Industry challenges revealed

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【Summary】The IMI annual report highlights challenges in the automotive industry, with a decrease in businesses and job roles but a rise in vacancies to a 21-year high. The sector has 758,000 jobs, with 78% in retail and 22% in automotive. The number of businesses has fallen to 98,500, and job roles have decreased due to increased technology.

FutureCar Staff Aug 14, 2023 4:30 PM PT

The annual Institute of the Motor Industry (IMI) Baseline Report has revealed some interesting findings about the automotive industry. According to the report, there has been a decrease in the number of businesses and job roles in the sector, but at the same time, there has been a significant increase in vacancies.

In terms of job numbers, the report states that there are currently 758,000 jobs in the automotive sector, which is slightly higher than the 742,600 recorded in 2022. Out of these jobs, 78% are in retail, while the remaining 22% are in other areas of the automotive industry.

On the other hand, the number of businesses in the industry has seen a slight decline. In 2022, there were 100,000 businesses, but this number has dropped to 98,500. Interestingly, 97% of these businesses are in automotive retail. The report also highlights a decrease in the number of job roles, which has fallen from 218 to 213 due to the increased use of technology.

Another concerning finding from the report is the lack of diversity within the sector. Only 19% of the workforce are female, and just 39% are under the age of 35. These statistics indicate a need for more efforts to attract a more diverse range of individuals to the industry.

Steve Nash, the CEO of the IMI, expressed his concerns regarding the high number of vacancies and the declining number of businesses in the sector. He emphasized the importance of upskilling the existing workforce to meet the evolving demands of automotive technology. Nash also stressed the need for increased support and training to fill the growing skills gap and attract the best future employees.

In addition, Nash highlighted the importance of increasing diversity within the sector. He stated that a more diverse workforce would make the industry stronger, more successful, and better able to serve all motorists in the UK. Nash called for collaborative efforts to address the decline in the proportion of women in the industry and to attract a more diverse range of individuals to all roles within the automotive sector.

The findings of the IMI Baseline Report provide valuable insights into the current state of the automotive industry. The increase in vacancies, decline in businesses, and lack of diversity highlight the challenges that the sector is facing. Addressing these challenges will be crucial to ensure the industry's continued growth and ability to meet the evolving needs of customers and technology.