Legacy of Sir Michael Latham

03 June 2010

Sir Michael Latham

Legacy of Sir Michael Latham

Sir Michael Latham retired as chairman of ConstructionSkills on 31 March 2010.  Here, he reflects on some of the landmarks of his eight year chairmanship…

Whilst we find ourselves amidst tough times, it is imperative that we do not lose sight of the future and plan for it accordingly.  Yet it is also important to reflect on the past, not only to learn lessons but also to appreciate the positives that take place in spite of, or sometimes because of, challenging conditions.

Like the thousands of businesses that have struggled throughout the recession, ConstructionSkills has faced similar challenges and has adapted and made difficult decisions in order to continue delivering the industry with excellence. With output forecast by the Construction Skills Network (CSN) to increase at an annual average of 1.7% over the next five years, challenges remain but the skills infrastructure put in place during my tenure puts the industry in a position to emerge from the recession with strength and confidence. There are elements of this infrastructure that stand out for me as particularly pertinent for the part they have played: a focus on apprentices; tailored, practical training and qualifications; and equipping the industry for the future.

 Apprenticeships: protecting the industry’s future

Safeguarding apprenticeships is intrinsically linked with ensuring that the industry has the skills it will need in the years to come. If apprentices aren’t able to develop their skills and gain experience now, the industry will be looking at a severe and damaging skills gap when the economy recovers: more than 3,200 construction apprentices across the UK have been displaced in the recession. ConstructionSkills is committed to tackling this challenge head on, and thanks to the Apprenticeship Matching Service that was set up in 2008, figures to date reveal that 36% of displaced apprentices have been re-employed in the sector. I have no doubt that the benefits of this will be felt by individuals and industry for many years to come.

Understanding the industry, today and tomorrow

This I say with confidence, as through the CSN we have been able to anticipate and plan for the future skills and training requirements of the industry. We have co-ordinated this unique and comprehensive asset through the regional observatories since 2005, and it ensures ConstructionSkills and industry operate with a real understanding of the market. It also means that our initiatives and direction are justified and tailored by reliable and unique data.

Robust and comprehensive research predicates all the work undertaken by ConstructionSkills, and it is reinforced by working with industry and understanding their needs. Recently, ConstructionSkills lobbied government to retain National Vocational Qualifications (NVQs) – something employers were passionate about, and it demonstrates our influence and capacity to drive change. NVQs underpin the industry’s drive for a better trained, more efficient workforce and changing them would have led to confusion, bureaucracy and additional costs – burdens we have helped organisations avoid. Thanks to the action taken, ConstructionSkills was able to save the sector in excess of £1m.

 Direct support for businesses

Of course, our Grant Scheme also forms a key element of our provision for businesses and offers an economic benefit. Whilst the recession has prompted us to make changes to the CITB-ConstructionSkills Grants Scheme, it continues to help businesses that train and have a positive impact on the industry. In 2009 we distributed £169.4m in training grants to 22,329 registered employers, which was £3m more than planned. This provided a direct return to the sector of more than was paid in levy income. For every £1 of levy paid, the industry received a direct benefit of £1.03.

Dedicated to supporting organisations in taking on apprentices and up-skilling existing employees, it is crucial to ensuring the long term growth and development of the industry.

Our role in helping the sector to meet Health and Safety legislative requirements has been equally important. Our Site Safety Plus Scheme has gone from strength to strength, and has given more than 100,000 people the training to ensure they have the appropriate knowledge and skills to play their part in creating a safe working environment.

It is a safe and positive environment such as this that is now more important than ever, with a growing need to encourage young people to consider a career in construction. In response to negativity surrounding careers in the construction industry, our Positive Image campaign continues to attract new recruits into the industry by promoting and providing information about the opportunities through the bConstructive website, and digital and social media channels.

For young people entering the industry, and for those of us already in it, the immediate future will no doubt present an exciting and challenging environment, with innovation and carbon reduction central to everything we do. Our Future Skills Unit has been set up to ensure the industry has the skills it will need to deliver in these areas, and we are committed to supporting the industry as it works to this agenda. As I reflect on the work of ConstructionSkills over the eight years of my chairmanship, it is with confidence and anticipation that I look to the future. I have every confidence the industry will excel.

 For more information contact David Pidgeon on 0300 456 5403 or david.pidgeon@cskills.org