Memorandum 50
Submission from ConstructionSkills
1. SUMMARY OF
EVIDENCE AND
KEY RECOMMENDATIONS
1.1. ConstructionSkills has engaged with
consultations around the Leitch Review since its inception, and
we welcome the opportunity for ongoing input. This document sets
out our response to key parts of the IUSS Committee's inquiry
into the post-Leitch landscape. In particular we have focused
on our expertise in delivering skills training in the regions
using existing and developing structures, the essential role of
Sector Skills Councils, and the tangible results of a sector-based
approach for the construction workforce and employers.
1.2. ConstructionSkills has three key recommendations:
1.2.1 The demand-led, sector-based approach
should remain the over-arching strategy for the delivery of skills
and training initiatives. Sector Skills Councils are able to provide
a coordinated industry voice about sector needs and a single channel
for a joined-up approach to FE, HE and lifelong learning. In response,
SSCs are well placed to oversee sector-specific delivery frameworks.
1.2.2. Employers value being able to access
qualifications, provision and services that meet their needs;
that are of recognised quality; and that are consistent across
the English regions—particularly given the industry's highly
mobile workforce. SSCs are well placed to give employers a voice
when it comes to shaping "fit for purpose" solutions
to improve the skills and training provision for their industries.
1.2.3. Regionally funded skills and training
provision must be monitored and assessed, and critically, must
add up to delivering the total required nationally. This is also
true in the context of Government being able to show progression
towards the over-arching targets set out in Leitch.
To ensure cohesion between national strategy
and regional delivery there is a need to improve training supply
data (we see this as an area where the LSC could add value through
the provision of good quality training supply numbers). In addition,
there is a need to streamline funding on skills. The current system
is too complicated (particularly in England) and this is only
likely to increase as more levels of delivery are added.
2. ABOUT CONSTRUCTIONSKILLS
2.1 ConstructionSkills is the sector skills
council for the construction industry. We are UK-wide and represent
the whole industry from professional consultancies to major contractors
and SMEs.
2.2 We are a partnership between CITB-ConstructionSkills,
CIC and CITB Northern Ireland. All three partners are committed
to working together to deliver employer-led skills and training
programmes through the Sector Skills Agreement for Construction.
3. EXISTING REGIONAL
DELIVERY STRUCTURES
3.1 ConstructionSkills has a strong, and
some might say unique, presence as a Sector Skills Council at
the regional level. As a long-standing industry training board
with a regional structure, and now as a sector skills council,
we have the capability and the capacity to respond to regional
variations when planning and implementing skills and training
policies.
3.2 In particular we have developed the
Construction Skills Network report, which is now in its third
year. This report provides a sophisticated analysis of our regional
data observations which provides clear signals to the construction
industry about where in the UK key skills are required. In addition
we have built up our regional employment engagement programme
and our delivery mechanisms through our creation of the National
Skills Academies for Construction, Regional Strategy Teams, Regional
Business Support (Apprenticeships Officers, Company Development
Advisers and Education Teams) and the National Construction College
hubs. We expand on these below.
4. The Construction Skills Network
4.1 One of Lord Leitch's main findings was
that there was a need for the development of up-to-date labour
market information. Because of our close working relationship
with the construction industry we have been aware that, in this
sector more than any other, Leitch's findings hold true. The movement
of labour around the UK, following major construction programmes,
is well documented. What was less well known was the variation
in skills needs across the UK. At a time when construction projects
are in such abundance, this data is the number one need in the
construction industry.
4.2 To support the industry and provide
essential data for prioritisation of public funding and training
provision, we developed a forecasting model that could be used
to examine our operating environment and business trends, as well
as identify skills priorities and highlight key labour market
issues.
4.3 The creation of the Construction Skills
Network in 2005 draws on the knowledge of government, sector skills
councils, construction companies, education and training providers,
regional development agencies and customers across the UK. The
result (attached as Annex 2) is, we believe, the most detailed
analysis of skills and training demand across the construction
industry, designed to help plan future skills needs and target
investments.
4.4 The data is broken down by region, providing
a clear insight into growth areas affecting the pattern of skills
needs across the country, and setting out a call to action for
the industry in those areas. By examining the required number
of recruits needed in each trade over the next five years the
report provides industry with the information it needs to resource
and deliver its programme of works.
4.5 To give the Committee a flavour of 2008's
findings the CSN reported that:
Infrastructure is the sector that will experience
the most significant growth (an average of 5.8% each year) over
the period of 2008 to 2012. A number of large projects are now
underway or in the pipeline, including the Olympic Park infrastructure
work, Thameslink expansion, a £3 billion Scottish Transport
Investment Programme and nearly £600m of motorway and trunk
road improvements in Northern Ireland.
There will be a continuing shift in construction
growth from the North to South of England over the next five years,
due to major projects such as Crossrail. Although this does mean
that the largest number of new construction recruits will be required
in London, the South East and East of England, total percentage
growth in employment will be highest in Wales and Northern Ireland.
Northern Ireland's employment growth is expected to rise by 13.3%,
driven by a substantial and wide reaching public investment programme.
The 13.5% growth expected in Wales is due to the strength of the
labour-intensive repair and maintenance (R&M) sector, particularly
housing R&M, being driven by the Welsh Housing Quality Standards
programme.
4.6 The conclusions in the annual CSN report
stem from data analysis as well consultation with a range of experts
and practitioners who provide an invaluable reality check on the
assumptions and subsequent results. This group includes a set
of Regional Observatory Groups (who feed into an over-arching
National Observatory Group) with members drawn from Government,
education and the construction industry. The Observatory Group
members feed back their observations, knowledge and insight of
what was really happening on the ground in every UK region and
nation, and this is used to fine tune the assumptions and data
that go into the forecasting programme.
4.7 The CSN model is fed by a large number
of data sources, from macroeconomic trends to federation "state
of the nation" surveys, which means it is the most representative
picture of skills demand available to the industry today. In order
to make it more accurate, the supply-side data about the numbers
of people in training must be improved, as this is currently a
significant barrier to improving its value. ConstructionSkills
is working with funding partners to try and improve access to
this information.
5. National Skills Academy for Construction
5.1 We believe that the key to skills delivery
at a regional level is through demand-side engagement. The demand-led,
sector-based approach should remain the over-arching strategy
for the delivery of skills and training initiatives. Sector Skills
Councils are able to provide a coordinated industry voice about
sector needs and a single channel for a joined-up approach to
FE, HE and lifelong learning.
5.2 The project based nature of construction—and
the highly-fragmented workforce—means that there is often
only an opportunity to determine skills needs and deliver training
on-site when large volumes of people come together on long term,
large scale projects.
To address this issue we created the National Skills
Academy for Construction. Centred on a network of project based
training centres on major construction sites, the academy concept
takes advantage of both on-site training delivery and the existing
training provision available regionally. We are aiming to have
more than 30 sites established throughout the UK by 2010. Currently
we have seven sites fully operational and we will be looking to
expand this to at least 15 by the end of 2008. It was also announced
that the Olympic construction sites will become Academy projects
and work is underway to finalise delivery plans in accordance
with the Academy process.
5.3 Working together with RDAs and other
regional agencies we are able to ensure that employers can meet
their training and skills obligations without disrupting or complicating
construction projects further. The workforce and the employer
both benefit.
6. Regional Strategy Development
6.1 A network of ConstructionSkills Regional
Strategy Advisors (RSAs) ensure that we engage with skills and
training bodies in the nations and regions, with the aim of coordinating
delivery at a strategic level.
6.2 The RSAs manage strategic initiatives
in the regions and nations, including ensuring that the Construction
Skills Network Regional Observatories have representation from
a range of stakeholders, and bringing together the full range
of partners needed to deliver National Skills Academy for Construction
projects. They are also responsible for managing funding through
regional provision such as Learning and Skills Council contracts
and Train to Gain.
7. Regional Business Support
7.1 ConstructionSkills has a network of
100 mobile Company Development Advisors who visit thousands of
employers every year, providing face-to-face advice on skills
and training, from short courses and the development of Training
and Development Plans. They also provide assistance with accessing
funding for training, including CITB-ConstructionSkills Grant.
7.2 We have around 150 Apprenticeship Officers
based in the regions who work on the ground to bring together
apprentices, employers and colleges to create training partnerships.
They also work with colleges and employers to place Programme-Led
Apprentices who are on full-time college courses and require on-site
training to complete their qualifications.
7.3 Our Education Teams work on the ground
with schools, teachers, careers advisors and young people to improve
information about construction careers. They have also been instrumental
in bringing together schools, colleges and employers to form Consortia
to deliver the Construction and the Built Environment Diploma
from September 2008, and they will continue to support its delivery.
7.4 ConstructionSkills provides the industry-recognised
Health and Safety Test. One of the key ways of enabling workers
to take the test is through over 150 test centres around the country,
plus a fleet of mobile testing vans which can deliver the test
at major construction sites to meet employer needs.
8. The National Construction College
8.1 The National Construction College is
the training division of ConstructionSkills, training over 30,000
adults and apprentices every year. It specialises in providing
highly specialist training to the construction industry—training
which often cannot be provided by any other college because it
is too costly due to expensive equipment and a high staff-student
ratio, and low volumes of students.
8.2 Specialist training includes Plant Operations,
Tower Crane Operations and Steeplejacking. Working with employers,
industry and funding bodies, we offer apprenticeships to young
people aged 16 plus who are looking to start a career in construction.
We currently have a 100% employment rate for our apprentices.
Adult provision includes Health and Safety, Management and Leadership,
and Assessment and Verification. We also offer Graduate Appreciation
courses to help bridge the gap between industry and academia.
8.3 The National Construction College has
five campuses around the country, in Ashbourne (Derbyshire), Kings
Lynn (Norfolk), Birmingham, Erith (Kent) and Glasgow. A sixth
site, the Plant Training Centre at Eton Manor, is now in operation
as part of the National Skills Academy for Construction on the
Olympic Park. These hubs enable outreach into the regions with
many courses delivered on company premises or other locations
convenient to its customer base.
9. THE ROLE
OF THE
LEARNING AND
SKILLS COUNCIL
AND SECTOR
SKILLS COUNCILS
IN THIS
CONTEXT
9.1 Sector Skills Councils play a valuable
role in providing a coordinated industry voice about sector needs
and a single channel for a joined up approach to FE, HE and lifelong
learning. In response, SSCs are well placed to oversee sector-specific
delivery frameworks.
9.2 Standards and qualifications setting
is one example of a key area that requires coordination and delivery
at a national level. Employers must be able to access the same
qualifications and training provision wherever they are based
in the country, and should be reassured that the quality of provision
will meet the same standards. Employers also value their role,
through Sector Skills Councils, in being able to influence fit-for-purpose
training provision.
9.3 As discussed earlier, providing an understanding
of sector skills needs at a national level is another essential
function for Sector Skills Councils. Skills and training provision
at a regional level still needs to add up to deliver the total
national requirement, particularly in an industry such as construction
which has a highly mobile workforce: leaving one region deficient
in certain skills will result in a drain on other regions.
9.4 With Sector Skills Councils' role in
both skills needs and standard setting, they are well placed to
determine which qualifications and training should be publicly
funded. This was a key ambition set out in Leitch which has yet
to be realised, with a significant number of courses still being
funded which do not result in trainees moving into employment.
One example of this is the thousands of young people on publicly
funded full-time construction college courses. Without ensuring
they have employers to fulfil the on-site practice, these people
will not be able to achieve the industry recognised NVQ standard
required to work in the industry.
9.5 The Learning and Skills Council's role
and structure has changed significantly in recent years and continues
to do so. One key area where they could add much more value is
through the provision of good quality training supply numbers.
This would help inform skills needs analyses, and sectoral understanding
of how many people undergoing training enter the industry and
through what routes.
10. THE ROLES
OF FURTHER
EDUCATION AND
HIGHER EDUCATION
IN DELIVERING
A REGION-BASED
AGENDA FOR
LEITCH AND
THEIR CO-ORDINATION
WITH ONE
ANOTHER.
10.1 ConstructionSkills is working with
FE colleges and employers to make courses more relevant and to
improve completion rates. Through our Apprenticeship Officers
on the ground, close working relationships are developed with
the colleges, the employers and the students, which help address
problems and remove barriers to framework completion. Over the
past few years, we have increased completion rates from below
30% to an average of 70%, higher than any other managing agency
in our industry.
10.2 We are also working with colleges and
employers to pick-up students on full-time college courses to
enable them to become fully qualified. Our "Programme-Led
Apprenticeships" provides a shorter, concentrated period
of on-site practice for students. In 9-12 months, they gain the
experience they need to complete their NVQs, allowing them to
enter the industry as fully qualified workers. PLAs also offer
a model to enable major contractors to set up agreements with
subcontractors to provide on-site practice to apprentices on major
building projects.
10.3 FE Colleges need to continue to work
closely with employers to deliver practical skills and experience,
which is relevant to the local/regional workforce and market,
as part of their courses. A continual barrier to skills progression
has been the lack of a joined-up approach to course-based and
practical training. Only through mutual understanding and effective
funding solutions can we address this.
10.4 As discussed earlier, one key element
which would help improve the efficiency of matching demand and
supply would be the provision of good quality training supply
numbers from the Learning and Skills Council.
10.5 More recently, ConstructionSkills has
been the lead partner in developing the Construction and the Built
Environment Diploma. Central to the delivery of this qualification
is the development of local consortia—partnerships between
schools, colleges and employers—which will work together
to deliver the curriculum. We have been very impressed with how
well this model has developed, and feel with the roll-out of the
C&BE and other subject Diplomas, there will be a significant
opportunity to build on this model, and certainly to involve High
Education more closely.
Annex 1
The Sector Skills Council for Construction
THIS EVIDENCE
IS PRESENTED
BY CONSTRUCTIONSKILLS.
ConstructionSkills is the Sector Skills Council
for the construction industry. It is a partnership between, CITB-ConstructionSkills,
the Construction Industry Council (CIC) and CITB Northern Ireland
and as such covers the whole industry from craft to the professions,
the whole of the UK, and all of the skills and training issues
that the industry faces.
CITB-ConstructionSkills is the construction
industry's Industry Training Board and has levy raising powers.
CITB-ConstructionSkills helps the industry in England, Scotland
and Wales in all aspects of recruiting, training and qualifying
the construction workforce. It also works with partners in government
and beyond to improve the competitiveness of the industry as a
whole.
CIC is the umbrella body for all professional
services (such as architects, engineers and surveyors), research
organisations and specialist trade associations. It represents
more than 450,000 professionals and over 23,500 firms.
CITB Northern Ireland is the equivalent to CITB-ConstructionSkills
in Great Britain, with powers to raise a Levy on employers in
the Province.
ConstructionSkills has a leading role in:
— Providing sector skills intelligence
— Defining the skills strategy for
the sector—including a sector qualifications strategy
— Increasing employer engagement in
skills and training
— Skills and training brokerage
— Facilitating and leading skills and
training delivery
For more information on ConstructionSkills recent
activity and forthcoming plans, please see our Progress and Plans
report (attached as Annex 3) which was published in April 2008.
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