It’s crucial to continue investing in skills

Jun 11 2008 by Maggie Pavlou for The Journal

WHEN the economic climate is tough, the first two budgets to get slashed are marketing and training.

The company bean counters are first to leap on the ‘fat’ of the company and the seemingly substantial budget for shouting about oneself is hard to justify unless you can link it directly to sales. Equally, it is difficult to quantify the return on staff development and leaves this wide open for the accountant’s scalpel.

However, a minor brand from America that has dabbled in the odd bit of sportswear suggests individuality is the key. In one of its eye-catching campaigns, Nike told viewers: “The only one who can tell you ‘you can’t’ is you. And you don’t have to listen.”

The Government is firmly behind this sentiment when it comes to investment in training.

It has launched an initiative – Make the UK a World Leader in Skills by 2020 – that is looking at ways to encourage businesses to have a much more proactive role in staff development.

However, as economic conditions toughen like they are currently, not every company will have the luxury of contributing to this position.

There is tremendous change in the skills agenda, some of it extremely unsettling. A consultation period ends this week in which the Government has invited comment on plans to scrap the Learning and Skills Council in favour of ceding power to the local authorities.

The idea of bringing skills delivery closer to the ground has some merit, but not if it involves sacrificing the connection the LSC has engendered with the business community – and certainly not until the authorities have proved that they have the expertise and ability to drive forward skills development. NECC is hosting the latest leg of the ‘Make the ...’ tour, with Secretary of State for Innovation, Universities and Skills, John Denham, attending a breakfast event at Hall Garth Hotel near Darlington on Friday. This is an opportunity to learn at first hand why it is crucial to continue investing in skills no matter what the economic climate.

As Nike would put it: “Just Do It!”

Maggie Pavlou is NECC immediate past president and managing director of Leisure, Travel & Tourism Ltd