Shropshire Star

Recruitment is 'on-going challenge' for Shropshire businesses

Recruitment remains an ‘ongoing challenge’ for firms in Shropshire and mid-Wales, preventing many from fulfilling existing orders and holding them back from expansion, business chiefs said this week.

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The latest Quarterly Recruitment Outlook (QRO), a survey of more than 5,000 UK firms of all sectors and sizes by the British Chambers of Commerce (BCC), revealed businesses are facing record high difficulties in hiring new staff. The first quarter results for 2023 show that recruitment difficulties have fallen just two percentage points from the record high level of 82 per cent in Q4 2022.

Attempted recruitment in Q1 was virtually unchanged from the previous quarter, with 59 per cent of those surveyed looking to find staff (61 per cent in Q4 2022). In Wales, 45 per cent of businesses attempted to recruit in Q1 2023 and 71 per cent experienced difficulties in finding suitable staff.

Paul Butterworth, Interim CEO of Chambers Wales South East, South West and Mid, which supports businesses in Powys, said: “This latest survey shows recruitment remains an ongoing challenge for businesses. Investment in training remains low due to overall cost pressures.

“Some 64 per cent of businesses in Wales told us that they were under pressure to raise prices of their goods and services due to existing labour costs.”

“We need to see the commitments made in the Spring Statement regarding employment and enterprise propelled into action so that employers can respond to skills and labour gaps in their businesses and look ahead to growth.”

Ruth Ross, Shropshire Chamber’s chief executive, said: “The local workforce continues to be very transient, which is not supportive of business.

“Employers across most sectors are voicing frustrations over the quality and quantity of applicants which in many cases is preventing them from expanding, taking on new business, or even fulfilling existing orders.

“Our survey found that more than four out of five employers are having to offer higher wages to attract staff, at the same time as wrestling with the dilemma of trying not to pass on big price rises to their own customers. It’s a real headache for many.”