1. Importance of LMI to FE Sector The UKCES Offer ColegauCymru – Annual Conference 21 May Alex Thornton

4. Careers Wales LAs

6. 6

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9. 9 Vacancies have been rising in Wales but Skills Shortage Vacancies have also been rising rapidly

10. 10 Pockets of Skills Shortage Vacancies can be seen by sector across Wales

11. 11 And by occupation type

12. 67% 33% 55%30%42% 12%8%38% 9% c.54,000 2,007

13. 13% 6% 8% FE Colleges

14. 65% 14% 7% 11% 7% 44% 6% 8% 5% 8% Lack of info about courses Content not relevant to work

15. Use of Higher Education as a source of training for employers increased very slightly 6% to 8% Further Education saw no significant increase over this period 12% in 2012 to 13% in 2014 Colleges and HEIs have not kept pace with commercial sector providers as a source of training to employers Q. What is the size of the opportunity for colleges?

16. Summary: Where are the skills mismatches for Welsh employers Overall number of vacancies in Wales has been increasing Proportion of Welsh employers who are training their staff has also been increasing But Growth in Skills shortages is higher than growth in vacancies generally – SSVs are a potential barrier to growth and productivity This is particularly evident in North and South East Wales As elsewhere in the UK – Skilled Traded and Caring roles are particularly suffering from shortages And while proportion of employers who are training has increased their spend on training has decreased

17. Summary: Training, People Development and Employer Development The majority of employers in Wales train their staff (67 per cent). And a considerable proportion of all employers in Wales use external providers to deliver their training (42 per cent). There is an imbalance in the use of private and public providers for external training. Private providers are much more likely to be used (38 per cent) compared with nine per cent who use FE colleges and six per cent who use HEIs). The findings show that employers in Wales tend to make their choices based on the relevance of provision. Although it appears that employers are able to find the external training they want, whether through public or private provision, there is some move towards private training due to a perceived lack of suitable options among public providers.

18. Summary: Sector differences Among employers in the Non-market services sector who train their staff, there was a large decline between 2012 and 2014 in the proportion who use FE colleges to provide this training (31 to 19 per cent). A similar reduction was also seen amongst employers in the Construction sector (31 to 12 per cent), making this sector one of the least likely to use FE colleges for training. Primary sector employers were the only group to reduce their usage of commercial organisations for training from 2012 to 2014 (60 per cent to 41 per cent).

19. The UKCES and AoC guide: Using Labour Market Intelligence in a College Context https://www.aoc.co.uk/sites/default/files/Using%20Labour%20Market%20Intelligence%20i n%20a%20college%20context_1.pdf

20. Discussion questions in the guide LMI can be used for a wide variety of purposes in the sector Today focused on demand-side LMI sources from UKCES

23. https://www.gov.uk/government/organisations/uk- commission-for-employment-and-skills/about/research employer.surveys@ukces.org.uk @ukces