Heathrow Local Labour Strategy February 2007 Phase II (draft) Contents 1 Introduction ................................................................................................. 2 2 Background ................................................................................................. 4 3 Defining the Priority Area ........................................................................... 8 4 An Overview of Airport Employment ........................................................ 9 5 An Overview of Heathrow’s Local Labour Market.................................. 12 6 Objectives, Goals and Strategies ............................................................ 15 7 Measurement ............................................................................................. 21 Appendix 1 – Tables .................................................................................... 22 Appendix 2 – Maps ...................................................................................... 24 1 1 Introduction Heathrow is being transformed. T5 opens in March 2008, increasing the airport’s capacity from 70 million to 90 - 95 million passengers a year by 2020. BAA plans to open the first phase of Heathrow East, a new terminal that will eventually replace T1 and T2, in 2012. 60 million passengers a year – two thirds of Heathrow’s throughput - will pass through those new terminals, with substantial improvements also planned for T3 and T4. But while buildings will shape our future, it is people who will make Heathrow great. Heathrow’s jobs are hugely important to the local economy. Of the 72,000 staff who work at this, the largest employment site in the UK, some 45% over 30,000 people - live in the five boroughs of Ealing, Hillingdon, Hounslow, Slough and Spelthorne. That means that, within those boroughs, 1 in 15 of all people in employment works at Heathrow. And, of course, many thousands more are employed by off-site, airport-related companies or by major construction programmes like T5. Our objective for this Local Labour Strategy is simple: to increase the proportion of airport staff living in the five boroughs to 50% by 2012. BAA believes that a local workforce is important for two reasons: It optimises the economic benefits generated by Heathrow in areas that tend also to experience the disadvantages created by an international airport. A local workforce is a more sustainable workforce: people living close to Heathrow are more likely to use public transport to travel to work than those living further afield. We face some challenges. Skill levels in some communities around Heathrow are relatively low, yet the airport’s skill requirements are increasing. The labour market is tight, and some of those who are available for work do not hold the skills required by airport employers. Heathrow employs relatively few young people, yet that segment of the local population is expected to grow. Competition for labour is set to increase with major developments such as the Olympics, Stratford City, Kings Cross and the operational requirements of White City and the Olympics. Those challenges are reflected in the two goals that underpin our objective: Maximise the supply of local labour. That means working with partners to help unemployed and economically inactive residents to access airport employment. And it means raising awareness among local students of the range and scope of Heathrow’s jobs so that we can help to develop the airport’s future workforce. Build airport careers. We want to provide high-quality training opportunities so that those who work at Heathrow can build a career 2 here while also meeting the evolving skill needs of airport employers. BAA already manages training programmes that are providing nationally-recognised qualifications for many airport staff. The challenge is to extend those programmes into new sectors and expand the range of qualifications on offer. The two goals are linked. Our aim is to provide an integrated approach to employment and training, with local residents who access airport jobs also having the opportunity to enhance their skills and careers once in work. As well as improving opportunities for local residents, this strategy offers benefits to airport employers, with the prospect of a more highly-skilled, productive workforce and improved retention rates. Figure 1 – the Phase II Model Professional/ managerial Skilled Elementary/ semi-skilled 3 Workforce Development Education and Pre-employment Airport employment 2 Background The Phase I Local Labour Strategy During the Terminal 5 public inquiry, BAA committed to invest £1.5m over a ten year period to ensure that residents closest to Heathrow benefit from the education, training and employment opportunities created by our airport investment. In 2002, we developed a Phase I Local Labour Strategy in consultation with partners and stakeholders. The Phase I Strategy focuses on the construction sector, identifying a range of ways in which BAA’s capital programme at Heathrow can create education, employment, training and business opportunities within the five boroughs closest to the airport: Ealing, Hillingdon, Hounslow, Slough and Spelthorne. In September 2002, BAA and London West Learning and Skills Council established the Heathrow Employment Forum to oversee and co-ordinate delivery of the Phase I Strategy. Bringing together airport employers, key public agencies, Brunel University and CITB – Construction Skills, the Forum has made substantial progress since its inception. Key achievements of the Phase I strategy include: The creation of a new construction training network, with four facilities offering training to 14 to 16 year olds and a fifth, the Heathrow Construction Training Centre, providing around 80 construction apprenticeships each year. Schemes with Heathrow’s construction companies to extend apprenticeship opportunities to young people within the five priority boroughs. A successful On Site Assessment and Training programme (OSAT) that has helped over 1,000 construction workers on T5 to gain NVQs at Level 2. The establishment of the T5 Workplace Co-ordinator, who works with local organisations to help people from a range of disadvantaged groups to access employment. Launched in September 2004, 200 people had gained jobs by January 2007. The T5 bursary scheme, which gives financial support and paid work experience to five young people each year. Thirteen bursaries have been awarded. Annual Heathrow Meet the Buyers events that give local companies the chance to sell their goods and services to major buyers, including construction companies on T5 and across Heathrow. 4 The creation of T5 curriculum resource packs for use in local schools. The provision of financial and in-kind support to help 15 local schools gain specialist status under a government programme that helps each school attract around £500,000 of further investment. Full details of the Forum’s achievements can be found in Heathrow Employment Forum News, available electronically at www.heathrowforum.org The Phase I strategy will continue to operate in parallel with this Phase II strategy, harnessing the local opportunities presented by BAA’s capital investment plan for Heathrow. The plan totals £6.2 billion over the period 2006/07 to 2015/16 and includes: the completion of Terminal 5, which opens in March 2008; the closure of Terminal 2 and the Queen’s Building; the proposed development of a new terminal, Heathrow East, capable of handling 30 million passengers and replacing the capacity currently provided by Terminals 1 and 2; and the modification and renovation of Terminals 3 and 4. The Phase II Strategy – the Challenge Heathrow is the UK’s largest employment site, with 73000 staff working for over 320 on-site companies and an estimated 40,000 staff working in airportrelated industries outside the airport boundary. Many of Heathrow’s staff are local residents, with almost half living in the five boroughs that lie closest to the airport. Yet the proportion of airport staff living locally has declined over the last 30 years. We want to reverse that trend. Whilst the Phase I Local Labour Strategy focuses on the construction sector, the Phase II strategy has a much broader remit. Its aim is to harness the opportunities offered by the co-location of Heathrow’s many employers and staff by putting in place education, employment and training programmes that maximise the local benefits of the airport operation. As BAA employs around 6% of airport staff, collaboration with other airport companies will be key to the strategy’s success. The Phase II Strategy has three target audiences. Prospective employees, including school pupils who wish to find out more about the employment and training opportunities offered by Heathrow, and disadvantaged groups for whom the airport represents a potential step into employment and in-work training. The airport’s workforce. The development of training programmes and qualifications for Heathrow’s staff is a key ingredient of the Phase II Strategy. 5 Employers. The Phase II Strategy offers airport companies the opportunity to engage in programmes that help to attract, retain and develop a workforce that can deliver excellent service and improve productivity. The strategy has been informed by a number of studies and surveys that have been undertaken by BAA and its partners in recent years: The 2004 Heathrow Airport Employment Survey (BAA), which provides a detailed analysis of the airport’s employment profile, including data on the residency of Heathrow staff. The 2006 Heathrow Staff Survey, which provides a snapshot of Heathrow’s current employment base. “Heathrow: Report on the Recruitment Environment and Future Skills Requirements” October 2005 (commissioned by London West Learning and Skills Council and BAA and undertaken by Exemplas). “Heathrow Local Labour Strategy: Options Appraisal” September 2004 (commissioned by London West Learning and Skills Council and BAA and undertaken by WM Enterprise Consultants). “Heathrow: A Resourcing Strategy for the Next Ten Years” 2004 (BAA internal document). “Heathrow Talking to the World – A Languages Audit” May 2005 (commissioned by London West Learning and Skills Council and undertaken by the Regional Language Network, London and CILT, the National Centre for Languages). Strategy Context At a national level, this strategy reflects some of the key components of the Department for Local Government and Communities’ “Sustainable Communities: People, Places and Prosperity” five year plan (2005), which defines sustainable communities as places that offer people: a decent home they can afford a community in which they want to live and work the chance to develop their skills and interests access to jobs and excellent services; and the chance to get engaged in their community and make a difference This strategy seeks to promote the sustainable relationship between Heathrow and its local area by ensuring that residents within Heathrow’s neighbouring boroughs are able to share in the economic benefits and opportunities generated by the airport. 6 At a regional level, the strategy complements the London Plan and London Development Agency’s Regional Economic Strategy (RES), “Sustaining Success” (2005), contributing in particular to that strategy’s Investment in People objectives: tackle barriers to unemployment; reduce disparities in labour market outcomes between groups; and address the impacts of concentrations of disadvantage. It complements, too, the skills and employment targets set out in the South East of England Development Agency’s RES (2006). More locally, the strategy is aligned with the “Skills for Growth” objectives established in the West London Economic Development Strategy (2004), and to the economic development strategies and/or Local Area Agreement targets of neighbouring local authorities. 7 3 Defining the Priority Area This strategy retains the priority area that was identified within the Phase I Local Labour Strategy, and which also forms the priority area for BAA Heathrow’s wider economic development activity. The area comprises the local authorities of Ealing, Hillingdon, Hounslow, Slough and Spelthorne. These boroughs have been identified for the following reasons: The five boroughs lie closest to Heathrow and are home to an estimated 45% of Heathrow’s workforce1. As many areas within the five boroughs enjoy strong public transport links with Heathrow, residents from the priority area are more likely to use sustainable transport modes to access airport employment. The analysis provided in Part 4 of this strategy demonstrates that each borough contains areas of relatively high economic inactivity, high unemployment and low skills. Some of these (such as “Heathrow City” on the airport’s north-eastern and eastern periphery) are priority areas for other agencies in which local labour activities linked to Heathrow can make a real impact. The boroughs are all exposed to the environmental impact of the Heathrow operation. It is therefore appropriate that this strategy should help them to capitalise on the education, employment and training opportunities presented by the airport. Figure 2: the priority area 1 Source – 2004 Heathrow Airport Employment Survey 8 4 An Overview of Airport Employment Heathrow is the UK’s largest employment site… Excluding the construction workforce, Heathrow currently employs some 73,000 staff2, with almost two thirds working for airlines and their handling agents: Figure 3: Heathrow staff by category of employer Category of Employer Number of Companies Airlines/Airline Handling Agents Government Services BAA Catering and Retail Other Public Passenger Services Cargo/Freight/Courier Services Building and Maintenance Contractors Other Companies Totals 82 8 1 97 32 Employees % of Heathrow Staff 45,055 62% 3,074 4% 4,000 6% 7,609 10% 2,133 3% 14 33 1,972 2,051 3% 3% 59 326 6,787 72,681 9% 100 …with an increasingly productive workforce Productivity at Heathrow is measured by the ratio of passengers to staff. In 1971/72, Heathrow handled 16.7 million passengers and employed 50,400 staff, a ratio of 331:1. Currently, the ratio is around 1000:1, rising to an estimated 1500:1 by 2016. That means that, despite projected passenger growth of almost 30% between 2006/07 and 2015/16, the number of staff employed at Heathrow may be lower by 2016 than it is today. Increased productivity is the result, broadly, of two factors: increased automation and more efficient labour utilisation. Both have implications for airport skills. Automation requires staff with IT, technical and maintenance skills. Labour efficiencies point towards flatter management structures, with managers operating a broader span of control across a greater number of staff, and therefore place an increasing emphasis on leadership and coaching skills, and on decision making, problem solving and teamwork among staff. Relatively few young people work at Heathrow Nationally, people aged 16 to 24 account for 14% of the workforce3. At Heathrow, the figure is 7% [Table 1], though that proportion varies markedly in different sectors (from 32% in catering and retail to 3% among airlines/airline 2 3 Source: 2006 Heathrow Staff Survey Source: Nomis, May 2006 9 handlers). GLA forecasts indicate that this segment of the resident population will increase by 9% between 2001 and 2016 across Ealing, Hillingdon and Hounslow, whilst the population aged 26 to 44 (which contributes 55% of Heathrow’s workforce) will decline. The diversity of Heathrow’s workforce reflects that of the local population… An estimated 34% of Heathrow’s workforce are drawn from black and minority ethnic (and particularly Indian and other Asian) communities [Table 2], which broadly reflects the profile of Heathrow’s neighbouring boroughs. …with a huge range of languages spoken by airport staff The “Heathrow Talking to Our World” report undertook a detailed analysis of the linguistic abilities and needs of staff within four of Heathrow’s largest companies. The report highlights the exceptional diversity of the companies’ workforces, with 45 languages being spoken within a sample of 150 staff, and more staff having Punjabi as a first language than English. The report also indicates a high demand among airport staff for language training, with evident demand for ESOL (English for Speakers of Other Languages) courses, but strong interest, too, in European languages, Japanese and Arabic [Table 3]. The importance of inter-cultural training is also emphasised. Recruitment and retention are important issues for many airport employers… Research commissioned in 2005 by BAA and London West Learning and Skills Council into the airport’s recruitment and training environment identified a number of common issues for airport employers. Many struggle to recruit suitable candidates when vacancies arise, with the result that some are operating below optimal headcount. In some sectors, the problem is aggravated by high turnover rates. Airport security procedures, which require various checks to be undertaken of prospective staff, create an additional recruitment hurdle. The 2004 Heathrow Employment Survey indicates that the airport has a relatively stable workforce, with over 70% of staff having worked for their current employer for over 3 years. Yet the figure is much lower in some sectors, falling to 39% in the case of retail and catering and to just over 50% in building and maintenance [Table 4]. …who also recognise the value of training and workforce development The same research identified that most employers at Heathrow regard training as essential. The majority of training is delivered internally, with low take-up of publicly funded programmes (such as apprenticeships and NVQs). There is little “pooling” amongst employers in the commissioning and delivery of training, even in areas such as Health and Safety that are common to many companies, yet most employers expressed an interest in using shared training 10 programmes and facilities. In relation to existing and projected skill requirements, employers’ priority areas include customer service, leadership and management, induction, English for speakers of other languages and IT. Finally, some major opportunities and challenges lie ahead Terminal 5 (T5), Europe’s largest construction project, opens in March 2008. Occupied by British Airways, T5 will provide capacity for 30 million passengers per annum and enable Heathrow’s passenger throughput to increase from 67.4 million in 2006/07 to 87 million in 2015/16 (assuming Heathrow continues to operate within existing limits). The job and training opportunities created by T5 present the opportunity for BAA and its partners to extend employment and skills programmes into new areas. BAA has also submitted a planning application for the development of a new terminal, Heathrow East, that would eventually replace the passenger capacity currently provided by Terminals 1 and 2. The construction of the new terminal will enable BAA to replicate and extend some of the successful projects it has initiated as part of the Phase I Local Labour Strategy, or to develop new projects. Finally, Heathrow will provide the international gateway to the 2012 London Olympics, with opportunities for BAA and its partners to put in place customer service programmes that ensure visitors have an excellent first impression of the capital. 11 5 An Overview of Heathrow’s Local Labour Market Heathrow is a significant employer of local people… Heathrow draws an estimated 45% of its staff – around 32,000 people - from the five boroughs of Ealing, Hillingdon, Hounslow, Slough and Spelthorne that form the priority area for this strategy4. The boroughs have a combined population of almost 1 million and cover an area of 31,000 hectares. Figure 4: % of airport staff in each priority borough Airport staff who live in the five boroughs have a significantly higher propensity to use public transport for their journeys to and from work than those living further afield [Table 5]. Those involved in lower-skilled occupations tend to live closest to the airport, but many staff employed in skilled, professional and managerial occupations also live within the priority area. Analysis of the 2001 Census demonstrates the airport’s impact on employment patterns around Heathrow, with a significant proportion of local people employed in transport, storage and communication; in hospitality; and in retail [Maps 1, 2, 3]. …but the proportion of local staff has declined The number of staff living in the five boroughs is the same today as in 1976, yet the airport’s employment base has grown from 51,000 to 73,000 over the same period. The proportion of airport staff living within the five boroughs has therefore declined from 61% to 45%. 4 Source: 2004 Heathrow Airport Employment Survey 12 Heathrow operates in a generally tight labour market… Labour demand outstrips supply across the five boroughs by a ratio of 1.2 : 1, with an estimated 585,000 jobs but only 498,000 residents who are either employed or actively seeking work. The mismatch is most stark in Hillingdon, which has 197,000 jobs (many at Heathrow) but only 128,000 economically active residents – a ratio of 1.5 : 15. …with generally low unemployment rates… The proportion of working-age people claiming Job Seekers’ Allowance (JSA) within the five boroughs is generally low, ranging from 1.4% in Spelthorne to 3% in Ealing (May 2006)6 against averages for London, the South East and Great Britain of 3.4%, 1.7% and 2.6% respectively. Pockets of higher unemployment do exist, particularly in the Heathrow City area, with Southall Broadway having a JSA claimant rate of 4.6%. Figure 5: The Heathrow City area …but economic inactivity is more prevalent in some areas… Economic inactivity relates to people who are neither in work nor currently seeking employment. It includes people who are not working for reasons of sickness or disability, those who are looking after a home, retired people and students. Typically within the five boroughs, around one third of economically inactive people want a job – significantly higher than the Great Britain average 5 6 Source: Nomis, May 2006 Source: Nomis, claimant count, May 2006 13 of 24%. The number of people within that category substantially outweighs the number of people claiming JSA. 2001 Census data reveals that economic inactivity rates in some areas close to Heathrow are higher than regional and national averages [Map 4], particularly in Heathrow City. …and a broad correlation exists between economic inactivity and ethnicity Some of Heathrow’s neighbouring communities are among the most diverse in the country, with Southall Broadway having a white British population of just 12% in 2001 [Map 5]. Local authorities and schools around Heathrow indicate that EU enlargement has led to a significant increase in Eastern European populations within the five boroughs in recent years. Generally, those areas with significant black and minority ethnic communities tend to experience high levels of economic inactivity. The reasons are complex, but in supporting employment projects in those areas BAA has identified three particular barriers that prevent residents from accessing airport employment: a shortage of the English language skills that are required by all customer-facing airport jobs; poor interview techniques and awareness of airport job opportunities; and the difficulty faced by some residents in securing the five years’ references required as part of Heathrow’s airside security regime. Finally, low qualification rates prevail in some areas The qualification levels of those aged 16 to 74 vary considerably across the five boroughs, but there are areas to the north and south of the airport, and in Slough, in which a significant proportion of the population is qualified below NVQ Level 2 (equivalent to five A* to C GCSEs) [Map 6]. Within 18 of the priority area’s 92 wards, the proportion of people within that category is substantially higher (more than five percentage points) than the London average of 21%, rising as high as 31% in Slough’s Britwell ward. Similarly, in many wards close to Heathrow, a relatively low proportion of the population is qualified at degree level or above [Map 7]. Although improving, educational attainment rates within some schools close to Heathrow lag behind regional and national averages7. Anecdotally, awareness among local school pupils of the airport’s broad employment offer is often limited to the “visible” roles, with lower awareness of professional, managerial and technical jobs, which some stakeholders suggest serves to depress aspiration levels. 7 Source: DfES performance tables 14 6 Objectives, Goals and Strategies Objectives and Goals BAA’s objective, as set out in the introduction, is to increase the proportion of Heathrow staff who live in the five boroughs to 50% by 2012 by: maximising the supply of local labour, and; building airport careers. In the case of Heathrow’s retail operation (see case study below), programmes are already in place that provide the progression path from preemployment and education into airport employment that offers accredited training. BAA has recently replicated the Retail Academy model by developing an Aviation Academy that provides recruitment and training services for airlines and other aviation-related companies at Heathrow. Case Study – the Retail Academy The Retail Academy, established by BAA in 2004, was established to help airport retailers recruit, retain and develop staff whilst creating opportunities for local residents. It provides an exemplary model for this Phase II strategy. Within the Retail Academy, BAA has appointed two recruitment agencies that provide a centralised service for airport retailers. Initiatives have been developed that help unemployed and economically inactive residents to access retail employment at Heathrow. Prospective staff are channelled through the central recruitment service, which gives access to retail opportunities across a range of employers. The agencies also provide a referencing services that streamlines and speeds up the process of securing an airport ID card . Industry days help local school pupils to understand the airport’s working environment and provide an insight into career opportunities within the retail sector. Resource packs, which include information on airport retail, have been distributed to all secondary schools within the five boroughs. Once in work, retail employers and staff are able to access a range of workforce development services. BAA’s retail apprenticeship, available to staff aged between 16 and 24, provides a range of nationally recognised qualifications at Levels 2 and 3. NVQs at Level 2 are also available to staff aged over 25 as a result of “Train to Gain”, an LSC-sponsored programme under which BAA is leading a consortium of training providers. A foundation degree has been launched will give airport retail staff the chance to gain higher-level qualifications. The Retail Academy has generated various case studies whereby unemployed residents have accessed work at Heathrow and subsequently completed an apprenticeship programme. The Academy has also created substantial benefits for airport retailers, with improved recruitment, retention and skill levels. 15 Goal 1: Maximise the supply of local labour Strategy 1.1 - Enhance opportunities for people aged 14 to 19 and in higher education to understand, access and progress within careers at Heathrow. The overview of Heathrow and its local labour market highlights an apparent paradox. Anecdotally, local schools and other stakeholders believe that the supply of airport jobs serves to depress pupils’ aspirations; yet young people are actually under-represented within the airport’s workforce. Data relating to the destination of Year 11 school leavers also shows that, at the age of 16, a very small proportion are entering employment that does not include formal training, but that a more significant number are classified as NEETs – not in education, employment or training. It may be the case that young people at Heathrow tend to be drawn from a handful of the most local secondary schools so that, though they form a small proportion of the airport’s overall workforce, they account for a sizeable proportion of each school’s annual leavers. It may also be the case that young people are more highly represented in airport-related employment based outside Heathrow’s boundary, since BAA’s data relates solely to on-site employment. But whatever the reason, GCSE results in some schools close to Heathrow are below local and national averages. The priority for BAA is therefore to help and prepare young people to access good quality employment and training opportunities at Heathrow. Within this strategy, BAA will therefore pursue the following activities: We will work with other employers to expand the number and range of apprenticeships available at Heathrow so that more young people are able to access good quality employment and training opportunities. We will work with partners, particularly local education business partnerships, to raise awareness among local school pupils of airport apprenticeships, and of the range of jobs available at Heathrow. We will also work with other airport employers and local education business partnerships to ensure that the vocational curriculum for 14 to 19 year olds reflects the airport’s skill requirements. In particular, we will explore how airport employers can contribute towards the specialised diplomas that will be introduced from 2008. We will work with local universities to explore ways in which airport employers can add value to higher education programmes that are relevant to Heathrow. 16 Strategy 1.2 - Develop airport-related programmes that help unemployed and economically inactive local residents to access employment. Within the generally buoyant labour market around Heathrow, BAA’s analysis identifies areas (such as Heathrow City and parts of Slough) in which unemployment and, in particular, economic inactivity rates are relatively high. With some airport employers experiencing recruitment challenges, those areas represent a potential pool of local labour – provided barriers to employment can be effectively overcome. BAA’s experience in supporting local employment projects suggests that short pre-employment courses are effective for some residents, but many require longer-term training support that is contextualised to the working environment. The broad correlation between areas with high black and minority populations and those with high levels of economic inactivity and unemployment indicates that effective English language training programmes are key. Heathrow City, which stands out in BAA’s analysis as an area that warrants particular attention, is also a priority area for the London Development Agency and the local authorities of Ealing, Hillingdon and Hounslow. BAA chairs the Heathrow City Partnership, which is delivering economic regeneration projects in 12 wards on the airport’s north eastern and eastern periphery, and is directly involved in two of the Partnership’s flagship projects. This Phase II Local Labour Strategy is aligned with the Partnership’s existing and emerging priorities and programmes. Many of those attending pre-employment programmes are, realistically, likely to enter entry-level or semi-skilled airport important. A critical component of this strategy is therefore the link between employment and ongoing training so that those entering Heathrow’s workforce are able to enhance their skills and career prospects. BAA will: Work with airport employers and recruitment agencies to provide costeffective, centralised recruitment services that improve access to the local labour market and streamline the referencing process. Work with partners to extend existing airport-related employment projects to other sectors in order to improve access to a wider range of jobs for unemployed and economically inactive local residents. We will also assess whether new training facilities at Heathrow can help to deliver pre-employment programmes. Ensure that the airport’s skill requirements, particularly the English language skills required by customer-facing roles, are reflected in basic skills programmes delivered around Heathrow in order to enhance their relevance to the workplace. 17 Help those who are gain an airport job to access accredited training in order to improve their skills and career prospects (see Goal 2). 18 Goal 2 – Build airport careers Strategy 2.1 - Provide training programmes at all levels that improve the career prospects of airport staff and meet employers’ skill needs The overview provided in sections 4 and 5 highlights a key local labour challenge: the airport’s skill requirements are rising; yet qualification rates in some of the wards closest to Heathrow are relatively low. BAA considers that pre-employment activity has a part to play in redressing this imbalance, but that workforce development programmes are critical. As most staff participating in such programmes will live close to the airport, this strategy has evident benefits for local skill levels. The development of an effective training offer that helps staff to enhance their qualifications and prospects will also help to give the airport a competitive edge in the recruitment market. The significant number of airport workers who do not have English as a first language means that the provision of English language programmes is important, particularly in helping those staff to access further training opportunities. Inter-cultural awareness is also important, particularly for airport managers, and is already being built into BAA’s existing training programmes. Research8 indicates a general willingness among airport employers to engage in workforce development programmes, provided BAA plays a lead managing and commissioning role. Airport employers are also clear that training should be delivered close to the workplace in order to minimise disruption. BAA’s own engineering apprenticeship has been operating for almost 30 years, providing high-quality employment and training for young people from the Heathrow area. More recently, we have successfully engaged other airport companies in apprenticeships and NVQ programmes in the construction and retail sectors and, with the launch in 2007 of the Aviation Academy, we are extending the range of employers with whom we work. A training infrastructure is already in place at Heathrow. BAA has secured status as a Centre of Vocational Excellence (CoVE) from the Learning and Skills Council, which has enabled it to create new training facilities across the airport site, and to extend its current apprenticeship programmes into new sectors such as customer service. BAA is also leading a consortium of local training providers in delivering a “Train to Gain” programme that will allow airport staff within certain sectors to gain a first Level 2 qualification – equivalent to 5 good GCSEs. Within the CoVE, BAA will: Work with airport employers and training providers to develop new, accredited training programmes at Levels 2 and 3, including advanced apprenticeships, that meet employers’ skill needs. “Heathrow: Report on the Recruitment Environment and Future Skills Requirements” October 2005 8 19 Work with employers and higher education providers to develop further Level 4 qualifications. Ensure that the airport’s learning offer includes inter-cultural awareness and language training provision, including English for Speakers of Other Languages (ESOL) and foreign language programmes. Promote the introduction of “skills passports” at Heathrow, which enable airport employers and their staff to record and track training and qualifications. 20 7 Measurement BAA will measure the implementation of this strategy against the following measures and targets: Target Increase the proportion of airport staff living in the five boroughs to 50% by 2012 Measures Goal 1 – Maximise the supply of local labour Number of young people participating in airport-related education programmes. Number of young people progressing into apprenticeship opportunities created by BAA. Number of young people accessing work placements provided by BAA and its employer partners. Goal 2 – Build airport careers Number of unemployed and economically inactive residents accessing airport employment as a result of programmes supported by BAA. 21 Number of airport employers engages in accredited vocational training. Number of apprenticeship placements provided or facilitated by BAA working with other airport employers and training providers. Number of airport staff gaining accredited qualifications as a result of programmes provided by BAA and its training partners. Appendix 1 – Tables All tables sources from 2004 Heathrow Airport Employment Survey unless otherwise stated. Table 1 – Age grouping of airport employees by category of employer Age 16- 24 25 – 34 35 – 44 45 – 54 55 – 64 65 + Airlines/ Airline Handling Agents Government Services BAA Catering and Retail % % % 5.1 19.6 34.1 29.5 11.7 0 % 32.1 30.5 18.8 11.2 6.7 0.6 3.0 23.6 34.5 27.9 10.8 <0.5 3.7 23.7 29.9 29.0 13.5 <0.5 Other Public Passenger Services % 14.4 25.7 21.0 25.1 11.9 1.8 Cargo, Freight and Courier Services % 11.5 20.7 29.5 22.5 14.7 1.1 Building and Maintenance Contractors Other Airport Related Companies % % Table 2 – Ethnic Profile of Heathrow Staff Ethnic Group White Asian - Indian Asian - Pakistani Asian - Bangladeshi Asian - Chinese Asian - Other Black African Black Caribbean Other Black % 65.5 10.6 2.4 2.0 0.5 15.1 1.9 1.1 0.9 22 8.6 25.9 24.0 24.3 16.4 0.9 12.8 20.1 20.6 20.3 17.3 8.8 Total % 7.1 23.8 31.1 25.9 11.3 0.8 Table 3 – Language Training Requested by Heathrow staff Source: Heathrow Talking to the World, March 2005 Table 4 – Length of time served with current employer Length of Service <1 year 1 to 3 years >3 years Airlines/ Airline Handling Agents Government Services BAA Catering and Retail % % Other Public Passenger Services Building and Maintenance Contractors Other Airport Related Companies Total % % 20.6 Cargo, Freight and Courier Services % 12.6 15.8 22.7 % 11.5 6.7 15.0 % 14.4 % 28.4 % 11.3 25.3 17.1 33.0 25.2 16.2 31.4 22.0 16.1 82.0 59.7 68.4 38.6 54.2 71.1 52.8 55.3 72.3 Table 5 – Percentage of airport employees driving to work Area of Residence Hillingdon Ealing Hounslow All Heathrow staff % Driving 59 56 52 72 Disaggregated data not available for Spelthorne or Slough 23 Appendix 2 – Maps All based on 2001 Census data. Map 1 Map 2 24 Map 3 Map 4 25 Map 5 Map 6 M 26 Map 7 27
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