The debate over skills shortages rages on, despite news that employment growth is at its strongest in over 10 years.

The Office of National Statistics found that 175,000 people have found employment in the last three months – bringing the total up to 29.36m, the highest since 1997.

The figures also showed that the number of people claiming jobseeker’s allowance has fallen to the lowest level in 30 years.

Employment minister Caroline Flint said the figures showed growth for both younger and older workers.

However, online recruiters ClickAJob.com said the news may not be enough.

The company’s chief executive, Yngve Traberg, said the economy’s shortage of skills is severe.

“Superior skills are vital for companies to remain competitive – and on a more personal level, employees need them to advance their careers.”

“As a service economy, we need to put more stress on quality,” he said.

He pointed out that many businesses are unwittingly driving staff away by not investing in ‘high-value’ employee relationships, often intensifying the situation they are trying to avoid.

“Good staff need care and attention just as much as customers,” he said.

“Attracting employees is one thing – the real issue is persuading them that they want to stay.”

© Crimson Business Ltd. 2008