Education “fails to meet needs of UK service economy”

Citation

(2006), "Education “fails to meet needs of UK service economy”", Education + Training, Vol. 48 No. 5. https://doi.org/10.1108/et.2006.00448eab.005

Education “fails to meet needs of UK service economy”

There are signs of a widening mismatch between the skills employers demand and what young people are learning at school and college. Qualities such as confidence, self-discipline, persistence and reliability are what most employers are looking for – but the education system is failing to cultivate them or to give them the priority they deserve. This mismatch threatens Britain’s future as an advanced service economy and is also impeding reform to make public services more responsive to the public. These are the among the messages that Geoff Mulgan, director of The Young Foundation and former head of policy at No 10. and head of the Government strategy unit, made at the Learning and Skills Development Agency’s (LSDA) annual lecture.

“Millions of pounds are spent every year on education and training by the Government and business. Many people benefit greatly from the qualifications they gain. But there is growing evidence that much of the learning provided is irrelevant to what people need in the labour market and in life,” said Geoff Mulgan.

Surveys of skills and vacancies consistently show that the core characteristics employers are looking for, and not finding, include motivation and flexibility, willingness to work and learn, confidence, appearance and good manners. For example, a 2005 survey for Scottish Enterprise of 20,000 employers revealed that what they most lacked from new recruits were skills in oral communication, customer handling, problem solving and team working. In contrast, written communication, literacy skills and using numbers, although important, came bottom of the list – the opposite of the Government’s priorities.

“Although the whole schooling and further-education system is orientated to qualifications, these are less important to employers and most often used to screen applicants rather than to make hiring decisions,” Geoff Mulgan continued. “The mismatch between the skills young people are receiving and the demands of the market is visible in many fields. It can be seen in every hotel or restaurant in London, Glasgow or Birmingham, where the jobs are filled by Estonians, Australians and Poles rather than unemployed locals, who employers see as ill-suited to service work. It can be seen in the many statistics showing that key Government policies have had little impact on levels of unemployment and on the numbers of young people not in education, employment or training. And it can be seen in the often-appalling levels of service provided by many private companies as well as many public services.”

Geoff Mulgan argued that debates about the education system are overly concerned with structures, with insufficient attention given to extra-curricular activities, sports and project work – the activities that help to develop interpersonal skills and emotional intelligence. He advocated new types of school that are much more directly focused on experience of working with others and the creation of a “virtual service campus” to provide courses for managers and front-line staff. Arguing that standards of service in both the private and public sectors are still woefully low, he said that the same emphasis that had been put on leadership education should now be devoted to learning the attention to detail and humility that lie behind really good service.