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Human resource management - Essay Example

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In fact, research has shown productivity in the UK has persisted since the post-war period (Yiu and Saner, 2004). There exists productivity gap because of the skill composition (or the lack of it) in the UK workforce,…
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Human resource management
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Human resource management

Download file to see previous pages... One such academician is Caroline Lloyd. In her article "Training and development deficiencies in high skill sectors" (2002), Lloyd raises concerns over the lack of training and development, and its impact on the UK’s competitiveness in the new knowledge economy. How grave the situation is, and what implications do Lloyds concerns have on the future of the UK labour market shall be analyzed in the following discussion.
In Lloyds article, she presents the thesis that there is an acute need for emphasising on centrality of skills and training for the UK to compete in the new knowledge economy. Companies need to create learning environments so that employees will be able to adapt to the changing work requirements. This can be achieved through internal training and continuous vocational training. However, the current work environment does not meet these requirements. There are two explanations for the lack of training and development in organisations.
Lloyd claims that one reason could be the market failure to provide individual training. This could be improved by providing a central incentive program for training employees, motivation for employers to develop their human capital and set up of best practice to influence employer behaviour. The second reason, as other academics provide, is because the UK is a relatively low skill economy. Employers are not competing in high end products in standardized markets. For this reason they are not motivated to develop their workers for higher progression. To alter this status quo of skill deficit, the government needs to implement policies to restructure the market and industries
By using two companies from high value-added product markets, Lloyd establishes that despite the companies success in their product markets, they are constrained by their industrial environment. They are not motivated to invest in training and development, or set best practice standards in ...Download file to see next pagesRead More
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