Why is there such a labour shortage in the UK?
There is no secret that the UK is currently facing an unprecedented labour shortage, but with conflicting news reports and varying statistical data, it can be a little confusing as to what is causing the shortage and if we are likely to see any improvements in the near future. Sometimes, a labour shortage can naturally occur because there is a lack of people to undertake the roles available. Other times, it is because people don't want the position available due to poor pay and working conditions or uncertainty in the financial climate.
The UK has faced some challenging times over the last two years with both the Coronavirus pandemic and leaving the European Union - meaning many residents of the UK had no choice but to move back to their home country. Both these challenges left us with a shortage of workers due to European workers leaving the UK and UK citizens leaving their positions to find other work due to being furloughed or made redundant. More recently, we have also started to face concerns over the current financial climate of the UK and that we may be heading towards another recession in 2023. When adding these challenges together, it is no wonder we are facing a labour shortage across industries in the UK. But how does this affect the timber and construction industry, and when will we see this start to improve? Hinson Custom Made investigates these questions in this month's blog.
How is the labour shortage affecting the joinery industry?
For the joinery industry, the challenge comes from both sides. The lack of workers in the workshop to manufacture and create the products being sold to customers and the shortage of timber coming from suppliers who have also been affected by the labour shortage. Whilst there is hope on the horizon for the lack of timber products being supplied (as labour shortages aren't the only issue for suppliers), the lack of labour in the workshop is causing a big problem, and there doesn't seem to be an end in sight.
Labour shortages are affecting every part of joinery businesses, and a lot of these challenges are then passed onto the end client. This can be seen in increased lead times and an increase in prices due to a lack of workers available to support the manufacturing of products. For smaller businesses, these two elements are causing serious problems, often leaving these businesses with no choice but to close or completely rethink their current strategies.
When are we likely to see an improvement?
It is unfortunate that there is no easy way out of the current labour shortage, but there are solutions to ease the pain it has caused both industries and their customers. Ultimately, the simplest plan is to source and train potential employees, giving them the skills and knowledge to work well within the joinery industry. This solution comes with its own disadvantages - namely that it takes time to give employees the skills needed to become master craftsmen in the joinery industry.
Where there is a shortage of workers in certain sectors caused by poor pay or conditions, the obvious solution is to improve them so that more people will want to work in that sector. However, this may also raise prices and reduce the demand for workers. There is a long-standing debate among economists about the link between immigration and wages. Many reports now link a lack of migrants to labour shortages and rising wages, which suggests that migration can sometimes affect pay. However, economists generally believe that the impact is bigger in the short run than in the long run. Hinson Custom Made believes in fair wages for all staff, contractors and suppliers in return for the high quality of work that is continually produced by our team.
The general advice from recruiters and the government is for companies to change their current recruitment techniques in favour of other pools of talent. Employers have also been advised to raise wages, offer flexibility and upskill the candidates that approach their company. Whilst this could be helpful for some industries, the joinery industry, in particular, is already facing unprecedented cost increases for timber (the main material with which they work), meaning further increased payouts elsewhere are likely to leave them with no capital and no safety blanket should we fall into a recession in the near future.
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Hinson Custom Made continues to support its customers
As a family-run business, Hinson Custom Made takes pride in supporting the team they have in place by continuing to upskill and provide training. As master joiners, we work with clients across Buckinghamshire and the Home Counties to provide bespoke wooden doors and windows for homes and offices. Having transparency and honesty with our clients is a priority as a joinery business who are facing these difficult times.
We would like to take this opportunity to reassure our customers that although we are all facing difficult periods, Hinson Custom Made is still here to support all customers with their bespoke wooden orders, and we are able to fulfil every order that makes its way over to us. If you are looking for high-quality bespoke products, get in touch with Hinson Custom Made today!
