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Pioneering HGV Driver Apprenticeship offers a sustainable recruitment solution

New Driver’s Academy will help alleviate the chronic shortage of drivers

An HR and recruitment agency is launching an HGV Driver Academy apprenticeship programme to tackle the UK shortage of drivers in the logistics industry.

Starting this September, the Gi Group in partnership with one of its subsidiary businesses, Tack TMI, will be offering its new Driver Apprenticeship Schemes across the UK, providing candidates with a full support package, from bespoke training to helping successful candidates secure their dream role once qualified.

Gi Group will start its apprentices with a salary of around £11/£12 per hour and throughout the 12-month programme, individuals can increase their salary as they progress. The courses cover Class 1 and Class 2 qualifications including hands-on blended learning throughout.

With the cost-of-living crisis, there is nationwide concern surrounding job security and the opportunity for progressive salaries. The new driving programmes support a work-life balance, providing flexible working – leading to positions paying around £60,000 per year once fully qualified.

Research found that at the beginning of 2022 the industry was short of around 100,000 HGV drivers. While this number dropped to 60,000 by the beginning of 2023, this is still a significant shortage in an industry that has suffered for over a decade.

Andrew Fletcher, Operations Manager for the South at Gi Group, said: “Our new mission within our Driving division is to create a long-term, sustainable solution to the challenges posed by industry-wide driver shortages. There is a stigma in the industry around the gender and age of HGV drivers, but this just doesn’t need to be the case. We’re passionate that the future of the industry can be shaped by young, innovative men and women. Driving offers people a flexible working environment and opens up opportunities to work around your life, with the possibility of some serious salaries.”

 Sara O’Brien, Head of Partnerships & Sales, Apprenticeships at Tack TMI, said: “We have already had a lot of interest, which is a great sign. Over the years there have been dramatic driver shortages, for various reasons such as Brexit and the pandemic, but we are here to support a positive and flourishing future for our drivers, our clients and the sector. People often think of the long hours involved in driving, but we are here to show this career path offers so much more. It provides people with job flexibility and role progression that many warehouse or office-based roles can’t necessarily facilitate. Driving offers the work-life balance that so many crave with the opportunity to earn a really healthy salary.”

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More than 9 in 10 apprentices remain at the company beyond training

Apprenticeships are boosting retention for firms across the UK 

According to a new report, apprenticeships are improving employability and pay for employees, whilst boosting revenue and diversity for businesses. 

Multiverse’s 2023 report on the impact of apprentices on business and individuals, reveals an overwhelming retention rate for apprentices, with 93% remaining at the same company after their scheme.  

Research reveals that six in ten of apprentices starting out in their careers are from Black, Asian or multiple ethnicity backgrounds, compared to universities where more than seven in ten students are white.  

 A staggering 96%, of Multiverse’s early career apprentices, have stayed in work or training after their apprenticeship and employability exceeds those of graduates, with graduate employment at just 87% last year. 

  The data finds that the work of apprentices has directly resulted in more than £550m in cost-saving or revenue-generating activities for businesses across the country working with the apprenticeship provider. 

This comes as the average apprentice now outearns university graduates with prestigious law degrees by more than £5,000. The analysis finds that the average Multiverse apprentice now earns between £26,000 and £30,000 a year. By comparison, 15 months after leaving university, law graduates earn an average of £21,500 according to the Higher Education Statistics Agency (HESA). The average Multiverse apprentice also outearns graduates with a host of other degrees, including architecture (£25,000), business and management (£24,000), and psychology (£21,500).  

Euan Blair, CEO of Multiverse, said:  “Our ambition is to create a diverse group of future leaders who can support businesses to succeed in an environment where tech, digital, and data skills are at a premium. What’s clear is that apprenticeships are going from strength to strength as a truly outstanding alternative to university, with apprentices providing immense value to businesses. Our programmes are giving firms the opportunity to boost revenue, productivity, diversity, and fill essential skills gaps that will meet their needs today and in the future.We’ll keep expanding these high-quality opportunities to work, learn, and earn – and it’s our ambition to develop high-potential talent with the skills they need across every corner of the country.” 

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Majority of employers keen to increase their apprentices intake (The Indian Express)

23% of employers say hiring apprentices could unlock business growth opportunities

According to a report by TeamLease, as reported by The Indian Express, the majority of employers in India are interested in increasing the number of apprentices they hire in the first quarter of 2023 (January to March). The report shows that 79% of employers are planning to hire more apprentices during this period, which is slightly higher than the 77% who were interested in doing so during the second half of 2022.

The survey also revealed that around 37% of employers are looking to increase their intake of apprentices because they see them as a source of real-time skilled talent in the job market. Furthermore, 23% of employers believe that hiring apprentices can help to unlock business growth opportunities.

The Net Apprenticeship Outlook (NAO), which is calculated by subtracting the number of employers looking to decrease their apprentice intake from those looking to increase it, is currently at 66%. This suggests a positive outlook among employers for apprenticeships overall. However, the NAO for the first quarter of 2023 is 3% lower than it was during the second half of 2022.

Overall, the report indicates that employers in India are increasingly recognising the benefits of hiring apprentices and are looking to increase their intake in the coming months.

Sunat Kumar, TeamLease Degree Apprentice Chief Business Officer – Manufacturing commented: “As India Inc continues to recognise the prowess of apprenticeships in developing a strong talent pipeline, it’s heartening to see the proportion of employers willing to expand their apprentice engagement in the quarter has increased. Employers are realising that apprenticeships with a degree linkage have better competencies.”

 

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Apprenticeship programs becoming more popular alternative to college

Young adults are rethinking the value of college 

Amid the heightened demand for workers, rising cost of tuition and growing student loan burden, more would-be students are choosing career-connected pathways over four-year colleges, according to recent reports. 

As enrollment falls, alternatives such as apprenticeship programs are quietly gaining steam, particularly for families anticipating the sticker shock of a college education, which currently averages around $53,430, including tuition, fees and room and board, at private colleges and $40,550 at public colleges for the 2022-23 school year, according to the College Board. 

Hafeez Lakhani, Founder and President of Lakhani Coaching in New York commented: “We are a societal turning point. People at the margin are saying ‘I don’t know if I can wait four years to make a living.’” 

Some experts say the value of a bachelor’s degree is fading and more emphasis should be directed toward career training. A growing number of companies, including many in tech, are also dropping degree requirements for many middle-skill and even higher-skill roles. 

However, earning a degree is almost always worthwhile, according to “The College Payoff,” a report from the Georgetown University Center on Education and the Workforce. 

Bachelor’s degree holders generally earn 84% more than those with just a high school diploma, the report said — and the higher the level of educational attainment, the larger the payoff. 

Apprenticeships are on the rise 

In an apprenticeship program, a company generally trains a student in one skill for a specific field. That often leads to a job, sidestepping the traditional college path — and costs. 

Over a decade, the number of registered apprentices rose 64%, according to the latest data from the U.S. Department of Labor.

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Only 4% of employers spend full apprenticeship levy funding

£3.5b funding nationally allocated to levy-paying employers expired

Ahead of National Apprenticeship Week, new research from  City & Guilds, the skills development organisation together withworkplace learning advocates The 5% Club, has revealed that the government’s apprenticeship levy is not working as it should.

Levy-paying employers are using around 55.5% of available funds and only 4% have used their full levy funding in the last five years – meaning nearly half of the generated funding has not been used by levy-paying employers and risks going to waste.

The City & Guilds and The 5% Club are calling on the Government to reform the apprenticeship levy system to a 50:50 model – with half of funding ring-fenced for apprenticeships, and half freed up for businesses to use to meet their skills needs in a more flexible way.

According to the findings, a staggering 96% of UK businesses want to see changes made to the levy while the Freedom of Industry (FOI) found that £3.5b funding nationally allocated to levy-paying employers has expired! (FY 2017-18 and FY 2012-22).

Despite the research revealing that only 15% of businesses can recruit the skilled people they need, employers are facing barriers to accessing levy funds which could help to fill skills shortages. According to City & Guilds’ research, carried out amongst 1,000 HR leaders at UK levy-paying business, of those who haven’t used all of their levy funds, 94% report facing at least one barrier to accessing it.

18% say access involves too much bureaucracy or administration

17% state a lack of time to invest

19% cannot commit to the length of time an apprenticeship takes to complete.

Kirstie Donnelly, CEO of City & Guilds, said: “Apprenticeships are a valuable recruitment and retention tool but, the current system is just not working for them, leading to large sums of funding intended for the levy instead going back to the Treasury because they cannot be used, all this at a time of such acute skills gaps and shortages.”

Mark Cameron, CEO of the 5% Club, also commented: “This report provides further evidence on where the system works, where it is challenged and those areas that should be protected and improved.”

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Companies combine to provide unique learning experience for apprentices

More than 700 jobs are set to be created as a result of newly launched community regeneration initiative

Young apprentices are being given a unique training experience through a new collaboration between two world-renowned organisations.

Teenagers Ellis Doran and Tyler Lister have become the first Cumbrian control systems engineer apprentices at Jacobs, the global technology-forward solutions company, through a partnership with Sellafield which will see them join the current cohort of seven apprentices learning their trade at Sellafield’s Engineering Centre of Excellence.

As part of Sellafield’s plans to expand its annual training programme which welcomes a new intake of apprentices each year, Dave Jones, the company’s head of Operational Technology Group (OTG), approached Jacobs and asked if it would be interested in collaborating on its apprenticeship pathway programme, which would leverage the benefits each company can offer the students.

The apprentices will predominantly learn their trade at Sellafield’s Centre of Excellence facility at Leconfield Industrial Estate in Cleator Moor but will also benefit from training from experts at Jacobs throughout the course.

Dave said: “As part of our training programme, we have seven apprentices working from our centre of excellence facility so we thought it made sense to extend this to accommodate two more from Jacobs.

“The partnership is about growing the capabilities of businesses across West Cumbria, not just Sellafield, to help all local companies improve and develop their skill sets.

“This collaboration has many benefits as the apprentices will receive ongoing training from Sellafield, while also gaining specialist training from the brilliant team at Jacobs.

“It’s a very exciting partnership and it’s all about sharing resources and facilities to make sure local companies can continue to grow and expand their services.”

In the space of two years, the control system apprenticeship programme at Sellafield’s Centre of Excellence has more than doubled from four students to ten this year.

Mark Quin, Technical Manager at Jacobs, commented: “Working with Sellafield’s Centre of Excellence to provide our apprentices a more rounded and mature pathway is a huge advantage to our capability within Jacobs. Through excellent relationships with Dave’s team, we have been able to tailor the pathway to benefit both our new apprentices and improve the already market leading pathway that Sellafield has created through support from supply chain members and the varied project lifecycle offering.

“This collaboration creates an innovative culture where client-contractor relationships are uniquely improved to provide a more efficient and agile delivery model, by building early networks and improving stakeholder management and engagement.

“I am excited to see this collaboration grow and to raise the profile of the discipline where we are attracting the best talent to support the industry for years to come.”

More than 700 jobs are set to be created across West Cumbria as a result of the newly launched community regeneration initiative iSH (Industrial Solutions Hub).

The Copeland Borough Council-backed initiative will bring employment, skills and training opportunities to the area, and encourages collaboration between local businesses, organisations and education providers.

John Maddison, iSH Managing Director also commented: “This partnership between Sellafield and Jacobs is a perfect example of how companies can work together to upskill their workforce and provide innovative training opportunities to young people in the area. By sharing resources, businesses across West Cumbria can showcase the excellent capabilities of the local workforce and provide more solutions to industry problems across the world.”

A multi-million pound refurbishment of Leconfield Industrial Estate is planned as part of iSH’s vision to regenerate communities in West Cumbria.

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Apprentices: the key to building the future?

Apprenticeship applications up by 37% 

According to data from CV-Library, the UK independent job board, apprenticeship roles have increased by 28% when compared to 2021 figures and are up 203% when compared to 2020 figures. These figures have been revealed in the wake of the 15th annual National Apprenticeship Week (NAW) where the theme for the week was ‘build the future’.  

NAW brings together businesses and apprentices across the country to shine a light on the positive impact that apprenticeships make to individuals, businesses and the wider economy.  

During NAW, focus was given to how apprenticeships can help individuals to develop their kids and knowledge required to have a rewarding career and how businesses can develop a talented workforce that is equipped with future-ready skills.  

Encouragingly, according to the data from CV-Library’s survey, candidates have made 74,574 searches for apprenticeship roles in February so far, and in 2022 to date, applications to these roles have shot up by +37% on the same year period last year.   

The data revealed that the industries proving most popular during National Apprenticeship Week were:   

Top industries for apprenticeship job searches (Feb 2022 to date)  

  1. Accounting/Financial/Insurance  
  1. Administration  
  1. Education  
  1. Sales  
  1. Retail/Purchasing  
  1. IT  
  1. Engineering  
  1. Medical/Pharmaceutical/Scientific  
  1. Construction  
  1. Automotive/Aerospace   

When it came to taking steps to apply, young people who wanted to begin an apprenticeship chose the following sectors:   

Top apprenticeship applications by industry (Feb 2022)  

  1. Administration  
  1. Engineering  
  1. Construction  
  1. Manufacturing/Surveying  
  1. Distribution   

Finally, the research also showed that apprentice salaries varied depending on the industry. CV-Library’s survey revealed that the top five highest paying industries for apprenticeships are:  

Top apprenticeship salaries (Feb 2022)  

  1. IT – average salary of £25,401  
  1. Education – average salary of £22,117  
  1. Manufacturing/Surveying – average salary of £19,006  
  1. Medical/Pharmaceutical/Scientific – average salary of £18,800  
  1. Sales – average salary of £18,237  

Lee Biggins, CEO and founder of CV-Library commented: “This data provides clear evidence of the increasing popularity of apprenticeships. The breadth and diversity of roles on offer is attracting more candidates and the skills shortage in the UK job market is enticing employers to invest more heavily in these schemes. If businesses don’t want to get left behind, they need to embrace apprenticeships. Training future generations of professionals should be high on the agenda for employers.”   

Ken Brotherston, CEO of TALiNT Partners also commented: “It’s great to see this trend which is a reflection of the move from many employers to take a long-term approach to addressing skills shortages. The wide range of different roles and sectors that modern apprenticeships can offer is also great to see (although traditional roles as a plumber or electrician are still in high demand and paying more than ever, too). Let’s hope this is a trend that continues to grow.”  

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