Temporary warehouse buildings could soon become a valuable asset for many manufacturers in the West Midlands as they take on more staff and step up their operations to meet demand.
According to the annual Manufacturing Salary Survey from local recruitment specialist Consilium Group, more than half of manufacturing, automotive and engineering firms in the region are seeing “soaring” demand and are consequently planning to take on new workers this year.
Overall, 57 per cent of respondents anticipated an increase in their employee headcount, while 28 per cent predicted that it would remain the same. Less than a sixth (15 per cent) of companies had plans to reduce their labour force.
Publishing its findings, Consilium said manufacturing is “very much at the forefront” of the ongoing economic reform taking place in the UK.
The company pointed out that productivity within the industry is growing at an average rate of 2.8 per cent, which is almost double that of the services sector. Furthermore, UK manufacturers have benefited from a strong flow of inward investment in recent years.
Discussing the outlook for these firms in terms of recruitment, Consilium director Russell Tuck pointed out that the need for talented employees and the growing skills gap has created a jobseekers’ market. As a result, average wages are rising as employers seek to attract the best candidates with attractive pay packages.
“Employers are realising that wage inflation is a dangerous precedent,” said Mr Tuck. “In response, our findings have shown they are increasingly prepared to widen their search criteria to include alternative industry sectors or looking overseas for talent in Europe.
“Additionally, however, a positive response has been the major uptake in graduate and apprenticeship recruitment.”
Businesses in manufacturing and many other industries could soon see some significant changes as a result of the general election.
