospitality lecturers in London

Sector employers find recruiting skilled managers and leaders difficult

• Launch and roll out of a Hospitality Supervision and Leadership Apprenticeship

• Launch of Women 1st programme and its London Network to increase the number of women in senior positions in the sector

• Recruited 400 members of Women 1st and held three networking events in London

Employers report inconsistent pre-employment training provision and the complexity of having to deal with multiple agencies when recruiting those on unemployment benefit

• Launch of Employment 1st which is designed to address these concerns. Employment 1st provides a consistent National Standard to pre -employment training programme, which can lead a qualification. Graduates (potential employees) will be signposted to jobs with good employers via Marketplace on our UKSP –www.uksp.co.uk.

Employers need highly skilled chefs and a higher number of employers are reporting that their chef lack the required skills

• The Professional Cookery Diploma introduced to provide consistent delivery and assessment of chef training in colleges

• 120 colleges offering the new qualifications and of the 15,000 chefs students leaving college annually, this year 8,000 will be Diploma students.

• Currently, over half of colleges in London are offering the Professional Cookery Diploma

• New Apprenticeships developed to develop the skills of chefs working in Asian & Oriental skills

Customer service remains the largest skills gap reported by sector employers

• Identified the standard for World Class Customer Service through LDA funded research

• Oversaw the development of two qualifications for front line managers and front of house staff

• 1,000 employees went through the qualification in London

• Return on Investment case studies completed with

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five London businesses to show the value of the qualification on the bottom line

• Secured the UK license for WorldHost, the customer service programme developed and successfully rolled out for the 2010 Winter Games in Vancouver.

• The training programme meets the qualifications and has specific modules for communicating cross-cultures, local ambassadors and accessibility training.

Last year 48% of sector employers recruited staff, but they want to make sure that new recruits have the fundamental skills and attitude to want to work in the sector

• A programme has been developed for those undertaking pre-employment training based on research with employers and introduced to ensure greater consistency in sector-specific programmes and ensure stronger progression onto the apprenticeship

• Sector-specific information, advice and guidance on career opportunities and available for Jobcentre Plus advisers

• Project was successfully trialled in 2009 in partnership with London Employer Accord and Westminster Kingsway College

The biggest barrier to employers training and developing their staff is that they do not understand what is available

• www.uksp.co.uk has been developed to provide a dedicated online communications channel for the industry, with comprehensive information on careers, job opportunities, qualifications, training providers, funding for training in HLTT.

• There are now over 50,000 registered users on UKSP - 15,000 of whom are in London

• All London colleges offering sector provision are being encouraged to sign up their students. To UKSP


Documents

SSCs 3 Priorities for progressing Sectors in London...SSCs and their 3 top priorities for progressing their sectors in London 2 Ensuring that the Virtual Academy model is self sustainable