{"id":211007,"date":"2025-06-24T18:00:11","date_gmt":"2025-06-24T18:00:11","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/211007\/"},"modified":"2025-06-24T18:00:11","modified_gmt":"2025-06-24T18:00:11","slug":"business-barometer-reveals-urgent-need-for-skills-planning-in-wales","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/211007\/","title":{"rendered":"Business Barometer Reveals Urgent Need for Skills Planning in Wales"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-205506\" src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/06\/Open-Uni-Business-Barometer-2025.png\" alt=\"\" width=\"600\" height=\"360\"  \/><\/p>\n<p><strong>A new report from The <a href=\"https:\/\/businessnewswales.com\/ouwhpg\" title=\"Open University Wales - Homepage\" class=\"pretty-link-keyword\" rel=\"noopener\" target=\"_blank\">Open University<\/a> reveals a growing disconnect between Welsh employers and the next generation of workers \u2014 one that could be preventing employers from addressing the country\u2019s persistent skills shortages.<\/strong><\/p>\n<p>The \u2018Business Barometer: Skills for today and tomorrow: how employers can plan for future skills\u2019, is a survey of over 2,000 UK organisation leaders and 1,000 Gen Z adults.<\/p>\n<p>In Wales, 139 organisation leaders and 80 Gen Z adults (under the age of 25) were surveyed and reported that more than half (58%) of organisations are currently experiencing a skills shortage, the highest of all UK nations. At the same time, only a third (31%) of those Welsh organisations have specific initiatives in place to recruit, retain or train under-25s.<\/p>\n<p>Over half (54%) of Gen Z respondents in Wales are aware of the country\u2019s skills challenges and are factoring that into their career thinking \u2014 but they may not be receiving the guidance or support they need to become truly work-ready:<\/p>\n<ul>\n<li>73% are considering careers based on where skills are most needed<\/li>\n<li>66% would stay longer with an employer that offers training and development<\/li>\n<\/ul>\n<p>This gap in expectations is particularly stark at a time when digital, AI and sustainability skills are increasingly essential. While over half of Gen Z (58%) are already working in or interested in AI, 20% of Welsh employers say they\u2019re not confident they can deliver their AI strategies due to talent constraints.<\/p>\n<p><strong>Dr Scott McKenzie, Assistant Director, Learning, Skills and Innovation at The <a href=\"https:\/\/businessnewswales.com\/ouwhpg\" title=\"Open University Wales - Homepage\" class=\"pretty-link-keyword\" rel=\"noopener\" target=\"_blank\">Open University<\/a> in Wales, said:<\/strong><\/p>\n<blockquote>\n<p>\u201cThe data is clear: there\u2019s a mismatch between employer intentions and practical action. But there\u2019s also a real opportunity here. Welsh employers can start by building structured skills plans, work with education providers invest in flexible training, and opening up opportunities to more diverse talent. The organisations who act now \u2014 who take learning seriously, at every level \u2014 will be the ones who will thrive in the years ahead.\u201d<\/p>\n<\/blockquote>\n<p><strong>Baroness Martha Lane Fox CBE, Chancellor at The <a href=\"https:\/\/businessnewswales.com\/ouwhpg\" title=\"Open University Wales - Homepage\" class=\"pretty-link-keyword\" rel=\"noopener\" target=\"_blank\">Open University<\/a> added:<\/strong><\/p>\n<blockquote>\n<p>\u201cEmployers have an incredible opportunity \u2014 and responsibility \u2014 to shape the future workforce. The talent is out there. Young people are motivated, they\u2019re digitally savvy, and they want to contribute. But they need clear training pathways, practical support, and employers willing to invest.<\/p>\n<p>\u00a0<\/p>\n<p>\u201cWhile there are economic challenges at this moment for employers, the smartest organisations won\u2019t just wait for skills to arrive \u2014 they\u2019ll build them, inclusively and proactively, to fuel growth and resilience.\u201d<\/p>\n<\/blockquote>\n<p>While global headlines have amplified political division over ED&amp;I policies, the report reveals continued support for inclusion in the UK. The data shows that 80% of employers in Wales say ED&amp;I is important to their organisation while 42% believe it will become even more important over the next five years.<\/p>\n<p>However, 25% have no initiatives in place for underrepresented or disadvantaged groups, including returners, career changers, and workers with disabilities or neurodiversities. This presents a missed opportunity to widen the talent pipeline and reduce economic inactivity \u2014 particularly in sectors and areas facing acute workforce shortages.<\/p>\n<p>The Business Barometer has tracked the skills shortage for nearly a decade and while the proportion of employers facing a skills shortage has stabilised since last year, the issue remains widespread across sectors and regions. The skills gap remains one of the most pressing issues for organisations in Wales, with nearly a third (38%) expecting it to worsen over the next five years.<\/p>\n<p><strong>Among those currently affected, Welsh organisations report:<\/strong><\/p>\n<ul>\n<li>Recruitment and training is more difficult due to the increase in national insurance (54%), increase in the minimum wage (56%) and economic uncertainty (72%)<\/li>\n<li>60% report increased workload on other staff<\/li>\n<li>43% cite reduced productivity<\/li>\n<li>37% say they\u2019ve scaled back growth or expansion plans<\/li>\n<li>20% lack confidence in delivering their AI plans over the next five years<\/li>\n<\/ul>\n<p>Despite this, fewer than half of Welsh employers (36%) have a formal skills plan in place and even though the data shows training boosts retention, 30% of organisations say they hesitate to train staff for fear they\u2019ll leave.<\/p>\n<p>To find out more how employers can address the organisation skills shortage visit <a href=\"https:\/\/businessnewswales.com\/ou25br\" target=\"_blank\" rel=\"noopener\"><strong>The Open University Business Barometer 2025<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"A new report from The Open University reveals a growing disconnect between Welsh employers and the next generation&hellip;\n","protected":false},"author":2,"featured_media":211008,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5010],"tags":[748,4884,16,15,1764],"class_list":{"0":"post-211007","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-wales","8":"tag-britain","9":"tag-great-britain","10":"tag-uk","11":"tag-united-kingdom","12":"tag-wales"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114739650634069534","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/211007","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=211007"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/211007\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/211008"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=211007"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=211007"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=211007"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}