Apprenticeships – The National Picture

Recent Successes National Apprenticeship Service – 162,000 people started an Apprenticeship in 2001/02 – 457,000 people started an Apprenticeship in 2010/11 Rising numbers of apprentices

Apprenticeships – The National Picture Recent Successes National Apprenticeship Service Apprenticeship starts

Apprenticeships – The National Picture Recent Successes National Apprenticeship Service In 2001/02 – 76% of starters did not complete their Apprenticeship programme In 2010/11 – 76% of starters successfully completed their programme Apprenticeship Success rates

Apprenticeships – The National Picture Recent Successes 700 more workplaces offering Apprenticeships every week New sectors offering apprenticeships including financial services, and business and professional services 100,000+ people every month applying for Apprenticeships through our on- line recruitment service 100% growth in Apprenticeships in London Pilot work with Aston UTC More Apprenticeship Ambassadors Successful 100 in 100 campaigns

Apprenticeships – The National Picture CfA footprint The Grouping of: Business Administration, Contact centres, Customer service, Enterprise, Management, Marketing and Communications and Sales and telesales. 11/12 data CfA account for 30% of all starts; the highest of any sector lead body Nationally the highest number of starts in Customer Service (down from 2010/11) Overall a 184% growth in starts over the two years Business Administration and management both have 29% of the starts nationally

Benefits of Apprenticeships

Apprenticeships – The National Picture Benefits to Employers National Apprenticeship Service 83% rely on Apprenticeship programme for skilled worker 80% believe Apprenticeships reduce staff turnover 77% believe Apprenticeships make them more competitive 76% say Apprenticeships improve productivity 57% say a high proportion of Apprentices progress to management 53% believe Apprenticeships reduce recruitment cost

Apprenticeships – The National Picture Apprenticeships deliver rewarding careers National Apprenticeship Service Those with an Intermediate Level Apprenticeship earn on average around £73,000 more over their lifetime than those with other Level 2 qualifications or below; and people with an Advanced Level Apprenticeship (Level 3) around £105,000 more. Apprentice Learner Survey 2012 highlighted: One third of individuals who had finished their Apprenticeship had received a promotion (32%), and of those in work, three quarters reported taking on more responsibility in their job (75%). Apprenticeships also equip individuals with the confidence they need to fulfil their aspirations, with almost nine in ten (87%) strongly agreeing that they are more confident about their own abilities as a result of undertaking the Apprenticeship. Nearly two thirds (62%) agreed that the course had improved their overall quality of life. Nearly two thirds (62%) agreed that the course had improved their overall quality of life.

Apprenticeships – The National Picture 10 Returns on investment Superdrug 44% improved performance = £13,750 better revenue generation per employee Return 7 times greater than the cost of the programme Retention rates approximately twice that of non apprentices TUI UK & Ireland Fast track programme – apprentices outperform colleagues 10 years more experienced Grade 2 travel apprentices 8% more productive year olds outperform colleagues by 26% year olds outperform colleagues by 12%

Higher Apprenticeship Consultation

Apprenticeships – The National Picture Consultation on Criteria for Higher Apprenticeships at Degree Levels National Apprenticeship Service Government asked the NAS to consult on the statutory requirements for Apprenticeships: –At Levels 4 and 5 –And its extension to Level 6 and above as a route to professional status –And on the naming and terminology for Higher Apprenticeships 64 formal responses received and 120 attended 2 consultation events: –From a cross section of organisations including employers, SSCs, professional bodies, awarding bodies, FE colleges, private training organisations and Higher Education Institutions Broad philosophies and themes have emerged, subject to Government approval: –To be successful Higher Apprenticeships must be employer led –If Higher Apprenticeships are seen as an alternative to traditional higher education programmes they must have parity with existing HE qualifications –Parity with HE does not mean the same; Higher Apprenticeships are different and these differences must be celebrated and promoted

Apprenticeships – The National Picture Consultation on Criteria for Higher Apprenticeships at Degree Levels National Apprenticeship Service The criteria for Higher Apprenticeships at degree levels must: –Underpin individuals aspirations and ability to progress into senior level job roles –Enhance social mobility –Support the development of an employer driven Higher Apprenticeship culture –Acknowledge that at the higher levels greater flexibility is essential –Recognise that proven quality assurance regimes do not need replicating in SASE –Be fit for purpose at Levels 4 – 7 and not simply be a revised system based on requirements developed for Apprenticeship at Levels 2 and 3 –Set the minimum requirements to safeguard the Apprenticeship brand –Not restrict framework developers, operating within the set minimum requirements, from adopting flexible and innovative approaches

Apprenticeships – The National Picture Consultation on Criteria for Higher Apprenticeships at Degree Levels National Apprenticeship Service Higher Apprenticeship Name and Ethos: –Powerful argument for retaining and extending the Apprenticeship name at the higher levels; but there are alternatives –The development of a family of Apprenticeships from Level 2 to 7 helps demonstrate the availability of a work-based ladder of learner and career progression –The choice for learners is not between a vocational or academic pathway as Higher Apprenticeships bridge the academic / vocational divide Transition: –Anticipated new SASE issued from 1 April 2013 –Consideration to be made on how transition arrangements to any revised SASE are managed

Apprenticeships – The National Picture The Richard Review Redefining apprenticeships: They should be targeted only at those who are new to a job or role that requires sustained and substantial training. Focusing on the outcome of an apprenticeship – what the apprentice can do when they complete their training - and freeing up the process by which they get there. Trusted, independent assessment is key. Recognised industry standards should form the basis of every apprenticeship.

Apprenticeships – The National Picture The Richard Review All apprentices should reach a good level in English and maths before they can complete their apprenticeship. Government funding must create the right incentives for apprenticeship training. The purchasing power for investing in apprenticeship training should lie with the employer. Greater diversity and innovation in training – with employers and government safeguarding quality.

Apprenticeships – The National Picture Our Challenges National Apprenticeship Service Challenging economic outlook for many sectors but investment in skills is vital Lack of awareness of Apprenticeships in schools Consistency in developing high quality Apprenticeships – a skills product employers believe in that delivers what they need Recruitment processes that favour graduates over the vocational route and ignores some great talent Under representation of groups in Apprenticeships

Apprenticeships – The National Picture Our priorities for National Apprenticeship Service Increasing the number of new employers employing apprentices, especially in core cities and growth sectors Increasing the number of young people starting an Apprenticeship High Quality Apprenticeships More advanced and higher level apprentices Broadening access to the Apprenticeship programme