does not constitute an endorsement of the contents which reflects the views only of the authors, and the Commission cannot be held responsible for any use which may be made of the information contained therein." www.apprenticeshipalliances.eu This programme has been funded with support from the European Commission Module 1 - The Untapped Potential of Apprenticeships for SMES The European Commission support for the production of this publication does not constitute an endorsement of the contents which reflects the views only of the authors, and the Commission cannot be held responsible for any use which may be made of the information contained therein."
work for SME’s Introduction Learning Objectives 1 SME Video Case Studies 2 Overview of occupational apprenticeships Types of Apprenticeships 3 SME’s share how their businesses have benefitted from apprenticeships Learning from Best Practice Models 4 Apprenticeship Alliances Model 1 Resources Extra Information Resources Spotlight on a number of European Apprenticeship Strongholds 5
training. It combines work- based learning alongside experienced staff and “off-the-job” learning which may be delivered in an education or training centre or sometimes in the workplace. On successful completion of a number of phases of training, apprentices receive professional qualification in their chosen apprenticeship. Apprenticeships becoming an increasingly attractive career path option for learners and a talent pool source for employers. Introduction What are Apprenticeships? 1
formal employment programme that trains learners to do a specific job and leads to formal qualification • Programmes last from one to six years depending on the individual country’s apprenticeship scheme • Pay a salary, usually low wages to start with but increases with experience and skills • Includes a mix of on-the-job training and work experience, and formal, classroom-based learning 1 Apprenticeships offer an opportunity to develop a new career without any previous experience. Typically:
apprentice gets practical training and experience of doing the job. In addition to the skills and knowledge gained, the apprentice will develop competence, confidence and the ability to perform to industrial standards. The apprentice may be assessed on the ability to perform specified tasks to pre-set standards. How do Apprenticeships work? - Practical Training (On-the-Job) Apprenticeship Alliances 1
or educational colleges but may also be delivered in the work place. It involves learning practical skills together with theoretical elements. Apprentices will be required to pass a series of Modular Assessments (tests) throughout this training. How do Apprenticeships work? - Technical Training (Off-the-Job) Apprenticeship Alliances 1
of businesses across a wide range of sectors harness fresh new talent. They can help equip your workforce with the practical skills and qualifications that your organisation needs now and in the future and you will enjoy the benefits of having a loyal and motivated workforce that you have trained to meet your own specific business requirements. Many employers have reported that by employing apprentices they have realised a growth and improvement in productivity in their businesses. There is also a real sense of contributing to the skills need of their local economy. 1
work force addressing skills gaps – Apprenticeships afford companies the opportunity to train competent employees to meet the specific needs of the company (versus hiring externally) 2. Fresh Approaches - bring fresh, new ideas and add value into the organisation 3. Opportunities for Peer Learning - passing on skills and knowledge to an apprentice 4. Support Corporate Social Responsibility (CSR) 5. Financial Incentives – some apprenticeship programmes offer employer incentive payments for example: when the apprentice finished their apprenticeship 1
apprentices we need for the long-term success of our business. Our apprentices add to our organisation making it more effective, competent, productive and competitive by addressing our skills gaps directly.“ Apprenticeship Alliances (RAISE) - Peter Dixon, Group Chief Executive, Phoenix Energy Holdings, Northern Ireland Source: https://www.nibusinessinfo.co.uk/content/company-testimonies-apprenticeships Benefit Key to Long Term Company Success
(UK), 76 % of companies say apprentices provide a higher level of productivity, while 81% say that they help boost the productivity of the whole company • Reliable Investment - While there is a small cost in hiring apprentices, there’s is usually a helping hand available in the form of government grants and incentives for companies taking on apprentices. The model can help save recruitment and retraining costs. The cost-benefit of a apprenticeships/dual vocational training is balanced for the company. But an essential advantage is: expenses in recruiting of personnel can be reduced because employees are already trained in the company. 1 Source Populous research - http://www.populus.co.uk/poll/apprenticeships/
we need for the long term success of our business. Our apprentices add to our organisation making it more effective, competent and competitive by addressing our skills gaps directly.“ Apprenticeship Alliances (RAISE) - Paul Hamill, Head of HR Kainos, Northern Ireland Source: https://www.nibusinessinfo.co.uk/content/company-testimonies-apprenticeships Benefit Addressing Skills Gaps
experiences to help SME’s drive business performance and improve the knowledge transfer from education/training to a real and live business environment. 1
advantage of recruiting an apprentice is their loyalty and commitment to the company.“ Apprenticeship Alliances (RAISE) - Jo O’Brien Bentley Motors in Crewe, England, UK Source: http://www.learndirect.com/business/news-events/press-releases/2013-3/march-2013/how- apprentices-benefit-your-business/ Information on other UK regions Benefit Develop the career of a loyal member of staff
willingness to invest in and develop the workforce. Moreover, one of the big benefits of training an apprentice is that it gives the company to opportunity to shape a young persons work habits and to retain over time, a qualified and motivated employee. As a matter of fact, apprentices often becoming the most loyal members of staff! 1
will add value to our business, so the rules are no different from any other member of staff. As such, all candidates will gain valuable interview experience even if they are unsuccessful. “ Apprenticeship Alliances (RAISE) - Tracy Ewen is the Managing Director of IGF, Scotland Source: https://fleximize.com/articles/004884/why-smes-need-apprentices Information on other UK regions Benefit Apprentices add value to the organisation
the opportunity. I regularly visit local schools and this has led directly to my company taking on 16 apprentices in the past 15 Years.” Apprenticeship Alliances - Richard Bridgman, Chairman, Warren Services Ltd and Chairman, SEMTA East England. Source: Making Apprenticeships More Accessible to Small and Medium-sized Enterprises. Information on other UK regions Benefit Corporate Social Responsibility
the training of apprentices. The employer is expected to: • Provide a working environment which focuses on learning and apprenticeship training; • Provide a safe working environment which complies with health and safety regulations; • Direct and guide student learning through on-site supervision by a qualified journeyperson; • And assess the progress of the student and work with training providers to progress the students career paths. 1
Employees who competently fulfil the tasks and duties needed in their company, now and in the future • A productive and innovative contribution from trainees • To show social responsibility and contribute to their local economy and community • Workers to be loyal to their company • To save costs for incorporation and retraining. 1
growing your business and of moulding an employee to fit your company’s needs; • Recruitment is simpler than you may think, with as much - or as little - help from your provider as you want; 1 In the UK, some core messages used to recruit Apprentice Employer SMEs include: Source: Making Apprenticeships More Accessible to Small and Medium-sized Enterprises, Jason Holt
have probationary periods during which they need to show that they have the potential to complete their apprenticeship and perform well in their role. The apprentice’s position, like any other employee’s can be terminated if their performance is unsatisfactory • It is possible to recruit first as a standard employee and put the employee onto an apprenticeship at a later date; • You can take someone on as an apprentice at any age from 16; 1 Source: Making Apprenticeships More Accessible to Small and Medium-sized Enterprises, Jason Holt
for trainees: » Training allowance (at employers discreation) » Legal social benefits » Agreed and voluntary social benefits b. Personnel expenditure of training personnel: » Wages and salaries » Legal social benefits » Agreed and voluntary social benefits c. Other costs: » Rent and energy » Material and documents » Fees and contributions » Administrative expenditures 1 YIELDS a. Productive outputs and collaborations b. Minimisation of personnel acquisition costs c. Stabilisation of the wage and salary structure d. Saving of training costs e. Qualifications to adapt external employees » Minimisation of miscasting and follow up costs f. Reduction of fluctuation costs g. Improvement of the image / of the attractively of the enterprise
for workers with strong occupational skills many of which cannot be acquired within the classroom. In the section which follows we hear from SME’s in a series of videos as they share their stories of apprenticeship programmes across Europe. SME Video Case Studies US Apprenticeships in Practice 2
truly knows the benefit of Apprenticeships for SME’s having come through the programme herself. Her advocacy for apprenticeships is demonstrated by the fact that she is now an apprentice employer. www. granddesigns.ie SME Case Study Video Margaret Reilly, Grand Designs, Drogheda, Ireland 2 Source: https://www.youtube.com/watc h?v=cS9PxRWGV_4
Michael Morrissey, Morrissey Chartered Accountants, NI (UK) SME Case Study Video – Michael Morrissey, Morrissey Chartered Accountants, NI (UK) 2 Source: https://www.youtube.co m/watch?v=bPJRwtaXA1 Y
tell about taking on their first apprenticeships in conjunction with Brooklands College. SME Case Study Video Graham Lines, Hitachi, England, UK 2 Source: https://www.youtube.co m/watch?v=1na-lgnUV70
4 apprentices every year to train them over the 3 years of the “Bac Pro”. These apprentices are between 15 and 18 years old. The aim is to employ these apprentices full time at the end of the 3 years when they are fully qualified. In the video we meet David is an ex-apprentice who mentors now the 4 new apprentices every year. SME Case Study Video EEGGER, France 2 Source: https://www.youtube.com/watch?v=bNr_Ftd XA_g
the owner of an SME and employs 2 apprentices. Mr Godin knows the benefits of apprenticeship and is happy to employ apprentices himself as he understands the benefits for both the apprentice and the employer. SME Case Study Video Mr Raphael Gobin , France 2
https://www.youtube.com/watch?v=OOk_- mfWW88 Through different testimonials this video explain the advantages from the both apprentice and the company’s perspectives about reception and learning process in a dual professional training in packaging and packaging machinery at Aranow Packaging Machinery.
qjIAuH0kc In this video, Rex Bierlaagh innovation manager at Eisma Mediagroup explains their motivation for getting involved in training apprentices. Eisma Mediagroup are keen to work closely with people with a fresh view on existing businesses. And also contribute to the development of young people.
offer in different countries. In the slides which follow, we have a brief look at Poland, Northern Ireland (UK), Ireland, France, Spain and the Netherlands. Apprenticeships are available for new entrants to a job or to existing workers significantly changing their job roles Types of Apprenticeships US Spotlight on a number of European Apprenticeship Strongholds 3
Strong small and medium-sized enterprises (SME) ✓ Interest, commitment and capability of companies to train ✓ Strong and competent representation of employer and employee interests (chambers / labour unions) ✓ Broad-based acceptance of VET standards through strong involvement of social partners in VET and culture of cooperative engagement ✓ Strong regulatory capacity of government ✓ Competent VET teachers and trainers ✓ General education system makes young people ready for VET What are the macro pre- conditions for apprenticeships? 3
work-based learning programmes, based on alternate schemes and both work-based and school- based learning. There are two main apprenticeship schemes in France: ✓ the contrat d’apprentissage -youth from 16 to 25 in initial training under the Ministry of Education ✓ the contrat de professionnalisation - youth 16-25 years or unemployed in vocational training under the Ministry of Labour Types of Apprenticeships in France Apprenticeship Alliances (RAISE) 3
Hotel and restaurant sectors (12% of contracts) Business services sector (7% of contracts) Retail and car and motorcycle repair - 19% of contracts Industry - 21% • Construction accounts for 20% of the contracts (where 89% of new apprentices are employed in small companies with fewer than 50 employees.) • Hairdressing and beauty care are 6% of the contracts. Types of Apprenticeships in France Apprenticeship Alliances (RAISE) 3 Source: https://ec.europa.eu/epale/sites/epale/files/refernet_fr_2014_wbl.pdf
primary employers of apprentices, absorbing 77% of new contracts Types of Apprenticeships in France Apprenticeship Alliances (RAISE) 3 Source: https://ec.europa.eu/epale/sites/epale/files/refernet_fr_2014_wbl.pdf
again the service sector is the primary user with 79% of new hirings, including the two largest tertiary sectors: retail, car and motorcycle repair (24% of new contracts) and business services (17% of new contracts). The construction sector accounts for 6% of hirings, while industry is responsible for 15% of new contracts. Types of Apprenticeships in France Apprenticeship Alliances (RAISE) 3 Source: https://ec.europa.eu/epale/sites/epale/files/refernet_fr_2014_wbl.pdf
a part of VET and sees learners spend majority of time acquiring skills at employers’ premises, (mainly craftsmen) after a contract is signed between an employer and an apprentice (juvenile worker 16-18 year olds) Learning at school takes place two days a week (theoretical knowledge: general and vocational). This type of dual system is designed for students from basic vocational schools (around 61% of them are apprentices/juvenile workers). The apprenticeship is organised in SMEs, mainly in handicrafts. Source: https://cumulus.cedefop.europa.eu/files/vetelib/2015/ReferNet_PL_2014_WBL.pdf Types of Apprenticeships in Poland 3
Occupational training (nauka zawodu) which aims to prepare an apprentice to work as a qualified worker or a journeyman and covers practical training at the employer’s and theoretical education realised at school, at the employer’s premises or in Centres for Education and Professional Development called ODiDZ (this training is classified at ISCED 3 level); • Training to perform a specific job (przyuczenie do wykonywania określonej pracy) which aims to prepare an apprentice to work as a vocationally trained worker and may apply only to some selected activities related to occupational training (this training is classified at ISCED 2 level). Types of Apprenticeships in Poland Apprenticeship Alliances (RAISE) 3
of automotive mechanic and automotive technician qualification pathways in Poland. Source: http://www.cedefop.europa.eu/en/news-and-press/news/poland- two-stage-upper-secondary-vet-programmes
an apprenticeship programme. Today a significant number of companies participate in the new model of dual VET, enabling students to combine training in schools with training in real work environments. There are two methods of practical training in the workplace: • SIMPLE ALTERNATION combines training time in school and in company, without involving the academic recognition of time in the company • DUAL ALTERNATION combines training time in school and in company + the academic recognition of learning achieved by students for in company activities. Types of Apprenticeships in Spain Apprenticeship Alliances (RAISE) 3
advanced and consists of three layers (Cedefop, 2004). It starts very early (age 12) with the lower strand in compulsory education : preparatory vocational education . It continues in senior secondary vocational education and it peaks in vocational, or rather professional, higher education (in professional universities). Apprenticeships are very well embedded in the Dutch system, it is no surprise that they cover - Economy & Trade, Health Care & Welfare, Industry, Logistics & Transportation, Health Care & Welfare and Agriculture, Beauty Care, Media & Design and Types of Apprenticeships in the Netherlands Apprenticeship Alliances (RAISE) 3
frameworks across a diverse range of occupational areas and sectors. Apprenticeship frameworks are developed by industry representative bodies to ensure they meet the demands of each sector. Types of Apprenticeships in Northern Ireland Apprenticeship Alliances (RAISE) Source: https://www.economy-ni.gov.uk/sites/default/files/publications/economy/apprenticeships- guide-for-employers.pdf 3
✓ Agriculture and Land ✓ Building Service Engineering ✓ Construction ✓ Creative ✓ Engineering ✓ Finance ✓ Hair and Beauty ✓ Health, Social Care, Children and Young People 3 ✓ Hospitality ✓ IT & ICT Services ✓ Leisure and Sport ✓ Manufacturing and Processing ✓ Motor and Plant ✓ Retail and Customer Care ✓ Science and Medical Services ✓ Services ✓ Transport & Distribution ✓ Utility and Utility Services
in five areas: motor mechanics, engineering, printing, electrical work and construction. The system in Ireland in being reformed though with new apprenticeships being introduced, in areas as diverse as financial services, accounting, medical devices, software development, travel agency, butchery, chef, warehousing and plastics technology. Many of these are areas where there are severe skills shortages. Also, apprenticeships will now be offered in third-level institutions as well as in further education and training institutes. Types of Apprenticeships in Ireland Apprenticeship Alliances (RAISE) Source: http://www.apprenticeship.ie 3
countries around the world set up apprenticeship schemes, and some companies export and adapt the model themselves. In the slides that follow we look at how the German system works and how it has become ingrained in German company culture. Learning from Best Practice Models US Spotlight on a Germany a European Apprenticeship Stronghold 4
2014 in Germany there were 328 government- recognised training occupations under the Vocational Training Act (BBiG) or the Crafts and Trades Regulation Code (HwO). The number differs slightly each year. Click on image left to view list of occupations.
2014 in Germany there were 328 government- recognised training occupations under the Vocational Training Act (BBiG) or the Crafts and Trades Regulation Code (HwO). The number differs slightly each year. Click on image left to view list of occupations.
positions, from electricians to nursery- school teachers, require standard training and certification. Over 500,000 new apprenticeship contracts are concluded every year. The system developed historically out of the medieval guild system. It’s base is the concept of “occupation”. Best Practice Models - Germany Sources: https://www.ft.com/content/1a82e8e0-04cf-11e7-aa5b-6bb07f5c8e12 http://www.apprenticeship-toolbox.eu/index.php?option=com_content&view=article&id=143:apprenticeship- system-in-germany&catid=92&Itemid=307 4
Germany was 6.7 per cent, compared with 17.3 per cent across EU member states. Germany's youth apprentice schemes have been hailed as the country's biggest weapon against youth unemployment, with more than 65 percent of young people starting careers with vocational training after they finish school. Best Practice Models - Germany Apprenticeship Alliances (RAISE) Source: https://www.cnbc.com/id/100996324 4
are clearly something that have helped drive growth - the apprenticeship schemes work very well in the family-run Mittelstand (small and medium sized enterprises -- SMEs) as it provides cheap labor for companies while young people get training." Apprenticeship Alliances (RAISE) - Carsten Brzeski, ING economist Source: https://www.cnbc.com/id/100996324 Apprenticeships in Germany – spotlight on SME’s
programmes in Germany is, without a doubt, the involvement of companies in the design and implementation of vocational education. Companies are so committed to Germany's dual education system that German companies opening overseas (particularly in the US) are transferring the system and using it to address skills gaps and training up local staff with similar apprenticeship models. Apprenticeships are ingrained in German Company Culture… Apprenticeship Alliances (RAISE) 4 Source: http://www.ippr.org/files/publications/pdf/nsaw-case-study-wieland-lezcano- feb2016.pdf
the dual education system to the US. Apprenticeship Alliances (RAISE) 4 Source: https://www.youtube.com/watch?v=iuX9ATIrlrs Germany Companies exporting the German Apprenticeship Model to the US - Stihl
of trained workers in the United States. In South Carolina, a German company is training students in skilled labor through apprenticeships. Germany Companies exporting the German Apprenticeship Model to the US Apprenticeship Alliances (RAISE) 4 Source: https://www.youtube.com/watch?v=-Sun5FS6VKw
German Dual System to workers with a program that offers part- time work, an all-expenses paid associates degree and near guarantee of a job and future education down the road. Germany Companies exporting the German Apprenticeship Model to the US Apprenticeship Alliances (RAISE) 4 Source: https://www.youtube.com/watch?v=zpDAocHVxwM
German Model suggest that the best way to convince companies to engage in apprenticeship is to provide economic arguments: training apprentices can be cost-effective for companies. They argue that for several years now, studies in Germany and Switzerland have proven this, and a recent ex-ante simulation study in Spain suggests that dual VET can also be profitable for companies in countries without a long tradition in the dual system. Similarly, governments looking to promote dual VET should thus focus on economic arguments. Replicating Germany Success and convincing companies to engage in apprenticeships… Apprenticeship Alliances (RAISE) 4 Source: http://www.ippr.org/files/publications/pdf/nsaw-case-study- wieland-lezcano-feb2016.pdf
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