Apprenticeship Reforms Noel Dunne Director The Specialists in Creative, Digital and Marketing Apprenticeships
Fundamentals of reforms • Employer ownership • Raising status of apprenticeships • Competitiveness • Professional, rigorous • Higher levels to degree equivalent • Apprenticeships given equal legal protection to degrees The Specialists in Creative, Digital and Marketing Apprenticeships
Impact • Replacement of Frameworks to Standards developed via Trailblazers • 3m apprenticeship target • Public sector target 2.3% • Focus on higher level apps 3-7 • Employer ownership • Apprenticeship Levy • Co-investment • Institute of Apprenticeships The Specialists in Creative, Digital and Marketing Apprenticeships
Apprenticeship Trailblazers • Developed by employers • Create 2 page standards • No mandatory NVQ/Qualification – unless require • Focus on ‘occupational’ competence • Partnerships – employer/ provider/ learner • Min 20% off the job training • Independent end point assessment • Intention to replace all frameworks by 2020 The Specialists in Creative, Digital and Marketing Apprenticeships
Trailblazer Delivery Training Provider / FE College: Deliver Training and Assessment Training Provider / FE College / Independent Employer End Point Deliver Training Assessment The Specialists in Creative, Digital and Marketing Apprenticeships
Higher Apprenticeships • Level 4 Foundation degree and above • Alternative to current academic route • Employer led – similar to trailblazers • Degree plus apprenticeship • Aligned with professional membership The Specialists in Creative, Digital and Marketing Apprenticeships
Funding reforms • Funding bands • Apprenticeship Levy • Co-investment • Digital Apprenticeship Service Apprentices registered before 30 th April 2017 will be funded under the existing arrangements The Specialists in Creative, Digital and Marketing Apprenticeships
Funding Bands • 15 funding bands £1.5k - £27k • 20% held back for completion/endpoint assessment • Harmonisation of standards and frameworks into single costing structure • Incentives: £1k per apprentice for 16-18s (payable at 3 and 12 months) • Employer agrees package with training provider • Training contract The Specialists in Creative, Digital and Marketing Apprenticeships
Apprenticeship Levy • 0.5% > £3m payroll costs • One payment per org • Every £1 paid into your levy pot = value £1.10 • £1k incentive for 16-18 apprenticeships • Over levy co-investment – 90%:10% • Levy valid for 24 months • During 2018 ability to transfer up to 10% to another employer or to an ATA • Can be used to reskill, upskill, accredit new skills The Specialists in Creative, Digital and Marketing Apprenticeships
Calculating your levy payment https://estimate-my-apprenticeship-funding.sfa.bis.gov.uk / • • Employer of 1,000 employees , each with Employer of 100 employees , each with a a gross salary of £20,000 gross salary of £20,000. • • Pay bill: 1,000 x £20,000 = £20,000,000 Pay bill: 100 x £20,000 = £2,000,000 • Levy sum: 0.5% x £20,000,000 = £100,000 • Levy sum: 0.5% x £2,000,000 = £10,000 • Allowance: £100,000 - £15,000 = £85,000 • annual levy payment Allowance: £10,000 - £15,000 = Levy Pot = £93,500 Inc. 10 % top up £0 annual levy payment *Deducted monthly by HMRC from April 17 The Specialists in Creative, Digital and Marketing Apprenticeships
Non Levy Payers • Small employers <50 Employees – 16- 18’s or up to 24 with EHCP (Education and Health Care Plan) ‘Free’ • Others 90%:10% co-investment • Same incentives for 16-18: £1k per learner The Specialists in Creative, Digital and Marketing Apprenticeships
Funding bands – How they work • Example funding band limit = £6,000 • Example funding band limit = £6,000 • Price you negotiate with your training • Price you negotiate with your training provider provider = £5,000 = £7,500 • The cost is within the funding band limit • The cost is above the funding band limit • £1k incentive 16-18 • £1k incentive 16-18 Levy payers Non-levy payers* Levy payers Non-levy payers* £6,000 will be deducted <50 Employees – 16-18 £5,000 will be <50 employees – 16-18 from your levy account no payment up to £6k deducted from your no payment over the life of the levy account over the apprenticeship. You will be required to life of the You will be required to You will be responsible pay £600 of the £6k cost , apprenticeship. contribute £500 of the for paying £1,500 not and you will be £5k cost – over course from digital account responsible for paying of apprenticeship . £1,500. The Specialists in Creative, Digital and Marketing Apprenticeships
Digital Apprenticeship Service • Provider portal – selection of training provider and end point assessment org • Virtual account- initially levy payers only • Monitors spend against provision • Monthly payment to Provider • Visible to Employer/Provider/DfE The Specialists in Creative, Digital and Marketing Apprenticeships
Institute for Apprenticeships • An independent employer-led body that will regulate the quality of apprenticeships, set up by April 2017 (shadow form from 2016) • An independent Chair will lead a small Board comprised primarily of employers, business leaders and their representatives. • Role: – Approve/reject Expressions of Interest, standards and assessment plans – Provide advice and guidance during their development – Maintain a public database of apprenticeship standards and publish information illustrating potential gaps – Advise on the maximum rate of Government funding that should be assigned to each standard The Specialists in Creative, Digital and Marketing Apprenticeships
Next Steps December January of March 2016 May 2017 July 2017 2016 2016 Digital HMRC release Registration for National AGE 16-24 Grant Apprenticeship guidance, how to DAS account Apprenticeship scheme current Service end date 31 st July calculate and pay opens Week operational the levy 2017 New funding SFA Publish model live confirmed funding rules Institute for Apprenticeships in Full set of place confirmed funding First Levy fund guidelines deposited and published available for spend The Specialists in Creative, Digital and Marketing Apprenticeships
Issues to consider • What are your organisation’s priority skills requirements? • Are there programmes suitable to meet your needs – is there a trailblazer/standard programme for your sectors? • How can you use apprenticeships to reskill existing staff? • Prior qualifications, will be able to deliver same or lower level qualifications to acquire substantive new skills • Who has the skills to mentor and develop young apprentices? • How will you work with your training provider to deliver your needs? The Specialists in Creative, Digital and Marketing Apprenticeships
Creative Alliance • Social Enterprise UK award winners 2015 for education, training and jobs • Apprentices4England training provider of the year award winners 2014/15/16 • Highly commended Birmingham Post Business Awards 2015 • 80% of apprentices went into employment and 15% went on to higher education • The minimum amount we grew creative businesses in this region over the last year is £1,125,000 We enable talented young people to get into creative, digital and marketing roles. The Specialists in Creative, Digital and Marketing Apprenticeships
Job Roles • Account Executive • Copywriter • Digital Marketer • Front of House Assistant • Lighting Technician • Production Assistant • Sound Technician • UX Designer • Video Editor • Web Developer = some of the roles 80% of our apprentices secure as a full time job. The Specialists in Creative, Digital and Marketing Apprenticeships
How we can support you • • Maximise use of levy Creative Industry insight o Skills assessments o Specialists o Advice and support o Apprenticeships are tailored to your business needs o Recruitment o Full support from industry o Strategic planning professionals within the region o As much as possible delivered on site o 80% complete, 80% of those are employed, 10% o go onto degree o Fraction of the cost of recruiting The Specialists in Creative, Digital and Marketing Apprenticeships
How we’re working with the RSC • Apprentice delivery: o Front of House o Technical Theatre • Customer Service Training: o Welcome Host • Planning and using levy: o New starts & existing staff The Specialists in Creative, Digital and Marketing Apprenticeships
Recruiting Apprentices • Job description templates • Free recruitment service • Mandatory induction to help transition into WBL • “Try before you buy” option • Flexible approach to suit companies • Each apprentice has a designated training mentor/assessor • Each company has regular liaison with us • We provide HR and H&S support The Specialists in Creative, Digital and Marketing Apprenticeships
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