More than the sum of its parts

More than the sum of its parts
The food manufacturing industry employs one in seven of the UK’s workforce. When will the government recognise its massive contribution to the economy? asks Freddie Dawson

The Food Supply Network (FSN) was created to address issues that imperil the food industry's future. Providing a unified voice on food-related issues, it promotes cooperation and coordination along the food supply chain.

The FSN has already started work on some of the pressing concerns facing the three bodies that represent training across the UK food supply chain: Lantra (the sector skills council for agricultural and land-based industries), Improve (food manufacturing) and Skillsmart Retail (the retail sector). Improve chief executive, Jack Matthews, says that the councils need to address the effects years of disjointed government policy on skills aimed at different sectors have had on recruitment and proficiency in the industry. It is partially because of this scatter-fire approach that the industry finds itself so short of skilled personnel.

A further negative effect has been caused by our government's underestimation of the sector's contribution to the economy, concentrating more on new industries, such as green power and advanced technology.

"I think the idea that the food manufacturing industry was economically unimportant to the UK came about by pretty spurious research. I know at least one research area where their idea of economic importance is how many people you employ. That is such a ridiculous single measure of economic importance; it does not deserve to be commented on," says Matthews. Lantra national director for England, Madge Moore, agrees. She says that the food industry is estimated to be worth £79.5bn gross value added to the economy. It also employs 3.6M across all three areas, which is one in seven of the total UK workforce.

She adds that perceptions of the industry need to change. In agriculture, for example, the public view jobs as low paying but a farm manager now earns well over £40,000. Equally, the whole industry is traditionally viewed as a low-skilled migrant-dominated area.

"Many of the reports do not highlight the importance of the sector and the availability of jobs," Moore says.

What's to be done?

The sector skills councils agree that the first step in rectifying the situation is portraying a united front. A step towards this was achieved through the Early Day Motion put before parliament last month. Matthews says it helped raise the profile of the industry in Westminster. Moore adds that the use of one combined voice has already been more effective than three separate ones that get lost in the fray. The FSN now has to keep the momentum going by keeping up pressure on politicians through more intensive lobbying of the government.

"We are developing a comprehensive reference document that will lay out the economic importance of the industry and its contributions. It will define the skills needs and opportunities available," says Matthews. The definitive reference document will be agreed by the end of 2010 and published in March or April. It is hoped that it can help the FSN make its case to ministers.

Skillsmart Retail chief executive Anne Seaman believes the document will provide essential background information for future requests. She says that having the background research that demonstrates need will help create any new qualification or programme.

But in order for the FSN to succeed, further collaboration is needed across all three areas of food production. Matthews says that, traditionally, collaboration has been low because of the competitive nature of the industry and different commercial objectives.

Moore says that in the agricultural sector, Lantra is encouraging small businesses to form collectives to employ more apprentices.

"As a farmer you may have a big operation but you may not employ a lot of people, so it's a case of working together to ensure there are chances for apprenticeships and the opportunities they can bring," she says.

For future students

The FSN will look at what skills apprentices most need from day one and how best to make sure they have them. As apprentices are employees from the moment they start, issues such as health and safety need to be addressed immediately. Seaman adds that with many firms preferring to promote from within, it is very important that the FSN gets apprenticeships right. Companies need to have the talent at the bottom in order to promote it.

It will also help the industry work with the councils to make sure the people giving careers advice and guidance know what it is like to work in the sector. Moore says the FSN is helping councils discern the key features of a successful work experience. Through surveying the students and hosting companies, it is hoped a clear picture will emerge of the key elements both sides hope to gain.

For those considering entering the industry but looking at routes besides apprenticeships, the FSN is creating a comprehensive careers information guide, giving potential candidates access to job opportunities across all three parts of the supply chain.

"Anybody who wants to know about a career in food and drink can access it through a retail route, a farming route or the processing and manufacturing route. That will take them to anywhere along that supply chain they want to travel. It will give them the chance to consider other areas that they may not have originally considered working in," Matthews says.

He adds that the councils are sharing labour market intelligence to gain a complete picture of workforce needs across the entire supply chain. With this, the FSN will be able to work on common skills solutions for areas such as recruitment, food sustainability and security.

Moore hopes that this will help Lantra find the estimated 60,000 new entrants needed for the agricultural sector over the next few years. As the FSN helps rectify the perception of the food industry as a low-skilled migrant- dominated area, Lantra will look at increased mechanisation and the use of new technology. Moore says that this will lead to a requirement for a higher-skilled workforce, with greater input from engineers as well as technicians.

Skillsmart retail hopes the FSN can train more qualified dieticians to advise manufacturers on issues affecting customers. Both Moore and Seaman hope the FSN will also result in an increased proportion of the workforce coming from the UK. Due to a lack of maths and science qualifications among UK candidates, a number of positions continue to be filled by workers recruited from overseas.

It all comes down to securing a skilled workforce. "If you have the workforce, consumers will have confidence in the product, then everything else falls into place. You can get regulation reduced and you can show that there are even more opportunities with interesting jobs leading to further industry-wide expansion," says Moore.

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