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Staff development helps firms struggling to fill vacancies, says survey

Over two-thirds of employers (68%) have appointed someone in the last year who didn’t have all the skills and experience required to do the job, and are investing in developing these people into the role. That’s according to the latest Annual Recruitment, Retention and Turnover Survey from the Chartered Institute of Personnel and Development (CIPD).

Rebecca Clake, Recruitment and Retention Adviser at the CIPD, said: "Many employers are sensibly recruiting people who are not quite the finished article, but who they see as having future potential.

"This means an ongoing challenge for line managers and training and development managers in ensuring the current high intake of employees with development needs go on to make a full contribution to their organisation."

The CIPD survey of 715 UK employers found that 85% had experienced difficulties recruiting for one or more vacancy in the last year – exactly the same proportion as recorded in the 2004 survey.

The proportion of private sector firms reporting recruitment difficulties in our 2005 survey grew to 85% (from 82% in the 2004 survey), while public sector recruitment difficulties eased from 90% in the 2004 survey to 83% in the 2005 survey.

"Low unemployment and a generally buoyant economy have made it a job-seekers market," said Clake. "Employers are fighting over a small number of potential recruits, and are left facing real difficulties getting the right people into the right jobs."

Of the 38% of employers who have turned to migrant labour to fill vacancies, over half say they have increased the proportion of vacancies they filled with overseas workers during 2004.

"In the face of such persistent recruitment difficulties, it is not surprising that many employers are looking overseas for new recruits," said Clake. "This shows how crucially important for the UK economy it is that government does not unduly restrict the supply of labour with any new legislation to limit immigration. If the new rules are set too tightly, employers will be left struggling to function due to a shortage of labour."

A shortage of leadership?

The CIPD survey found that 24% of employers reported most difficulty recruiting to senior management or director level vacancies – rising to 27% in the private sector – indicating, says the CIPD, a shortage of leadership talent. However, the category of vacancy causing the biggest recruitment headaches for employers was management and professional vacancies – 45% of employers said this was one of the categories of vacancy they were finding most difficult to fill.

"The difficulties that a quarter of employers have had recruiting at the most senior level in their organisations show how important investment in succession planning and leadership development by UK firms is," said Clake. "And shortages of managers and professionals highlight the need for employers to plan carefully to meet future business needs.

"It is dangerous to assume that senior talent can just be bought in when it is needed. Clear, long-term strategies for identifying the leaders of the future are the best ways of ensuring that UK organisations continue to thrive in the future."

The issues highlighted in the CIPD’s Annual Recruitment and Retention Survey will be discussed at the CIPD’s Annual Recruitment and Retention conference which takes place on 22-23 June at London Olympia.

External links

CIPD Annual Recruitment and Retention conference

A copy of the full survey report will be available at www.cipd.co.uk/surveys from 23 June 2005

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