Filling the Staff Gap: Why the UK Automotive Industry Needs Temporary Workers Now More Than Ever
13.08.2025
5 mins to read
Complex post-Brexit regulations, a growing skills shortage, and an aging workforce are making it increasingly hard for employers to find and retain the talent needed to stay competitive. As a result, companies are shifting away from relying solely on permanent staff and adopting hybrid staffing strategies that include incorporating more temporary workers. If you have been hesitant about hiring temporary staff, it is not too late to consider this shift in strategy.
Labour shortages and attrition trends in automotive industry
Let us begin by shedding some light on the recent data regarding the shortages and attrition within the automotive market. According to the Institute of the Motor Industry (IMI), in 2025, the vacancy rate in the motor trades stands at 2.8%. This means that there are around 17,000 unfilled positions. The situation is even worse in technical roles within the automotive aftermarket, where vacancies are 43% above the UK average, with a rate of 4.3 per 100 employees.
What do these numbers mean? They expose the inadequacy of traditional recruitment methods in addressing today’s labour demands. Many businesses find it increasingly difficult to maintain workforce stability, with average attrition rates around 10.9%, and some sub-sectors experiencing turnover even as high as 31%. In this situation, hiring temporary staff is not only a convenience. It has become a crucial tool for filling gaps quickly, maintaining productivity, and adapting to constant change.
The rise of temporary workers
The growing use of temporary workers is not confined to filling gaps caused by absences or seasonal demand. The UK automotive companies are increasingly incorporating contingent labour as a key element of their workforce planning. It is not anymore just a short-term fix, but a part of a long-term business strategy. According to HR Grapevine, over 1.43 million people in the UK are now working in temporary, shift-based roles. More than 30% of businesses report regularly depending on agency or freelance staff to maintain operations.
This shift is even more visible in sectors like automotive and transport, where it is crucial to scale the workforce quickly in response to market demand. The shift is the exact difference between staying competitive and falling behind.
Meeting operational demands with flexibility
One of the key benefits of temporary staff in the automotive sector is the flexibility they offer. Businesses can quickly adjust to changes in production schedules, bring new products to market with smaller core teams, and address short-term skills gaps. These goals are demanding enough without taking on long-term wage commitments, which temporary staffing is the answer to.
For instance, when preparing for the launch of a new electric vehicle model, companies can deploy temporary technicians almost immediately. At the same time, the permanent teams gain valuable time to complete specialist training.
The table below outlines the industry’s most pressing workforce challenges and the practical solutions temporary staffing can provide:
| Challenge | Traditional Workforce Response | Temporary Workforce Advantage |
| Skill shortages | Long recruitment cycles | Immediate access to screened workers |
| Sudden increase in demand | Overtime/payroll strain | Scalable, short-term contracts |
| New technologies (e.g., EV) | Retraining delays | Access to pre-qualified specialists |
| Regulatory shifts (e.g., IR35) | Compliance uncertainty | Flexible contracting options |
Efficiency through smart resourcing
One of the biggest myths regarding temporary staffing is that it is simply a short-term fix. However, many businesses reveal that flexible resourcing often brings real value in both cost and speed. For example, the UK’s Office for National Statistics (ONS) recently spent £8 million on temporary workers to stabilise operations. It shows how contingent labour can be mobilised quickly to fill urgent gaps.
Considering cost savings, a recent report comparing staff expenses in London found that temporary workers, when properly managed, can help businesses control costs and avoid unnecessary overheads while still maintaining output and flexibility.
Navigating compliance and building effective partnerships
Hiring temporary staff may seem like less hassle than hiring permanent staff. However, bringing in short-term or contract-based staff comes with its own set of responsibilities. Regardless of the number of hours they work, UK law grants zero-hours and casual workers core employment rights, including national minimum wage, paid annual leave, and protection from discrimination.
Also, a successful hire does not only mean meeting legal obligations. It should also focus on building positive, productive relationships with non-permanent workers.
Automotive companies that succeed in this area typically:
- Work with reliable staffing partners who understand the automotive sector
- Provide clear onboarding and role-specific training to temporary staff
- Offer pathways for top-performing contract staff to join permanently
- Actively monitor and ensure compliance with current employment standards
Treating all workers as valued team members, regardless of their contract length, not only helps avoid legal problems but also boosts morale and performance across the board.
If you’re ready to strengthen your workforce strategy and attract the best talent, get in touch with us.
Building a flexible staff for tomorrow
Looking ahead, the role of temporary staff in the UK automotive industry will only grow more prominent. The IMI estimates that by the end of this decade, the skills gap, especially for EV-qualified technicians, will widen to between 3,000 and 9,000, potentially reaching 51,000 by 2030. This means that companies no longer choose between permanent or temporary staff. They must decide how best to blend the two types of workers to create one strong and resilient workforce.
Takeaway on future recruitment
The UK’s fast-moving, skill-constrained automotive market is highly competitive. Ultimately, UK automotive firms that continue to rely solely on permanent employees risk falling behind. Therefore, only by strategically incorporating temporary workers can businesses be better positioned to respond quickly, manage change, and stay competitive.
Sources:
https://tide.theimi.org.uk/industry-latest/research/automotive-labour-market-briefing-may-2025
https://www.bdo.co.uk/en-gb/insights/industries/retail-and-wholesale/motor-salary-survey
https://tide.theimi.org.uk/industry-latest/research/uk-automotive-vacancy-overview-2023
https://www.gov.uk/government/publications/green-jobs-taskforce-report/green-jobs-taskforce-report
https://tide.theimi.org.uk/sites/default/files/2023-08/Baseline%20report%202023v4.pdf
