Regional Skills Assessment Glasgow College Region March 2022 - Skills Development ...
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Contents Introduction The Context of Scotland’s Labour Market …………………………………………………………………………………………………………………….5 Regional Economy The Regional Economy: At a glance …………………………………………………………………………………………………………………………..7 The Glasgow College Region Economy …………………………………………………………..…………………………………………………………..8 Regional Labour Market Employment: Employment in the Glasgow College Region ……………………………………………………………………………………………….12 Other Labour Market Indicators: Current Job Postings …………………………………………………………………………………………………….22 Impact of COVID-19: At a glance …………………………………………………….………………………….……………………………………………23 The impact of COVID-19 in the Glasgow College Region ……………………………………………………………………………………….…………24 Regional Requirement Future Demand for Skills ………………………………………………………………………………..…………………………………………………….29 Future Demand for Skills – Job Openings in the mid-term (2021-2024) …………………………………………………………………………………30 Future Demand for Skills – Job Openings in the long-term (2024-2031) ………………………………………………………………………….……..33 March Spotlight: Skills Shortages, Gaps and Challenges Scottish Employer Skills Survey (2020)………………………………………………………...…………………………………………………………….37 Regional Insight…….………………………………………………………………………………………………………………………………………………………….42 References………………………………………………………………………………………………………………………………………………………………………44
Regional Skills Assessments First launched in 2014, the Regional Skills RSAs also include forecast data that has been The RSA Data Matrix supplements this report and data Assessments (RSAs) provide a robust evidence base commissioned through Oxford Economics. Caveats need on SDS products and services can be accessed from to support partners in strategic skills investment to be applied when using forecast data. The Technical Publications and Statistics section on our corporate planning. They have evolved over time based on an Note1 provides full detail on this, but broadly it should be website. independent review carried out in 2015 and continuous noted that forecasts are based on what we know now and feedback from partners. include past and present trends projected into the future. Finally, in the sections which follow, the numbers and Their value is in identifying likely directions of travel rather figures in the body of the text are rounded for ease of To ensure an inclusive approach to their development, than predicting exact figures. The more disaggregated reference and readability and therefore may differ dissemination and utilisation, RSAs are produced by they become, especially at smaller geographical units, the slightly from other publications. Skills Development Scotland (SDS) in partnership with less reliable they are likely to be. Standard occupational the Glasgow College Region Enterprise, Scottish classifications (SOC) and standard industrial This RSA report is for the Glasgow College Region, Enterprise, Scottish Government, the Scottish Funding classifications (SIC) are used to define occupations and which covers the Glasgow City, East Renfrewshire and Council (SFC) and the Scottish Local Authorities industries. East Dunbartonshire local authorities. Economic Development Group. The Office for National Statistics (ONS) have useful SIC 2 In this March release we report on strategic drivers, the and SOC3 hierarchy tools that can be used to understand economy, the impact of COVID-19, labour market the classifications in more detail. requirement, supply of people and an update on SDS regional action. Our March spotlight feature In addition, we provide analysis by Key Sector. Key is on the Scottish Employer Skills Survey. Sectors are central to our Skills Investment Planning approach. Each Key Sector has a tailored Skills RSAs include the use of published data sets. Investment Plan (SIP) which gives a picture of the Inevitably, when using published data there is a economic and labour market situation, trends in skills and time lag but the data contained is the most up to date qualification supply and employers’ perspectives on the available at the time of writing. In response to COVID- skills issues affecting the sector. Regional SIPs have also 19 we include more data derived from administrative been developed. SIPs and RSIPs are available on the sources where possible as time lags with this data are, SDS website.4 Sector Skills Assessments are also in general, shorter. However, we still rely mostly on available which provide updated Labour Market Insight for data from the core labour market surveys. the Key Sectors.
Introduction
The Context for Scotland’s Labour Market COVID-19 has hit Scotland’s economy hard, exacerbating a number of pre-existing issues and challenges. In addition to the drivers listed here, the emergence of complex challenges such as labour shortages, supply chain disruption and inflationary pressures could impact Scotland’s future course.5 Global security issues heightened by the conflict in Ukraine have the potential to cause further disruption, in particular to energy markets and costs. The development of fit-for-purpose skills has an important role in supporting continued economic recovery and inclusive growth. An effective skills system helps support and attract inward investment, increase productivity and tackle inequality and deprivation.6 The Economy and Demographic Equality and Automation Climate Change Productivity Change Inclusive Growth The Scottish Government’s focus Advances in technological The Scottish Government has set At the time of writing, the Scottish As with many economies in the on Fair Work remains, supporting developments continue unabated 2045 as the target for achieving a Fiscal Commission (SFC) forecast developed world, Scotland’s ‘growth that combines increases in and these are changing the world net zero carbon economy. The that Scotland's economy will grow population is ageing. By 2045, the prosperity with greater equity, of work. In Scotland around 46% 2021 Energy Position Statement14 by 2.4% in 2022-23. The SFC also number of people of pensionable creates opportunities for all and of jobs have high potential for ahead of COP26 cemented suggest that longer-term scarring age in Scotland is expected to distributes the dividends of automation, some 1.2m jobs.10 Scottish Government priorities. to the economy from the pandemic increase by 20.6% (205,800 increased prosperity fairly’.7 Many jobs are expected to evolve The labour market will be affected could mean that trend GDP at the people), whilst the working-age rather than disappear, for example by changes to climate change start of 2025 is forecast to remain population is projected to decline COVID-19 has had an uneven skilled machine operatives rather legislation and consumer 2% lower than their pre-pandemic by 2.4% (84,400 people). This impact on some groups in society than manual labour. behaviours as the economy forecast.7 suggests the possibility for a including young people, older moves towards greater tighter labour market in future and workers, women, disabled people, There will also be the creation of sustainability. Measuring productivity during the an increasing dependency ratio.5 ethnic minority groups, low paid new high-quality jobs and pandemic has been challenging, opportunities for more flexible ‘Green jobs’ are central to the Based on population projections, and low income households.8. but at a high level, variance in working, expedited by the government’s plans for recovery. productivity performance is the Glasgow College Region’s pandemic. Demand for green jobs (and green expected across sectors, and in dependency ratio will be 49% in skills) is expected to increase turn regions.8 2043, compared to Scotland’s rapidly as a result of policy and 60%.10 legislative drivers and consumer choice. The area is well placed to take advantage of this opportunity. Brexit Prior to the pandemic, Brexit was a key source of uncertainty, and this created downwards pressure across productivity, business investment, retail sales and trade. The number of EU workers in Scotland declined due to reduced in-migration and/or increased return migration. Ongoing Brexit concerns, and COVID-19 considerations, create heightened uncertainty regarding the supply of migrant labour from the EU and further afield.15 The Glasgow College Region is less exposed to reductions in EU exports, when compared to Scotland as a whole. In 2019, EU citizens were 6% of all employees, the same when compared to 6% for Scotland as a whole. 16
Regional Economy17
The Regional Economy: At a glance Gross Value Added (GVA) Resilience and Recovery Total Glasgow College Region GVA 2021: £24,925m and 17.0% of total Scottish output The pandemic has had a profound negative impact on Scotland’s wellbeing, particularly in terms of health, the economy and fair work. This has brought further From 2009-2019, GVA in the Glasgow College Region: impacts on already marginalised communities, further exacerbating inequalities. increased by 15.8% or £3,463m Existing inequalities face potential challenges as new forms of disadvantage may Mid-term forecast average annual growth (2021-2024): emerge. For example, increasing reliance on technology, accelerated by the Glasgow College Region: 3.3% pandemic, may bring new opportunities as well as risks of excluding certain groups Scotland: 3.0% where technology is not as accessible. United Kingdom: 3.3% Establishing a wellbeing economy18 remains a top priority for the Scottish Longer-term forecast average annual growth (2024-2031): Government. This involves creating an inclusive and sustainable economy whilst Glasgow College Region: 1.7% also promoting prosperity and resilience. Wellbeing is a key aspect of the Scottish Scotland: 1.3% Government’s 2021-22 Programme for Government.19 Scotland is a founding United Kingdom: 1.5% member of the Wellbeing Economy Governments (WEGo), where members collaborate to utilise expert advice on delivering a wellbeing economy. Previous discussions included sustainable tourism, inclusive growth, child poverty and Productivity wellbeing budgeting.20 Glasgow College Region productivity 2021: The Scottish Government’s National Strategy for Economic Transformation (NSET) £50,500, in Scotland it was £53,000 sets out ambitions for Scotland to become Fairer, Wealthier and Greener, with people at the heart of a wellbeing economy.21 Mid-term forecast productivity (2024): Glasgow College Region: £53,100 In the RSA we, as of yet, do not include any measures of the wellbeing economy Scotland: £55,700 alongside the traditional monetary measures of economic performance. This is an area of development, and a number of other resources are available to support Long-term forecast productivity (2031): partners and stakeholders with this policy area: Glasgow College Region: £57,200 • Wellbeing Economy Alliance Scotland: £60,300 • Scotland's Centre for Regional Inclusive Growth
The Glasgow College Region Economy Economic output Past Economic Performance Gross Value Added (GVA) is a measure of the value of goods and services produced in an area and is an indicator of the economy’s health. Prior to the pandemic, the region’s economic growth rate was lower GVA is not an all-encompassing measure, it simply tells us about economic output. than Scotland’s. On average the Glasgow College Region’s Beyond the economic measures, the aim of achieving inclusive economic growth is a economy grew by 1.5 per cent each year (2009-2019). priority for Scotland as noted in a speech by the First Minister to the Wellbeing Economy Alliance: “Scotland is redefining what it means to be a successful nation by focusing on the broader wellbeing of the population as well as the GDP (Gross Domestic Product) of the country." 22 From 2019 to 2020, the region’s economy contracted sharply as measures were taken across the UK to limit the spread of COVID-19. Current Economic Performance In 2021, GVA was forecast to be £24,925m in the Glasgow College Region, 17.0 per cent of Scotland’s output (£146,920m). The contraction of economic output in the Glasgow College Region This share of GVA ranks the Glasgow College Region in the top third of RSA regions for was estimated to be 9.6 per cent between 2019 and 2020, which was GVA contribution to the Scottish economy. The highest value sectors in the regional the same as what occurred across Scotland. economy were forecast to be: Human Health and Social Work Activities: £3,497m The pandemic had a substantial impact on the UK economy, with GVA falling by 9.7 per cent in 2020. Real Estate Activities*: £2,698m Financial and Insurance Activities: £2,676m *The GVA output from the Real Estate sector is however inflated by owner-occupier imputed rent. Imputed rent captures, economically, the value of the service homeowners are providing to themselves by owning and living in their own home
Future Economic Performance Whilst it is possible to forecast what could happen, Figure 1: Forecast average annual GVA change by Industry (%) (2021-2031), the Glasgow College Region there are a multitude of factors that can influence what materialises. The greatest contributing factor to a Accommodation and food service activities 4.5% region’s economic recovery will be their sectoral footprint, however other place-based factors will also Other service activities 4.0% influence their recovery. Administrative and support service activities 4.0% In the mid-term it is forecast that Scottish GVA will Information and communication 3.0% return to pre-pandemic levels in 2022, with growth of Arts, entertainment and recreation 2.9% 8.2 per cent in 2021 and 5.4 per cent in 2022. Overall, GVA growth in Scotland is forecast to average 1.8 per Real estate activities 2.8% cent per year between 2021 and 2031, 0.2 percentage Professional, scientific and technical activities 2.4% points slower than the UK average. Construction 2.4% Between 2021 and 2031, the largest contributions to Transportation and storage 2.3% growth across Scotland will come from Human Health and Social Work (adding close to 0.1 percentage Education 1.9% points per year to overall GVA growth in Scotland) and Human health and social work activities 1.8% Real Estate Activities (just over 0.1 percentage points). This reflects the size of these sectors as well Wholesale and retail trade; repair of motor vehicles and… 1.8% as levels of growth. Electricity, gas, steam and air conditioning supply 1.6% As shown in Figure 1, Accommodation and food Financial and insurance activities 1.5% service activities is forecast to have the largest annual Manufacturing 1.1% GVA growth in the Glasgow College Region from 2021-2031, at 4.5 per cent. It is followed by Other Water supply; sewerage, waste management and remediation… 0.9% Service Activities (4.0 per cent) and Administrative Agriculture, forestry and fishing 0.8% and Support Service Activities (4.0 per cent). Public administration and defence; compulsory social security 0.5% Data for absolute change is available in the RSA Data Mining and quarrying -1.6% Matrix.
Productivity Current Productivity Mid-Term Productivity Long-Term Productivity Productivity is the measure of goods and services produced per unit of Based on forecasts as of October Based on forecasts as of October Based on forecasts as of October labour input. COVID-19 has impacted on productivity across the UK in 2021, productivity in the Glasgow 2021, productivity in the region in 2021, productivity in the region in several ways and it has created new challenges in how productivity is College Region was forecast to the mid-term (2021-2024) is the long-term (2024-2031) is accurately measured. The Office for National Statistics (ONS)23 be £50,500. This was below the expected to grow by 1.7 per cent expected to grow by 1.1 per cent highlight that measures based on output per job or worker are average for Scotland of £53,000. on average each year. on average each year. At a high- expected to experience large declines, whereas falls in output per level, variance in productivity hour could be less pronounced. The region’s productivity is This is the same as the forecast performance is anticipated across largely driven by the sectoral mix Scottish growth rate over the same regions due to their sectoral mix Interventions like the Coronavirus Job Retention Scheme (CJRS), that makes up its economy. period. and place-based factors. which ended on 30th September 2021, impacted on the underpinning data. Under this scheme individuals on furlough were categorised as being employed but working no hours. If a worker or jobs-based productivity measure is used, the input (one worker or job) remains the Figure 2: Productivity (2021) same but output declines as no work was taking place. Whereas if hours worked was used both input and output would decline. This £62,700 demonstrates the possible divergences observed in productivity £57,200 £55,800 measures over the past two years. £53,200 £53,200 £51,500 £51,000 £50,600 £50,500 £50,300 £49,700 £47,800 £47,300 £46,900 £46,000 Caution is needed when interpreting the productivity data presented and it must be considered in the context of other data and insight. Despite the challenges, it remains advisable to report on productivity as it is a measure that can help us to understand regional variances and challenges. The Oxford Economics forecasts of productivity shown here have been calculated by dividing total regional GVA by total regional employment (measured by jobs). We use this data as it provides a forecast figure to help estimate the impact the pandemic has had on productivity and longer-term trajectories post-pandemic. An equivalent Tayside West Lothian Aberdeen City Forth Valley Dumfries and West Region Scottish Borders Edinburgh, East Highlands and Fife Ayrshire Lanarkshire Rural Scotland Glasgow College South of Scotland and Midlothians based on hours worked is not available. Galloway and Shire Islands Region
Regional Labour Market24 • Employment • Wider Labour Market Indicators
Employment: Employment in the Glasgow College Region Current Employment Across Scotland, and within the region, more people Figure 3: Employment in Scotland by region (2021) (people) Total employment in the Glasgow College Region worked full-time than part-time, 400,500 people (77.9 (measured by people) was estimated to be 514,300 in per cent) were in full-time jobs in the Glasgow College 2021, 19.7 per cent of Scottish employment. Region in 2021. This was a similar percentage share Rural Scotland 700,500 compared to Scotland where 74.2 per cent of people According to the Annual Population Survey, between were in full-time employment. Glasgow College Region 514,300 October 2020 and September 2021, the employment rate for the working-age population (aged 16-64) in the Part-time employment accounted for a lower Edinburgh, East and 407,700 Midlothians region was 70.3 per cent, which was below the rate for percentage share of employment in the region Scotland (72.9 per cent).25 compared to Scotland, 22.1 per cent compared to 25.8 Aberdeen City and Shire 283,000 per cent. Overall, there were 113,800 people in part- The region’s overall employment rate means that time employment in the Glasgow College Region. Lanarkshire 260,500 approximately three in ten of the region’s working age population were unemployed (4.3 per cent) or Highlands and Islands 233,400 economically inactive (26.6 per cent). Inactivity includes people who are studying, retired or looking Tayside 193,500 after their family or home.26 West Region 164,500 Fife 145,600 Ayrshire 138,800 Forth Valley 119,000 South of Scotland 114,200 West Lothian 79,800 Dumfries and Galloway 62,200 Scottish Borders 52,000 Note: data will not sum to 100% as unemployment rate is based only on economically active population
In the Glasgow College Region, the largest employing Figure 4: Employment by Industry and share of total employment (2021), the Glasgow College Region sectors, and their estimated regional share of Human health activities 49,500, 9.6% employment, in 2021 were (see Figure 4): Education 48,900, 9.5% Human Health Activities: Retail trade, except of motor vehicles 44,100, 8.6% 9.6 per cent Public administration and defence 30,300, 5.9% Food and beverage service activities 27,600, 5.4% Education: Social work activities 25,400, 4.9% 9.5 per cent Services to buildings and landscape 20,500, 4.0% Legal and accounting activities 14,400, 2.8% Retail Trade, Except of Motor Vehicles: Specialised construction activities 13,500, 2.6% 8.6 per cent Employment activities 13,000, 2.5% Architectural and engineering 12,500, 2.4% Financial service activities 12,100, 2.3% Public Administration and Defence: 5.9 per cent Real estate activities 10,800, 2.1% Computer programming, consultancy 10,300, 2.0% Wholesale trade, except of motor vehicles 10,200, 2.0% Food and Beverage Service Activities: Office administrative, office support 10,000, 1.9% 5.4 per cent Construction of buildings 9,800, 1.9% Residential care activities 9,700, 1.9% Activities auxiliary to financial services 9,300, 1.8% Activities of head offices 8,100, 1.6%
Of the key sectors, Health and Social Care, was Figure 5: Employment by Key Sector and share of total employment, the Glasgow College Region (2021) estimated to be the largest in the Glasgow College Region in 2021. The sector accounted for 84,600 people. Financial and Business Services was the Health and social care 84,600, 16.4% second largest with a total of 55,500 people (see Figure 5). Financial and business services 55,500, 10.8% Large sectors are an important source of jobs. However, regions also have sectoral strengths that Construction 36,400, 7.1% make them unique. This means that smaller sectors can be more important than their size suggests, as Tourism 32,500, 6.3% they are more concentrated in the region compared to the national average. Creative industries 26,800, 5.2% In the Glasgow College Region, Motion picture, video and television was the greatest specialism, with the Engineering 23,300, 4.5% percentage of employment in this sector 3 times the Scottish average. Other sectors that had above ICT/digital 17,100, 3.3% average concentrations in the Glasgow College Region included: • Advertising and Market Research (2.8 times as Child-day care activities 8,400, 1.6% concentrated), • Security and Investigation Activities (2.7 times as Energy 6,200, 1.2% concentrated), • Publishing Activities (2.1 times as concentrated), and Food and drink 5,800, 1.1% • Employment Activities (2.0 times as concentrated). Life sciences 2,400, 0.5% Chemical sciences 500, 0.1%
Sectors tell us about the industries that people work in, Figure 6: Employment by Occupation and share of total employment, the Glasgow College Region (2021) and occupations provide insight on the type of jobs people do. In 2021, 263,400 employed people (51.2 per cent) in the Glasgow College Region were in Administrative Occupations 48,800, 9.5% ‘higher level’ occupations, 25.4 per cent were in ‘mid- level’ occupations and 23.4 per cent were in ‘lower Elementary Occupations: Clerical and Services level’ occupations. The occupational structure of the related 45,600, 8.9% Glasgow College Region was different to Scotland. Compared to Scotland, the region had a Business and Public Service Associate higher percentage of the workforce in higher level 44,000, 8.6% Professionals occupations and a lower percentage of the workforce in mid- level occupations. Scotland had a greater percentage of the workforce in lower-level Business and Public Service Professionals 41,400, 8.1% occupations. Science and Technology Professionals 38,700, 7.5% A detailed look at the occupational structure shows that the largest occupations in the region in 2021 were Sales Occupations 34,300, 6.7% estimated to be (see Figure 6): Administrative Occupations: 9.5 per cent Corporate Managers 33,100, 6.4% Elementary Occupations: Clerical and Services Related: 8.9 per cent Caring Personal Service Occupations 28,700, 5.6% Business and Public Service Associate Professionals: 8.6 per cent Health Professionals 26,600, 5.2% Business and Public Service Professionals: 8.1 per cent Teaching and Research Professionals 24,000, 4.7% Science and Technology Professionals: 7.5 per cent
Past Employment Combining the change from 2019 to 2020 and 2020 to However, growth is forecast to have occurred in sectors Pre-COVID-19, employment in the region had 2021, employment declines were observed in 10 of the 19 that had increased demand as a result of the pandemic. increased by 13.5 per cent from 2009 to 2019. There industry sectors in the Glasgow College Region (see The number of people estimated to be working in the were 61,600 more people in employment in 2019 Figure 7). There were substantial job losses in region’s Human Health and Social Work sector compared to 2009. The percentage of growth within Accommodation and Food Services as employment increased by 3,700 and Professional, Scientific and the region was more than the 5.9 per cent growth declined by 4,600, which was a loss of 16.5 per cent of the Technical Activities increased by 3,000 people. observed across Scotland over the same time period. sector’s workforce. From 2019 to 2020 the number of people employed in Figure 7: Employment change by Industry, the Glasgow College Region the region was estimated to have increased by 300, from 519,500 to 519,800. This was an increase of 0.1 Declining Sectors Employment change Employment change Employment change per cent, compared to a 1.2 per cent decline across 2009-2019 2019-2020 2020-2021 Scotland. Employment contracted further across Scotland and in Accommodation and Food Services 10,600 4,200 -400 the region from 2020 to 2021. These losses occurred Information and Communication 10,800 -1,500 -1,100 when income support schemes came to an end. A decrease of 5,500 people in work is estimated to have Wholesale and Retail Trade 3,900 -2,100 -100 occurred from 2020 to 2021 in the Glasgow College Region , which is larger than the contraction from 2019 Manufacturing -2,700 -700 -700 to 2020. Overall, employment is estimated to have Arts, Entertainment and Recreation 2,100 -1,000 -400 declined by 5,200 from 2019 to 2021 in the region. Administration and Support Services 8,400 0 -1,100 Construction -300 -800 -200 Growth Sectors Employment change Employment change Employment change 2009-2019 2019-2020 2020-2021 Human Health and Social Work 9,400 2,900 800 Professional, Scientific and Technical 2,800 4,100 -1,100 Education 10,500 1,600 -600
The employment forecast for the local authorities within Employment Forecast the Glasgow College Region shows a consistent In the mid-term (2021-2024) the number of people in outlook. employment is forecast to grow by 15,200 in the region. This growth would fully replace jobs lost as a result of Over the longer term, Glasgow City is forecast to grow the pandemic. by 0.5 per cent on average each year, and East Dunbartonshire and East Renfrewshire by 0.3 per cent. For Scotland as a whole, it is forecast to be 2023 when the number of people in employment reaches and then surpasses 2019 employment levels. The region’s employment recovery is forecast to be faster, with 2019 Figure 8: Forecast Employment (2019-2031), the Glasgow College Region (people) levels forecast to be reached by 2022. Over the longer term (2024-2031) employment within 546,700 544,200 the region is forecast to increase. In 2031, it is forecast 541,800 538,200 539,500 that there will be 17,200 more people in employment 536,300 533,100 compared to 2024. Across Scotland the number of 529,500 people in employment is forecast to increase. 526,500 521,500 519,500 519,800 The level of employment contraction in the region equates to an average annual rate of 0.5 per cent over 514,300 the longer term. For comparison, Scotland’s forecast growth rate is 0.4 per cent. 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
Although strong employment growth is forecast in the mid-term in the Glasgow College Region, sectors will Figure 9: Forecast Employment Change by Industry (2021-2024), the Glasgow College Region (people) have varying performance. The greatest employment growth is forecast in Administrative and Support Service Administrative and support service activities 2,900 Activities, with 2,900 more people expected to be Human health and social work activities 2,900 working in the sector by 2024 compared to 2021. Other Wholesale and retail trade; repair of motor vehicles and sectors forecast to have growth over the mid-term 2,000 motorcycles forecast period include Human Health and Social Work Activities (2,900 people), Wholesale and Retail Trade Professional, scientific and technical activities 1,800 (2,000 people), Professional, Scientific and Technical Information and communication 1,600 Activities (1,800 people) and Information and Communication (1,600 people). Accommodation and food service activities 1,300 Arts, entertainment and recreation 1,200 Not all sectors in the region are forecast to grow in the mid-term. Manufacturing is the sector forecast to have Construction 1,100 the greatest employment contraction from 2021 to 2024. During the forecast period a decline of 900 people in Other service activities 900 employment is anticipated. This reflects the general Education 600 trend of more capital intensive and higher value-added activity in the sector, which requires less labour- Transportation and storage 200 intensive methods (see Figure 9). The Public Administration and Defence; Compulsory Social Real estate activities 200 Security sector is forecast to have a decline of 400 Agriculture, forestry and fishing 0 people over the same period of time. Mining and quarrying 0 Water supply; sewerage, waste management and 0 remediation activities Electricity, gas, steam and air conditioning supply -100 Financial and insurance activities -200 Public administration and defence; compulsory social -400 security Manufacturing -900
Over the longer term, and similar to the mid-term, sectors are expected to have varied outlooks. Figure 10: Forecast Employment Change by Industry (2024-2031), the Glasgow College Region (people) The Glasgow College Region ’s Human Health and Social Work Activities sector is forecast to have the Human health and social work activities 7,600 greatest absolute growth. From 2024 to 2031 the Administrative and support service activities 6,100 number of people employed in this sector is forecast to increase by 7,600. Other sectors forecast to have Professional, scientific and technical activities 4,700 growth over the longer-term forecast period are Construction 2,000 Administrative and Support Service Activities (6,100 people), Professional, Scientific and Technical Activities Arts, entertainment and recreation 1,300 (4,700 people), Construction (2,000 people) and Arts, Education 800 Entertainment and Recreation (1,300 people). Growth in Human Health and Social Work Activities is driven by Other service activities 600 Scotland’s ageing population, along with the aim to Real estate activities 600 protect the provision of frontline services. Accommodation and food service activities 100 The mid-term contraction in the Manufacturing sector is forecast to continue over the longer term as the Mining and quarrying 0 adoption of new technologies and production methods Agriculture, forestry and fishing 0 continues and the sector produces more but with fewer workers. The sector with the greatest contraction is Water supply; sewerage, waste management and… -200 forecast to be Manufacturing (see Figure 10). Transportation and storage -200 Information and communication -200 Wholesale and retail trade; repair of motor vehicles and… -300 Electricity, gas, steam and air conditioning supply -300 Financial and insurance activities -700 Public administration and defence; compulsory social… -1,500 Manufacturing -3,200
Similar to sectors, occupations have varying outlooks. In the mid-term Corporate Managers is forecast to Figure 11: Forecast Employment Change by Occupation (2021-2024), the Glasgow College Region experience the greatest employment increase in the Glasgow College Region from 2021 to 2024 (of 2,000 Corporate Managers 2,000 workers). Growth in this occupation is closely related to Business and Public Service Professionals 1,700 the forecast rise in employment by sector. An additional Business and Public Service Associate Professionals 1,500 1,700 workers are expected to be required in Business Science and Technology Professionals 1,400 and Public Service Professionals. Other occupations anticipated to have an increase that is relatively large for Caring Personal Service Occupations 1,300 the region include: Elementary Occupations: Clerical and Services related 1,100 Health Professionals 1,100 Science and Technology Professionals: Culture, Media and Sports Occupations 1,000 1,400 people Managers / Proprietors in agriculture and services 700 Caring Personal Service Occupations: Leisure and Other Personal Service Occupations 600 1,300 people Skilled Construction and Building Trades 400 Sales Occupations 400 Elementary Occupations: Clerical and Services Administrative Occupations 300 Related Transport and Mobile Machine Drivers and Operatives 300 1,100 people Customer Service Occupations 300 Protective Service Occupations are likely to contract Health and Social Welfare Associate Professionals 300 over the mid-term (-300 people) (see Figure 11). Textiles, Printing and Other Skilled Trades 300 Teaching and Research Professionals 300 Science and Technology Associate Professionals 200 Skilled Metal and Electrical Trades 200 Elementary Occupations: Trades, Plant and Storage related 0 Skilled Agricultural Trades 0 Process, Plant and Machine Operatives 0 Secretarial and Related Occupations -100 Protective Service Occupations -300
Over the longer term, in the Glasgow College Region the greatest growth is forecast to be in Figure 12: Forecast Employment Change by Occupation (2024-2031), the Glasgow College Region Business and Public Service Professionals with an additional 2,900 workers. This will be closely followed by Corporate Managers (2,900 people), Business and Public Service Professionals 2,900 Caring Personal Service Occupations (2,900 Corporate Managers 2,900 people), Health Professionals (2,800 people) and Caring Personal Service Occupations 2,900 Business and Public Service Associate Health Professionals 2,800 Professionals (2,100 people). Growth in these roles reflect the relatively strong performance in business Business and Public Service Associate Professionals 2,100 services employment and the uplift in spending and Science and Technology Professionals 1,800 recruitment in the health sector. Culture, Media and Sports Occupations 1,300 Managers / Proprietors in agriculture and services 800 Occupations likely to have the greatest contractions Health and Social Welfare Associate Professionals 700 over the longer-term are Sales Occupations (-900 Skilled Construction and Building Trades 600 people), Secretarial and Related Occupations (-800 Transport and Mobile Machine Drivers and Operatives 600 people), Protective Service Occupations (-700 people), Administrative Occupations (-500 people) Customer Service Occupations 500 and Process, Plant and Machine Operatives (-400 Teaching and Research Professionals 500 people) (see Figure 12). Elementary Occupations: Clerical and Services related 300 Leisure and Other Personal Service Occupations 300 There will also be changes in the types of roles Science and Technology Associate Professionals 200 workers undertake within sectors, as new ways of Skilled Agricultural Trades 0 working and technologies are introduced to the Elementary Occupations: Trades, Plant and Storage related -100 workplace. This supports growth in IT and Textiles, Printing and Other Skilled Trades -200 technological-based roles across a broad range of sectors, from manufacturing to retail to professional Skilled Metal and Electrical Trades -300 services – so not just in the digital sector. Process, Plant and Machine Operatives -400 Administrative Occupations -500 Protective Service Occupations -700 Secretarial and Related Occupations -800 Sales Occupations -900
Other Labour Market Indicators: Current Job Postings Figure 13: Job Postings by Occupation (February 2021 – January 2022), Current Job Postings in the Glasgow College Region 27 the Glasgow College Region A source of real-time labour market information is data on online jobs postings. It provides a useful barometer for the activity of the jobs market alongside other insight. COVID-19 has had a substantial Programmers and software… 6,492 impact on the volume of job postings across Scotland. We report monthly on the latest national data in our COVID-19 Labour Market Insights Report. Nurses 5,728 Other administrative occupations n.e.c. 5,312 Sales related occupations n.e.c. 4,634 Number of job postings from February 1st, 2021 to January 31st, 2022 were: Customer service occupations n.e.c. 3,772 149,000, 26.4% of all job postings in Scotland Care workers and home carers 3,429 Managers and proprietors in other… 2,951 134.9% more than previous 12-month period Chartered and certified accountants 2,511 Human resources and industrial… 2,485 IT business analysts, architects and… 2,477 Within the region the locations with the The most requested specialised skills were: Management consultants and business… 2,440 most jobs advertised were: Kitchen and catering assistants 2,340 Marketing and sales directors 2,115 Glasgow Customer Service Book-keepers, payroll managers and… 2,060 143,600 postings 19,400 postings IT user support technicians 1,829 Business and financial project… 1,720 Kirkintilloch Teamwork/Collaboration Cleaners and domestics 1,690 1,100 postings 14,800 postings Van drivers 1,673 Engineering professionals n.e.c. 1,662 Bishopbriggs Sales Information technology and… 1,619 600 postings 9,500 postings Nursing auxiliaries and assistants 1,610 Sales and retail assistants 1,605 Marketing associate professionals 1,596 Financial managers and directors 1,507 Chefs 1,464
Impact of COVID-19: At a glance Furloughed Jobs in the Glasgow College Region Redundancies PACE information provision (individuals): Jobs furloughed at 30th September 2021: 15,200, 18.8% of Scotland’s furloughed workforce Location 2019/20 2020/21 1st April 2021- 31st Jan 2022 Glasgow College 1,323 3,852 736 Jobs furloughed by gender: Sectors with largest number of furloughed jobs: Region Accommodation and Food Services: Scotland 11,189 34,222 5,784 7,100 3,300 Wholesale and Retail Trade: PACE information provision (employer sites): 2,300 8,000 Location 2019/20 2020/21 1st April 2021- 31st Jan 2022 Professional, Scientific and Technical: 1,400 Glasgow College 57 114 27 Female Male Region Scotland 498 1,009 184 Number of jobs furloughed by local authority: Modern Apprenticeship redundancies: Glasgow City: 11,400 East Dunbartonshire: 1,900 East Renfrewshire: 1,900 Glasgow College Region: Scotland Females: 5,300 Females: 900 Females: 1,000 Q3 2020/21: 123 Q3 2020/21: 834 Males: 6,100 Males: 900 Males: 900 Q3 2021/22: 20 Q3 2021/22: 194 *Please note that full redundancy data is not available for the region in 2020/21 and 2021/22 due to disclosure control for some local authorities.
Impact of COVID-19: At a glance Unemployment October 2019 to September 2020, and October 2020 to Universal Credit claims in the Glasgow College Region: September 2021 in the Glasgow College Region: 82,200 82,900 83,300 83,200 83,000 82,500 81,900 81,700 80,400 79,700 79,200 78,900 78,700 79,800 80,500 80,100 82,100 76,500 81,200 73,400 Unemployment 16+ Unemployment 16-24 61,100 41,100 42,700 38,600 19/20 20/21 19/20 20/21 13,900 17,900 6,200 4,100* January February March April May June July August September October November December 2020 2021 3.4% 4.3% 10.1% 7.4% Since March 2020, across Scotland the number of Universal Credit claimants has increased by 185,300, from 264,100 to 449,400 in December 2021. Claimant Count claims in the Glasgow College Region: Unemployment October 2019 to September 2020, and October 2020 to 43,600 September 2021 in Scotland: 35,800 41,100 41,200 42,900 42,600 40,800 41,200 40,700 40,200 41,100 41,300 40,500 38,400 36,000 35,400 Unemployment 16+ Unemployment 16-24 21,800 22,200 22,500 34,300 32,000 30,500 29,700 28,800 19/20 20/21 19/20 20/21 99,800 113,300 38,200 33,900 January February March April May June July August September October November December 2020 2021 3.6% 4.2% 11.5% 10.4% Since March 2020, across Scotland the number of Claimant Count claimants has increased by 23,200, from 114,700 to 137,900 in December 2021. Please note that Claimant Count data has not been seasonally adjusted.
First published in 2020, our series of COVID-19 Labour The sectors with the largest number of jobs furloughed in the Trends in Furloughed Jobs Market Insights explore traditional and new sources of Glasgow College Region as of 30th September were: Time series data to 30th September 2021 was only data and evidence to understand the impact of the available at Scotland level. As shown at Figure 14, the pandemic on the labour market. In this section we Accommodation and Food Service: 3,300 jobs number of furloughed employments in Scotland peaked replicate as far as possible the COVID-19 Insights for at 736,500 on 30th June 2020. This fell by 73.5 per cent the Glasgow College Region and include analysis to to a low of 195,200 on 31st October 2020. However, the demonstrate how the impact in the region compares to Wholesale and Retail: 2,300 jobs introduction of a second lockdown saw this nearly Scotland. double, to 373,000 on 31st January 2021. Reflecting the loosening of restrictions, from 31st January to 30th April Furloughed Jobs Professional, Scientific and Technical: 1,400 jobs 2021 the number of furloughed jobs fell by 103,200 or The Coronavirus Job Retention Scheme (CJRS) ended 27.7 per cent on 30th September 2021. It was a vital support mechanism for businesses affected by the pandemic, The number of furloughed jobs continued to fall into the helping them to retain and continue paying their The sectoral profile of furlough in the region was broadly the summer of 2021, down to 117,300 by 31st July 2021, a employees. Early indications suggested that 9 in 10 same as Scotland. decrease of 56.5% since 30th April 2021. By the end of people in the UK who were supported by the CJRS in the CJRS, the number of furloughed jobs had fallen to September 2021 were in work in October 2021. Across Scotland more male employments were furloughed 80,800, a decline of 31.1% since 31st July 2021, or However, there is evidence to suggest that than female employments, 41,800 compared with 39,000 at 36,500 in actual numbers. redundancies in Scotland increased in the three 30th September 2021. Whilst earlier in the pandemic there months to November 2021. were more furloughed female employments, male employments were the most furloughed in the last few Jobs Furloughed28 months of the CJRS. The gender breakdown in the region is: At 30th September 2021, there were 15,180 jobs Figure 14: Furloughed jobs (June 2020 – September furloughed in the Glasgow College Region , accounting Female employments: 2021), Scotland for 4.4 per cent of eligible employments for furlough in 7,200 jobs, 736,500 the region and 18.8 per cent of Scotland’s furloughed 4.1 per cent take up rate workforce (80,800 jobs). 373,000 Male employments: 195,200 269,800 This furlough take up rate compares with 3.0 per cent 8,200 jobs, in Scotland and 4.0 per cent in the UK. 7.5 per cent take up rate 117,300 80,800 30th June 31st 31st 30th April 31st July 30th 2020 October January 2021 2021 September 2020 2021 2021
Redundancies The sectors with the greatest information provision for Whilst the CJRS played a significant role in preventing In addition, fluctuations throughout the year are expected. Due to the individuals in the Glasgow College Region in 2020/21 mass redundancies, data does suggest that lower number of MA starts, comparisons with the same point year, were: redundancies increased as a result of the pandemic. should be treated with caution. Accommodation and Wholesale and Food Services: 1,173 Retail: 922 By Q3 2021/22, 194 MAs have been made redundant in Scotland. Partnership Action for Continuing Employment For comparison, 834 MAs had been made redundant by Q3 (PACE)29 2020/21. PACE is a partnership of 24 organisations, led by SDS, Administrative and Human Health and which was set up by the Scottish Government to Support Services: Social Work: 267 In the Glasgow College Region, 20 MAs had been made redundant support businesses and individuals facing redundancy. 409 by Q3 2021/22, compared with 123 by Q3 2020/21. From Q3 PACE aims to minimise the risk of redundancy before it 2020/21 to Q3 2021/22 the number of MA redundancies in the happens. These sectors are slightly different to those with the region decreased by 83.7 per cent, compared with 76.7 per cent greatest information provision to individuals across across Scotland. In the financial year 2020/21, PACE provided Scotland. information to 34,222 individuals and 1,009 employer The occupational groupings with the largest number of MA sites across Scotland. For comparison, 11,189 From 1st April 2021 to 31st January 2022, PACE redundancies in Scotland as at Q3 2021/22 were: individuals and 498 employer sites were supported in delivered information provision to 736 individuals and 2019/20. 27 employer sites in the Glasgow College Region, and 5,784 individuals and 184 employer sites across In the Glasgow College Region, 3,852 individuals and Scotland. 114 employer sites were supported by PACE in Construction and Related: 117 2020/21, compared with 1,323 individuals and 57 Modern Apprenticeship (MA) Redundancies30 employer sites in 2019/20. Proportionally, the number As with redundancies across the labour market, the Hospitality and Tourism: 21 of individuals and employer sites supported by PACE CJRS likely masked the full economic impact of the increased by less in the Glasgow College Region than pandemic when it was active. IT and Other Services: 12 it did in Scotland. COVID-19 has fundamentally changed the context in which apprenticeship training is delivered, and the statistics must be considered in this context.
Regional and National Unemployment Universal Credit33 The latest data shows that unemployment has fallen Whilst Universal Credit includes individuals who are not Since the beginning of 2021/22, claimant count decreased across Scotland in the past year. unemployed, data on Universal Credit claimants is a useful in the Glasgow College Region, to 28,800 in December and timely barometer of how COVID-19 has impacted on 2021. For comparison, across Scotland claimant count has There were 104,800 people aged 16+ unemployed in job losses as well as wider impact on wages. also decreased. Scotland over the period November 2021 to January In the Glasgow College Region, Universal Credit claims Claimant count rate shows the number of claimants as a 2022. This was 8,600 fewer than the previous three- increased from 42,700 in March 2020 (prior to the onset of proportion of residents aged 16-64. As shown in Figure 15, month period (August 2021 to October 2021). the pandemic), to 83,300 in March 2021 (the end of the in the Glasgow College Region the claimant count rate has Furthermore, there were 14,600 fewer people 2020/21 financial year). Proportionally, Universal Credit increased from 3.9 per cent in March 2020 to 7.2 per cent in unemployed compared to the same point last year claims increased more in the Glasgow College Region than March 2021, falling to 5.0 per cent in December 2021. This (November 2020 to January 2021).31 in Scotland. is a decrease from a peak of 7.6 per cent in August 2020. Comparable regional data is not available for November Since the beginning of 2021/22, Universal Credit claims For comparison, across Scotland the claimant count rate 2021 to January 2022. However, we can report have decreased in the Glasgow College Region, to 78,900 was 3.3 per cent in March 2020, 6.1 per cent in March 2021 unemployment data for those aged 16 and over and in December 2021. This suggests the situation is improving. and 3.9 per cent in December 2021. Nationally the claimant those aged 16-24 between October 2020 and For comparison, across Scotland the number of Universal count rate peaked at 6.4 per cent in August 2020. September 2021. Youth unemployment in the Glasgow Credit claims has also decreased. College Region was 4,100 (7.4 per cent), whilst total 16+ unemployment was 17,900 (4.3 per cent).32 Claimant Count34 Claimant count aims to provide data on the number of Figure 15: Claimant Count rate (January 2020 – December This compares with 10.4 per cent for youth people receiving out of work benefits. This is currently an 2021), the Glasgow College Region unemployment and 4.2 percent for total unemployment experimental series, which counts the number of people 7.6% in Scotland. claiming Jobseeker’s Allowance plus those who claim 7.1% 7.2% Universal Credit and are required to seek work and be 5.0% Compared with October 2019-September 2020, the available for work. It is therefore a very useful measure for 6.4% 6.1% 3.8% 3.9% 5.9% youth unemployment rate in the Glasgow College how COVID-19 has impacted on employment, particularly Region in October 2020-September 2021 had decreased as commentators have suggested that official 3.9% by 2.7 percentage points and the 16+ unemployment unemployment levels may be underestimating the true level 3.2% 3.3% rate had increased by 0.9 percentage points. This of unemployment. compares to a decline of 1.1 percentage points in the May September May September February July February July March March November December November December October October January January April August April August June June In the Glasgow College Region, claimant count increased youth unemployment rate in Scotland, and an increase from 22,500 in March 2020 (prior to the onset of the of 0.6 percentage points in the total 16+ unemployment pandemic), to 41,300 in March 2021 (the end of the 2020/21 rate in Scotland. financial year). Proportionally, claimant count increased less 2020 2021 in the Glasgow College Region than in Scotland. Glasgow College Region Scotland
Regional Requirement35
Future demand for skills In this section we provide an overview of the total labour market requirement in the Glasgow College Region. They should be used as guidance on overall trends based on current evidence - rather than Expansion Demand definitive numbers. We provide this overview for two time periods: Expansion demand is the measure of an increase/decrease in jobs, as a result of economic growth or contraction. • The mid-term, 2021-2024; and • The longer-term, 2024-2031. We do this as the data and evidence suggests that, for the most part, the changes and dynamics in the mid-term are largely a result of the economy and labour market recovering from the impacts of the pandemic. Replacement Demand Whereas over the longer-term we see changes associated with recovery Replacement demand is the number of job openings generated by level-off, and the labour market operating in the ‘new normal’. In most people leaving the labour market (i.e. those who retire, move away, cases by the end of 2024 or during 2025 we see labour markets return to a or change jobs). position similar to that pre-pandemic. Whilst this is generally the case, not all regions are expected to. It is important to note that the forecasts do not account for national or regional activities, initiatives or investments that are planned. This is true for planned activity relating to jobs being lost in the area through relocation or business closure, and also activity that may lead to jobs being created. Users of the RSA are encouraged to overlay the forecasts with their knowledge of local factors. Total Requirement Total requirement is made up of expansion demand and replacement demand to show the total number of job openings.
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