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Construction firms report on post-Brexit migration

Construction firms report on post-Brexit migration

Low levels of awareness and engagement with the Points-Based System (PBS) post-Brexit continue to exacerbate existing skills shortages within the sector, according to the latest Migration and Construction report by the Construction Industry Training Board (CITB).

Only half of employers surveyed indicated that they were aware of the PBS. Only 7% of employers reported that they have signed up as a licensed sponsor.

But there are plans to work closely with industry to make employers more aware of the benefits and how to navigate the system.

Addressing any barriers preventing employers, particularly small and medium-sized enterprises (SMEs) accessing the scheme and benefitting from recent changes to the Shortage Occupation List would help enable employers to more easily recruit migrant workers in high-demand occupations.

This is the sixth report and the first since the end of the pandemic and the introduction of the Points-Based System in January 2021 when the UK formally left the EU.

The report’s other key findings include:

  • The share of migrant workers in the construction workforce fell to 9.8% in 2021 (latest year data is available for) from 10.2% in 2020 and 10.7% in 2018.
  • Even in the early stages of recovery from the pandemic, and despite modest growth in output, over half (55%) of employers indicated that they have faced recruitment difficulties over the past two years.
  • Almost a quarter (23%) of firms reported that recruitment had been very difficult. These problems have been greatest for larger firms employing more than 100 people (76% of employers) and in London, South-East and East of England (62%).
  • The industry needs to deliver on its commitment to grow and invest in its domestic workforce by tackling long-standing weaknesses in how it attracts, retains and develops its workers skills and capability by raising the levels, quality and relevance of training.
  • However, the Government, Construction Leadership Council (CLC) and industry need to work together to raise employer understanding and awareness of the PBS and to make the system work better for construction to address some of the critical short-term skills needs that industry now faces.

The government has responded to evidence from CITB and CLC of the recruitment pressures on construction employers by widening the range of occupations covered by the Shortage of Occupation List (SOL) in the Spring Budget.

The Shortage Occupation List (SOL) points out which jobs are facing shortages and aims to make it easier to hire migrant workers in these occupations. An ongoing consultation into the SOL was launched by the Migration Advisory Committee (an independent body advising on immigration) in March.

CITB’s migration and construction research has been critical in helping industry and government understand the skills and migration challenge industry faces.

Partnership work between industry and government aims to create a dynamic migration solution post-Brexit.

To help relieve pressures on employers, the CLC, industry groups and CITB have developed an Industry Skills Plan and are working with the government to put a range of support in place.

But the CLC has called for more to be done.

James Butcher, Director of Policy at the National Federation of Master Builders (NFB) and Chair of the CLC’s Movement of People Working Group, said:

“It’s important that awareness issues and barriers to how employers use the PBS are overcome to access the Skilled Visa Route and benefits for occupations on SOL, as shown in the report.

“The recent Construction Skills Network report from CITB highlights a need to invest in and train the domestic workforce to meet skills gaps and futureproof the industry.

“But that will take time – and the pandemic has already worsened the recruitment challenges faced by employers, from SMEs to major firms.

“So, in order to respond to critical needs in the short to medium term, we need to have a dynamic migration system in place.

“This report lays that bare and identifies areas we can make meaningful improvements.”

“We will work closely with our partners in government and industry to make the changes that will open up opportunities for employers and help them to become more agile in their recruitment processes so they can meet demand.”

Marcus Bennett, Head of Industry Analysis and Forecasting at CITB said:

“At CITB our focus is on supporting employers to recruit, train and retain the workers needed to meet levels of demand both now and in the future.

“We need to make construction an attractive place for a greater diversity of people to work, by improving employment practices, flexibility and the way we recruit. We will continue to encourage new entrants into the industry through training and support, including our apprenticeship schemes and grants, to bolster our domestic workforce.”

This month’s training offers

This month’s training offers

Funding is available to support individuals achieving a Level 3 Diploma in the following qualifications:

Level 3 NVQ Diploma in Occupational Work Supervision (Construction)
Level 3 NVQ Diploma in Trowel Occupations(Construction)
Level 3 NVQ Diploma in Decorative Finishing – Painting and Decorating (Construction)
Level 3 NVQ Diploma in Wood Occupations (Construction)
Level 3 NVQ Diploma in Insulation and Building Treatments (Construction)

Candidates must be 19+ years old and resident in the Greater Manchester area. To be eligible the individual must not already hol da Level 3 Qualification

Don’t miss out on accessing this valuable funding. For more information contact Marie Flinter at FIS on 0121 707 0077 or email marieflinter@thefis.org

Leadership and Management fund extended to 31 July

Leadership and Management fund extended to 31 July

To ensure businesses don’t miss out on up to £50,000 of support, the deadline to apply for CITB’s Leadership and Management Development Fund for large businesses, has been extended to 31 July, 2023.

The Leadership and Management Development Fund for large businesses enables large construction companies (with over to 250 directly employed staff) to invest in developing the leadership, management or supervisory skills of their workforce.

Eligible businesses can access up to £50,000 to support a wide range of leadership and management development activities. These include external or in-house training programmes, recognised leadership qualifications, development of new content or improvements to existing bespoke leadership training resources.

All training or related activity must focus on the development of management, leadership, or supervisory skills. This should be aimed at those whose primary role is as a manager, leader, or supervisor, or someone being developed to step into that role in the near future.

Tim Balcon, CITB Chief Executive, said:

“The Leadership and Management Development Fund offers a flexible approach for large businesses to deliver training based on their specific needs.

“This could be to help improve an existing program, develop a new one, try a new delivery method, or repeat an existing training program to new cohorts.

“The fund is just one of the many ways that CITB helps support the construction industry to have a skilled, competent and inclusive workforce, now and in the future.”

Award-winning property maintenance company Novus Solutions are a recent recipient of CITB’s Leadership and Management funding.

Matt Pitt, People Director, Novus Solutions, said:

“Our strategy is to make Novus a great place to work and to enable our people to become a differentiator for our business. Our aim is to create an internal development pipeline for core roles, become great at attracting people and develop our employee offer across Inclusion and Wellbeing whilst equipping managers with the tools to succeed.

“The CITB grant will enable Novus to implement several leadership programmes to equip managers with the tools for today and tomorrow, with an ageing workforce and less people joining construction it is essential that we progress in this space. Key themes will include Inclusive leadership, people management best practice, resilience, mentoring and coaching.”

STEPs ahead – supporting the delivery of drylining vocational qualifications and apprenticeships

STEPs ahead – supporting the delivery of drylining vocational qualifications and apprenticeships

FIS, in partnership with e-Aptitude, is proud to announce the launch of its FIS STEPs Vocational Knowledge Programme for Drylining.  This specialised technical education programme, which was produced by e-Aptitude with support from FIS, has been designed to support training providers in delivering apprenticeships and Vocational Qualifications (VQs) and candidates in achieving their qualifications in Drylining.

Divided into multiple modules, this online training resource provides:

  • Access to clear, concise and accessible knowledge training to support candidates’ practical experience.
  • Delivers consistent and up-to-date knowledge training.
  • Resource for delivery of guided learning in group theory sessions.
  • The facility to set tasks for self-learning and test retention of material.
  • Tracks and monitors progress of candidates throughout the programme.
  • Statistics and reporting data for management of trainees.

FIS Chief Executive Iain McIlwee said:

This is a learning resource that will support consistent delivery of the knowledge elements of both the apprenticeship and in support of those working towards assessment for a vocational qualification.  As we move into the new era of competence, the sector must have a more consistent approach to instilling knowledge in anyone joining our workforce and this is a vital step forward for competency in the drylining sector.

Steve Halcrow, director of e-Aptitude, added:

The STEPs team is proud to be partnering with FIS on a project that is so vital for the future of our sector.  High quality, consistent knowledge information is a key part of the training for a drylining apprentice and will be a powerful tool for employers and Training Providers delivering there apprenticeship.

FIS promotion of drylining training and our collaboration on this e-learning program, is a major step forward for our industry.

For further information or for any questions please email contact@stepsdigitalfis.co.uk or contact FIS at info@thefis.org or call 0121 707 0077.

Independent review into the Industry Training Boards

Independent review into the Industry Training Boards

The Department for Education (DfE) will imminently be announcing its scheduled review into the role and effectiveness of both the Construction Industry Training Board (CITB) and the Engineering Construction Industry Training Board (ECITB).

Last undertaken in 2017, the review will assess the extent to which each Arm’s Length Body (ALB) performs effectively and delivers services that meet the needs of industry. The review is a requirement set by the Cabinet Office for all public bodies to be reviewed periodically.

The review is part of a wider programme across government to ensure that ALBs remain effective into the future.

The review will consider the ongoing need for the Industry Training Boards (ITBs), the effectiveness of the levy process and how it is invested, so that they continue to deliver for the public and represent a responsible use of levy funds.

It will consider the ITBs’ operating models, governance, accountability models and impact.

CITB has said that it will work closely with the review team to make visible its present impact, and demonstrate its plans and industry collaboration to deliver skills and training for the challenges ahead.

The review will be led by an independent lead reviewer, Mark Farmer, CEO of Cast Consultancy. He will be supported by a team of civil servants from the DfE. The review will also access expertise from the respective industries that the ITBs support as well as from across Whitehall

The DfE will shortly announce a call for evidence from stakeholders on GOV.UK and would particularly welcome contributions from employers in scope of the existing CITB levy orders, as well as trade bodies and representative groups from the construction industry. The call for evidence will inform early recommendations to ministers in late summer.

The DfE will provide contact details for submissions of evidence in the near future.

FAQs

Why is the review of the CITB and ECITB taking place?
The review is a requirement set by the Cabinet Office for public bodies to be reviewed based on level of risk. It will assess the extent to which Arm’s Length Bodies (ALB) performs effectively and delivers services that meet the needs of industry. The last CITB review took place in 2017.

Who are the review team?
The review will be led by an independent lead reviewer, Mark Farmer, CEO of Cast Consultancy and co-chair of Constructing Excellence, supported by a small team within DfE.

How can we get involved in the review?
DfE will shortly be announcing a call for evidence from stakeholders on GOV.UK. DfE would particularly welcome contributions from employers in scope to CITB, as well as trade bodies and representative groups from the construction industry. The call for evidence will inform early recommendations to ministers in late summer.

The DfE will provide contact details for submissions of evidence in the near future.

What is the Review likely to consider?
The extent of the review will ultimately be decided by the Lead Reviewer, but this will be influenced by guidance provided by the Cabinet office. The overall purpose of an ALB review is to ensure there is still a need for the functions carried out by an ALB, that the ALB is the right vehicle to carry out those functions, to consider alternative approaches to deliver the functions, assess the impact the ALB has and to determine any ways of making the ALB more effective and efficient.

When will the outcome be announced?
A final report and recommendations are expected to be submitted to the Secretary of State for Education at the end of 2023. Ministers will then assess the recommendations and determine the Government’s response having taken CITB views on the recommendations into account.

Is this different to the Consensus process?
Yes. The ALB review is a fundamental review of the organisation, its impact and future need. Consensus on the other hand is a very specific process carried out (usually) every three years to assess the industry’s views on CITB’s (ECITB’s) proposals for raising Levy over the next three years and their plans for effective use of the Levy generated. The next CITB Consensus process is due to take place between February and April 2024.

 

Construction: an industry of opportunity

Construction: an industry of opportunity

Opportunity – for young people, employers and society – is central to the new Construction Leadership Council’s skills plan.

The plan shows how much Construction and built environment has to offer society and provides solutions to short and long-term challenges. Construction is a major engine of the UK economy employing 2.7m people, contributing 8% output to the economy.  The plan recognises the great potential industry has on themes including:

  • Innovation and creativity. Construction will be at the forefront of arguably the biggest challenge facing humankind – climate change – which makes our industry a career of meaning and value.
  • Jobs. Industry offers high-skilled, well-paid jobs, the chance for workers to take modern, green skills across the globe.
  • New entrants. Construction gives people a chance in life. As CITB Chief Executive Tim Balcon wrote recently: “Industry loves to see fresh talent which is why new entrants with a great attitude are welcomed with open arms.”
  • Of course, our work on the plan did not blind us to the pressing issues construction and built environment faces.

Yes, there is a skills challenge.

Yes, the pace of diversity and modernising needs to increase.

And, yes, the record on mental health needs to improve rapidly. Industry is working on these issues day in, day out.

But it’s important to recognise the genuine change and opportunity our industry is undergoing and has to offer.

There’s a lot on the agenda, much to look forward to, here’s what we’re planning.

Aims

The aim of the plan is to offer solutions to short and long-term construction skills challenges in England.

These include how to:

  • Meet employers’ demand for skilled workers.
  • Train and retain people.
  • Ensure the workforce is competent.
  • Expand construction and built environment’s career appeal.
  • Train experienced workers to become teachers.

The plan outlines how industry can deliver the workers industry needs through shared, aligned priorities. These priorities are: culture change; routes into construction and built environment; competence and future skills.

Working on those priorities won’t be easy, particularly in the short-term, given the economic outlook for the rest of the year.

However, the long term forecast for construction and built environment output is positive.

Recent headlines have been promising, too. CITB estimates an extra 225,000 workers will be required across the UK from 2023 – 2027.

Culture

The aims of last year’s plan were focussed on culture change and diversity. These themes will be important part of our work during in the year ahead.

CLC projects for 2023-24 include:

  • A pilot to give schoolchildren a chance to learn about a career in construction
  • The launch of a new competence approach to ensure there is an accepted, accredited definition of competence for all construction and built environment occupations.
  • Expanding the new entrant apprenticeship brokerage service and introducing a new apprenticeship mentoring standard to increase apprenticeship starts, continuation and completions.
  • The launch of Phase 1 of the Career Pathway Hub, an online portal aimed at defining high value career pathways for net zero, digitalisation, smart construction and repair maintenance and improvement.

To deliver this plan, partnering for skills is paramount. This means employers of all sizes investing in people, improving industry’s working culture and attracting new talent for future skills demand.

Multiplier

There are a variety of practical ways people across industry can support the plan.

These include:

We want to involve more small businesses in our work, to get a real multiplier effect on what we’re trying to achieve. For that to happen, collaboration is essential.