Member Article

Publicly funded apprenticeships model is "unsustainable"

Businesses need incentives to boost the delivery of high quality apprenticeships, according to the UK Commission for Employment and Skills.

In their report, “Employer Ownership of Skills: building the momentum,” the Commission argue that previous government skills initiatives have been underpinned by unsustainable levels of public funding.

The Commission recommends that funding for the delivery of apprenticeships should go to employers, rather than colleges; better use of bringing trusted Labour Market Information to inform apprenticeship provision; and incentivising employers to work collaboratively with unions to form industrial partnerships.

Charlie Mayfield, Chairman of the John Lewis Partnership and of the UK Commission for Employment and Skills said: “The changes we put forward in this report will challenge us all: employers, government, colleges and unions. But at its heart, what we are recommending is a long term commitment to identifying and investing in the skills and talents our economy really needs.

“To achieve that, employers must be in the driving seat with the freedom to work collaboratively in their sector, in their local area, within their supply chain, and with colleges and training providers to address the skills gaps they face now and in the future.

“In return, employers need to take responsibility for generating training opportunities for young people which are more relevant and more valuable. To support this, colleges and training providers will be freed from having to ‘sell’ government’s agenda to employers. And crucially, given the continuing pressure on public finances, there will be significant savings for the taxpayer. None of this will be easy, but I believe it is vital if we are to develop the kind of workforce which will deliver on our shared ambitions for growth and prosperity.”

Under the proposals, employers would receive money from central government and then negotiate a training price with an approved local college.

This was posted in Bdaily's Members' News section by Tom Keighley .