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Rail still needs industry skills, urges Logistics UK
The UK’s most vital industry is still being threatened by skills shortages owing to factors ranging from poor reputation to a lack of understanding surrounding the opportunities and progression available for employees.
“A City & Guilds report – released in February 2022 – states that only 23% of people looking for work would consider a career in transport and logistics, and with the ongoing shortages, it is vital this is addressed,” says Ellis Shelton, Policy Advisor at Logistics UK.
“The rail network is essential to keeping the country moving through a greener, more efficient mode of transport that delivers sustainability for logistics businesses,” he continues. “Yet rail is one of the sectors being seriously affected by the shortage, with the UK experiencing eight days of rail strikes leading up to and over the Christmas period as part of a long-running dispute over pay, jobs and conditions.”
AGEING WORKFORCE
An industry report -- Keeping Talent on Track -- released in February 2023, outlined that up to 120,000 additional people will be required in the rail sector over the next five to ten years, with pinch points coming as an ageing workforce retires.
Currently, 28% of all rail workers are aged 51 and over with the potential for 15,000 to retire by 2025, and focus therefore needs to be on recruiting employees at a younger age and providing them with proper training and development prospects.
“Diversity is also a significant challenge in the sector,” explains Shelton. “Women make up a significant portion of the workforce. However, only 16% of workers in the rail industry are female, and only 2% of those are engineers. Encouragingly, the percentage of women in engineering roles across all sectors has increased from 12% to 14% over the past three years. However, the same progress has not been reflected in rail and therefore the sector is missing out on a larger opportunity for recruitment.”
TRAIN FOR TRAINS
Upskilling of the workforce is also crucial as the use of digital technologies becomes more frequently used, with approximately 80% of the industry requiring training over the next two decades.
“Government’s £96 billion investment for the Integrated Rail Plan, published in November 2021, has the potential to create up to 12,000 jobs every year over the next five to ten years,” says Shelton. “However, without the proper training and support in place to create a younger and more diverse network, the rail sector cannot thrive and grow.”
APPRENTICE BARRIERS
Apprentices play a key role in our economy, but the current funding model for the Apprenticeship Levy does not provide the support and accessibility needed by industry, with 94% of HR leaders reporting at least one barrier to accessing their Levy funds.
“Logistics UK is calling for the current format to be amended into a Training Levy which will allow greater flexibility so that businesses can utilise the funding available,” says Shelton.
Workers currently looking to access apprenticeships are facing challenges due to the minimum skills requirement, which dictates that people can only take up an apprenticeship if they have achieved a minimum standard of maths and English.
“Following conversations with members, Logistics UK believes this requirement is preventing a potentially valuable group of young people from joining the workforce via the apprenticeship route,” continues Shelton. “The implementation of a Training Levy would support development at all ages from those without academic qualifications and new to work, to those looking for a career change.
Logistics UK believes that government must take steps to plug the skills gap through collaborating with schools and colleges, to challenge the current perceptions about industry.”
FIT FOR PURPOSE
In addition, government must review and update its Industrial Strategy and Rail Strategy, so it is fit for purpose and benefits the logistics sector.
Further investment in training and development for rail workers is crucial for reducing recruitment issues and improving job retention.
“There are still not enough apprenticeships being offered for logistics roles in general,” says Shelton, “and with 99% of logistics businesses being classed as SMEs, which are not able to access funding for apprentices aged over 18 years if they employ fewer than 50 employees, the sector’s ability to retain workers is hindered.”
Published On: 04/05/2023 16:00:00
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