Apprenticeships: Building the workforce of the future

There is strong evidence that apprenticeships lead to improved earnings in the future relative to classroom-based education of the same level.

Sandra McNally, an economics professor at the University of Surrey, outlines changes that have taken place in England and notes that the move from ‘frameworks’ to ‘standards’ is thought to have improved quality, although there have been various other reforms over the same period.

The frameworks model is the traditional model of apprenticeship which is primarily qualification focused.

Whereas the new apprenticeship model, known as ‘standards’ is occupation-focused, the main aim at the end of a framework apprenticeship is to have achieved a competency-based qualification, such as an NVQ, and a technical qualification, such as a BTEC.

Assessment for a frameworks apprenticeship takes place throughout the duration of study, whereas standards apprenticeships are work-focused, and assessment takes place at the end of the programme.

Important changes in recent years also include the introduction of the apprenticeship levy and greater use of higher apprenticeships (i.e. equivalent to sub-degree or degree qualifications).

Initial challenges

Although optimistic on the prospect of apprenticeships, McNally outlines some potential challenges which could prevent the new model from fully meeting economic need.

“Higher level apprenticeships are much more expensive than lower-level apprenticeships because of their long duration,” she states. Also, the latter apprenticeships (at levels two and three) are more suitable for school leavers without very strong GCSE results.

In England, the number of apprenticeships has declined in recent years.

“There was a big decrease in the number of apprenticeships towards the latter part of the 2010s when a lot of the policy changes took place in England. We also saw another drop over the Covid-19 pandemic, although things have since recovered a little bit.”

Furthermore, there is an open question as to whether the new model of apprenticeship is enabling school-leavers to enter the workplace.

McNally explains: “The total number of apprenticeships is much lower than it used to be, and a very high proportion are people aged 25 and over, so there is much scope for progress for apprenticeships to enable the school-to-work transition.

“What is very striking about Northern Ireland internationally is that it is very comparable with other countries in terms of the people with tertiary education, but it is really poor internationally – including by comparison with England – in the percentage of people with below secondary level education.”

Sandra McNally, University of Surrey

“Traditionally, apprenticeships were mostly for people from school entering the labour market. They should remain a pathway for young people entering the workforce as opposed to re-training older workers.”

In addition, McNally outlines her belief that there is scope for development for apprenticeships to be used as pathway qualifications.

“Progression is not built into the system explicitly in England,” she asserts. For example: “A kitchen assistant at level two may not be able to access a level three chef qualification, which should perhaps be seen as a natural pathway.”

Apprenticeships in Northern Ireland

Compared with the long-term decline of apprenticeships in England, McNally outlines that there has been a “vastly different picture” in Northern Ireland.

McNally’s work at the University of Surrey has not focused on Northern Ireland, as there is not enough data for an overall picture to be painted. However, using publicly available statistics, mostly from the OECD, she states: “There was a decline in the number of apprentices over Covid, but there has been nowhere near the same level of decline as we have seen in England.

“There is a small share of apprentices aged 25 and over, so it is focused much more on young people in Northern Ireland which is in common with international standards.”

However, although there is cause for optimism, McNally cautions against complacency among decision-makers: “What is very striking about Northern Ireland internationally is that it is very comparable with other countries in terms of the people with tertiary education, but it is really poor internationally – including by comparison with England – in the percentage of people with below secondary level education.

“In terms of education and skills, that should be of concern for policymakers in Northern Ireland.”

Overall picture

“There are both positives and negatives about the apprenticeship models in both England and Northern Ireland,” McNally says.

The economics professor says that the focus of future studies will be “trying to better understand the skills which underlie economic need”.