Minutes:
Sue Sibeon, Jobcentre Plus provided a presentation on apprenticeships and the key points for employers.
Apprentices were aged 16 or over, with no upper age limit, and could be new or current employees. They combined working with studying to gain skills and knowledge in a specific job. Employers must pay apprentices at least the minimum wage, and they must work with experienced staff, learn job-specific skills and study during their working week (for example, at a college or a training organisation).
Businesses based in England could get Government funding to cover some of the costs of training and assessing an apprentice. The amount a business could receive depended on whether or not they paid the apprenticeship levy, which was paid by employers with a pay bill over £3m per year.
Employers with wage bills under this amount did not need to pay the levy, and would pay 5% towards the cost of training and assessing their apprentice. A payment schedule would need to be agreed with the training organisation, and they would be paid directly for the training. The Government would pay the remaining 95% directly to the training organisation, up to the funding band maximum. Employers could be eligible for extra funding depending on both their circumstances and those of the apprentice. Employers that paid the levy would receive funds to spend on training and assessing their apprentices, and the Government would add 10%.
Employers were responsible for paying their apprentice’s wage and giving them their contract of employment. The current minimum wage rate for an apprentice was £3.90 per hour. This rate applied to apprentices under 19 and those aged 19 or over who were in their first year. Employers must pay at least the minimum wage rate for their employee’s age if their apprentice was aged 19 or over and had completed their first year.
Apprentices must work towards an approved apprenticeship standard or framework (recognised qualification), and their training must last at least 12 months. They must be employed in a real job that gave them the opportunity to gain the knowledge and skills they needed to pass their assessment. Employers must pay their apprentice for time spent training or studying for their apprenticeship, whether while at work or at a college or training organisation. Employers must offer apprentices the same conditions as other employees working at similar grades or in similar roles. This included paid holiday, sick pay, any benefits offered such as childcare voucher schemes and any support offered such as coaching or mentoring.
Apprenticeships had equivalent educational levels, which allowed apprentices to gain qualifications such as GCSEs, A levels, Foundation degrees and Batchelor’s or Master’s degrees as they progressed. Some apprenticeships also provided additional qualifications, such as Diplomas.
Employers were required to sign an apprenticeship agreement with their apprentice. This provided details of what the employer agreed to do for the apprentice, including: how long they would employ them for; training they would be given; working conditions; and qualifications that they were working towards. These could be completed by downloading an apprenticeship agreement template. Employers must also sign a commitment statement with their apprentice and the training organisation. It had to include: the planned content and schedule for training; what was expected and offered by the employer, the training organisation and the apprentice; and how queries or complaints should be resolved.
Further help and information in relation to apprenticeships could be obtained by contacting the National Apprenticeship Service on 0800 015 0600, or filling in the enquiry form on Gov.uk.
A Member asked if there were any plans to increase the current minimum wage rate for apprentices. The LBB Operations Manager – Bromley Education Business Partnership highlighted that this was the minimum that an employer had to pay, however they could pay apprentices more than this, and larger organisations tended to do so.
In response to a question, Ms Sibeon said that if an apprentice was performing to the required standard, the company’s normal procedure to deal with this would be followed. Further advice could be provided by the National Apprenticeship Service. A Member noted that an apprentice, like other staff employed, would be subject to a probation period which would allow the employer time to consider if they were suitable for the role.
The Chairman thanked Ms Sibeon for her presentation to the Partnership.