Could apprentices help drive your business to success?

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According to Government data released in the last few days, utilisation of apprenticeships in the UK is increasing. Many organisations are seeing the tangible benefits of introducing apprentices into the workplace, including enhanced productivity and improvements to service delivery.  However, it is a common misconception that by employing an apprentice, organisations are simply paying for someone to learn, rather than paying for them to do a job. It is important that apprentices have sufficient time to develop their skills academically, however this only accounts for 20% of their overall working hours. The other 80% of the time they can be working in the business and helping to achieve your organisation’s targets, all whilst building a sustainable pipeline of talent for your business.

An apprenticeship combines paid employment, on-the-job learning and studying towards a relevant training course.

Traditionally, apprenticeships have been associated with school leavers. But while those wanting to become an apprentice must be aged 16 or over, the age limit of 25 was removed in 2004, and there is  now no upper age limit.

There are different apprenticeship levels available, ranging from intermediate (equivalent to five GCSEs) to degree level (equivalent to a bachelor’s or master’s degree). Apprenticeships last for one to five years, depending upon the level of qualification the apprentice is studying.

In 2015 the Apprenticeship Levy was announced, requiring large employers (those with an annual wage bill of £3 million or more) to contribute 0.5% of their wage bill to pay for the training costs of its apprentices. If the fund isn’t used after 24 months, it is reallocated to a central fund which can be accessed by smaller businesses.

Apprenticeships are now available in a wide range of occupations including: creative and digital media; public relations and marketing; business and administration; legal; public health and social care; hair and beauty; catering and hospitality; accounting; agriculture; human resources, cyber security and engineering.

Most businesses are eligible to receive a 95% government contribution towards the cost of training and assessment, which is paid directly to the training provider. In some circumstances, there may be a grant of £1,000 available to support the apprentice in the workplace. This may apply if the apprentice is: 16-18 years old; 19 to 25 years old with an education, health and care plan; 19 to 25 years old and they used to be in care; or if the apprentice was previously made redundant. Check your eligibility for funding on the gov.uk website.

  • provides value for money
  • offers a cost-effective labour source
  • improves diversity
  • improves public perception
  • contributes to employee morale
  • better service delivery
  • higher levels of client satisfaction
  • development of improved products
  • higher levels of productivity.

Apprentices are employees, and are entitled to receive the same conditions of employment as other employees in similar roles. Similarly, apprentices are entitled to a safe working environment and protection from discrimination and unfair dismissal.

Apprentices are entitled to receive the National Minimum Wage. The relevant rate differs according to the apprentice’s age and whether they have completed the first year of their apprenticeship. From 1st April 2024, the apprentice rate will be £6.40 per hour for those aged 16-18, as well as those aged 19+ during their first year of apprenticeship.

An apprenticeship agreement must be provided to the apprentice for their signature. This should cover:

  • The skill, trade or occupation the apprentice is being trained for;
  • The name of the apprenticeship they are working towards;
  • The start and end dates for the apprenticeship; and
  • The training that will be provided.

Apprentices must work towards an approved apprenticeship, with a duration of one year or more. The apprentice must be given the opportunity to learn on the job, to ensure they have the knowledge and skills needed to pass their apprenticeship and achieve their qualification.

Apprentices are also entitled to paid time off to attend apprenticeship training and to study. A training plan must be agreed between the apprentice, employer and training provider. This should cover:

  • the planned content and schedule for training;
  • what is expected and offered by the employer, the training provider and the apprentice; and…..
  • how to resolve queries or complaints

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