Manufacturing staff will have to work harder

apprentice300Manufacturing workers will have to become more productive as employers look to maximise the efficiency of their existing staff rather than take on new people.

According to Daniel Skyte, an analyst at the Centre for Economics and Business Research, growth in the sector’s output has not been reflected in new job numbers. Skyte says that although manufacturing has shown “resolute growth” in recent months, with output and new orders reaching their highest growth points since 1994, along with increases in exports to the USA, China and the Eurozone, this was not reflected in the employment index.

Although this measure maintained some growth, it was at a slower rate, as companies looked to maximise the output of existing staff. He continued: “As noted by the Governor of the Bank of England, UK employee productivity is no higher than in 2005, so firms have plenty of scope to increase output by making existing employees more productive as opposed to hiring new workers. This could serve to keep unemployment elevated even as the economy recovers – so market expectations that interest rates will rise before 2016 may be unwarranted.”

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About Ken Hurst

Ken Hurst began his career as a journalist in London over 30 years ago, working on a range of publications before moving on to weekly newspaper production in the newly-independent Zambia of the 1970s. He returned to the UK where his work included spells on newspapers and magazines, before moving to head up Norwich Union’s corporate affairs division. In the 1990s he moved on to freelance, co-own and publish the B2B audio magazine Sound and front the BBC radio Yesterday’s Papers programme. There followed six years as Business Editor at Britain’s biggest selling regional daily newspaper, The Eastern Daily Press, where he led an award-winning team and for whom he still writes a weekly socio/political comment column. Subsequently, he was Group Editorial Director at CBM, responsible for its UK and US magazine output – including The Manufacturer magazine – research-driven industry reports and live events content. Currently he is Contributing Editor at Works Management magazine publisher Findlay Media and Chairman of the consumer publishing house TNT Multimedia Ltd. He is a Fellow of the Royal Society of Arts and of the British Association of Communicators in Business.
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