Tag Archives: Tech Jobs

Manufacturing, News

Report reveals ‘True Impact’ of manufacturing is nearly a quarter of UK GDP

Manufacturing is having a far greater impact on the UK economy than first thought according to a major new report released today.

‘The True Impact of UK Manufacturing’, which will be unveiled at MACH 2024 in Birmingham later, shows industry is worth £518billion and supports 7.3million UK jobs directly and across the supply chains/communities it operates in.

This represents nearly a quarter of total GDP (23%) and far bigger than the direct contribution of 8.2% that is usually quoted by economists.

Carried out by Oxford Economics and the Manufacturing Technologies Association (MTA), the in-depth report also shows that ‘making things’ accounts for 34.5% of all UK goods and services exports, whilst the median wage is £31,300 – 11% higher than the national median wage.

The findings are even more impressive when you consider the sector has had to navigate a myriad of challenges outside its control in recent years, including changing relations with the European Union, the Covid-19 pandemic, unprecedented increases in energy costs and global supply chain fragility and international conflicts.

MTA’s Chief Executive Officer, James Selka is now urging the sector to build on this report by exploring ways in which it can address the skills shortage and develop successful programmes, such as the High Value Manufacturing Catapult Centres, to increase wealth creation by commercialising more of the great ideas and innovations born in the UK.

“This is a fantastic insight into the true impact of manufacturing in the UK and reinforces what many of us already know – that industry is a far greater contributor to GDP and jobs than listed in national accounts,” commented James.

“Our report has been designed to take a ‘deeper dive’ and looks at the direct, indirect, and induced impacts of manufacturing, which is a far more comprehensive overview of what we make, the complex nature of our supply chains and the economic benefit gained from the spending of wages by those employed in our sector.”

He continued: “The results illustrate that manufacturing accounts for £518bn of GDP and supports 7.3m jobs, most of which enjoy higher than average wages.

“We are also a part of the economy that invests heavily in new technologies, with nearly half (47%) of total R&D investment made by manufacturers. You only have to visit MACH this week to see this first-hand, with more than 500 companies showcasing the latest in automation and robotics, additive manufacturing, latest software, advanced CNC machining and measurement and inspection solutions.”The MTA is now calling on a well-integrated commitment from the whole nation to help industry realise its potential, ranging from business leaders and academics to policymakers so crucial in developing a cross-party industrial strategy.

The recent Advanced Manufacturing Plan – accompanied by support worth £4.5bn – has been welcomed as a step in the right direction and an important vehicle in helping to cultivate the new technologies and industries being born, such as electrification, lightweighting, less carbon intensive materials and renewable energy.

Introducing new measures that increase exports should also be a priority and there is an unprecedented opportunity to deliver critical sovereign capabilities from public health to defending our realm.

MACH 2024

The True Impact of UK Manufacturing report will be officially launched at MACH 2024 by MTA President Tony Bowkett.

Set over five days at the NEC (15-19th April) in Birmingham, the event is the biggest in the UK’s industrial calendar and attracts over 30,000 people from the manufacturing community and more than 500 companies.

More than £200m of business is expected to be completed during the week as some of the country’s most innovative firms unveil new technologies and machines designed to boost productivity and global competitiveness.

MACH, which has a huge focus on sustainable manufacturing and carbon reduction through its six Knowledge Hubs, is also a big attraction for young people looking for a career in industry, with 3,500 students (aged between 12 and 18) set to attend the show.

Headline sponsors Lloyds Bank welcomed the findings of the latest report. David Atkinson, UK Head of Manufacturing SME and Mid Corporates, commented: “As this report highlights, manufacturing is an integral part of the UK economy, through GDP contribution, job creation, and as a source of high wages.

“When you consider the sector’s extended reach through its supply chains and beyond, you can really start to see the scale of its contribution.

“Manufacturers have demonstrated agility and resilience in the past few years of uncertainty, and we are responding by continuing to invest in partnerships in the sector that ensure it has the skills, tools and support needed to compete on a global scale.”

Stephen Phipson, CEO of Make UK, concluded: “Manufacturing has always been a strategically important sector for UK economy and, none more so than now, given the immense societal, political and economic challenges that we face.

“Just as the first industrial revolution provided a step change, the accelerating pace of technological change of the fourth industrial revolution gives us a generational opportunity to do the same now. This valuable report highlights to those in power now and in the future, how manufacturing is greater than the sum of its parts.”

To download the report, please visit The true impact of UK manufacturing (mta.org.uk). More information on MACH 2024 can be found here https://www.machexhibition.com.

Industry News, Technology

Do UK Tech Employers need a mental health check?

New research released ahead of World Mental Health Day this week reveals that tech employees are struggling at work.

The Harvey Nash Tech Survey spoke to 2000 of the UK’s tech professionals – and heard that more than half of them have had mental health concerns largely due to work, whether in the past or at the present time.  With 1.3 million tech workers in the UK (ONS), if this pattern is followed across the industry, we could have over 600,000 UK tech professionals having experienced mental health concerns as a result of their work.

While the survey found that companies are relatively supportive when it comes to mental health issues, with three-quarters (77%) having at least some kind of support in place, it also found that those companies who are ‘unsupportive’ have almost three times as many workers concerned about their mental health right now as ‘very supportive’ ones.

A similar trend emerged regarding how flexible an employer is on working arrangements: very inflexible businesses are three times more likely than highly flexible ones to have workers with mental health issues (31% versus 9%).

The causes of stress?

The single highest cause of stress is being short of staff. This has become a major issue as recently revealed by the Harvey Nash/KPMG CIO Survey which found that the UK’s tech industry is experiencing the highest skills shortage for more than a decade, with almost two thirds of CIOs (64%) reporting a shortfall of talent. It seems that the existing tech team are the ones being stretched to breaking point to make up for this.

Hours worked has a direct impact on stress levels, with the tipping point at over 50 hours a week. Tech professionals working these hours are twice as likely to be affected by stress to a great extent – and see their work suffer as a result – than those that work under 50 hours a week.

Tech professionals are most likely to be currently affected by mental health concerns if they:

  • Work 60+ hours per week – 21%
  • Work in IT operations– 20%
  • Work for a very small company (revenue <$1m) – 17%
  • Work in retail or leisure – 22%

Albert Ellis, CEO of Harvey Nash, said:

“No one would pretend that working in the tech sector is a walk in the park, but for it to be pushing over half its workers into a state of mental health concern is a real issue for the sector, and in particular, for those very small companies where a greater proportion of workers report that they are currently affected by stress.

 Albert Ellis continued:

“While it’s understandable that tech leaders are focused on tackling the combined pressures of widespread skills shortages, Brexit planning, and the impact of automation on their business, they still need to look very closely at how they provide support to those members of the tech team that feel overwhelmed by their mounting work load and associated pressures. This is particularly relevant as our research clearly found that there is a strong connection between mental wellbeing and how supportive a company is.”

Michael Grant, President of BCS – The Chartered Institute for IT, said:

“These findings clearly underline that, as a sector, tech needs to do more about mental wellbeing. While tech firms continue to be a hotbed of creativity and dynamism, driving innovation and growth in the economy, there is also a flipside that the pace and pressure can take its toll on individuals sometimes. Whether a large corporate or a small start-up, the right support needs to be there. This is an area that BCS is already actively discussing and researching within the IT community, and we look forward to progressing thinking and best practice on this hugely important issue in the coming months.”

Of course, there are other issues which concern the tech community, including:

  • Impact of automation on jobs – Over one-third (34%) of tech professionals believe their job will be affected significantly by automation in the next decade, of whom 7% believe it is happening right now – especially in testing, infrastructure and operations.
  • Skills won’t last forever – Keeping up with new tech is a tough game and, as technology evolves, so do the skills required to be successful. In fact, three in ten tech professionals expect their current skills to be out of date within three years, rising to over six in ten in six years. Testers and Operations feel the most pressure to keep their skills up to date.
  • Work/life balance – A quarter of respondents left their last job because it didn’t provide them with an acceptable work/life balance, with finding the right work/life balance being the second most important factor when looking for a new job.
  • Where are the women – While organisations have implemented diversity and inclusion programmes, they seem to be making little difference to the gender balance, with women making up just 16% of tech teams in the UK.

With so many concerns and a severe shortage of talent, the industry as a whole is not serving it’s workforce and more needs to be done.

Albert Ellis, concluded:

“Good work/life balance is key to retaining and attracting tech talent and keeping them well and happy. But our survey shows that the tech sector has further to go – and more still needs to be done to attract a wider range of people into the industry. Part of this is about showing the individual how a job will work with their own personal life, not just highlighting how amazing the job will be.

 “With so much set to change so quickly in the coming years, it’s vital that the tech sector makes itself resilient by looking after its people and giving them the support and flexible tools they need.”

Technology

Contracts awarded for £5m ‘Beat the Bots’ fund in West Midlands

Workers across the West Midlands are having their skills transformed for 21st century jobs thanks to a £5 million ‘Beat the Bots’ fund launched by the Mayor of the West Midlands Andy Street.

The fund, which was announced back in May, helps upskill workers whose jobs could be under threat of automation, whilst also providing digital training to those with no previous experience.

Mr Street, who is the former CEO of John Lewis, announced at the launch of Birmingham Tech Week the 10 organisations across the region that will be training the digital workers of the future – with 1,100 training places currently up for grabs.

Training providers include School of Code, which is currently Birmingham-based but is expanding into Coventry and the Black Country, and Dudley College, who will be training employed adults in manufacturing technology, drone technology and virtual reality.

The Mayor said:

“From my days at John Lewis, I know just how fast technology moves in business. Artificial Intelligence, self-driving vehicles and robotics are getting better, and, in reality, it is only a matter of time before real people will lose out to bots in the fight for jobs.

“That is why the West Midlands Combined Authority (WMCA) has launched the Beat the Bots fund, which is a chance for workers in the West Midlands to gain invaluable digital skills to prepare them for the jobs of the future.

“Our digital industry is booming, employing an estimated more than 100,000 people by 2030, and I want local people to have the skills they need to lead this thriving sector.”

Mr Street’s speech at Millennium Point in Birmingham as part of the city’s Tech Week also highlighted how the region’s tech sector is growing rapidly, with more start-ups coming out of Birmingham last year than anywhere else in the country outside of London.

The WMCA, which Mr Street chairs, is committed to improving digital skills throughout the region and has, on top of the ‘Beat the Bots’ fund, supported higher level courses, collaborated with further education providers to develop new provision, and has launched a new employer-led Digital Skills Partnership.

As part of this strategy to significantly expand digital skills in the West Midlands, the WMCA is hosting a showcase event on Friday (October 11) at Millennium Point.

The DEN (Digital Education Network) event, which is one of the events in Birmingham Tech Week, brings together leading skills providers from across the region to show off the latest technology with live demonstrations, including robotics and flying drones.

Cllr George Duggins, WMCA portfolio holder for skills and productivity and leader of Coventry City Council, said:

“People across the region will be able to learn valuable digital skills to improve their career prospects whether currently in work or not as a result of this funding.

“This event is a superb opportunity for businesses to come and see just what these training providers are offering and how they can supply them with trained personnel to fill their skills gaps, enabling them to get-ahead in the digital technology race.”

Friday’s event runs from noon until 2.30pm and businesses can book through Eventbrite here or for more information email aeb.enquiries@wmca@org.uk