The policy implications of a regional case study: skills shortages and provision in the welsh automotive and electronics industries

Abstract

This article is based on a survey of small automotive and electronics companies in Wales. Issues investigated included skills requirements and provision, recruitment, and training activities. The results of this survey are compared to a similar study carried out in 1996. In the intervening time, a number of government initiatives were launched or became established, such as NVQs, Modern Apprenticeships, National Traineeships, Skill Build and the New Deal programme. This article examines whether these initiatives have had an impact on the type of small to medium size enterprises (SMEs) studied. The author concludes that the impact of these initiatives appears to have been limited, for example, the introduction of the Modern Apprenticeship scheme does not seem to have addressed a reported lack of apprenticeship-trained staff. Another major issue was barriers to training. Cost and staff time were identified as key barriers, but for many respondents employee motivation was also a problem. This, in turn, implies that the equation available training scheme = output = skilled workforce is too simplistic, and that more appropriate regional training structures and policies have to be developed.