The Role Of Apprenticeships in Creating Effective Organisational Development

Apprenticeships have been around for many years and in various guises, undergoing reforms and evolving over time.

One thing which has always remained, almost existing as a myth, is the common misconception that Apprenticeships only exist for the Young Workforce. This also contains many stereotypical assumptions which run alongside Youth Employment.

The short answer to this myth, is that it is exactly that- a myth. A quick search on Wikipedia or the Governments own website will tell you that the definition of an Apprenticeship is;

“An apprenticeship is a system of training a new generation of practitioners of a trade or profession with on-the-job training and often some accompanying study (classroom work and reading). Apprenticeships can also enable practitioners to gain a license to practise in a regulated profession.”

This means that any member of an organisations staff could effectively become an apprentice at some point in their career. It could also mean that those who have had a career in the armed forces and coming back into civil life could become an apprentice. There are even examples of people in their 40s & 50’s who want to retrain in a completely different field becoming apprentices.

This is an important and crucial element which Organisations must take into consideration when looking at their development or recruitment strategies as it pushes the boundaries and contributes to diversification of the workforce.

But how do apprenticeships exactly contribute to a better and more highly skilled Workforce?

Over the last few years the introduction of new high quality Apprenticeship standards have created qualifications which have been designed by Industry and Sector experts for the Sectors they serve. The learning styles have changed to incorporate a modern blended learning approach – i.e. digital & remote learning coupled with more traditional classroom/ practical work. Apprenticeships will often include content which enables learners to advance quickly in a professional capacity such as industry recognised qualifications (take Insurance for example which includes CII qualifications or Construction which enables learners to gain their CSCS trade or management Cards).

The Levels of programme start from Level 2 all the way through to Degree & MBA level Apprenticeships, therefore giving full progression options for both learners and employers. Utilising Apprenticeships for Organisational Development is becoming more and more common.

Yes, employers can still pick from ‘Off the Shelf’ programmes, but Employers now have much more control over the content of programmes and the interaction they have with Training Providers. The ability to create Bespoke learning programmes which fit and intertwine completely with an Employers own values, ethics, and ways of working means an Organisation can quickly stand out from competitors by becoming an ‘Employer of Choice’.

Take a look at Management or Sales as an example. An employer working collaboratively with a training provider in these fields can effectively create their own internal programmes, offering learners a structured and rewarding progression plan, as well as recognised industry qualifications. What makes these programmes more attractive is how training budgets largely remain unaffected by them, allowing resources to be utilised in other areas of the business.

In April 2017, the UK Government introduced the Apprenticeship Levy Tax. This tax applied to any UK business with a wage turnover of ￡3million+ . Employers would pay a monthly tax on payroll which would go into a digital account for which the Employer could spend solely on Apprenticeship programmes. It must be noted that this tax could only be spent on employed staff based in England. The Devolved countries of Scotland, N.Ireland and Wales still retained their own funding systems for apprenticeships. Employers would choose their provider and allocate funds accordingly. Power rests solely with the Employer. If the Provider is not performing and not engaging learners, then the employer can immediately stop payments.

A Provider should essentially become an extension of your organisation, helping meet the objectives set out in those early conversations, being on hand to evolve your programme, and provide regular updates on learner progress. EMPLOYER POWER!

For employers who are not eligible and don’t pay into the Levy Pot, then they can still access 95% government funding to pay for programmes, whilst contributing 5% of the cost per learner up to a maximum of 10 learners at any given time. So there are plenty of options out there for employers when it comes to funding for apprenticeships and the upskilling of staff. That also doesn’t include a growing collective approach from many Council regions who are making 25% of their own Levy funds available to SMEs in their region, again to stimulate growth and addressing much needed skills. It would be greatly advised for SMEs to contact their regional & City councils to find out more on this.

So we know that funding exists to cover costs of training, but what incentives exist currently to aid with other elements such as wages, travel etc when taking on new apprentices? Much as been made recently in the national press of the Governments new Kickstart scheme as well as the financial incentives to employers if they take on a new apprentice. Up to ￡3000 per apprentice can be claimed upon depending on age group – with the larger sums allocated to the youngest group.

Should these incentives be the only reason employers consider apprenticeships? Of course not, however it can be taken into consideration that in these unusual times, every little helps! Its additionally worth noting that for an employer in the construction industry, who is registered with CITB (Construction Industry Training Board) that for every construction related apprenticeship programme a member of staff or new apprentice undertakes, then grants of up to ￡8500 can be claimed back from the CITB. When taken into account training budgets, addressing skills gaps or looking at retention and progression staff plans, these sums can go a long way to contributing and advancing them.

Things to take away;

• funding exists whether that be for training or support in wages.
• High Quality and industry relevant Apprenticeship programmes are now in circulation with equally quality driven training providers ready to work with businesses in partnership to deliver them.
• The opportunity for businesses to stand out from others and position themselves as employers of choice is now greater than ever, whilst the ability for Learning & Development teams to really effect change within their organisations is sustainable and attractive.

The UK business world greatly needs Apprenticeships to continue on this course, with so many professions with glaring skills gaps, but more than anything it needs Employers to engage with Apprenticeships at all age groups, and to understand finally that an apprenticeship is for everyone, not just school leavers.