Employer support for part-time study in higher education Geoff Mason National Institute of Economic and Social Research, London HECSU Futuretrack Conference, Manchester, 7 November 2012

Arguments in favour of employer support for PT study in HE Potentially important means of developing high-level skills…. and increasing supply of highly-educated people with ‘employability skills’ Benefits from individuals’ willingness to invest own time and effort in study, minimising time off work Employer support for PT college study widespread in US So why are there not more UK employers providing support for PT study?

Part-time HE students aiming for First degree, Foundation degree or Higher National qualifications

HECSU/BIS surveys of employers of part-time HE students PT Student survey, PT students in employment, of whom: 908 supplied contact details for employers Employer survey, completed and usable interviews 180 refused participation 85% of employers in sample aware of at least one employee studying part-time in HE Follow-up employer survey, completed and usable interviews

Employers Sample, 2009

2009 Employer Survey: Main findings (1) 80% of employers provided full or partial support with course fees for part-time student employees Very supportive group of employers – not representative of employers in the wider economy Majority of organisations report improvements in staff skills, knowledge and performance from part-time HE study, especially: –Job-related skills, practical skills communication skills –Plus increased confidence, better prepared for next role in organisation, more proactive

2009 Employer Survey: Main findings (2) In many cases employers respond to individual initiative for study, showing willingness to support staff development Large majority of employers able to impose strict conditions on fee support –Courses typically must be work-related –Employees obliged to pay back fees if leave organisation within certain time Employers value combination of job-specific experience and high-level skills gained through employees undertaking PT study in HE

So why don’t more UK employers support part-time HE study? Not all employers have high-level skill requirements or recognise the need for this level of skills Employers have many other options for meeting high- level skill needs, eg, internal training provision, private sector training providers – some prefer to use HE providers only for short training courses Many employers still prefer to recruit Bachelor degree graduates educated at state and individual expense Disappointing given willingness of so many individuals to self-invest in PT study in HE

Follow-up survey, 2011: Effects of recession on employer support with course fees

Follow-up survey, 2011: Likely impact on employer support of higher tuition fees in HE

Follow-up survey, 2011 ‘We’re already starting to [support fewer people]…. It’s already gone down substantially from where it was before, so you know there will probably still be… 10 or 12 [next year]….. but a year ago it would have been 20 or more, but it’s already going down, it’s more to do with the economic situation here than to do with funding or fees’ [Manufacturing, Utilities, Construction, 250 – 499 employees] ‘I think we’re inevitably going to have to look at [fee support] because I mean the money’s just not available and, you know, if we’re not recruiting qualified people, then we’re not going to be sending so many unqualified people to college’ [Professional, scientific and technical services, employees]

Employers’ willingness to take on school- leavers to study part-time for HE qualifications while receiving work-based training Positive factors: Ability to develop staff with better job- and firm-specific skills and knowledge Improved staff retention Prepare for future without currently ageing employees Support for young people in general Negative factors: HE courses not sufficiently relevant or cost-effective Prefer to train existing staff Limited resources to supervise trainees Few vacancies in prospect

Assessment Many positive reasons for employers to support employees to study part-time in HE But only minority of employers across whole economy provide this kind of support Not all employers have high-level skill requirements or recognise the need for this level of skills Employers have many other options for meeting high- level skill needs, eg, internal training provision, private sector training providers Many employers still prefer to recruit Bachelor degree graduates educated at state and individual expense Even previously supportive employers showing signs of being deterred by increases in HE tuition fees and weak economic growth prospects