Mike Smith, Managing Director of GENII, a specialist engineering and technology training company

The paper sets out a radical realignment of publicly funded education and training to match the needs of UK industry and employers as the means of underpinning the nation's economic growth and future prosperity. It represents a new coordinated approach by Government to the skills shortage issue. The policy is not only backed by the Department for Education and Skills (DfES), but also the DTI, the Department for Work and Pensions, as well as the Treasury and No. 10.

There is now an opportunity for the nuclear employers afforded  to take a strategic approach to skills as part of improving business performance through involvement in the developing COGENT Sectors Skills Council.

We're all aware of the skills shortages, particularly in manufacturing and engineering, and the difficulty of attracting young people into engineering, science and technology subjects at college and university. So it's heartening to see that the paper identifies the lack of 'intermediate skills' (ie higher craft, technician or associate professional at level 3), as one of the priority areas for action. Other key elements of the new policy include:

• Better information for employers about the quality of local training provision.
• Improved training and development for management and leadership, particularly in SMEs.
• Expansion and strengthening of the network of Union Learning Representatives.
• Creation of a new guarantee of free tuition for any adult without a good foundation of employability skills up to a level 2 qualification.
• Piloting of a new form of adult learning grant, providing weekly financial support for adults studying full-time for their first full level 2, and young adults studying for their first full level 3 qualification.
• Lifting of the age cap on Modern Apprenticeships (MA), with an immediate change allowing young people who start their MA at any point up until their 25th birthday, to complete it.
  

Changing skills provision
This will mean a major change for skills provision. Private Work Based Learning providers (such as GENII) and Further Education Colleges will have to collaborate to provide the routes for young people to progress from secondary education, through vocational training and on to further and even higher education. They'll also have to provide more flexible training and education, which match much more the local needs of employers as well as individual learners. Provision will be much more demand led than in the past, and the new Sector Skills Councils (SSCs) will have the lead role in establishing the skills needs for their relevant industry sectors. So far only 5 'pathfinder' SSCs have been granted their licence, but the DfES expects a further 18 to have been licensed by April next year.

GENII, was set up in 2000 as a joint venture between five major North West based companies: BNFL, CORUS, UCB Surface Specialities, Iggesund Paperboard and AMEC. It was established with the very aim of providing its partners, as well as the community, with a vehicle to train engineering apprentices as well as scientific and process trainees for future recruitment. The company also provides safety training, and other adult skills training required to keep its customer's businesses competitive.

Much of GENII's work is done in the nuclear sector, with its largest customer being the giant Sellafield complex in West Cumbria. The potential skill shortages are even more acute in the nuclear industry, particularly given the bad press the industry has received over the past few years. The Government's recent Energy White Paper didn't help either - it ruled out future new nuclear build in favour of an expansion in renewable energy generation. It is difficult to attract young people into a declining industry, when they can't see any future prospect for jobs!

The actual position couldn't be further from the truth. By the DTI's own estimation (through its Nuclear and Radiological Initiative), the nuclear industry will require at least 15,500 graduates and 7,850 modern apprentices over the next 15 years. The creation of the new Nuclear Decommissioning Authority (NDA) should help address the problem of skill retention and development. The DTI has given it the clear remit of securing the skills needs of a workforce to meet the future demands of the industry.

With some 60% of the UK nuclear decommissioning liability based in Cumbria, and a significant proportion in other parts of the Northwest, much of the skills demand will need to be met from within the region. In recognition of this, the Northwest Development Agency (NWDA), has taken the lead and funded a project to secure the development of the necessary skills infrastructure. A dedicated Project Manager, who reports to a Management Group involving representation from across the industry and the training and education spectrum, manages the project.

COGENT Sector Skills Council
This is an important step in the right direction. The aim of the project is to bring all the main players into one national framework: employers, trade unions, government agencies, academic institutions, training providers, and schools. Only in this way will it be possible for training and education providers to meet the needs of the industry, whilst working within a common occupational skills standards framework. That's why the chosen SSC for the nuclear industry, COGENT, is an important member of the Group, so that they can input on national occupational standards development.

Overall, I am optimistic about the future prospects for skills development, both nationally and within the nuclear sector. The Government is heading in the right direction with its proposals. Only time and the right level of funding will tell if we can attract the young people we need into industry, whilst at the same time raising the levels of skills achievement we need to be competitive with our international competitors.