Apprenticeships… …and the Care Sector Cathryn Henry National Apprenticeship Service

February 2011Apprenticeships in the Care Sector2 Content… Apprentices – Good for Business Levels of Apprenticeships Hours and pay what are the minimum and maximum hours what is the minimum pay Latest research into Return on Investment

February 2011Apprenticeships in the Care Sector3 Apprentices are good for business… Warwick Institute- The Net Benefit to Employer Investment in Apprenticeship Training Apprentices increase productivity and efficiency… 80% of those who employ apprentices agree that they make the workplace more productive They are loyal and hardworking and help businesses grow… 88% of employers who employ apprentices believe that Apprenticeships lead to a more motivated and satisfied workforce 83% of employers who employ apprentices rely on their Apprenticeship programme to provide the skilled workers that they need for the future 81% of consumers would prefer to use a company that employs apprentices

February 2011Apprenticeships in the Care Sector4 Levels of Apprenticeships… Apprenticeships (equivalent to five good GCSE passes) Apprentices work towards work-based learning qualifications such as: –an NVQ Level 2 –Key Skills and –a relevant knowledge-based qualification such as a BTEC These provide the skills apprentices need for their chosen career and allow entry to an Advanced Apprenticeship

February 2011Apprenticeships in the Care Sector5 Levels of Apprenticeships… Advanced Apprenticeships (equivalent to two A-level passes) Advanced apprentices work towards work-based learning qualifications such as: –NVQ Level 3 –Key Skills and, in most cases –a relevant knowledge-based certificate such as a BTEC To start this programme, apprentices should ideally have five GCSEs (grade C or above) or have completed an Apprenticeship

February 2011Apprenticeships in the Care Sector6 Levels of Apprenticeships… Higher Apprenticeships Higher Apprenticeships work towards work-based learning qualifications such as: –NVQ Level 4 and –a knowledge-based qualification such as a Foundation Degree

February 2011Apprenticeships in the Care Sector7 Hours and pay…. Employment must be for 16 hours per week or more, although it is expected that this will be greater than 30 hours per week Aspects of the employment agreement like how many hours an apprentice is expected to work and what breaks they are entitled to is determined by the employer and the apprentice The National Minimum Wage for apprentices applies to all apprentices aged under 19; and apprentices aged 19 or over in the first year of their Apprenticeship The apprentice minimum wage is £2.50 per hour and applies to time working, plus time spent training that is part of the Apprenticeship The actual level of pay is on average £170 per week

February 2011Apprenticeships in the Care Sector8 Return on Investment research Apprenticeships will boost the Hertfordshire economy to the tune of £386 million within six years, if every business hires just one local apprentice, according to ‘Return on Investment’ (ROI) research which allows individual firms to calculate the potential financial returns gained from investing in apprentices……. The easy-to-use online calculator is available free at and takes into consideration factors such as salaries and anticipated training costs, when forecasting the impact an apprentice can make to a company’s bottom line. In 2007, a series of in-depth studies with large, national employers was undertaken to establish hard, measurable evidence of the bottom line business benefits of Apprenticeships in the workplace. There were some striking results……

February 2011Apprenticeships in the Care Sector9 Return on Investment research Superdrug Performance improved by 44% over the course of the programme –Based on revenue per employee calculations, this is worth £13,750 in revenue terms per annum – Retention rates are approximately twice as high as for other staff The extra revenue generated per annum is seven times greater than the cost of the apprenticeship programme

February 2011Apprenticeships in the Care Sector10 Return on Investment research TUI UK & Ireland (Thomson) The Apprenticeship programme is used to fast track employees –Typically apprentices outperformed colleagues 10 years older in terms of revenue generation and performance –In the Travel Advisor (Grade 2) role, apprentices were found to be 8% more productive than colleagues –In the age group, former apprentices outperform colleagues by 26% –In the age group, former apprentices outperform colleagues by 12%

February 2011Apprenticeships in the Care Sector11 Return on Investment research Boots Opticians The Optical Advisor’s apprenticeship programme saw: –Sales revenue per apprentice has almost doubled over the course of the programme from £22 per hour at the start of the programme to over £41 per hour on completion of the apprenticeship programme. An increased value of approximately £30,000 per annum, per apprentice –Apprentice performance improved in all areas by an average of 46% –The increase in revenue from the apprenticeship programme is between 10 and 13 times the cost of running the programme –Customer satisfaction ratings for apprentices improved by more than 10%

February 2011Apprenticeships in the Care Sector12 Return on Investment research Robert Wiseman Dairies Apprentice performance improved by 142% over the course of the programme: –Based on revenue per employee calculations, this is worth £46,800 in revenue per annum The Apprenticeship retention rates are higher than for other drivers –Since 2005 the retention rate has consistently been in the upper quartile of the company and significantly ahead of that for other drivers

Any questions?