A recent study has revealed that Scottish businesses are finding it increasingly difficult to recruit skilled workers, with almost half of them believing this is the biggest threat to the nation’s economic future.
According to Lloyds TSB the labour problem seems to be particularly acute in Scotland, with 56% of businesses experiencing difficulty in recruiting skilled workers, this compared with 47% of firms in England and 46% in Wales.
As a result of the skills shortage, it is of vital importance that Scottish businesses invest in the training and development of its existing staff. And the message from learndirect scotland for business is that in doing so they will see a marked improvement in retention rates and turn over.
Derrick Ross, learndirect scotland for business, business services manager said: “Staff who receive regular training feel more appreciated, so company morale is likely to be higher.
“Recruiting and training new staff can be extremely expensive, particularly for small businesses, so maintaining a well-motivated workforce is one of the most important things a company can do to keep staff turnover to a minimum and ultimately help the company bottom line.”
A total of 97 percent of companies in Scotland are small to medium-sized enterprises (SMEs), and it is estimated that two-thirds of the Scottish workforce are employed by companies with fewer than 100 workers.
Yet it is small firms that are more vulnerable to the lack of a skilled workforce, rather than larger companies who can offer greater salaries and better packages to attract highly skilled workers.
Training and skills are therefore vital to small businesses and the wider Scottish economy. A competent workforce, with the skills required to undertake their job functions, is essential to allow small businesses to compete in the global marketplace.
Training is the obvious response, but for many SMEs there are significant barriers to formal training.
Many are reluctant to get involved because the daily pressure of running a business means they don’t have the time to stand back and take a strategic look at the company’s long term training needs.
Many small companies are also concerned about the costs and time involved in releasing employees for training.
And according to Derrick this is where learndirect scotland for business can help: “Our aim is to help such companies overcome these barriers by offering a range of free services to make it easier for them to embrace training, and by pointing them in the direction of courses that are available at a time, place and pace that suits the business.
“More and more companies are coming to realise that lifelong learning and training is not just something that is nice to have, it is an absolute imperative for success.
“Recently an employer challenged me with the comment ‘what if I train my staff and they leave’, to which there is only one reply: ‘what if you don’t train them and they stay?’”