Essex Employment & Skills Board Sector Profile 2017 Page 1 of 19

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1 Essex Employment & Skills Board Sector Profile 2017 Page 1 of 19

2 Contents 1) Introduction ) Employees and Enterprises... 6 Enterprises in Essex... 6 Enterprises in Local Authority Areas... 6 Size of Enterprises... 7 Examples of Local Companies... 7 Employees in Essex... 8 Change in Number of Employees and Enterprises... 8 Employees in Local Authority Areas... 9 National Comparison... 9 Regional Comparison... 9 Workforce Concentration ) Analysis of Vacancies Skills in Greatest Demand Distribution of Advertised Salary Vacancies in Local Authority Area Top Occupations in Demand Occupation and Salary Information ) Highlights from ESB Construction and Skills Research A Picture of Supply A View of Demand Mobility of the Workforce Construction Labour Demand ) Appendix SIC Codes SOC Codes Tables, Charts and Maps Essex Employment & Skills Board Sector Profile 2017 Page 2 of 19

3 Introduction Sector Definition The construction sector can be defined as building new houses, bridges or structures. The term can be divided into an array of activities. This can include contracting, which refers to the construction of residential and commercial buildings, and civil engineering, such as the development of roads, tunnels and bridges. The term may be used to describe the installation of plumbing equipment and architectural and quantity surveying activities. At A Glance Number of Enterprises 16,290 Average Advertised Salary 35,644 National Headlines 11,000+ vacancies advertised in 2016 Number of Employees 64,500 In 2014 the Construction industry in the UK contributed 103 billion in economic output (6.5%). There workforce in the UK at the end of 2015 stood at 2.1 million; 6.2% of the UK s total work force. Brandon Lewis, Planning and Housing Minister, stated that the government aims to build 1 million new homes over the next five years ( ). This coincides with the figure that the National Housing Federation estimates are needed to meet the country s housing needs. The Federation of Master Builders (FMB) has described the new apprenticeship levy as a fair settlement for small employers and the only cure for the sector s skills shortages was to recruit and train more people (Brain Berry, FMB Chief Executive). They are hoping that it will encourage more people to choose a job within the construction sector. In the Hays Global Skills Index 2016 the United Kingdom has a talent mismatch score of 9.7/10, compare that to Germany (3.4/10) and China (4.6/10). The Score represents how easy it is for employees to find staff, a higher score equates to more difficulty in finding staff. Showing how the UK is behind Germany and China, but has a lower score than Japan (9.8/10) and the United States of America (10/10). National Jobs Shortage Occupations Essex Employment & Skills Board Sector Profile 2017 Page 3 of 19 Physical Scientists: Engineering Geologist, Hydro-geologist, Geophysicist. Civil Engineers: Geotechnical Engineer, Tunnelling Engineer. Environmental Professionals: Contaminated Land Specialist, Geoenvironmental Specialist, Landfill Engineer. Welding Trades: High Integrity Pipe Welder. Local and Regional Headlines South Essex College in Basildon has just opened. It is a new construction centre in partnership with Redrow homes and Draper Tools. It will provide training opportunities for local people in; Painting and decorating, Carpentry and joinery, Brickwork and plastering, Construction management. The centre offers industry level training, facilities, equipment and opportunities and is a step closer to closing the skill gaps within the region. Central government s Garden town and villages initiative has meant that a new Garden Village development has received funding. Dunton Hills is expected to result in 465 construction jobs, 40 new apprenticeships over the initial 15 years it will take to build. Once complete the village will potential to provide 2600 new jobs to the local area. The Construction Skills Network East of England estimates that during this period a minimum of 1,320 more Painters and Decorators, 240 Bricklayers and 1,500 more Carpenters, 5,260 Construction managers will be required. Overall 19,550 jobs will be created over the next 5 years net balances for the region was encouraging, with all three available quarters data being positive (Q Q Q3. +7). The net balance = recent workloads + expected workload + enquiring question, which generally reflects the national average.

4 Summary of Sector According to the Construction Network Skills 2016 report, the employment rate for the construction sector in the East of England will increase in line with the UK average rate of 1.1% during the years 2016 and UKCES highlight that in the East of England, the construction output is estimated to increase by 2.3% between 2016 and 2020; this is below the UK national average rate of 2.5% per annum. Despite the growth within the construction sector, skills shortages are still prevalent across the UK and Greater Essex. UKCES indicates that the number of employees with level 1 or 2 qualifications has decreased recently; while there are now more construction workers who hold a level 4 qualification. Throughout the UK, some of the skills shortages within the construction sector include Builders, Engineers, Surveyors and Bricklayers. (Financial Mail on Sunday 2014). Hays recruitment has indicated that over the past few years, the number of apprenticeships schemes offered by construction companies has increased by 46%. In addition, Hays also highlights that there is a 31% increase of training budgets offered by construction companies. Compared to the other key growth sectors, diversity remains a challenge within the construction sector. Women are underrepresented in the construction industry, as only one in ten people employed in the construction sector are female. Research also highlights that the construction sector comprises of an older workforce, with 19% of workforce are due to retire over the next 10 years. Currently the local construction industry relies heavily on the use of migrant labour to fill skills gaps. The result of the EU referendum in 2016 means that this is now under threat, as the government has failed to reassure the EU and EEA citizen currently living and working in the UK that they will be permitted to continue working here, following the UK leaving the EU. This has led to the government identify sectors, such as construction sector, as likely to need post-brexit work permits in order to continue hiring people from the EU and EEA. Jeremy Blackburn, Head of Policy at the Royal Institute of Charters Surveyors (RICS), believes that a loss of access to the EU s skilled workforce has the potential to slowly bring the UK s property and construction sector to a standstill 1. The construction sector will have a close eye on the Brexit negotiations following the triggering of article 50. Key Drivers A number of drivers have been identified and are expected to prompt changes within the Construction sector with the potential of having far-reaching impacts, in relation to skills and training, productivity, innovation, and the overall structure of the industry. The Construction Industry Training Board (CITB) published a report in 2016, which outlines a number of driving factors which they predict will have an effect on the construction industry in the United Kingdom from 2016 to 2030 and beyond. The most sensitive driver outlined is the economy, as the level of construction is dependent on sustained economic growth; this will determine the demand for the number of trainees and the type of skills required. Alongside this is the Market Sector Conditions, the level of activity within each subsector will have a significant impact on training needs as each has its own requirements. Sociologically, the changing face of the UK will play its role in the future of the construction industry. The impact of migration and the aging population means that there is likely to be a change in demand for infrastructure. As well as, an ageing workforce, with 27% of local construction workers having in excess of 20 years experience in the industry, a significant proportion of the current workforce is potentially heading towards retirement. However, the Brexit negotiations will undoubtable shape this and it will be become clearer once the government releases information regarding migration. Other government policies may also have an impact on the construction industry as climate change and carbon mitigation legislation may cause changes to the sector. The relationship that the sector has with the government is vital as it is the sectors largest customer, and has the capability to help the industry develop and grow. 1 What do Business leaders think of Theresa May s Brexit Speech?, Graham Ruddick, The Guardian, 17 January 2017 Essex Employment & Skills Board Sector Profile 2017 Page 4 of 19

5 Development in technological advancements and innovation could improve efficiency and significantly change the industry. This includes the supply chain, which would increase profit margins. The shift in employment patterns may also be a driver for the sector, as more and more construction workers are moving from direct employment to self-employment and sub-contracting. This has the knock-on effect on training and relevance of government skills policy. The external image is a problem that has troubled the sector for a while and for some is discouraging them from choosing it as a sector they would like to work in. As well as the external image, internal attitudes could also help drive the sector, as it could increase the amount of people who want to work in construction. 2 Key Opportunities/Challenges In Greater Essex we face some major skills challenges within the Construction Sector. Research undertaken by the CITB and ESB indicates that the sector could require between 12,000 and 24,000 additional workers to deliver the housing and infrastructure growth expected across the county. While the outlook is generally believed to be good for the construction sector it is still facing some notable challenges. These include: Low margins Lack of innovation and collaboration Skill shortages It s non-existent research and development (R&D) culture. 3 The training of the new workforce is a large challenge for the sector. There are major challenges in finding people to teach the skills young people and career changers will need, in order to work within the Construction sector. This is predominately due to the salary and the wage received for teaching construction at a training provider being less than working in the sector. The introduction of a new minimum standard for English and Maths for teachers on vocational courses has only increased the shortage of training, teaching and lecturing staff able to teach construction. When uncertainties and levy changes are considered the construction industry is facing a period of uncertainty, despite its upturn in growth. Attracting talent to the industry still remains a challenge for the construction sector, as enterprises try to offer attractive careers to persuade people. An increase in training from employers hopes to increase the viability of a career in construction, and show that progression and development is available. The need for further innovation in the industry is also needed. Improve the efficiency through the digitalisation of design and management processes, utilising new material and techniques, as well as off-site manufacturing would all contribute to increasing efficiency. The challenges that are facing the construction industry are similar to those facing Advanced Manufacturing and Engineering, as there is overlap between the two sectors, which could mean that advancement in one of the sector could induce development in the other. The Farmer Review of the UK Construction Labour Model report suggests that the UK s construction industry faces inexorable decline unless longstanding problems are addressed. In particular, the review highlights the sector s dysfunctional training model, its lack of innovation and collaboration, and its non-existent research and development (R&D) culture. It finds that high levels of cost inflation, driven by labour shortages, have caused numerous housing schemes to stall as their costs have risen prohibitively. As more people leave the industry each year than join it, the construction workforce is shrinking, placing increasing constraints on its capacity to build housing and infrastructure. However, there is little incentive for contractors to invest in long-term training when they are increasingly reliant on a fractured supply chain and self-employment. 2 Construction 2030 and Beyond, CITB, Farmer Review of the UK Construction Labour Model 2016 Essex Employment & Skills Board Sector Profile 2017 Page 5 of 19

6 Employees and Enterprises Enterprises in Essex, Southend-On-Sea and Thurrock All enterprises and employee data is source from ONS datasets; Business Register and Employment Survey 2015 and UK Business Counts : Electrical, plumbing and other construction 4, : Building completion and finishing 3, : Architectural and engineering activities and 2, : Construction of residential and non-residential 2, : Other specialised construction activities n.e.c. 1, : Development of building projects 1, : Construction of other civil engineering projects : Construction of roads and railways 431 : Demolition and site preparation 712 : Technical testing and analysis : Construction of utility projects Chart 1.0 There are 16,290 Enterprises in the Greater Essex area. Within this sector the largest sub-sectors are Electrical, plumbing and other construction installation activities (SIC 432), Building Completion and Finishing (SIC 433) and Architectural and engineering activities and related technical consultancy (SIC 711). The subsectors with the lowest number of Enterprises are Demolition and site preparation (SIC 145), Technical Testing and analysis (SIC 712) and Construction of utility projects (SIC 422). Enterprises in Local Authority Areas 40 1,800 1,650 1,560 1,390 1,320 1,320 1,265 1, Chart 1.1 The local authority areas with the largest clusters of enterprises are Basildon (1,800), Epping Forest (1,650) and Chelmsford (1,560). The local authority areas with the fewest enterprises are Brentwood (865), Maldon (750) and Harlow (615). Essex Employment & Skills Board Sector Profile 2017 Page 6 of 19

7 Size of Enterprises by Employment Size Band Business Size No. of Enterprises Micro (0 to 9) 15,560 Small (10 to 49) 640 Medium-sized (50 80 to 249) Large (250+) 15 Table Change in Size of Enterprises Micro (0 to 9) Micro (0 to 9) Small (10 to 49) Medium-sized (50 Chart 1.3 to 249) Micro (0 to 9) Small (10 to 49) Medium-sized (50 to 249) Large (250+) Chart 1.2 Small (10 to 49) Medium-sized (50 to 249) Large (250+) Large (250+) Chart 1.3 shows that Micro sized enterprises (0 to 9 employees) saw the largest actual increase over the 5 year period. However, it was Large sized enterprises (250+ employees) that saw the largest percentage increase of 50%. While, both the number of Micro and Medium sized enterprises (50 to 249 employees) saw a healthy increase of 23% between 2012 and Examples of Local Companies Anderson Group Founded by Mark Anderson in 1987, they currently employ 400 people and current sites include the Harlow Gateway. Brennan Group A dynamic, innovative and evolving company. Who work on a range of projects across the region and country; including educational building, medical and commercial. Cadman Group Operating in the South East and Greater London area, Cadman who have done refurbishments of hospitals and new builds for schools. Countryside Properties Recently listed on the London Stock Exchange, Countryside properties primarily construct new houses with every consideration to their environmental impact. EJ Taylor & Sons Based in Chelmsford EJ Taylor & Sons operate in a range of areas from new build to repair works, along with large scale infrastructure. Table 1.1 Kier Group plc A leading property, residential,, construction and services group, who has operations in the UK, Middle East, Australia and Hong Kong. Hutton Construction Ltd Established in 1850 the company has been passed down through the generations and holds contracts for work in the M25/M11 corridor. Higgins Construction With over 50 year experience, Higgins Construction aims to create thriving communities in which people can live, work, learn and play. Keepmoat With 30,000 new house build by Keepmoat they certainly have a large amount of experience when it comes to new build properties. Ringway Jacobs A leading highways service provider who aims to provide road network solutions to local governments across the UK. Essex Employment & Skills Board Sector Profile 2017 Page 7 of 19

8 Employees in Essex, Southend-On-Sea and Thurrock There are more than 64,000 employees working in the Construction sector within Essex, Southend-On-Sea and Thurrock. This figure differs from the figure calculated by the CITB for Essex which is 85,500 workers 4. The reason for this is that the CITB figure includes people working in supporting occupations within Construction businesses such as HR, Finance and administration. The ESB figure above only includes those working in roles which require specific construction related skills. 412 : Construction of residential and non-residential buildings 432 : Electrical, plumbing and other construction installation 711 : Architectural and engineering activities and related 433 : Building completion and finishing 439 : Other specialised construction activities n.e.c. 411 : Development of building projects 429 : Construction of other civil engineering projects 421 : Construction of roads and railways 712 : Technical testing and analysis 431 : Demolition and site preparation 422 : Construction of utility projects Chart 1.4 2,850 2,725 2,225 1, ,900 10,600 11,700 13,200 12,800 SIC 422, 433 and 421 all saw an increase in employees number between 2011 and 2015 of 100% or more (102%, 104% and 111% respectively) Since 2011, only 3 out of the 11 SIC codes used to define the construction sector has seen either no change or a decrease in the number of employees; SIC 712 (-24%), SIC 429 (-21%) and SIC 439 (0%). Out of the 8 SIC codes that did see an increase over the 5 year period, 5 saw a 50% increase or more and 3 saw an increase of more than 100%. While between 2014 and 2015 SIC 429, SIC 432 and SIC 711 all saw a decrease in employee numbers; -1,025, -1,250 and -2,200 respectively. Change in Number of Employees and Enterprises Encouragingly both the number of employees and number of enterprises within the Construction sector are on the rise. This increase coincides with central government s pledge to build more housing, as well as the bounce back of the housing market in the United Kingdom following the housing market crash and recession of ,000 65,000 60,000 55,000 50,000 45,000 Number of Employees 51,500 52,000 48,000 60,500 64,500 40, Chart ,500 16,000 15,500 15,000 14,500 14,000 13,500 Number of Enterprises 13,350 13,330 13,935 15,015 16,290 13, Chart Construction Skills Network Forecasts, East of England 2016, CITB Essex Employment & Skills Board Sector Profile 2017 Page 8 of 19

9 Employees in Local Authority Areas 9,855 7,410 7,115 6,240 5,440 4,930 4,080 3,630 3,480 2,835 2,765 2,590 2,450 2,085 The local authority areas with the largest clusters of employees are Basildon (9,855), Epping Forest (7,410) and Chelmsford (7,115). The local authority areas with the fewest employees are Harlow (2,590), Maldon (2,450) and Castle Point (2,085). National Comparison of Growth Chart % 35% Enterprises 30% 25% Employees 20% 10% 12% 12% 15% 15% 14% 0% -10% London East Greater Essex North West -4% London saw the largest growth in the number of enterprises and employees between 2011 and 2015 across all of the regions of Great Britain; which could be associated with the large demand for properties in the capital. The East of England placed slightly above the average, again the construction sector has been driven by demand, as more people are moving out of London because of the high property prices. Regional Comparison of Growth % 25% 20% 15% 10% 5% 0% Chart % 25% 11% 17% 15% 10% 9% Between the counties of the East of England, Greater Essex experienced the largest increase in both the number of Enterprises and Employees. Showing how large infrastructure projects and increased housing developments have helped stimulate the sector and demand. However, this does not disguise the challenges the sector is facing if it wants to continue this positive growth. 9% 15% Enterprises Employees 6% 5% 6% Greater Essex Bedfordshire Cambridgeshire Suffolk Hertfordshire Norfolk Chart 1.9 Essex Employment & Skills Board Sector Profile 2017 Page 9 of 19

10 Change in Number of Enterprises and Employees ( ) in Construction in the Eastern Region of Great Britain Enterprises Norfolk Employees Enterprises Cambridgeshire Employees Enterprises Bedfordshire Employees Enterprises Suffolk Employees Enterprises Hertfordshire Employees Enterprises Greater Essex Employees Workforce Concentration of Construction Sector by Ward Map 1.0 Map 1.1 Essex Employment & Skills Board Sector Profile 2017 Page 10 of 19

11 Analysis of Vacancies There were 12,299 job postings advertised in the Construction Sector during Outlined below is data showing the distribution of salaries on offer, the skills in demand and the occupations being advertised. Vacancy data is sourced from and is for the period Jan 1st 2016 and Dec 31st SOC codes used to analyse vacancies can be seen in the appendix. Skills in Greatest Demand Top 10 Baseline Skills Skills Job Postings Communication Skills 1,597 Planning 982 Organisational Skills 844 Customer Service 495 Microsoft Excel 453 Team Work/ Collaboration 346 Detail-Orientated 338 Problem Solving 302 Writing 287 Microsoft Office 282 Postings with unspecified skill: 5,336 Table 1.2 Skills in Greatest Demand Top 10 Specialised Skills Chart % of vacancies had communication listed as a skill required Chart % of the top 20 Specialised Skills do not require you to be present a construction site Skills Job Postings Repair 976 Contract Management 850 Project Management 691 Procurement 575 Computer Aided Draughting/Design (CAD) 506 Civil Engineering 462 Contract Preparation 414 Construction Industry Knowledge 390 Inspection 333 Estimating 294 Postings with unspecified skill: 5,336 Table 1.3 Essex Employment & Skills Board Sector Profile 2017 Page 11 of 19

12 Other Skills in Demand Chart 2.2 Distribution of Advertised Salary Salary range Job Postings More than 90, ,000 to 89, ,000 to 79, ,000 to 69, ,000 to 59, ,000 to 49,999 1,093 30,000 to 39,999 2,403 20,000 to 29,999 2,346 15,000 to 19, ,000 to 14, Less than 10, Postings with 4,171 unspecified salary: Table 1.4 Chart 2.3 Vacancies in Local Authority Area 2,192 1, Chart 2.4 Top Occupations in Demand (SOC 4) Essex Employment & Skills Board Sector Profile 2017 Page 12 of 19

13 Occupation Job Postings Quantity surveyors (2433) 1,599 Electrical and electronic trades n.e.c. (5249) 1,376 Elementary construction occupations (9120) 1,092 Production managers and directors in construction (1122) 1,067 Electricians and electrical fitters (5241) 829 Plumbers and heating and ventilating engineers (5314) 807 Civil engineers (2121) 779 Chartered surveyors (2434) 708 Carpenters and joiners (5315) 576 Construction and building trades n.e.c. (5319) 562 Draughtspersons (3122) 470 Construction operatives n.e.c. (8149) 323 Architectural and town planning technicians (3121) 230 Chartered architectural technologists (2435) 213 Construction and building trades supervisors (5330) 210 Architects (2431) 207 Town planning officers (2432) 204 Construction project managers and related professionals (2436) 171 Painters and decorators (5323) 154 Air-conditioning and refrigeration engineers (5225) 145 Glaziers, window fabricators and fitters (5316) 111 Building and civil engineering technicians (3114) 109 Bricklayers and masons (5312) 106 Road construction operatives (8142) 64 Roofers, roof tilers and slaters (5313) 48 Plasterers (5321) 44 Floorers and wall tilers (5322) 35 Furniture makers and other craft woodworkers (5442) 32 Steel erectors (5311) 17 Rail construction and maintenance operatives (8143) 10 Pipe fitters (5216) 1 Table 1.5 Chart 2.5 Architects, Town Planners and Surveyors (243) Construction and Building Trades (531) Electrical and Electronic Trades (524) Elementary Construction Occupations (912) Production Managers and Directors (112) Engineering Professionals (212) Draughtspersons and Related Architectural Technicians (312) Construction Operatives (814) Building Finishing Trades (532) Construction and Building Trades Supervisors (533) Metal Machining, Fitting and Instrument Making Trades (522) Science, Engineering and Production Technicians (311) Other Skilled Trades (544) Metal Forming, Welding and Related Trades (521) Essex Employment & Skills Board Sector Profile 2017 Page 13 of 19

14 Occupation and Salary Information Demand and Employment Salary Source: Burning ONS, Q2 2016¹ Burning ONS, 2015² Glass Glass SOC Code Occupation title No of Job Postings in Number in employment Mean Advertised Mean Salary Greater Essex (UK-wide) Salary in Greater Essex 2433 Quantity surveyors 1,599 53,002 49,809 40, Electrical and electronic trades n.e.c. 1,376 89,576 28,291 31, Elementary construction occupations 1, ,686 18,775 20, Production managers and directors in construction 1, ,951 46,049 48, Electricians and electrical fitters ,556 30,456 30, Plumbers and heating and ventilating engineers ,647 33,168 27, Civil engineers ,654 41,457 41, Chartered surveyors ,438 39,192 36, Carpenters and joiners ,649 29,825 25, Construction and building trades n.e.c ,257 34,593 26, Draughtspersons ,106 31,235 29, Construction operatives n.e.c ,021 27,668 22, Architectural and town planning technicians ,173 37,131 N/A 2435 Chartered architectural technologists ,583 33, Construction and building trades supervisors ,525 39,614 34, Architects ,702 47,503 42, Town planning officers ,879 34,000 N/A 2436 Construction project managers and related professionals ,800 31,142 39, Painters and decorators ,013 26,897 23, Air-conditioning and refrigeration engineers ,771 32,190 31, Glaziers, window fabricators and fitters ,901 23,480 20, Building and civil engineering technicians ,116 35,257 28, Bricklayers and masons ,051 29,344 25, Road construction operatives 64 17,106 26,048 26, Roofers, roof tilers and slaters 48 42,158 35,547 23, Plasterers 44 57,469 29,853 23, Floorers and wall tilers 35 28,834 27,006 27, Furniture makers and other craft woodworkers 32 38,476 23,330 21, Steel erectors 17 8,637 N/A 27, Rail construction and maintenance operatives 10 10,860 N/A 33, Pipe fitters 1 13,165 N/A 39,505 Table 1.6 ¹ Employment figures from ONS report EMP04, published 12th August 2015 ² Salary data from ASHE 2014 (revised) Table 15 - Region by Occupation (4 digit SOC 2010) - Table 15.7a Annual pay Gross, published 18th November 2015 Essex Employment & Skills Board Sector Profile 2017 Page 14 of 19

15 Highlights from ESB Construction and Skills Research The following section highlights some of the research from the recent study undertaken by the CITB to identify the skills needs of the sector in Greater Essex. This report contains sections including: A picture of supply A view of demand Mobility of the workforce Demand against supply The full report can be found here: A Picture of Supply Current construction workforce estimates for the East of England are just over 237,000 workers. Greater Essex accounts for 36% of the East s current construction employment (approx. 85,500 workers 5 ). The size profile of employers across Greater Essex are overwhelming (95%) micro sized companies (0-9 employees). Thirty-eight training providers delivered construction relevant FE courses within Greater Essex, with the six main providers delivering over two-thirds (70%) of all FE Construction and Building Services Engineering learning. A View of Demand Chart 2.6 Total construction labour demand including estimate for R&M and projects not in the Glenigan database By supplementing the Glenigan 6 pipeline with the projections of non-glenigan new build and Repair & Maintenance work, The CITB were able to produce a labour demand analysis which represented the wider construction work taking place within the Greater Essex area in the period incorporating the projected growth of the sector. According to these projections, the total labour demand will rise to a peak of around 97,650 people in The CITB figure calculated for the number of people employed in construction differs from number of employees calculated in section 1. This is due to different methodologies used by the ESB and CITB in their calculations. 6 The Glenigan database contains details of the planning applications from local authorities. Glenigan supplements this with additional projectspecific data. The Glenigan database does not identify every single project in an area as some small projects (typically but not exclusively those less than 250,000 in value) and those which do not require a planning application (including repair and maintenance) are not included. Essex Employment & Skills Board Sector Profile 2017 Page 15 of 19

16 Chart 2.7 Mobility of the Workforce The construction workforce is high mobile, with workers tending to move from project to project, meaning they could be working in other counties or regions. The average (mean) distance workers are willing to travel from their current home address is 27 miles, further than the UK average of 22 miles. Only the South East has a higher figure for inward travel to work (42%), when compared to the East of England (37%). The graph below show the furthest distance, from their current place of residence, people were working in the past 12 months. Chart 2.8 Essex Employment & Skills Board Sector Profile 2017 Page 16 of 19

17 Construction Labour Demand Arising from the Glenigan Pipeline for the Essex Employment & Skills Board area by Occupation in the Peak Year Chart 2.9 Essex Employment & Skills Board Sector Profile 2017 Page 17 of 19

18 Appendix SIC Codes used by ESB to classify the Construction Sector 2007 SIC code Description 41.1 Development of building projects 41.2 Construction of residential and non-residential buildings 42.1 Construction of roads and railways 42.2 Construction of utility projects 42.9 Construction of other civil engineering projects 43.1 Demolition and site preparation 43.2 Electrical, plumbing and other construction installation activities 43.3 Building completion and finishing 43.9 Other specialised construction activities 71.1 Architectural and engineering activities and related technical consultancy 71.2 Technical and testing and analysis SOC Codes used by ESB to classify the Construction Sector Table SOC Code Definition 1122 Production Managers and Directors in Construction 2121 Civil Engineers 2431 Architects 2432 Town Planners 2433 Quantity Surveyors 2434 Chartered Surveyors 2435 Chartered Architectural Technologists 2436 Construction Project Managers and related professionals 3114 Building and Civil Engineering Technicians 3121 Architectural and Town Planning Technicians 3122 Draughtspersons 5216 Pipe Fitters 5225 Air-Conditioning and Refrigeration Engineers 5241 Electricians and Electrical Fitters 5249 Electrical and Electronic Trades 5311 Steel Erectors 5312 Bricklayers and Masons 5313 Roofers, Roof Tilers and Slaters 5314 Plumbers and Heating and Ventilating Engineers 5315 Carpenters and Joiners 5316 Glaziers, Window Fabricators and Fitters 5319 Construction and Building Trades 5321 Plasterers 5322 Floorers and Wall Tilers 5323 Painters and Decorators 5330 Construction and Building Trades Supervisors 5442 Furniture Makers and Other Craft woodworkers 8141 Scaffolders, Stagers & Riggers 8142 Road Construction Operatives 8143 Rail Construction and Maintenance Operatives 8149 Construction Operatives 9120 Elementary Construction Occupations Table 1.8 Essex Employment & Skills Board Sector Profile 2017 Page 18 of 19

19 Tables, Charts and Maps Reference Page Table 1.0 Size of Enterprises in Greater Essex 7 Table 1.1 Examples of Local Companies 7 Table 1.2 Top 10 Baseline Skills in Demand 11 Table 1.3 Top 10 Specialise Skills in Demand 11 Table 1.4 Distribution of Advertised Salary 12 Table 1.5 Top Occupations in Demand (SOC 4) 13 Table 1.6 Occupation and Salary Information 14 Table 1.7 SIC 2007 Codes Used 18 Table 1.8 SOC 2010 Codes Used 18 Chart 1.0 Number of Enterprises in Greater Essex (SIC 2) 6 Chart 1.1 Number of Enterprises in Local Authority Areas 6 Chart 1.2 Size of Enterprises Across Greater Essex 7 Chart 1.3 Change in Size of Enterprises Chart 1.4 Number of Employees in Greater Essex (SIC 2) 8 Chart 1.5 Number of Enterprises Chart 1.6 Number of Employees Chart 1.7 Number of Employees in Local Authority Areas 9 Chart 1.8 National Comparison of Growth in Number of Enterprises and 9 Employees Chart 1.9 Regional Comparison of Growth in Number of Enterprises and 9 Employees Chart 2.0 Top 10 Baseline Skills in Demand 11 Chart 2.1 Top 10 Specialise Skills in Demand 11 Chart 2.2 Other Skills in Demand Word Cloud 12 Chart 2.3 Distribution of Advertised Salary 12 Chart 2.4 Vacancies in Local Authority Areas 12 Chart 2.5 Occupations in Demand (SOC 3) 13 Chart 2.6 Employment Forecast 15 Chart 2.7 Total Construction Labour Demand 16 Chart 2.8 Furthest Distance Travelled to Work in the Last 12 Months 16 Chart 2.9 Construction Labour Demand by Occupation 17 Map 1.0 Enterprises and Employees in the Eastern Region ( ) 10 Map 1.1 Workforce Concentration Map of Greater Essex 10 Essex Employment & Skills Board Sector Profile 2017 Page 19 of 19