Enhancing Employer Engagement in the Design and Development of Effective Skills Solutions Amman, Jordan 8-9 September 2015 Presentation 9 th September 2015 Ana Cavilla Director of Policy Federation for Industry Sector Skills and Standards

Apprenticeships and the role of employers in the reformed system Background to the UK Apprenticeship programmes Definition of Apprenticeships Key stakeholders Apprenticeship reforms: – employer led standards – ensuring quality assessment, – managing the system

A UK Wide programme All four nations have apprenticeship schemes, with grants for training – from 50% contribution to fully funded England Scotland and Wales – grants towards costs of hiring apprentice Northern Ireland – payment on successful completion

What defines an Apprenticeship in the UK A job with training Paid work For all ages Across all sectors On- and off-the job training Across a range of skills / qualifications level

New Higher Apprenticeships In occupations like space engineer and pilot Over 2Million Apprenticeship starts in England since May % Employers who take on an apprentice say their business benefited. £117k Extra income earned by someone who completes a Level 3 Apprenticeship Amount invested in Apprenticeships in England last year Return for every pound that Government invests in Apprenticeships £1 £28 £1.5 bn Over 240,000 Workplaces in England already offering Apprenticeships Over 170 Industries Offer Apprenticeships 96,400 Apprenticeships in smaller businesses supported by a £1,500 Grant for Employers Apprenticeships – Some key facts Scotland on target for 25,000 Modern Apprenticeships in 2014/15 Wales recorded 27, 455 Apprentices in 2013/14 with a substantial increase in Higher Level Apprenticeships

Business benefits - 95% of employers report business benefits Motivated apprentices - 90% satisfaction rate Wider economy benefits – More highly skilled workforce – Increased productivity – Innovation – Reduced costs Apprenticeships in the UK – Key Benefits for employers

Key Stakeholders in UK Skills System 7 Learners Schools Sector Skills Councils Funding Bodies Further education colleges Universities Employers Government Qualifications Regulators Awarding Bodies Private Training Providers Inspection Agencies

Government Support for Apprenticeships: England UK Commission for Employment & Skills Department for Education Department for Work & Pensions Department for Business, Innovation & Skills Skills Funding Agency 19+ Skills Funding Agency 19+ Education Funding Agency Education Funding Agency Registered Training Providers, Inc. FE colleges, employers and independent providers £750M £1.5B Employer-led Partnerships (Sector Skills Councils)

Federation for Industry Sector Skills & Standards National certification and quality assurance body for Apprenticeships Promotes professional practice for employer-led bodies setting skills standards Promotes the case for skills development through Apprenticeships and Traineeships to enhance productivity Quality Assurance Apprenticeship Standards Apprenticeship Certification Quality Assurance Employer-led Partnerships Skills Policy & Representation Skills Standards

Sector Skills Councils: Our members

Main Aims of Apprenticeship Reforms Employer driven More responsive to employer needs and the future economy Quality Creating ‘parity of esteem’ with University path Simplicity Simplifying apprenticeship standards

Apprenticeship Standards will be designed by employers and will replace Apprenticeship Frameworks All Apprenticeships will: o last a minimum of 12 months o have an end-point assessment o be graded Apprenticeship Standards will be: o designed & written by employers o clear & concise o accessible to all Key Changes to Apprenticeships

Launched in October industry groups called trailblazers Developed 16 standards and 16 assessment plans First apprenticeships starts in September 2014 The apprenticeship reforms are gaining pace – phase 1 AerospaceAutomotiveDigital IndustriesElectrotechnical Energy & Utilities Financial Services Food and Drink Manufacturing Life &Industrial Sciences

…. through to Phase 3 and 4 Trailblazers announced this year Welding Non-destructive Testing Bus, Coach & HGV Civil Service Commercial Furniture Engineering Design & Drafting Maritime - Defence Defence NuclearRail Engineering Plumbing & Heating Electronic Systems Boatbuilding Surveying Recruitment Business Management Consultancy Human Resources Education & Training TV production & broadcasting HM Armed Forces Renewable Energy Police NHS AmbulanceFire Services SecurityPharmacyFashion Physical Activity Logistics & Supply Chain Transport Agriculture & Horticulture Horticulture & Trees Equestrian Port Operations Courier Services Healthcare …. and 100’s more to come

More than 190 Apprenticeship standards and 25 assessment plans A further 156 new standards in development Conservative estimates suggest that there could be over 1,000 Apprenticeship standards in total Great to see so much direct employer engagement and involvement There is a need for an organising framework: which our members can provide to maintain high standards, consistency and transferability / portability Is an organising framework needed?

Assessment is highly complex and skilled - Employers can set the overarching direction but don’t necessarily have the skill or will to development assessments Regulated market of awarding organisations in the UK can help with developing fit for purpose vocational assessments …. but they need to respond to the employers demands With almost 200 standards but only 25 assessment plans – it’s clear that developing detailed assessment plans is taking time Getting employers involved in assessment is key – but they need support to do – government needs to develop a simple mechanism for effective engagement Employer engagement beyond standards?

Government has announced it will introduce an Apprenticeship levy across the UK – all large firms will pay into a levy to be used for apprenticeship training There is a consultation taking place now – this will ensure that employers engage and can support the ambition of 3 million apprenticeship starts in this parliament This proposed funding reform means that the entire system is reforming over a 4 year period - from standards development, curriculum design and content, assessment and funding are all simultaneously changing There are potential risks but even greater rewards – to have an employer designed system which should tackle the skills gaps and shortages in the UK economy. A future funding model….

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