Adviser - Winter 2016

THE RECRUITMENT GAP IN PROPERTY AND CONSTRUCTION ARE APPRENTICESHIPS THE ANSWER?

A fter decades of modifications to the further education system, apprenticeship schemes in many industries had all but eroded away in favour of nudging the workforce of the future towards ‘white collar’ jobs offered by the UK’s growing service sector. Despite a push to reintroduce apprenticeship schemes and embark on a PR mission many employers still report that only small numbers of applicants applying for apprenticeship vacancies. Yet the demand for skilled workers in certain sectors has never been higher. This situation is particularly acute in the construction industry. The weakened economy post 2008 led to a downturn in building projects, and as a consequence construction firms were forced to significantly cut back their workforce. Several years on, that situation is now changed and the

per month (or £15,000 per year) to offset against the levy to pay for apprenticeship training, which will be transferred into a digital account. The government will also offer a monthly 10% top up to this digital account, so that every £1 that is added will be worth £1.10 towards funding apprenticeships in your business. Further improvements to the apprentice system look set to arrive in 2019 as a result of the Sainsbury Review Post-16 Skills Plan, published in July this year. Amongst the 34 recommendations in the report is that technical learners should be focusing on preparing for a skilled occupation, rather than a broader role within a sector. There will be flexible bridging provisions for students who believe they have made the wrong decision to move between academic and technical education options in either direction. And the way that qualifications are awarded

construction industry is now struggling to find trained people to meet the demand for growth seen in the last few years. The shortage of trained professionals for jobs such as quantity surveyors, building managers, electricians, plumbers and other specialists such as wood machinists and cutters has never been more critical. However the combination of this skills shortage and the commitment of the government to promote apprenticeships is starting to bear fruit. Under David Cameron’s government 2.4 million apprentices were created and the current target is for a further three million places to be created by 2020, which it is proposed will be funded by the forthcoming Apprenticeship Levy. This levy will come into force next April and requires companies with a wage bill of more than £3million to pay a 0.5% payroll tax to HMRC. There will also be a levy allowance of £1250

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