Employers Should Own Apprenticeships

A few weeks ago, I was delighted to be given the opportunity to speak at The Voice of Apprenticeships conference held in the impressive London Film Museum. The conference itself is a remarkable event in that it is organised by a single, hugely committed lady – Lindsay McCurdy, and is the product of a Linked-In group called Apprenticeships 4 England which now has over 17,000 members. It speaks volumes about the power of social media that a Government Minister and a wide range of distinguished speakers put aside time to attend such an event.

My presentation, like several others, focused on the proposed reforms to the Apprenticeship programme which are currently in the early stages off implementation. Whilst the deep concerns which I expressed about the proposal to replace Functional Skills with GCSE’s within Apprenticeships were clearly supported by delegates to the conference, I fear I was in a rather small minority in my general support for the reform proposals.

Apprenticeships Have To Change

My argument is that in order to stay relevant and to transform Apprenticeships into world-class qualifications, the programmes have to continually evolve and develop. Giving employers the responsibility for managing Apprenticeship training and funding is simply another stage in that process of evolution. Moreover, this shift of power from provider to employer will open up huge opportunities for those providers who do not currently have direct access to funding but have to subcontract and often pay extortionate “administration fees” of up to 30% of the total funding, for the privilege of doing so. Employer Ownership will create a level playing field whereby all providers, no matter what their size will be able to negotiate directly with any employer and agree a commercial rate for delivering their training requirements. Training bids will be won by the provider who can best convince an employer that they can deliver high quality training, not by the provider who happens to have a large amount of government funding in their pockets.

What Will Be The Impact Of The Changes?

Opponents of the Employer Ownership proposals are predicting a catastrophic fall in the number of Apprenticeships if the scheme proceeds. However, I cannot help but experience an acute sense of déjà vu. when I hear these arguments. 2-3 years ago, exactly the same dire warnings were being issued about the impact of Functional Skills. We were told then that there was no need to change, that there was absolutely nothing wrong with Key Skills and that if they were replaced by Functional Skills, it would be the end of the Apprenticeship programme.

But of course we know now that Key Skills had failed totally to raise levels of maths and English competency. Hardly surprising really for what was basically a tick-box exercise linked to a Multi Choice test in which you could achieve 25% simply by answering questions randomly. Moreover, the introduction of Functional Skills did not result in the death of the Apprenticeship programme but instead boosted its overall quality and gave learners a meaningful qualification and a real sense of achievement.

Let’s Look To The Future, Not To The Past

So whilst I retain concerns about certain aspects of the Employer Ownership proposals, in general I support the changes. It seems totally appropriate to me that the people who employ apprentices and who ultimately understand far more about their organisations’ training needs than providers, should be the driving force behind the programme. Our role as training providers is to support them and provide a high-quality service. That’s where our focus should be – not on the daily grind to secure sufficient funding.

Currently only 13% of UK companies participate in Apprenticeship programmes. That number is far too low and I am hopeful that the planned reforms will address that issue. With that in mind, it is hugely encouraging to see that over 400 organisations have already signed as Trailblazers who will lead the reform programme. They include many smaller companies and many who are clearly new to the Apprenticeship concept. Employers are the only people who can impact on Apprenticeship numbers and by giving them the responsibility to run their own programmes, I am confident that they will rise to the challenge.

Roger Francis is a Director with Creative Learning Partners Ltd, a new vocational training company formed by the senior managers and staff of MindLeaders Learning Services following the acquisition of the company by Skillsoft in 2012 and focusing on the delivery of Functional Skills

Laura Norfolk

Senior Brand and Campaigns Manager at Edge Hill University

9y

I agree in that these changes should give a much more level playing field and give providers of high quality training much more opportunities and power. But I understand the concerns of businesses in relation to the additional admin requirements. I'm optimistic though that this will give training providers the ability to provide businesses with even more bespoke services to ensure they understand and can cope with the increased responsibilities. We can still make things as easy as possible for them. I think the changes provide more opportunities than threats.

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David Harbourne

Author of "University Technical Colleges: The First Ten Years" and "Penguins under the Porch". Retired from full-time employment but still writing and volunteering.

10y

Sadly, UK plc has a long history of underinvesting in employee skills. Reports on both world wars concluded that British efforts were hampered by poor technical skills. The 1944 Education Act introduced technical schools (which didn't last) and county colleges - none of which were set up within ten years of the act. In due course, statutory training boards were created, which used carrots and sticks to boost employer commitment to training. All bar two were eventually abolished, the argument being that a voluntary approach would bear more fruit. What we see in practice is that large employers are more committed than small firms, and some sectors - particularly engineering - have a better track record than others. Turned into a 3D map, the peaks would feature firms like Rolls Royce, while the arid plains would consist of many thousands of small firms who can't afford to train, don't want to, or don't know how. The truth is, if employers wanted to invest more in training, they'd have done it already. Nothing's stopping them. There are plenty of entrepreneurial training companies and colleges who would happily provide tailor-made training at competitive prices. Previous governments decided to subsidise apprenticeships because they wanted individuals to get training which employers weren't willing to pay for. Apprenticeships are - as Doug Richard said - a form of education. We subsidise school and college courses to help young people get the best possible start to their adult lives. We subsidise apprenticeships to help people get the best possible start to new careers. Which leads to a really important question. Will the government's reforms INCREASE or DECREASE the number of people taking up apprenticeships? The government's own market research says "decrease". So why do it?

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Paul Godber

Electrical - Trainer at Eastleigh College

10y

I would agree with Lindsay McCurdy employers should be given the choice. Over the last 12 years, in a variety of roles, in WBL, predominantly apprenticeships, I can clearly see why providers are worried, reduced funding for their coffers, complications of competitive pricing structures, questions over the future promotion of Apprenticeships and the management of Apprenticeship Vacancies. Remember as harsh as it may sound, its not really about the colleges and providers, its about securing, for taxpayers, the best return for funding invested in training for UK PLC. I also run my own business, classed as a micro, I employ 4 FT equivalents including 1 Apprentice. Honestly even though I am familiar with funding rules, audit requirements etc. I would not contemplate taking on another Apprentice in the future, if as it will, mean that I have to claim payments and outcomes through reduction in NI and tax payments, source training based on competitive pricing, quality of provision, as well as recruitment and selection. How many hours do you think I have in the day, and I do have a business to run you know. Personally I do not think the recommendations provide enough choice or structure for employers to ensure this policy change doesn't have a negative effect on the number of Apprenticeships. There is no doubt in my mind that Apprenticeships provide 'the full package' but if they become to over complicated and are no longer commercially competitive then perhaps employers will retract to simply the core component of an apprenticeship 'the industry recognised qualification'

I would like to return to my main point before addressing the issues relating to the admin burden on SME’s etc. It seems absolutely right to me that the people who employ Apprentices should be the people who take responsibility and ownership for all their learning and development whether it be inside or outside of a formal framework. They understand the needs of their business in a way which I, as a training provider, could never hope to do and it would be grossly arrogant of me to suggest otherwise. If we accept that basic principle, then there are clearly some huge opportunities (particularly for small training providers who will no longer bear the burden of extravagant sub-contractor fees) but there are also some challenges. So let’s take an example of what might happen in this new world. I am a small employer who has decided to start an Apprenticeship programme. I’m prepared to make a financial contribution and I know the total amount of money I will have available. I then approach 2 or 3 local training providers and ask them to submit a proposal to run the programme on my behalf (including of course taking responsibility for all the admin). I then choose the provider whom I think best meets my needs. We sign a contract and I pay them for their service. I cannot think of any reason why that model shouldn’t work. I appreciate that for many providers it will mean a new way of operating and as with any change process, there is understandable apprehension. But change is something we all know we have to embrace and the best way to do that is to conduct a wide and open debate such as this so that all the fears and concerns can be fully aired. Finally, we should remember that rapid advances in technology are already starting to reduce the paperwork burden. We are already working on a system which will combine eLearning, e-Portfolio and MIS and Awarding Body registration into a single App. I bet there will be lots of those appearing over the coming months. Employer admin burdens may not disappear completely, but neither do I think they are the big bad wolf which will blow down the Apprenticeship programme.

Ron Foord Bsc PGCE

Chief Examiner for MOET and UET at EUIAS

10y

Sorry last comment posted itself before I had finished. As I was about to say our college tries to make our training as bespoke as possible.

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