FSB: Small businesses must be recognised for their role as skills trainers

Small businesses that offer on-the-job training are contributing to a skilled workforce, but are going totally unrecognised, the Federation of Small Businesses (FSB) warned.

According to the FSB’s biennial survey of 8,700 members, ‘learning by doing’ was one of the most popular and effective training methods for employees. Nearly 70 per cent of responding firms saw sustained growth after their employees taught themselves by getting on with the job, while more than half grew as a result of being given on the job training by a superior.

But the survey results, entitled Putting the economy back on track: Skills and training, point out that much beneficial training is unaccredited by policy makers, leaving small businesses and their employees skilled but with no official qualifications.

Respondents also reported that the Government’s ‘Train to Gain’ programme, which offers training schemes to small firms, is not meeting their training needs. This illustrates that it is often easier for small firms to provide their own tailored training for their employees. However, the programme has recently been reformed, and the FSB hopes to see new funding allocated to the hardest-to-reach and smallest businesses, which need it most.

Dr Gary Packham, Head of Enterprise at Glamorgan University, where the report was compiled, said:

“Many small firms are finding that there are basic skills shortages in new staff and that it is not only efficient but effective to train their staff in-house. However, for the smallest firms, providing training can be a challenge, and certainly is a struggle when they train up their staff but aren’t recognised for it.”

John Walker, FSB National Chairman, said:

“It’s time that small businesses that give their employees their own very beneficial training are officially recognised for doing so. The role small businesses play in this area of training the UK’s workforce should be properly acknowledged and the achievements of small firm employees actually recognised under official accreditation.

“In the current economic climate, it is also imperative that the Government, employers and employees invest in the skills they need to both support small businesses and get people back into work during these difficult times.”

Ends

Notes to Editors

1. The FSB is Britain’s biggest business organisation with over 215,000 members. It exists to protect and promote the interests of the self-employed, and all those who run their own business. More information is available at http://www.fsb.org.uk/

2. The report, entitled Putting the economy back on track: Skills and Training, is the third in a series of five looking at the barriers that small businesses face in growing their firms. The report was written by Dr David Pickernell and Dr Gary Packham and compiled by the University of Glamorgan. To view the document email sophie.kummer@fsb.org.uk or visit http://www.fsb.org.uk/

Contacts:

Stephen Alambritis: 020 7592 8112/07788 422155
Sophie Kummer: 020 7592 8128/07917628998
Prue Watson 020 7592 8121/07825 125695
Marc Shoffman 020 7592 8113/07595 067068

For regional FSB contacts please go to //www.fsb.org.uk/regions.