HRreview 20 Years
This field is for validation purposes and should be left unchanged.
Subscribe for weekday HR news, opinion and advice.
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

Skills shortage imminent as inflow of migrant workers drops

-

New figures reveal that the number of EU workers applying for jobs in the UK has fallen to an all time low, decreasing by 99 per cent over this year.

Latest figures published by the Department of Work and Pensions (DWP) shows the severe drop in the amount of EU workers applying to work in the UK.

Between July and September 2020, National Insurance number registrations to EU nationals fell by 99 per cent, in comparison to this time last year.

Additionally, for non-EU nationals, the National Insurance number registrations also decreased by almost two-thirds (65 per cent).

HRreview Logo

Get our essential weekday HR news and updates.

This field is for validation purposes and should be left unchanged.
Keep up with the latest in HR...
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

These figures are likely to be a reflection of the ending of free movement for EU nationals to and from the UK which comes into play from the start of 2021 in addition to the new skills-based immigration system being implemented. The Chartered Institute of Personnel and Development (CIPD) have additionally partially attributed this decrease to COVID-19 although this fall was present before the pandemic.

Gerwyn Davies, Senior Labour Market Adviser at the CIPD, said:

This is a staggering fall in registrations, reflecting not just the current restrictions of the pandemic but the fact that the stock of overseas workers in the UK may be falling sharply.

With unemployment set to increase sharply over the next year as more stringent migration restrictions are introduced, it’s inevitable that more overseas workers, especially EU jobseekers, will find it easier to work or seek work in other parts of the EU.

This won’t concern employers too much in the short-term while recruitment activity remains weak. However, the worry is that the combined impact of the apparent exodus of EU workers and the continued, subdued inflow of EU jobseekers in particular will feed into recruitment difficulties in the medium-term.

As a result, the CIPD have called on the Government to increase investment in training and ensure that UK workers have the skills to compensate for the sharp fall in the availability of migrant workers.

Specific industries that are likely to be affected by the lack of EU workers include manufacturing, logistics and construction.

Some institutions have even called for changes to be made to the incoming points-based system. The recommendations for amendments included expanding the shortage occupation list, scrapping the general salary threshold of £25,600 and requiring sponsors to inform migrant workers of their employment rights in a way that is accessible to the worker.

Gerwyn Davies states that potential workers must be given access to training and support:

The good news is that this should force employers to make full use of available UK workers, especially those recently made redundant with relevant skills and up to date experience.

To help tackle these challenges, it’s crucial that the unemployed have sufficient access to training and support so they can develop both technical and core transferable skills to find work in sectors which are likely to face skill or labour shortages as the economy recovers.

Reforming the Apprenticeship Levy into a more flexible training levy would also enable employers to use their levy funds for other forms of accredited training and skills development, as well as apprenticeships, boosting overall workforce skills investment.

Monica Sharma is an English Literature graduate from the University of Warwick. As Editor for HRreview, her particular interests in HR include issues concerning diversity, employment law and wellbeing in the workplace. Alongside this, she has written for student publications in both England and Canada. Monica has also presented her academic work concerning the relationship between legal systems, sexual harassment and racism at a university conference at the University of Western Ontario, Canada.

Latest news

Felicia Williams: Why ‘shadow work’ is quietly breaking your people strategy

Employees are losing seven hours a week to tasks that fall outside their core job description. For HR leaders, that’s the kind of stat that keeps you up at night.

Redundancies rise as 327,000 job losses forecast for 2026

UK job losses are set to rise again as redundancy warnings hit post-pandemic highs, with employers cutting roles amid rising costs and economic pressure.

Rise of ‘sickfluencers’ and AI advice sparks concern over attitudes to work

Online influencers and AI tools are shaping how people approach illness and employment, heaping pressure on employers.

‘Silent killer’ dust linked to 500 construction deaths a year as 600,000 workers face exposure

Hundreds of UK construction workers die each year from silica dust exposure as a new campaign calls for stronger workplace protections.
- Advertisement -

Leaders ‘overestimate’ how much workers use AI

Firms may be misreading workforce readiness for artificial intelligence, as frontline staff report far lower day-to-day adoption than executives expect.

Cost-of-living pressures ‘keep unhappy workers in their jobs’

Many say economic pressures are forcing them to remain in jobs they would otherwise leave, as pay and financial stability dominate career decisions.

Must read

Alok Machchhar: Eyecare benefits are ranked within top three employee benefits

Why is it essential that employers are mindful of eyesight health following the lockdown?

KPMG London Senior Partner Anna Purchas: The Great Skills Re-Set

Senior partner for KPMG in London, Anna Purchas, writes on the big opportunities re-opening the Capital presents including addressing some of the key issues that have been holding the city back.
- Advertisement -

You might also likeRELATED
Recommended to you