Sheffield City Region Quarterly Economic Survey
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1 Sheffield City Region Quarterly Economic Survey 1st Quarter 2016 Skills and Labour
2 Sheffield City Region Quarterly Economic Survey Foreword The picture for the labour market in the Sheffield City Region continues to show differences between the service and manufacturing sectors. Over the last quarter, more businesses in both sectors increased their workforce than reduced it. Looking back over the past year, there was an increase in the proportion of service businesses recruiting staff, but manufacturing businesses appeared less buoyant. This reflected an overall growth in business for those in the service sector. Over the next quarter, businesses in both sectors plan to increase the size of their workforces. However, for manufacturers this proportion is set to be considerably lower than for the same period last year. On the positive side, of those businesses which recruited were looking to fill full-time jobs in manufacturing, while more than 5 of service sector businesses were offering permanent positions. Over the past quarter, both sectors experienced difficulties in recruiting, although the situation had improved over the last year. businesses continued to experience difficulties in recruiting skilled and technical staff. Investment in training, on balance, remained constant for service businesses. The balance of manufacturing businesses still expected to invest in training but this proportion has declined over the last year. Nearly 5 of businesses had no plans to recruit apprentices in the year ahead, with the majority claiming to not need one. The majority of businesses in both sectors awarded pay rises equal to or above inflation, although a significant number had not. Prof. Andrew Simpson Associate Dean External Business Advancement Sheffield University Management School Q1-2016
3 Q1 - Workforce During the last 3 months, has your workforce: Increased Remained constant Decreased This quarter: On balance, in both sectors, more businesses said they had increased their workforce. : More service businesses had increased their workforce in the last quarter than at the same time last year. There was a decline in the proportion of manufacturing businesses increasing their staff. 35% 25% 15% +12pts -22pts 5% Q2 - Job opportunities Over the past 3 months, have you attempted to recruit employees: Yes No This quarter: On balance the majority of businesses in both sectors had tried to recruit staff. : On balance slightly more service businesses looked to recruit staff while there was a decline in manufacturing pts -13pts #screconomy
4 Sheffield City Region Quarterly Economic Survey Q2b - Job opportunities If yes were they for: Part-time jobs Full-time jobs 8 7 This quarter: The majority of job opportunities, both full and part time, were in the service sector. The proportion of job opportunities in the manufacturing sector declined. : Overall, the majority of new jobs in services businesses increased but decreased in manufacturing. 6 5 Part-time services +2.5pts Full-time services +15pts Part-time manufacturing -3pts Full-time manufacturing -15pts Q2c - Job opportunities If yes were they for: Temporary jobs Permanent jobs 8 This quarter: The proportion of permanent job opportunities in the service sector declined but increased in the manufacturing sector. : Overall the proportion of permanent jobs in the service sector increased, but decreased in manufacturing Service temporary +4pts permanent +12pts temporary 6pts permanent 10pts Q1-2016
5 Q3 - Employee suitability During the last three months, did you experience any difficulties finding suitable employees? Yes No This quarter: Both sectors experienced difficulty in recruiting employees. : Both sectors experienced less difficulty recruiting than a year ago pts -24pts Q4 - Workforce Over the next three months, do you expect your workforce to: Increase Remain constant Decrease 45% This quarter: On balance both sectors expected the size of their workforce to increase in the next quarter. : A slightly higher proportion of businesses in the service sector expected to increase their workforce but there was a significant decline in the manufacturing sector. 35% 25% 15% +3pts -17pts 5% #screconomy
6 Sheffield City Region Quarterly Economic Survey Q5 - Training investment Over the past three months, how have investment plans for training fared: Increased Remained constant Decreased 45% This quarter: On balance, both sectors invested in training and there was a significant uplift in the manufacturing sector. : Investment in training remained largely static for the service sector, but despite this quarter s uplift, it declined in manufacturing. 35% 25% 15% +1pts -6pts 5% Q6 - Salary Has your organisation awarded a general pay rise in the last 12 months? The majority of businesses awarded a pay rise at inflation or above, however a significant minority made no pay award. 44% 0.6% 2.5% 32% 22% Yes - above inflation increase Yes - in line with inflation Yes - below inflation increase We have asked employees to take a pay cut No Q1-2016
7 Q7 Apprenticeships Are you likely to recruit an apprentice in the next 12 months? A third of businesses said they planned to recruit an apprentice in the next 12 months, but nearly half had no such plans. 17% 34% 49% Yes No Not sure Q7b - Apprenticeships If no, please indicate your reasons for not recruiting an apprentice: Over three quarters of businesses in both sectors stated a lack of need for an apprentice. 6% 4% 17% I don t know enough about apprenticeships to employ one I don t have the time/money to recruit/support for an apprentice 72% I don t need an apprentice I previously had an apprentice but they did not benefit my business #screconomy
8 Sheffield City Region Quarterly Economic Survey This Quarterly Economic Survey (QES), sponsored by RBS South Yorkshire & North Derbyshire, brings together results obtained from an online survey carried out within the Sheffield City Region by the Local Enterprise Partnership, the Chambers of Commerce in Barnsley & Rotherham, Doncaster, East Midlands and Sheffield, and Sheffield University Management School. The results will be used to influence local, regional and national governments and decision-makers as well as to help shape the support structures available to the local business community. #screconomy This publication is produced by the following organisations: Doncaster Chamber 2016
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