Manufacturers split on Apprenticeship Levy benefits

1 min read

The opinions of manufacturers are split when it comes to the Apprenticeship Levy, a survey has found.

The In-Comm Training Barometer, which is designed to take the temperature of UK industry’s appetite for training, revealed that just 55% of manufacturers believe it is working.

Of the 71 respondents, just over a fifth said they had taken on apprentices as a result of the Levy.

Explains In-Comm Training MD Gareth Jones: “There has been a lot of debate around the success or failure of the Apprenticeship Levy and these results show the jury is still very much out.

“Companies are tapping into it and we have seen a number of them use it to increase or start using apprentices, which, compared to the national reduction in starts, has to be a good thing. Encouragingly, 89% also said they would employ apprentices in the near future.”

He continues: “It’s clear from the anecdotal information we received through the report that a lot of managing directors and training managers believe there needs to be better communication, more transparency and an ability to use the Levy to boost other forms of training too.

“A good number even indicated they wouldn’t mind going back to the old days of the Engineering Industry Training Board, where every firm paid a Levy, but could spend the money on all forms of training, not just apprenticeships.”

The In-Comm Training Barometer asked manufacturers about the new Trailblazer Standards, with two thirds saying they didn’t understand them and 87% of those respondents citing ‘content’ as the main stumbling block.

When it comes to appetite for different types of Apprenticeships, only 32% of companies are prepared to let their apprentices stay off-site for 18 months to complete their full-time Apprenticeships.

Continues Jones: “It is vital that a tri-party collaboration happens here and everyone plays their part…industry to allow individuals the time to learn, providers to deliver industry-led content at high levels with no short cuts and Government with funded initiatives to help industry upskill and become more productive.

“Results from the Barometer also showed that companies, especially SMEs, aren’t preparing their workforce for the next industrial revolution, with just 45% of respondents saying they are futureproofing their skills for Industry 4.0.”

He concludes: “If we are ever going to solve the productivity gap we need Government to help engage these companies, make sure there is support out there to understand the opportunity and then ensure they are not left behind in the global race to become quicker, smarter and more efficient.”