Document Sample
					                             SECTOR PROILE – CONSTRUCTION

Background to the industry
                                                                 Age distribution

Construction and related industries
(engineering construction and building                               55+            16-24
services engineering) in Scotland cover a                            14%            15%

wide range of occupations, such as
building, civil engineering, site preparation,               45-54                      25-34
plumbing, electrical wiring, mechanical                      24%                        21%
engineering, roof building and demolition.
Sector performance                                                          26%

The turnover in the sector (not including
engineering construction and building
services engineering) for 2006 was £14.3
bn.                                              Full time/part time spread

The Minister for Enterprise, Energy and                     Full time/part time spread
Tourism held a discussion session with the
sector - the mind map attached at the end
                                                                                part time
of this profile summarises the main points.                                    employees


There are around 39,700 businesses in
                                                                full time
the sector, employing approximately                            employees
430,000 people. The bulk of employees                            88%

are in the construction industry.

Gender balance
                                                 Main challenges identified by the sector

               Gender balance                           •    Attracting appropriately trained
                                                        •    Business regulations
              Female                                    •    Keeping existing customers
               21%                                      •    Changes in market structure
                                                        •    Diversifying business
                                                        •    Technology challenges
                         Male                           •    Fuel prices
                         79%                            •    Expansion costs
                                                        •    Training.

                                                 Skills shortages and gaps
Age distribution
                                                 Skills shortage

                                                 A skills shortage exists where an employer
                                                 faces difficulties recruiting individuals with
                                                 the required skills and can lead to hard to
                                                 fill vacancies. An average of 10% of
                                                 workplaces in the sector reported a
                                                 skills shortage.

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Skills gaps                                                         in the UK and comes complete with 3
                                                                    classrooms. In addition to the hangar,
Skills gaps exist where an employer thinks                          there is approximately 4500 square metres
that a worker does not have the skills to                           of training and office space within the main
perform their job to full proficiency.                              building which includes a further 9
                                                                    classrooms. The new facilities are
                                                                    expected to train up to 160 apprentices
                                                  27                and 6,000 adults in the first year.

                                                                    Sector Skills Councils

      15                                                            Sector skills councils (SSCs) are UK wide
      10                                                            employer led organisations which cover
                                                                    sectors of economic or strategic
                                                                    significance. Their main task is to identify
          0                                                         and articulate skills needs and issues in
              % of employees not fully % of workplaces reporting    their sector and work with key skills bodies
                     proficient              a skills gap
                                                                    and delivery organisations to address
Employers report the main areas of skills                           these. The SSCs covering the sector are
gaps are-                                                           ConstructionSkills     and     Summitskills
                                                                    (Building Services Engineering). The
      •       Team working                                          Engineering Construction Industry Training
      •       Written communication                                 Board also covers parts of the sector.
      •       Technical and practical skills
      •       Customer handling                                     Issues for debate
      •       Oral communication
      •       Strategic management                                  ConstructionSkills    and     Summitskills
                                                                    believe that the main skills issues which
Impact of skills gaps                                               the sector face are -

Employers report that skills gaps cause                             •   Ensuring that colleges are delivering
them difficulties in a number of areas,                                 on courses that meet industry needs.
                                                                    •   Ensuring that the funding available is
      •       Increased operating costs                                 focussed on industry needs.
      •       Meeting customer objectives
      •       Meeting quality standards                             •   Promoting the development of e-
      •       Loss of business                                          learning/mobile-technology    as   a
      •       Developing new products                                   Scottish initiative, building on the
      •       Introducing new practices                                 success of LearnDirect & Build.
      •       Slowing of operational speed.
National Construction                        College          for
Scotland                                                            ConstructionSkills Scottish  Sector
                                                                    Profile 2007, Futureskills Scotland
On the 2 of September, the Minister for                             (2007)
Schools and Skills opened the National
Construction College for Scotland and new                           Internal Scottish Government briefing,
HQ for ConstructionSkills. Facilities                               2008
include a 1200 square metre scaffolding
training hanger which is the second largest

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                   SECTOR MINDMAP


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