McDonald’s UK and James Caan lead coalition calling for re-evaluation of soft skills, worth £88bn to UK PLC

• Research reveals soft skills – such as communication, teamwork and time management – worth £88bn to the UK economy• 97% of UK employers highlight the importance of soft skills to commercial success• By 2020, more than half a million workers will be held back by a lack of soft skills

McDonald’s UK today launches a new campaign to drive recognition and promotion of soft skills – such as communication and interpersonal skills, teamwork, and time- and self-management – as, for the first time, research demonstrates the £88 billion contribution these skills make to the UK economy.

Backed by entrepreneur James Caan CBE and leading organisations including the CBI, National Youth Agency, LearnDirect and the Federation of Small Businesses, McDonald’s is calling for a whole-scale re-evaluation of the value of soft skills.

Through the campaign, McDonald’s and the coalition of supporters will invite businesses, policy experts, campaign groups, trade associations and academics to help create and share new ways to recognise and improve soft skills in the workplace. A three-month consultation opens today, and the findings and a series of long-term recommendations will be published later in 2015.

New research highlights potential consequences of failure to take actionNew economic research commissioned by McDonald’s to inform the campaign reveals that soft skills contribute £88 billion to the UK economy today. The report, produced by Development Economics, forecasts that this will increase to £109 billion during the next five years.

The research also highlights a series of early warning signs that employers, government and educators are not currently supporting soft skills sufficiently to realise their potential contribution. According to the economists, over half a million UK workers will be significantly held back by a lack of soft skills by 20201 – an issue forecast to affect all sectors. Accommodation, food services, retail and healthcare industries are named as those most at risk.

UK employers and workers echo this anxiety about the future. Whilst 97 per cent of employers believe soft skills are important to their current business success – and more than half rate them more highly than academic qualifications – three-quarters believe there is already a soft skills gap in the UK workforce.2

Meanwhile, UK employees say they struggle to sell their soft skills. One in five would not feel confident describing their soft skills to an employer and more than half (54 per cent) have never included soft skills on their CV.3

Jez Langhorn, Chief People Officer, McDonald’s UK & Northern Europe, said:“Soft skills like communication and teamwork are incredibly important to our business because of the impact they can have on our customers’ experience. As integral as they are to the performance and progression of our employees, I know that we can do more to recognise their importance which is why we are launching this campaign. In conjunction with James Caan, and a wide range of businesses and organisations I want to find ways in which we can better recognise soft skills and I’m calling on others to join us in re-evaluating and improving these skills.”

Consultation to create practical ways to resolve the soft skills gapMcDonald’s has invited entrepreneur James Caan CBE to jointly lead a three-month consultation on current practices and attitudes towards soft skills. People can find out more and take part at www.backingsoftskills.co.uk. The consultation will result in a series of recommendations published later in the year to improve, support and promote soft skills in the workplace.

Businessman and entrepreneur, James Caan CBE, commented:“Soft skills matter – to individuals, to businesses, and to the wider UK economy. Part of the success in my journey wasn’t about my qualifications or experience, but it was the value I gave to soft skills that helped me get to where I am today.”

Neil Carberry, CBI director for employment and skills said:“Business is clear that developing the right attitudes and attributes in people - such as resilience, respect, enthusiasm and creativity - is just as important as academic or technical skills. In an ever more competitive jobs market it is such qualities that will give our young talent a head start and also allow existing employees to progress to higher skilled, better paid roles.”

Fiona Blacke, CEO at the National Youth Agency said:"Those of us who work with young people know that often what stops them achieving their potential and making successful transitions to adult life is not formal academic qualifications. Without the capacity to work with others, to communicate effectively and appropriately, to manage their emotions and channel their energy, to problem solve and perhaps most importantly to have resilience so when things go wrong they can learn from it and pick themselves up and carry on, young people struggle to secure work and be proactive members of their communities.

“We are delighted to be supporting McDonald’s, one of the most powerful youth brands, in encouraging everyone be they business, government or civil society to play their part in equipping young people with the soft skills they need to succeed.”

ENDS