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Skills and training are devolved policy areas.
www.britishcouncil.org 2
This presentation focuses on England only
UK population: 63m
UK working population: 32.5m
UK population 15-19: 4m
England population: 53m
Apprenticeships have evolved over centuries Employer owned, largely male, largely ‘blue collar, largely young
and involving time serving and indentured employment until the 1980s…
…when economic circumstances led to mass youth unemployment and the introduction of the Youth Training Scheme (YTS)
In the nineties the government tried to reintroduce apprenticeships by ’rebranding’ higher level YTS as modern apprenticeships and removed the need for time serving…
This rebranding continued through so many manifestations…
…that eventually a review was held to get back to the original features that (still) meant apprenticeships were held in high esteem and led to rewarding working lives
www.britishcouncil.org 3
The current state of play
In 2012/13:
510,000 apprenticeship starts
10,000 less than the number of starts in the 2011/12 academic year; but
231,000 more than in the 2009/10 academic year
45% are aged over 25
compared with 18% in 2009/10
The majority of apprenticeships are in the service sectors (eg business administration and retail)
55% are female
www.britishcouncil.org 4
A three way deal Apprenticeships are paid jobs that incorporate on and off the job training.
A successful apprentice will qualify with a nationally recognised qualification on completion of their contract.
The government pays a proportion of the training costs depending on age.
100% of the training costs if the apprentice is aged 16-18
50% of the training costs if the apprentice is aged 19-24
Up to 50% of the training costs if the apprentice is aged over 25
The employer will normally cover any remaining training costs
Apprentices receive below the minimum wage if they are under 21
www.britishcouncil.org 5
The Government funds all or
part of the off-the-job training
The Employer provides a paid job, with training and support for the employee
The Individual works, often for a reduced wage (minimum of £2.68 per hour) for the duration of the Apprenticeship
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Until 2010, England’s was a unique programme with relatively low levels of penetration compared to overseas countries
Australia Austria England France Germany Ireland Switzerland
39 33 11 17 40 11 43
English model:Minority initial vocational training route All age - high number of employed adultsState funding goes through providers, employers pay apprentices Available in 250 occupations Developers define components (in line with legal quality requirements)Skills Funding Agency contracts with registered providersAssessment, matching, inspection, certification roles split between a range of bodies
German model:Main initial vocational training routeTwo thirds of apprentices under 25Employers pay apprentices (wages – lower) and membership fee to Chambers (funds exams); regions fund vocational schools. Incentives paid direct to employersAvailable in 348 occupations – focused on learning (not qualifications) Social partnerships define content, assessment, wage levels, and delivery (in line with legislation) Employers/employer bodies responsible for assessment, matching, contracts, inspection
Australia, England and France all offer apprenticeships at more than one level of skill. Of these, England is the only country where apprenticeships at Level 2 far outnumber those at Level 3. In Australia, most apprenticeships are at Certificate 3 level and in France just under half are at Level 2. In Austria, Germany and Switzerland (dual system countries), as well as in Ireland, almost all apprenticeships are at Level 3.
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The recent expansion of numbers reflects has been a considerable shift in the profile of learners by age, level and sector
i) Apprenticeship starts by age
ii) Apprenticeship starts by level and ageiii) Apprenticeship starts by subject / sector
Source: BIS Statistical First Release
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
500,000
2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11(Provisional)
25+
19-24
16-18
Business, Admin / Law
Construction
Engineering and Manufacturing
Health, Public Services and Care
Retail
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11(Provisional)
0
20,000
40,000
60,000
80,000
100,000
120,000
2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11(Provisional)
Level 2 16-18
Level 2 19-24
Level 2 25+
Level 3 16-18
Level 3 19-24
Level 3 25+
But as a result did the term ‘apprenticeships’ start to lose its meaning and some of its lustre?
For internal British Council use
Apprenticeship Growth
www.britishcouncil.org 8
Source: The Economist
The Richard Review (2010) recommendations Apprenticeships should only refer to workers starting a new job Each apprenticeship should:
Comprise one graded qualification for each occupation Be based on simpler standards Be based largely on assessment at the end of the training
period And involve an independent test
The relevant qualification should be based on an employer competition
All apprentices must reach level 2 in Maths and English Funding should be routed via the employer ideally through the
tax system There should also be a new entry programme to employment
Building on success… Government’s planned investment in 2013 14 is over £1.5bn.‐
Over 850,000 Apprenticeship participants in 2012/13.
Over 220,000 workplaces employ an apprentice.
Advanced Level apprentices earn between £77,000 and £117,000 more over their lifetime than those with lower level qualifications; this rises to £150,000 for those doing Higher Apprenticeships
Employers: 70% report higher productivity and improved quality of product/service
Economy: National Audit Office Report estimates that adult Apprenticeships deliver £18 of economic benefits for each £1 of Government investment.
www.britishcouncil.org 10
Whilst continuously improving….
Standards designed by employers will replace existing Frameworks.
New standards will be clear and concise (around one page A4).
Typically two thirds of assessment will be at the end of the Apprenticeship.
All Apprenticeships will last a minimum of 12 months.
Apprenticeships will be graded: Pass, Merit, Distinction
Giving employers the buying power by routing funding through them Trailblazer projects led by employers and will involve both large and small businesses and professional bodies.
The aim is that all new Apprenticeship starts from 2017/18 will be on the new programme
www.britishcouncil.org 11
