The UK’s shortage of skilled workers

The UK continues to struggle with a shortage of skilled workers, a trend which can be seen across multiple sectors and industries. It’s particularly acute in the construction industry, which had 50,000 vacancies in 2022. With one in five construction workers on the verge of retirement, there’s an urgent need for a younger generation to fill the gap left by the “baby boomer” generation. However, there’s a corresponding decline in the uptake of apprenticeships by young people.
Like all G7 countries, the UK’s rate of economic inactivity has risen dramatically since the start of the COVID-19 pandemic. However, while this trend has largely reversed in other countries, the UK has been far slower to change. According to government statistics, in March 2024 the economic inactivity rate was at 21.8%, higher than before the pandemic.
Another factor affecting the availability of labour is the UK government’s post-Brexit immigration policy, which has resulted in fewer people coming to the UK on skilled worker visas. According to a CIPD study, only 15% of UK employers have sponsored migrant workers under the new points-based immigration system.

In addition, the current rate of technological change, especially in the areas of AI and robotics, has brought about a shift in the skills landscape, with a growth in demand for skills related to digital technologies such as cloud computing and cybersecurity.

A recent report by the Institute for the Future of Work found that many IT skills are emerging and then quickly becoming obsolete, meaning that businesses must be constantly retraining and upskilling staff if they are to keep up with the pace of technological progress.

 

E-learning for the corporate world

As we’ve seen, there are two ways to address the shortage of skilled workers within a company: recruitment of external candidates or upskilling of existing employees. The advantage of the latter is that in-house training in the corporate world can often be carried out via e-learning platforms – software solutions which allow HR staff to create and manage digital training content and assign tasks to internal and external teams. These are often referred to as Learning Management Systems (LMS).
 

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The advantages of e-learning

The biggest advantage these platforms offer compared to face-to-face training is that staff can complete training in their own time and from any location. This not only makes it easier for staff to acquire the skills they need, but also creates more inclusive learning opportunities for disabled staff or those with family commitments.
In addition, content can be individually adapted, enabling learners to focus specifically on the area in which upskilling is required. Information stored online is easier to access and record, minimizing the risk of losing important training documents, as well as being more environmentally friendly by saving on paper. Last but not least, e-learning can significantly reduce training and education costs. It cuts out travel and accommodation expenditure, as well as the need to pay lecturers or trainers. Licence prices for e-learning tools are generally lower than for most commercial software packages.

 

E-learning is already established

The online learning platforms market in the UK is well-established, both in the higher education sector and the corporate arena, and has experienced significant growth in recent years.
Many organizations found themselves needing to get to grips with remote work, including training, during the COVID-19 pandemic. This trend has continued to the present day. Remote and hybrid events have become the norm, and the widespread use of mobile phones has led to a culture of “bite-size learning” where users can access small chunks of learning content on the go.

A 2022 survey of the UK’s favourite methods of learning revealed that watching online videos is now the preferred method of learning among those aged 16 to 54, with over a third of people in these age groups saying they enjoy this method. The second most popular option for learning was “an online course”.

Significantly, IT, web development and design was the most popular topic for online learning, with business, management and finance coming second. This level of demand for career-focused e-learning among the public reflects its potential as a tool to address the UK’s skills shortage.