Page 42 - Regional Employment & Skills Plan 2019

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Focus groups held through the Construction cluster group saw much discussion on procurement and the challenges that micro, small and medium enterprises face in this process. Effective and efficient procurement procedures are directly linked to and have a significant impact on a SMEs ability to secure work and reap the subsequent benefits for themselves, their employees and the wider local economy.
The National Federation of Builders believes;
‘... based on the scale of the projects undertaken by larger organisations, SMEs are often overlooked in spite of the expertise and efficiency they bring to the supply chain.
Construction SMEs in particular, train and retain two-thirds of all construction workers. In addition, for every £1 invested with an SME, 90p remains locally to train local apprentices, employ local workers and grow the local economy’.42
A reform and restructure of the current procurement process by Welsh Government would create a fairer and more enabling environment for SMEs to thrive, ensuring that investment in Wales sees sustainable economic returns.
The Workforce
The most recent statistics indicate that the overwhelming majority of the workforce are male with a large proportion (40.6%) aged over 45.
80% of respondents to the skills survey corroborate this statistic indicating that significantly more males are employed within their workforce than females. A study conducted by CITB indicates that only 34% of females said they would consider a career in Construction, with only 33% of respondents to their survey agreeing that the sector offers as many jobs for women as men.43
This could be directly linked to the perception of the sector, where respondents indicate that there are misconceptions held by young people, teachers, parents and influencers about the industry. Some of these common misconceptions include:
• Low skill,
• Low pay,
• Low prospects,
• Adversarial business relationships,
• Poor working practices,
• Environmental insensitivity,
• A reputation for under performance.
A lack of new, high quality entrants to the sector of course exacerbates the challenge that an ageing workforce and population more generally poses for the sector. A study conducted by CIOB identifies two major challenges for the industry;
1. Building design and structure will need to be considered as an ageing population creates additional demand for housing stock which are not only suitable for the older generation but also accessible.
42 https://businessnewswales.com/reforming-procurement-must-enable-welsh-smes/
43 https://www.citb.co.uk/documents/research/ciag%20snapshot%20report%20final2.pdf
Regional Employment & Skills Plan South West & Mid Wales
Sector Profiles