1. South West Healthy Labour Market Review Final Report Matthew Williams Institute for Employment Studies

2. Structure and Methodology Framework model developed by HLMRG Broad Outcome Indicators  employment, output and productivity, labour supply, efficient and equitable functioning Closer to Policy Indicators & Learning Targets  skills shortages and gaps, participation in learning and training, qualifications Analysis of nationally available, regularly updated datasets

3. A Healthy South West - Broad Outcome Indicators A strong level of labour demand Large proportion of employment in high-level occupations Low unemployment rate, and little long-term unemployment Relatively low levels of individual inequality

4. A Healthy South West - Closer to Policy Indicators/Learning Targets A highly qualified workforce Above average expenditure on research and development Low level of internal skills gaps among South West businesses Low level of external skills shortages

5. But not so Healthy in terms of: Employment in the region has fallen recently Loss of businesses in the region Businesses experiencing quantitative recruitment difficulties Low level of output per head in the region

6. GVA per Head: Time Series

7. Low-skills equilibrium? Evidence that the region is operating in a low-skills equilibrium Low levels of productivity in the region Across most industrial sectors Despite having a highly qualified workforce Low level of skills shortage vacancies

8. Output per worker by sector

9. Qualifications vs Output

10. Sub-regional differences Major sub-regional differences It’s worse in the west With lower earnings than the north & east And higher unemployment Swindon and Bristol close to South East, in terms of earnings and output per head Cornwall and Devon close to, or worse than, the worst regions on most indicators

11. Average Weekly Earnings: LADs

12. Unemployment: LADs

13. Sustainability Although strong labour demand, some indicators are pointing downwards Employment rate has fallen since a peak in 2000 Number of employees has fallen faster than in any other region in last year Warning not to be complacent

14. Employment Rate Trends

15. Change in employees in employment - Sept 02-Sept 03

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