Britain’s top businesses relying on quick fixes in face of long-term labour shortages

Research shows that three-quarters of the FTSE 100 cited labour shortages or staff retention as principal risks to their businesses, writes James Moore

A training centre for drivers in Croydon, south London (AFP)

The sheer weight of reporting means we are in danger of becoming desensitised to the issue of labour shortages. That would be unwise. Research conducted by Pirc, the voting adviser, demonstrates the scale of the problem.

Having trawled thought the annual reports issued by the constituents of the FTSE 100, it found three-quarters cited labour shortages or staff retention as principle risks to their businesses. The logistics and food industries have generated most of the publicity, but this is clearly a problem that is being felt across the economy.

Where the research gets really interesting is when it comes to how firms have decided to respond. The answer, in many cases, is not well.