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UK workforce not ready for future without major reform, warns CIPD

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The report, Lifelong learning in the reskilling era: From luxury to necessity, outlines how “technological change, demographic shifts and the transition to a greener economy are reshaping the jobs landscape.” Without immediate action, it warns, millions of workers could be left behind as roles disappear or evolve beyond current skillsets.

Ageing population and uneven access to training

Older workers are a growing part of the UK labour force, but face significant barriers to progression and retraining. According to the report, “[A]s workers age, they face growing barriers to mobility, career progression and continued development. This not only undermines individual wellbeing and financial security, but also limits the productivity and resilience of the wider economy.”

Although people over 50 are increasingly likely to remain in work, the CIPD found that “job-to-job and occupational mobility” falls steeply with age, as do learning opportunities. “[J]ust 51% of 45–54-year-olds and 47% of over-55s feel they are developing in their current roles,” the report states.

Participation in training is also shaped by social class. The report notes that “adults in the highest socio-economic groups (AB) are one and a half times more likely to participate in learning than those in the lowest (DE) – 60% versus 39%.”

Barriers include time, cost, poor employer support and a lack of flexible learning options. According to the CIPD, “many adults simply cannot afford to take time off work, nor do they receive encouragement or investment from their workplace.”

AI and the green transition changing job demand

The CIPD highlights the impact of generative AI, which is “concentrated in higher occupational classes”, and warns that while some jobs will be lost, others will be augmented in ways that demand new capabilities. The report cites the World Economic Forum, noting that employers expect “skills in AI and big data” to see the fastest growth, followed by “cybersecurity, networking and digital literacy”.

Human-centric skills remain essential. “Creative thinking, adaptability, resilience and a commitment to continuous learning are increasingly seen as essential in a rapidly changing world of work,” the report says.

The shift to a net-zero economy will also transform employment. “Around 6.3 million workers – roughly one in five – will see their jobs change due to the transition to net zero by 2050,” the report finds. It stresses the need for investment in green skills and support for regions most exposed to disruption.

Employer action and policy reform needed now

The CIPD warns that both employer and government investment in adult learning have declined. “Employer training investment fell from £4,095 per trainee in 2011 to just £2,971 per trainee in 2022, a fall of 27%,” while “public spending on adult learning… has fallen by 31% in real terms since its peak in 2003/04.”

Despite government pledges, “engagement in adult learning remains uneven, patchy and shaped by socio-economic divides,” the report notes. “Evidence reveals a story of progress stalling – and, in some areas, reversing – just when we need it most.”

The CIPD calls for coordinated national and regional policies, citing successful international models such as training vouchers, paid educational leave and short, modular courses. “The experiences of Austria, Estonia, Hungary, Italy, the Netherlands and Singapore demonstrate that sustained increases in adult learning participation are achievable through coordinated and adaptive reform strategies.”

Within the UK, the report identifies divergence between the devolved nations and England, warning that structural reform alone will not be enough. It also criticises the lack of transparency around the Apprenticeship Levy, which has “undermined employer confidence”.

To ensure economic resilience and inclusion, the report concludes that “embedding a culture of lifelong learning and continuous skills development” must be a national priority, supported by employers and policymakers alike.

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