5 reasons to hire an apprentice
04/08/2016 - by Livia Mordant
By making the commitment to offer an apprenticeship scheme, you have a chance to help your business grow...
Under the new government, The Department of Education (DfE) will take over responsibility from the Department of Business Innovation and Skills (DBIS) for higher and further education, apprenticeships and skills. In short, this change pulls together two previously separated departments, one covering children up to the age of 18 and the other picking up those over 18 and adults.
This has also put the apprenticeship levy updates on hold until September. Business owners affected by the levy are eager to move forward with their preparations, calculating their anticipated levy bill (as it stands, the levy is set at 0.5% to all employers whose staffing bill is over £3 million a year) and wondering how to spend it, as well as how to maximise their potential N.I. savings.
The new administration doesn’t have an easy task ahead of them – it is committed to generating three million new apprenticeships by 2020 and has published a dedicated skills plan for creating a skilled workforce. So, whether delayed or not, it is clear that the levy is a step in the right direction – it creates a funding model that should see quality apprenticeships dispersed across a range of sectors.
However, even with the plethora of information available, some employers may still feel a bit confused. The real value in having apprentices working in your company can get lost, so we have highlighted 5 important business benefits for having an apprenticeship programme in place:
- Reduce recruitment costs - by working with a training provider or an advisor who can help identify and recruit the right candidates. Training apprentices can also be more cost-effective, leading to lower overall training and recruitment costs.
- Increase staff motivation and commitment – according to the National Apprenticeship Service (NAS), 88% of employers believe that apprenticeships lead to a more satisfied workforce. Apprentices tend to be loyal and motivated to perform well, knowing that a promising career could be ahead if they are successful in the company.
- Attract the best talent to your business - by providing higher and degree apprenticeships. This way you can take advantage of new knowledge and technologies, and attract high calibre staff motivated to help your business succeed. You can also fill higher level skills gaps and train both existing and new staff up to degree level.
- Improve productivity and customer service – apprenticeships can offer a means of developing your existing workforce, increase productivity and innovation. The apprentices get exposed to new knowledge, and by putting it all into practice they can deliver results in your business.
- Improve staff retention and progression – again according to NAS, 80% of employers feel that having apprentices reduces overall staff turnover. You can pass down the knowledge from your experts to incoming or existing members of staff, while keeping your skills in-house. By growing your own talent, you can start identifying potential managers, which makes planning for the future easier.
By making the commitment to offer an apprenticeship scheme, you have a chance of creating the future skills needed to help your business grow; you also build up strong employee loyalty and, most importantly, maintain your highly skilled staff.
Capita Learning Services’ Talent Management Operations Director Richard Marsh comments:
“I am sure that we are all quite daunted by the challenges ahead of us. Anyone signed up to the relevant Gov.uk alerts will know that the apprenticeship live list is a fast moving beast. Turn your head for five minutes and 60 frameworks have disappeared and 82 new standards have sprung up, and not necessarily in the same places.”
As well as internal changes and adaptations, we need to explain what will happen to our clients affected by the levy, and creating straightforward explanations for employers befuddled by the whole thing is not an easy exercise."
But we can help you with all of the above. Our approach enables clients to maximise the potential they can release from publicly funded programmes and the apprenticeship levy. Get in touch with us now.