A new way to qualify Understanding apprenticeships with CIMA Jason Nye, Manager Student Recruitment Eamon Price, Senior Global Product Manager
Transcript
A new way to qualify Understanding apprenticeships with CIMA
Jason Nye, Manager Student RecruitmentEamon Price, Senior Global Product Manager
BackgroundIn 2015 the UK Government set an ambitious target to create 3 million apprenticeships by 2020.
They introduced the Apprenticeship Levy in April 2017 which saw the shift of control of apprenticeship funding to employers. In short it is a tax levied on employers which can only be spent on the training of apprentices.
In addition to this employers were put in the driving seat to develop new industry relevant apprenticeship programmes.
In the accounting space, we were actively involved in the development of 2 new accounting apprenticeships alongside other bodies, training providers and employers including KPMG, Grant Thornton, NHS, PWC and many more:
Level 4 Professional Accounting/Tax Technician standard
Level 7 Professional Accountant standard
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In 2015 the UK Government set an ambitious target to create 3 million apprenticeships by 2020. To put employers in the driving seat the Apprenticeship Levy was introduced in April 2017 which saw the shift the control of apprenticeship funding to employers.
Reduction in non-Levy payer fees (April ‘19 or sooner)10% > 5%
Unspent funds start to expireMay 2019
of starters in 2017/18 were already employed by their Apprentice employer
The unspent levy amount nationally
62%
80%
% that can be transferred from
Levy to non-Levy payers
(Date TBC)
10% > 25%
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15,500 of c20,000 Levy payers have opened accounts Numbers on Higher level programmes still growing (32 to 35k) Government has given itself another 2 years to meet their 3m target
What are we offering?
Level 4: Professional accounting/tax technicianEquivalent to the first year of an undergraduate degreeand aligns to the CIMA Certificate in Business Accounting
Level 7: Accountancy/taxation professionalEquivalent to a master’s degree and the Full CIMA Qualification
CIMA’s two new accounting apprenticeships to developreal-world skills vital to success in today’s workplace.
Increase productivity
Expand your talent pipeline
Fill skills gaps
Reduce staff turnover
Add business skills
Government-funded training
Cost-effective training with CIMA
Grow your own talent
Social mobility
Social responsibility
Give current staff new skills and opportunities
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How Apprenticeships are structured
• Synoptic exam draws together the elements of the standard holistically
• Portfolio/report assesses skills and behaviours
Professional exams
Training log
• CIMA exams sat as normal
• Training log records skills and behaviours set out in the standards
On-programmeassessment
CIMA delivers innovative exams that influence learning and increase the employability of our students and members.
Passing candidates are “business ready.”
What gets tested, gets learned.
End-pointassessment
Synoptic exam
Portfolio/report
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The accounting apprenticeships are made up of two elements: an on-programme assessment and an end-point assessment. The on-programme assessment is an important element of the learning process as apprentices acquire the relevant knowledge, skills and behaviours which are learnt through tuition and on the job learning. The second element, the end point assessment is an assessment of the knowledge, skills and behaviours that have been learnt throughout the apprenticeship. The purpose of the assessment is to make sure the apprentice meets the standard set by employers and are fully competent in the occupation. As you will see one part of the EPA is a synoptic exam, if you are familiar with the CIMA Qualification and assessment we have been successfully undertaking this form of examination since 2015 where we pioneered this approach in the accountancy space through our case study exams so we have a vast amount of experience in delivering this type of assessment with great success.
Why?
A new way to qualify with CIMA
To allow employers to utilise government funding
Employability To widen participation into the profession
Funding caps
Funding available at Level 4
Funding available at Level 7
£9,000
£21,000
£8,000
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Funding caps are the maximum amount of funding ESFA will provide for training and assessment over the whole apprenticeship. For level for this is £9,000 and for Level 7 this is £21,000
FundingWhat's included and what's not?
Student fees On Programme End point assessment
Student registration Tuition fees First attempt
StudentSubscriptions
CIMA exam and exemptions fees
Retakes
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As mentioned the training is the most costly part of professional training, and this, along with the first end point assessment sitting is government funded. Employers negotiate cost of training and assessment with the training provider. Employers can pay more than this but will need to fund any excess themselves. Currently registration, exemption and exam costs are not funded as the professional qualifications are not mandatory and you have a choice which one your apprentices will take. Re-sits of the EPA are also not funded as there no additional learning is required (E67.12) �
Are apprenticeships right for me or my organisation?
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Paying for study via the apprenticeship levy makes sense for a lot of businesses, however there may be circumstances where putting an employee through an apprenticeship may not be appropriate so it’s worth asking a few questions to consider before putting an employee through an apprenticeship A lot of considerations What do you want to achieve? What are your organisations objectives around apprenticeships? Does the apprenticeship work under our current learning model or do we need to revaluate this? I’m a global organisation, does the learning model fit into the learning of similar people in other countries. If not what impact does this have? Can you comply with the government funding rules? Utilising the levy to its full potential can have a positive impact across your organisation and support your business strategies and operations and now is an ideal time to review your L&D strategy to fully utilise the Apprenticeship Levy. We expect to see budgets become increasingly ring-fenced and centralised moving forwards.
Benefits of training apprentices
Fill skills gaps
Government funded training
Add skills the business
needs
External influences e.g.
Brexit
Expand your talent
pipeline
Give current staff new skills
and opportunities
Reduce staff turnover
Utilise apprenticeship
levy funding
Social mobility
Cost effective way to train with CIMA
Social responsibility
Earn while you learn
Develop new talent to meet your needs
Grow your own talent
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There are a number of benefits to hiring apprentices: Build or expand your talent pipeline Grow your own talent Develop new talent to meet your needs Add skills the business needs Fill skills gaps Reduce staff turnover Retention level are typically higher with apprentices due to the investment in them through the programme Give current staff new skills and opportunities Value added training An Apprenticeship is all about personal development. With training targeting the specific skills you as an employer have identified as the most important to you, every Apprenticeship will add real value to your business Costs Cost effective way to train staff through utilising government funding Incentives available The cost of employing an apprentice and training them is lower than bringing in skilled staff
Who can be trained as an apprentice?
New Recruits
Including Graduates
Existing staff
Upskill your current workforce
Existing CIMA students
With at least 12 months worth of study remaining
Anyone over the age of 16
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Given the previous age restrictions being lifted apprenticeships can be used to support your whole business, not just young people at the start of their career. They can be used to support new talent, this could be direct entry staff, to school leavers and even graduates. You can up skill your existing staff and your existing programmes can also be transferred onto Apprenticeships, providing consistency across your organisation. Anyone over the age of 16 is now eligible. On the subject of graduates, as long as the apprenticeship is giving them substantial new knowledge they are eligible. So for example an accounting undergraduate would be eligible for the level 7 apprenticeship as their qualification would be at level 6. Away from graduates you may have AAT studiers. An AAT level 4 studier could progress onto a level 7 CIMA programme because again they would be receiving substantial new knowledge. The only cohorts that would be ineligible would be accounting or finance masters students as they have a relevant level 7 qualification, with comparable units across the apprenticeship and the masters. For anyone who has already started their CIMA studies, there is an opportunity to transfer over to an Apprenticeship as long as they have more than12 months of study remaining. To do this you will have to liaise with the training provider who discuss the transition timeline, programme details and pricing.
Funding rules
The amount of working hours in England over the duration of the apprenticeship 50%
Working hours apprentices must spend on off-the-job training 20%
The minimum length of an apprenticeship
The amount an apprenticecontributes
1 year
£0
Funding available at Level 4
Funding available at Level 7
£9,000 £8,000
£21,000
‘20% off the job’
20% “Off the Job” – What does it mean?
P31. Off-the-job training is defined as learning that is undertaken outside of the normal day-to-day working environment and leads towards the achievement of an Apprenticeship. This can include training that is delivered at the apprentice’s normal place of work but must not be delivered as part of their normal working duties.
P32. The off-the-job training must be directly relevant to the Apprenticeship framework or standard and could include:32.1. The teaching of theory (eg lectures, role playing, simulation exercises, online learning, manufacturer training).32.2. Practical training; shadowing; mentoring; industry visits and attendance at competitions.32.3. Learning support and time spent writing assessments/assignments.
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When discussing Apprenticeships, one this is one question which is always debated – “what do we do about the 20%?” and in many cases putting managers off Apprenticeship training. The term ‘off the job’ could be perceived as misleading as it suggests apprentices needs to be away from their work premises for it to apply. Gov.uk - off the job training policy Association of Education and Learning Providers guidance
20% off the job considerations
20% doesn’t have to mean one day per week
Maximise learning during inductions
Take a blended learning approach
When are your learners training?
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So some key points to consider: 20% - doesn’t mean one day per week - Again many employers assume that 20% means one day per week needs to be spent training, and then having an employee working at 80% capacity. A key point is that 20% of the whole programme has to be spent training, it can take place whenever you feel it most appropriate. So for example you may have a large amount the 20% factored in during the beginning of the programme so less time is taken away from work duties as the apprentices is a more experienced and vital member of the team. Maximise learning during inductions - The rules don’t allow for inductions to be included IF they are very basic for example, an office tour or a meet and greet. If the induction includes training and skills development then this can be included. Take a blended learning approach - Another concern for employers has been around studying towards the professional qualification. Typically CIMA classes are held at evenings or weekend however for this to count towards the 20% rule training much take place during contracted work time. For this to count the apprentice will have to be given time back in lieu. If this proves an issue you will find a number of training providers who offer flexible delivery methods, like on demand learning so students can study whenever or wherever they want. This is allows the apprentice to study when there are less busy periods of work. The funding rules do not permit all off-the-job training to be delivered via distance learning, it must be as part of a blended approach. When are your learners training? - As part of an apprentices programme, will they be taught new skills and knowledge whilst technically ‘on the job’? It’s worth spending the time considering this as many employers will already be doing this. If this learning forms part of the knowledge, skills and behaviours needed to achieve the apprenticeship then this would count as off-the-job training.
Modes of delivery - examples
Source – Babington
Working together for success
Employer Role
Employers are required to have
• An apprenticeship agreement in place with their apprentice for the duration of the apprenticeship.
• A commitment statement signed by the apprentice, their employer and the training provider.
• A written agreement with training providers.
• An apprenticeship in place for at least one year.
• The apprentice on the correct wage for their age, for the time they are in work, in off-the-job training and doing further study.
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The role of the training provider
Training Provider
Recruitment
Training
Funding and compliance
Programme development
Registration
Monitoring and support
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The training provider is there to support you in a number of ways including: Recruitment Registration Programme development Funding and compliance Training Monitoring and support of apprentices
Questions
In Summary
CIMA Journey and qualification stays the same
‘Off the job’ isn’t one day a week – What are you already doing to fulfil the requirements?
20%
Government funding for CIMA Training (with funding rules)
Various options to utilise the levy to upskill current and future staff
