Construction’s outlook for 2025 and beyond is that there will be a growing labour shortage, especially skilled labour. It’s expected that the increasing number of UK construction projects will outstrip availability of the skills to fulfil them. According to the Construction Skills Network (CSN) report by CITB,
Despite this there’s no shortage of people in the UK with the potential of becoming strong contributors to the many roles within construction. So, what should a construction related business’ response be to this industry forecast?
Construction companies in the North West of England employ 10% of the total construction employees in Great Britain* (source). According to the Construction Industry Training Board (CITB), it’s predicted that 23,850 extra construction workers will be needed in the North West by 2028. Whilst perhaps of limited impact to DL M&E (based in the North West) as a specialist Mechanical and Electrical services employer, we nonetheless have the challenge, with other firms, to encourage our local community, especially school and college leavers, to consider a career in engineering and construction – more specifically mechanical and electrical engineering. The purpose is to grow the requisite skills for our future workforce in a way that especially contributes to the local economy, opens up career pathways and signposts where to start.
One of the exciting trends of current recruitment here at DL M&E is the onboarding of apprenticeships. Despite a surging high in 2021-22, the number of UK apprenticeships in construction over the last five years hasn't dramatically increased. But this could significantly change.
(Source)
2018-19: 22,530
2019-20: 21,920 (-2%)
2020-21: 19,960 (-8%)
2021-22: 26,060 (+30%)
2022-23: 24,530 (-5%)
In 2021-22 the number of registered apprentices in construction surged +30% to 26,060, and whilst recently dipping to 24,530 (down -5%) in 2022-23, it remains nonetheless a healthy number coming into the industry. Apprenticeship schemes are receiving increasing exposure by the government, schools, media and apprenticeship training organisations. So long as construction companies take on apprenticeships, promoting their involvement, then applications can be expected to continue. Whilst apprenticeships are a long-term method to build necessary labour skills into our industry, promoting them is an important part of developing the grass roots of our communities.
From the outset, new apprentices can be trained and moulded into the specificity of their employers’ roles, projects and methodologies. They can be ingrained into the company’s ethos, values, approach, and standards. With apprenticeship support given through external learning organisations, there is further benefit to companies taking on an apprentice.
The challenges and time consuming on-the-job nurturing required for apprenticeship training are widely acknowledged, but there is a positive curve that shows how investment of time and cost returns a strong benefit: for DL M&E, this culminates as a trained, qualified electrician that’s fully integrated into the business, that’s learnt in real world application at a comparatively low initial cost how to operate to company procedures and standards. It’s the evidence of success of apprenticeships that gives sense to its adoption as an alternative to achieving a skilled career.
Another level of apprenticeship training are known as degree apprenticeships, which offer degrees for free (paid for by apprenticeship funding) and allow someone to work, get paid and study at the same time. About 80% of the time is spent learning on the job, making it a unique learning process ideal for growing skilled labour. In DL M&E’s service sector of Mechanical and Electrical building services, provision was made for upskilling one of our staff to achieve a degree in Quantity Surveying. It’s a powerful way of growing our team in the development of specialist skills. It is also a worthwhile investment to the company and builds the trade’s talent pool with in-demand labour skills.
It’s natural for an unlearned worker in a learned environment to be perceived as a training burden, but here at DL M&E we have seen truly positive experiences where our site and office workers take apprentices under their wing daily and are rewarded with genuine job satisfaction after having helped others grow their careers. Aside from the inconvenience of apprenticeship training, we see how the process of skills transference has the benefit in generating on site comradery and builds labour resilience for the company. Inevitably, the success of adopting apprentices into live working environments depends on personality types, the quality of apprenticeship selection processes, and the culture of the business in question: but creating value centric approaches to internal training will help build healthy on-site and in-office training environments that ultimately benefits everyone.
Shortage of skills within construction sectors can sometimes be down to poor internal training and development. Retention of labour and skills is another constant challenge. What are the ways we can develop our team and retain our labour skills?
Similarly to apprenticeships, once the perception of internal training being a burden is adjusted to one of opportunity and value, upskilling can add tremendous cost benefits to a business, as well as providing social value. By way of example, here at DL M&E we have seen electricians’ step up towards becoming foremen, or eventually move into project management, which then further opens opportunities towards quantity surveying. It’s not overnight change, but taking a flexible, scaled growth approach to upskilling provides financial value to both employee and employer, soon enabling greater operational bandwidth for the company. Upskilling also provides the company a manageable, stepped salary scheme commensurate with experience, which suits both parties and evolves with increasing levels of skill and productivity. A healthy career ladder is thus established, with a cycle of new employees able over the length of their employment to naturally step into the shoes of retiring workers, or work alongside them as the company grows through their skills.
For especially those employees brought up through the apprenticeship route, they will already be trained and integrated into the business, saving on the expense and uncertainty of new recruitment. At DL M&E we’ve helped staff transition into trainee quantity surveying roles, project management and design, all of which raises the level and quality of skills within the UK and provides them valuable career progression. This flexible approach of pivoting employees to their strengths arguably helps create a stable, productive company, a more satisfied workforce and overall a stronger pool of talent within the UK construction industry.
Labour retention is one of the side-benefits that can sometimes result from investing into internal upskilling and personal development. Where an employee is given training opportunities, personal development and career progression, there is mutual respect and support. Retention can be about what is put into staff as much as what is taken out, in terms of their skills.
The long game of seeding talent into engineering and construction related enterprises requires an industry wide embrace of inspiring teenage children. Today, we see the opportunity for helping our industry’s grass roots by providing schools and colleges the resources and inspiration they need through exhibiting at their careers events, providing industry information and sponsoring STEM initiatives that promotes engineering. As a practical example, DL M&E have just sponsored a local school’s (Westhoughton High School) “Race to the Line” initiative run by The Learning Partnership, which promotes students to get involved in “integrating physics, engineering and teamwork.” When our industry engages with schools, we can encourage students to see the world of infrastructure as a place they can influence, impact and change. In a simple but important way it opens their horizons to a career that fits their talents.
DL M&E have a schedule of local career events being exhibiting at this year and next, from high schools to colleges to regional expo career and apprenticeship days. It involves one-to-one conversations, handed out information on apprenticeship opportunities, and promotes our industry’s varied careers, such as becoming a qualified electrician, mechanical or electrical designer, CAD operator, BIM technician, project manager, foreman, estimator, quantity surveyor, SHEQ manager, administrators, marketers and more. Providing visibility to these roles to especially high school leavers is critical for showing them potential career paths that match their talents.
Like any industry seeking to recruit labour, it’s not enough to provide basic information to schools and colleges: there needs to be an inspirational edge. Presenting our industry through cutting edge technologies, such as through BIM and VR demonstrations, helps build engagement and promote interest. One of our latest contributions is through the publication of a Mechanical and Electrical Careers Guide, which helps young students understand the world of infrastructure in general, and educates them as to what building services are, and how it fits into the overall world of construction. It’s a simple but effective way to encourage learning, not just about careers, and how the built environment works.
Work experience weeks are another way to get involved in educating high school teenagers. The week is most valuable when they come at a school leaving age when consideration of careers is coming to a focus. DL M&E invite a number of teenage children into our offices each year, giving them a taste of different careers within the business, and providing light work tasks. This might involve basic problem solving or measuring in CAD design, sorting invoices in finance, or simply shadowing someone’s daily work to see what’s involved.
According to the Office for National Statistics (ONS), there has been consistent growth in the number of construction industry firms being registered in the UK:
Whilst there are well known challenges in the construction sector, with many businesses becoming insolvent, there is still a major need for our industry to be resourced. The growth in business in construction is resulting in a modest increase in the number of employees coming into construction. The ONS reports,
We’ve seen how recruitment of skills is becoming more challenging as the number of construction projects exceeds the labour skills available. Companies can be overstretched with skill deficit bottlenecks. As such, we’ve demonstrated how proactive action through apprenticeships, grass roots promotion and career upskilling can not only help UK construction meet its future skilled labour demands, but even more significantly, also contributes to our local communities. Local employment and development of skills builds local talent and societal cohesion, contributing to a local economy cycle – all of which is part of our national goals towards a healthier, safer and more prosperous country.
Further reading for construction labour in the North West of England.
