Training grants for English auto companies

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Semta, the sector skills council for science, engineering and manufacturing technologies, is urging automotive companies to stave off the impact of the economic downturn by investing in training.

Automotive companies of all sizes are being encouraged to use a share of a £65 million compact between the Government and Semta, to reskill the workforce and be better prepared to prosper when we emerge from the downturn. Underlining the importance of automotive industry support business secretary Lord Mandelson (pictured) said: "The automotive sector is a vital part of the UK's economy with over 190,000 people employed directly in manufacturing vehicles and components. We need to ensure that our workers have the world class skills to help UK-based companies be globally competitive. As part of the government's commitment to manufacturing, we are determined to maintain the UK as a location of choice for manufacturers, both large and small." Semta said its agreement with the Government had been specifically developed to meet employer needs and to beat skills shortages that are estimated to cost England £700 million a year in lost productivity. Skills Secretary John Denham said the agreement would simplify, “extend and improve” the support offered through Train to Gain, helping firms fill skills gaps quickly. Through Train to Gain, automotive manufacturers and their supply chain companies in England can access support and funding for a range of skills including apprenticeships, management and leadership (for companies with between 5 - 250 employees) and business improvement techniques (at either level 2 or level 3, with level 4 available in 2009) and skills for life (such as literacy, numeracy and English as a foreign language). Ford of Europe vice president Joe Greenwell, who chairs Semta's automotive strategy group, said times were “very difficult” for the industry and the funding would support training and development of employees to meet the specific business needs of OEMs, major suppliers and smaller companies within the supply chain. Semta Chief Executive Philip Whiteman said it made sense to train for the upturn. “The offer, which includes programmes in bite-sized chunks, is particularly relevant for the supply chain as the majority of automotive employers are small, with 82% of all sites in the UK employing fewer than 50 people. The UK is unique in the European automotive industry in that the majority of the workforce is in the automotive supply chain rather than the vehicle manufacturing sector.” The £65 million will be available through the Train to Gain budget; up to 30% of the budget for level 2 and level 3 learning will now be available to train employees who already hold GCSE or A-level equivalents but who need more specific, or more up-to-date, business qualifications. Government investment in Train to Gain will rise to over £1 billion by 2010-11, supporting over 800,000 learners to improve their skills and gain new qualifications. More information about the new funding is available by emailing customerservices@semta.org.uk, by visiting www.semta.org.uk, www.traintogain.gov.uk, or calling Train to Gain on 0800 015 55 45.