Why Think About Apprenticeships

As it is Apprenticeship Week, I wanted to provide further evidence why you should think about considering Apprenticeships in your company.

Following the recent publicity for university students, with many self-isolating in halls of residence and having much, if not all, of their course delivered online, I believe some aspiring undergraduates may be rethinking going down the university degree route.

With the prospect of high debt for any student for up to 30 years, young people from less affluent socio-economic backgrounds, as well as those from BAME backgrounds are less likely to attend university. The current pandemic is also having an impact, with a recent Equality and Human Rights Commission report stating that young people risk becoming a ‘lost generation’, with those in certain ethnic minorities falling even further behind. In such a difficult job market, do employers and small business owners have an obligation to help young people get into the workplace by widening their support for other forms of education? 

The main alternative to higher education is Apprenticeships, heavily promoted in recent years with the apprenticeship levy and recruitment targets. The levy has been controversial, but the Government has tried to make the system easier to navigate and more employer-friendly. 

Alongside this, the Government recently amended the terms of the Kickstart Scheme so smaller businesses can get involved: fully-funded six-month job placements for 16-24 year olds on Universal Credit and at risk of long-term unemployment.  

Whilst undoubtedly attractive, the requirement not to replace existing or planned vacancies or cause existing employees/contractors to lose or reduce their jobs, could render this option unfeasible at the moment due to budgets but these opportunities are not going away and can be planned for in the future.

The Benefits of Apprenticeships

For businesses with 50 or more employees, who are not levy-payers, the Government ‘co-invests’ 95% of the cost of the external course element of the apprenticeship (this must be at least 20% of an apprentice's normal hours in England). For those with fewer than 50 employees, the Government pays 100% of this cost for young apprentices subject to funding band limits.

Well-trained, highly skilled staff add value to all organisations, both directly and through their ability to coach, mentor and train other team members. You can build the team you need to meet your business needs.

The syllabi for all degree apprenticeships have been designed in partnership with industry in order to plug existing skills gaps, meaning your employee will be learning what they need for success in their chosen field.

Recruiting new staff is costly and can come with risks. Up-skilling existing staff is a great way to ensure your organisation has the capable workforce you need, without resorting unduly to new hires.

Apprentices earn while they learn they can enjoy the perks of a social life, whilst also having enough money for their essentials. We all know that working life is completely different to being in school or university and an apprenticeship, is a way of easing young people into that environment whilst having people around to guide them.

Many employers find that the additional costs of management time and supervision needed for apprentices are counterbalanced by the lower wages initially required and the knowledge that the apprentice will learn in accordance with your company values and needs. 

Getting it right

With the economic situation facing school leavers, attracting apprentices should not be difficult, and is good for employers, apprentices as well as the wider economy – employers need to ensure they are publicising the opportunities by varied means to engage pupils who would otherwise not consider the suggestion. 

Apprentices should not be undervalued or viewed as a cheap form of labour. Having invested much in their training, it is a great shame for employers to lose an apprentice who realises that the skills that they have now learned are more highly valued by a competitor.

Sam Brown