Insight 4
UK skills shortage drives increased migratory talent
As the UK continues to face key skills shortages, there is a growing reliance on talent from outside the EU to meet workforce demands.
Encouragingly, self-employment figures are gradually rallying. After two quarters of positive net flow, numbers reached 13.3% in December-February 2023, up from its a low of 12.9% in August-October 2022.
All in employment (aged 16+) Oct-Dec 2022
UK workers
0.7%
EU 27 workers
0.6%
Non-EU workers
0.7%
0k
Year on year, while EU national worker numbers were identical, the number of non-EU nationals rose by 23% (351k)
0.0%
Contingent workers comprised 18.0% of the UK workforce in Q4 2022:
0.0%
5.0% of workers are temporary employees
0.3%
13.3% are self-employed contractors
By occupation, however, proportions vary considerably.
Contingent workers bring two key benefits to employers:
Key benefit 1
Enabling companies to adjust to fluctuating demands and control staffing and cost management.
Key benefit 2
An organisation can draw upon diverse and specialist skills, expertise and innovation to projects through a broader talent pool.
Takeaway
Hiring managers need to consider a multi-faced approach to shore-up against key skills shortages in the UK
1. Hiring from abroad:
Exploring talent pools outside the EU can help bridge the skills gap and bring in diverse perspectives. Consider leveraging international recruitment channels through specialised agencies for efficient sourcing.
2. Invest in apprenticeships:
Developing apprenticeship programs can cultivate a pipeline of skilled workers tailored to STEM recruitment needs. Collaborating with educational institutions and offering apprenticeship opportunities can attract and nurture fresh talent.
3. Develop current employees:
Identify potential within your existing workforce and provide training and development programs to upskill employees. This can improve retention rates, boost employee morale, and fill skill gaps through internal promotions.
4. Collaborating with industry networks:
Engage with industry associations, professional networks, and local communities to tap into hidden talent pools. Networking and participating in industry events can lead to valuable connections and potential candidates.
Essentially, no two organisations are the same, despite needing similar skillsets in their workforce. A tailored approach combining different strategies can help hiring managers navigate the challenges posed by skills shortages effectively.
Hear how NATS have benefited from a recruitment partnership
Our recommendation
Salary transparency; the most important nugget of information
It’s important to note that, regardless of sector, skillset or role you’re hiring into, posting job ads without providing an indication on rates is foolhardy. With rates of inflation and cost of living crisis continuing to bite, those in search of higher reward levels are likely to ignore job adverts that don’t disclose salary/rates, further contributing to fewer applicants.
Insight 4
UK skills shortage drives increased migratory talent
As the UK continues to face key skills shortages, there is a growing reliance on talent from outside the EU to meet workforce demands.
Encouragingly, self-employment figures are gradually rallying. After two quarters of positive net flow, numbers reached 13.3% in December-February 2023, up from its a low of 12.9% in August-October 2022.
All in employment (aged 16+) Oct-Dec 2022
UK workers
0.7%
EU 27 workers
0.6%
Non-EU workers
0.7%
0k
Year on year, while EU national worker numbers were identical, the number of non-EU nationals rose by 23% (351k)
0.0%
Contingent workers comprised 18.0% of the UK workforce in Q4 2022:
0.0%
5.0% of workers are temporary employees
0.3%