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By Scott Wright
THE chief executive of the British Retail Consortium has highlighted calls within the sector for permanent solutions to be found to the UK’s current labour shortages, declaring retailers are “keen to move the debate on” from short-term fixes.
The hospitality industry has been pressing the UK Government in recent months to issue short-term visas to allow people from within the European Union to take up roles within the sector. It is one of a number of sectors, from haulage to food manufacturing, that have encountered worsening staff shortages since the UK formally exited the EU at the start of the year.
While the UK Government has granted some temporary visas to combat the shortage of HGV drivers, BRC chief Helen Dickinson said it is time a longer term strategy was formulated to ensure UK industries are able to attract the staff they require.
To back up the point, she noted that there had not been a “great take-up” of visas for HGV drivers from the EU because of the cost and bureaucracy involved for such short-term work.
Ms Dickinson said: “I think the debate probably needs to move on from an immediate effect into one about what’s the long-term strategy for the UK, in terms of labour. Many of the retailers will argue that [with regard to] the temporary visas that were issued on HGV drivers, there hasn’t been a great take-up of that. The reason for that is they are only for three months.
“There’s a whole lot of costs and admin in terms of trying to get somebody through that process, so it is not worth the effort for the amount of time that is left if you can find them in the first place.”
Ms Dickinson added that businesses are “keen to move the debate on” from how many HGV drivers are needed in the short-term to a “more informed debate about what the whole labour needs are going to be over the next few years.” She said: “This sort of trying to fill immediate holes with short-term fixes that actually don’t get to the heart of the problem isn’t necessarily getting us very far.”
Asked how a longer term solution could be arrived at, Ms Dickinson said it “requires a realistic discussion on the labour requirements going forward.” This would look at the “role businesses can play in attracting and supporting UK workers, but also what role short-term controlled immigration might play where local workers are simply unavailable.”
She added: “In other words, an employment strategy fit for purpose for a growing economy that is realistic about the ability to recruit.”
During his recent Budget statement, Chancellor Rishi Sunak was a pains to emphasise that the current supply chain difficulties were global in nature, and that they could not be solved by the UK on its own. He did not highlight Brexit as a factor.
Ms Dickinson expressed the view that the supply chain difficulties currently being faced by the UK are caused by a “mix of Covid and Brexit all jumbled in together”. She noted that there are pressures across the global supply chain which are coming to bear, such as container costs and blockages at ports. But she said there are labour shortages in the UK food supply chain, be it for butchers, fruit pickers or HGV drivers, that are not as evident in other countries.
Ms Dickinson was speaking to The Herald shortly before making the trip to Glasgow to attend the crucial COP26 summit on climate change.
She emphasised the importance of the sector playing its part in tackling climate change, highlighting that one-third of household emissions come from the products consumers buy
The BRC has published a roadmap for the industry setting out a plan to become net zero by 2040.
Noting that the focus on climate change among retailers had increased “even during the last 18 months”, she underlined the challenges the sector faces in reducing its environmental impact. These include “getting its own houses in order” in terms of stores, warehousing and distribution networks, addressing the impact of supply chains, and influencing consumers’ purchasing decisions.
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