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Food and drink industry alliance urges action over shortage of workers

31st Aug 2021 - 06:00
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Groups representing the £120bn food and drink industry in the UK are asking the Government to create a 12-month Covid 19 Recovery visa in order to alleviate large labour shortages.

It also wants Government to commission the Migration Advisory Committee (MAC) to undertake a detailed review of the sector, as it has done for the social care sector, and identify areas of shortage where short term immigration solutions can be implemented and/or what roles should be added to Shortage Occupation List.

The groups, which include the Food and Drink Federation, the Federation of Wholesale Distributors and the National Farmers Union, claim the average business in the sector has a vacancy rate of 13%, which equates to 500,000 vacancies in the food and drink industry.

About 100,000 of these are accounted for by HGV driver shortages, while the hospitality industry in undermanned to the tune of 188,000 workers.

In a report just out called ‘Establishing the labour availability issues of the UK Food and Drink Sector’, the groups say: “These shortages are placing huge pressure on the sector and there is a very real chance that they could quickly reach breaking point.

“They are shortages that cover the full breadth of the supply chain from the initial inputs into farming all the way through to those that serve food and drink ‘at the table’.

“They are shortages that are having an impact on production, processing, supply and ultimately demand. They are shortages that if they go unaddressed will have significant economic implications for the UK.

“This short term response [Covid 19 Recovery visa] will enable the sector to work with UK Government and the devolved administrations in parallel on a package of measures that support training and skills development, the adoption of new technologies and career promotion.

“It is a package of measures that will enable the sector to transition to a more stable long term footing and with it continue to support the economic recovery and growth of the UK.”

The report highlights the impact the staff shortages are already having and the how the situation threatens to deteriorate unless action is taken.

“In particular, there are a number of specific skill shortages. For example one that is affecting all parts of the food and drink supply chain is the shortage of HGV drivers which is impacting on the collection and distribution of food.

“With butchers being another that is resulting in less UK produced meat in the shops.

“As a result, the impacts include scaling back production and reduced quality of produce; the replacement of UK grown produce with international imports; delivery delays; increased pressure on staff; and reduced business profitability, growth and investment.”
 

Written by
David Foad