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Skills shortage affecting productivity

08 September 2014

A recent survey conducted by Festo Training and Consulting has shown that skills shortages are having a direct effect on productivity within the manufacturing and engineering sector.

Skills shortages have affected productivity according to 61% of respondents,  with 25% saying that it is a frequent occurrence. This is up 17% from a similar survey carried out last year.

Some respondents cited restricted growth due to recruitment slowdown, poor efficiencies and excessive downtime due to lack of fault-finding skills. One respondent said that in the last year back orders had increased from £36k to £280k, perhaps a sign of growth in the order book, but also a sign that manufacturers are struggling to keep up with growth in the economy.
The skills shortage within this sector shows little sign of abating, with 82% of companies suffering a skills shortage - up 7% on last year, and 86% saying this is likely to stay the same or get worse.
The shortage is most prevalent for experienced engineers (61%), skilled shop floor workers (57%) and multi-skilled engineers (40%). The biggest rise is in a shortfall of experienced engineers, which has increased by 44% since last year.


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