SUBMISSION BY THE ROAD HAULAGE AND DISTRIBUTION TRAINING COUNCIL

Transcription

1 SUBMISSION BY THE ROAD HAULAGE AND DISTRIBUTION TRAINING COUNCIL 1 Background The Road Haulage and Distribution Training Council (RHDTC) is the National Training Organisation (NTO) for the road haulage and distribution industry throughout the UK. RHDTC is owned and led by the industry through the British Association of Removers, Freight Transport Association and the Road Haulage Association, supported by the Transport and General Workers Union and the United Road Transport Union. RHDTC s role is to promote training and agree standards throughout the industry, to act as a source of information to employers on education and training and to represent the views of the industry nationally. The road haulage and distribution sector underpins much of Scotland s economic activity. The sector includes a wide range of activities involving both business to business and business to consumer services. This includes: Own account haulage by companies whose main business is not road haulage or distribution but which have their own transport an distribution operations Hire and reward haulage by general freight and logistics companies Courier businesses, eg pedal and motor cycle couriers, parcels/sameday delivery companies Removals and storage companies Storage and warehousing In Scotland, RHDTC s latest data (March 2001) shows: 4,000 road haulage companies 43,000 road haulage workers (over 4% of the Scottish workforce) an industry of SMEs (Only 2% of Scottish firms employ more than 100 people) In Spring 2001 RHDTC undertook a major survey of employers throughout the UK. Scottish employers highlighted education and training issues which were common throughout the UK but also raised some particular concerns which suggested that education and training for the workforce was more problematic in Scotland than elsewhere in the UK. In this context RHDTC particularly welcomes the Enterprise and Lifelong Learning Committee s Inquiry which we view as both timely and necessary if our industry is to respond to the goals set in recent publications such as A smart, successful Scotland. 2 Relevant Workforce Issues in Scotland The main issues raised by our Scottish employers relating to workforce development and lifelong learning were:

2 Increase the number of trained drivers. 65% of Scottish hauliers see a need to increase the supply of LGV drivers. This can be achieved by attracting more young people into the industry and by retraining older workers as drivers. Improve levels of literacy and numeracy in the workforce. The low levels of core skills within the industry are problematic, when more demands are being placed on staff at all levels. Set out clearer career paths for all employees. This makes the industry more attractive to young people or older recruits. It aids retention of existing staff and enables them to plan their continuing vocational development. Improve the training of managers. Many managers have little or no specific management training. This was given a higher priority by Scottish employers than elsewhere in the UK (71% in Scotland compared with 59% in England). This may reflect the higher percentage of SMEs in Scotland. Increase the training capacity and improve the quality of the training infrastructure of the sector. This is a concern of 63% of Scottish businesses. The geography of Scotland, especially in the HIE area, makes driver training and SVQ delivery expensive and therefore in short supply. Compensate companies who train their staff if these individuals subsequently leave. Scottish employers place a very high priority on this. 90% of Scottish employers support this concept. Poaching of recently trained staff is viewed as a major deterrent to companies encouraging lifelong learning for their employees. RHDTC has formulated a workforce development action plan which seeks to address these concerns. It is set out in terms of three strands of activity with objectives for each strand, as shown below. Strand 1- Addressing current and future skill gaps in the Scottish workforce Objectives:- 1. Ensure the supply of LGV drivers in Scotland increases by 1,400 per annum 2. Identify, set out and promote clear career paths for employees in the sector. 3. Raise the levels of literacy and numeracy in the sector. Strand 2 - Raising the skills of managers and supervisors in the sector in Scotland Objectives:- 4. Provide a recognised and well-regarded career path for developing new managers in the industry, supported by a qualifications framework. 5. Ensure owners and managers in the sector undertake continuous professional development that meets business objectives. Strand 3 - Supporting the expansion of a high quality, responsive training infrastructure in Scotland

3 Objective:- 6.Ensure the training infrastructure has the capacity to deliver the volume, range and quality of training provision required to meet industry demands. These objectives should further a culture of lifelong learning within the sector. 3 Response 3.1 Education versus Training RHDTC considers that the division between academic and vocational education is unhelpful to our sector and inhibits recruitment of quality young people. Young people are encouraged by schools, careers services and parents to continue into full time further and higher education without giving full consideration to the vocational alternatives which may be more appropriate and lead to better career prospects. This division can be widened through funding models. We consider the FastTrac model which has been piloted in Fife, where all funding for workplace and non-advanced further education comes from one source, to be helpful. Consideration should be given to extending a unified funding model throughout Scotland. 3.2 Careers Guidance RHDTC welcomes the establishment of Careers Scotland. We have much anecdotal evidence which suggests that in the past careers staff have given inappropriate advice to young people. Through a lack of knowledge of the road haulage and distribution industry, the careers opportunities which our sector offers have not been presented to young people. It is vital for the careers service to fully engage with the different industry sectors. RHDTC would be pleased to facilitate this for our own sector. In the context of lifelong learning, it is important that careers guidance does not stop when people leave full-time education. It is equally important for adults at all stages of their career development. We hope that Careers Scotland will be encouraged to provide an appropriate service to this client group. RHDTC would be willing to work with Careers Scotland to encourage the provision of appropriate careers guidance on our sector to people of all ages. 3.3 Labour Market Intelligence RHDTC welcomes the establishment of Future Skills Scotland and concurs with the Minister s recognition of good labour market intelligence as essential for Scotland s future economic prosperity. Lifelong learning strategies must be based on accurate and up to date LMI.

4 We hope that FSS will : Act in a co-ordinating role by bringing together all the players concerned in the gathering and dissemination of LMI and by facilitating co-operation between them Be inclusive, not exclusive, in its choice of partner organisations Recognise that NTOs are already involved in regular collection and dissemination of sectoral LMI and utilise this to the full. RHDTC will explore opportunities to co-operate with and enhance FSS activities. 3.4 Highland and Islands The geographical challenges presented by the Highlands and Islands are problematic for our sector. We commend the strategies and philosophy of Highlands and Islands Enterprise and its network of local enterprise companies. HIE s use of its Realising Potential development plan is a model, showing how an enterprise agency can turn strategy into practice. HIE strikes the correct balance between co-ordinating activities and administrative systems throughout its LEC network and allowing freedom for its LECs to respond individually to local business needs. 3.5 Employer Understanding Employers require a better understanding of the labour market and the training infrastructure, including: the realities of today s labour market the qualifications which prospective employees may possess the opportunities to access education and training for their workforce (including funding) NTOs are well placed to connect with employers on these issues. However, NTOs require adequate funding to enable them to effectively improve employer understanding in Scotland. 3.6 Strategy Backed by Action It is necessary to ensure that strategies and targets announced by Ministers are achievable and deliverable. While RHDTC supports Scottish Government lifelong learning strategies, we are concerned that: Some are incompatible eg There are targets for a) the number of modern apprentices and b)the percentage of young people going into full-time further and higher education. One target can only be achieved at the expense of the other as there is a finite number of school leavers in Scotland each year. A joined up approach is required to ensure compatibility of targets set by Ministers. Some strategies are announced without ensuring that adequate funding is in place to support them eg the recent announcement that modern apprenticeships would be available to over 25 year olds has

5 not proved to be a reality. Since LEC MA budgets have not been increased to cope with this new age group, our employers have been unable to access funding for MAs for the over 25 age group. Increased funding for older MA entrants should be a priority. 3.7 Geographical Disparities Between Scotland and Other UK Countries RHDTC has no desire to see Scotland blindly following developments in the rest of the UK where these are not appropriate. However, it is frustrating for our Scottish employers to see initiatives and policies applying outside Scotland which they would wish to adopt within Scotland and then find that there is no provision for similar actions in Scotland. The main concern for our sector over the past year has been level 2 modern apprenticeships which have proved very successful in road haulage and distribution in England and Wales because we have been able to link them to our Young Drivers Scheme. This is an effective solution to the problem of attracting young people into the industry. Our Scottish employers are mystified as to why level 2 MAs cannot be introduced into Scotland. Along with other NTOs, RHDTC has repeatedly raised this matter with the Modern Apprenticeship Implementation Group (MAIG) and with the Scottish Executive but has not received a satisfactory response. RHDTC strongly supports the introduction of level 2 modern apprenticeships in Scotland. Another major concern has been the Chancellor s announcement in November 2000 of additional funding to improve training in the road haulage sector. In England and Wales RHDTC has been able to work with the Government s Working Group to ensure that this funding is used to the benefit of the industry. Again, our Scottish employers see new training initiatives south of the border and query why they are excluded. RHDTC wishes to see parity of funding between Scotland and other UK countries so that lifelong learning in Scotland is not disadvantaged Between LECs It does not encourage lifelong learning on a national basis when disparities in eligibility criteria and funding levels exist between different LECs. We suggest that Scottish Enterprise and Highlands and Islands Enterprise should determine eligibility criteria and funding levels for all government funded training programmes applicable across the whole of Scotland. Our training providers and employers who deal with more than one Scottish Enterprise LEC would appreciate standardisation of the paperwork across the SE network in the same way as Highlands and Islands Enterprise LECs have achieved for many years. Unnecessary bureaucracy inhibits take up of funded programmes which could contribute to lifelong learning in the industry.

6 3.8 Funding Flexibility RHDTC would like to see lifelong learning encouraged by a more flexible approach to funding support given by the LECs to employers. Areas which require to be addressed include: Support for existing employees. While we appreciate that companies should be willing to invest in the training and development of their existing workers, there is no doubt that some level of financial support from the LEC for this can act as a powerful incentive to the process. Support for training leading to qualifications other than SVQs. As an NTO, RHDTC supports the use of SVQs wholeheartedly. However, we recognise that in many instances other qualifications can be more appropriate. We would welcome such a recognition from LECs as shown in financial support for the gaining of such qualification eg for management qualifications, City and Guilds Wordpower and Numberpower, C and C+E licences, RHDTC s Young Drivers Scheme For NTOs in Scotland Until the establishment of the Scottish Parliament, NTO funding from the then Department for Education and Employment was allocated to cover England, Wales and Scotland. DfES now states that its funding must be used outwith Scotland. No replacement funding has been made available by the Scottish Executive and this severely inhibits the activities of NTOs in Scotland. NTOs are uniquely well placed to engage with employers and to support and encourage them with lifelong learning for their workforce but this can only be achieved if NTOs are adequately resourced for their core activities in Scotland. While NTOs can access ESF or project funding for specific Scottish activities, this is no substitute for adequate core funding, indeed it can actually distort NTO activity away from important industry priorities. If NTOs are to fully participate in the encouragement of lifelong learning in Scotland, this funding issue must be resolved quickly. RHDTC requests the Scottish Executive to address the funding of NTO core activities in Scotland as a matter of urgency. 3.9 Training capability Capability and Quality of Training Provision In order to ensure an expansion of quality training provision for the road haulage and distribution sector in Scotland, more financial support on a long term basis is required. For instance, a long term programme of support for the training of drivers would ensure that companies commit to such training over a period of time. Training providers would then be assured of substantial business which would make it worthwhile for them to allocate resources to the development of quality facilities.

7 3.9.2 Basic Skills Many of the existing and potential workforce are held back from further development because of their lack of basic skills. These include not just the literacy and numeracy skills highlighted in our employer survey but also basic employability and life skills such as punctuality, customer care, working with others etc. The Scottish Executive should encourage a programme aimed at developing and enhancing these skills across the Scottish workforce. RHDTC would be pleased to assist with the implementation of a programme to improve literacy and numeracy skills of employees within our sector Unlocking Private Provision Larger companies have the capability to train and develop their own workforce. In a sector where SMEs predominate it would be useful if this potential could be developed to allow the facilities of the larger companies to be accessed by SMEs. RHDTC has achieved this in pilot projects in England which could be modified and replicated in Scotland. RHDTC is currently discussing with Scottish Enterprise Edinburgh and Lothian a project where six large companies will use their in-house training facilities to train redundant Motorola workers as HGV drivers. The success of such cooperative projects depend on there being some protection for the employer who has invested in training in this way. John Bowman, Operations Manager Sheila McCullough, Scottish Representative