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‘TIMEBOMB’ FOR UNSKILLED AS RECRUITMENT IS CUT BACK

Thousands of workers are at risk from a huge fall in the demand for unskilled staff, the Confederation of British Industry says today. One in three firms plans to recruit fewer workers with no qualifications over the next three years, according to the CBI’s annual survey of employment trends.

While demand for graduates is growing rapidly, firms told the CBI that prospects for Britain’s six million unskilled workers are looking grim.

“Companies are serving notice that there is a timebomb ticking under the job opportunities of low skilled,” said John Cridland, the CBI’s deputy director general. “The findings should be a wake-up call to employers, employees, unions and the government.”

Two thirds of jobs now require qualifications. As a result, only one in three unskilled workers has a job. A third of the firms that took part in the survey said a lack of suitably skilled applicants posed significant or severe business problems. Construction businesses and professional services firms such as accountants and legal firms are worst hit.

Businesses also expressed widespread dissatisfaction with the literacy and numeracy of school leavers. According to the CBI, businesses were forced to invest nearly £24bn last year making up for schooling deficiencies.

THE GUARDIAN, Sept. 9, 2002