A period of reflection is now needed

Apprenticeships, apprenticeships, apprenticeships — after three inquiries, incorporating a host of government recommendations, it’s time to take a breather, says David Way

Doug Richard’s report has been eagerly anticipated not least because its advice on the future of apprenticeships comes from the perspective of a businessman without the detailed knowledge or ‘baggage’ of an insider to the skills system — as the author himself acknowledges.

His independent review was intended to bring fresh insights and to propose some exciting possibilities for the future. It’s been generally welcomed, although a formal, considered response will come from government in the spring.

It picks up a number of themes already prevalent within current skills and apprenticeship policy aspirations, and resonates with recent speeches by ministers at conferences by the Confederation of British Industry (CBI) and the Association of Colleges (AoC).

These include ensuring employers are always centre stage and that apprenticeship standards are consistently high.

FE Minister Matthew Hancock has made it clear that high quality is as much a priority as growth in numbers. Expectations of apprenticeship quality and minimum duration have been made clearer – and more demanding – in the past year.

The review rightly says that we can go further to ensure that they demonstrate the degree of rigour that is vital for employer and individual confidence.

For example, we know that overseas experience shows independent end testing drives higher standards.

Mr Richard reminds us that for apprenticeships to help to fuel growth and support the economy, employers must be in the driving seat.

This echoes the important work of the UK Commission for Employment and Skills, the Department for Business Innovation and Skills (BIS) and the Department for Education in employer ownership pilots, and follows Jason Holt’s proposals to make apprenticeships more accessible to small and medium-sized enterprises.

We are continuing to work closely with Mr Holt, including offering a tailored service to businesses, streamlining the process of taking on apprentices and setting out clear standards for the service that we and apprenticeship training providers will give.

There is much in the Richard Review that will stimulate fresh thinking”

One of the most far-reaching recommendations relates to how we ensure that purchasing power rests more surely with the employer.

While there is much to consider in how this might be implemented, it would potentially help to make more transparent the scale and purpose of the government contribution.

I am always mindful of the message from employers that they want to be clear about future arrangements so that they can be confident in how they engage and invest — a message underlined at the recent CBI conference.

After Holt and the BIS Select Committee inquiry, Richard adds to a significant body of advice to government. We now need a period of reflection and discussion so that employers and apprentices can be confident of the future direction and the support that is available to them.

When Mr Hancock and I attended a recent celebration event for HSBC’s graduate apprentices, I was reminded that there is much that is good about apprenticeships, with more and more employers opening up or expanding programmes and with satisfaction levels high.

However, building confidence in apprenticeships and supporting the drive for skills that fuel economic growth means that we must constantly raise awareness and standards.

There is much in the Richard Review that will stimulate fresh thinking about apprenticeships. I look forward to discussions about how we can achieve real improvements, building on the very best of current apprenticeships.

David Way is the chief executive of the
National Apprenticeship Service

No new money for funding rate rise

The Skills Funding Agency (SFA) has told FE Week that despite more than doubling the funding rates for functional skills qualifications in English and maths when delivered in the workplace, they will not automatically increase provider allocations.

This comes after FE Minister Matthew Hancock announced the increase at AoC’s annual conference, branding it a “scandal” that many Britons “couldn’t read or add up properly”.

A spokesperson for the SFA said:  “Providers will be funded for all qualifications and programmes through their existing 16-18 Apprenticeship budget and single Adult Skills Budget.”

However, providers could renegotiate their 2012/13 allocation as part of the SFA quarterly review process.  The spokesperson said: “The Agency will review performance of providers against their maximum contract value, through its published performance management arrangements.”

When asked to estimate the cost of the rate increases, the Agency was unable to provide a figure: “The amount paid to providers for the total amount of these qualifications will depend on the choices made by learners and employers and how many enrol on courses covered by these rate changes,” said the spokesperson.

The SFA has confirmed that the rate increases range from £152 per qualification, as part of a 24-plus  apprenticeship, to a £411 rise per qualification for adults when not delivered within an apprenticeship.

FE Week estimates the rate increase could cost more than £30m for 16-18 apprenticeships, and more than £70m for adults.

Jayne Stigger, head of maths at Bournemouth and Poole College, responded to FE Week’s detailed calculations, tweeting: “Agree on the estimate. Question is, will it be cost effective?” A fellow tweeter, FE Funding Guru, posted: “Seems like a reasonable and possibly conservative estimate.”

Carol Taylor, director of development and research at NIACE, said as “early and enthusiastic” supporters of the functional skills rate increase, it “welcomed” the news.

“Indeed, for those learners on apprenticeships and work-related courses, raising the rate by more than 100 per cent is very good news for very many learners,” she said.

However, with the funding rate increase only applying to workplace learners, she added:  “NIACE urges the Minister to consider how we utilise funding to up-skill those learners, often doing something to improve their English and maths for the first time. Those with the poorest skills often need a longer time to achieve and more innovative ways of teaching.”

‘Crazy’ early deadline for ILR returns

College data staff have reacted angrily to a consultation that will consider if 2012/13 Individual Learner Records (ILR) should be returned seven weeks earlier than planned.

The Information Authority (IA) said there was a “very strong case” for all 2012/13 ILR data, used to ensure public money is spent in line with government targets, to be submitted by September 27.

The Department for Business, Innovation and Skills (BIS) needed “timely full year data” for the previous teaching year in October to make its case for funding, the authority said.

93 per cent of 100 respondents said they did not agree with the proposed date change.”

But college staff have labelled the move as “outrageous”, “madness” and “crazy” with one saying: “they [BIS] don’t have a clue what goes on in colleges”.

College data specialists conducted an online survey on behalf of FE Week with 93 per cent of 100 respondents saying they did not agree with the proposed date change.

One said: “We have had significant problems with certain awarding bodies this year (not all of them) and do so every year. If they can supply achievement data in a timely manner, that’s fine, but I doubt they will do so, given bitter experience.”

Another said that colleges were at their “busiest time” with enrolments and anyone completing ILR data needed to be properly trained or the data would be “shonky”.

“Have the people making this proposal ever been to a college?” he said.

September was when whole college activity “should be focused on ensuring new students received a positive induction”, said another, while one respondent  suggested a “staggered approach” for ILR returns.

The Association of Colleges (AoC) reacted cautiously, saying that there was a “risk” that a contracted return time could “lead to more instances of inaccurate data”.

Assistant chief executive Julian Gravatt said: “The ILR contains as many as 300 million pieces of data and is invaluable, yet extremely complicated. It is essential that it is as accurate as possible.

“AoC will attend the board meeting of the Information Authority in December and will make sure these issues are raised.”

But he added that the consultation lent a “good chance to work out whether colleges can efficiently make earlier returns.

“Colleges often need to take on extra staff in September to cover the workload. It has also been suggested that awarding bodies and government agencies would need to respond more quickly than they already do.”

The IA said: “The data will help the department demonstrate the effectiveness of the sector and its value to the economy. Currently, the funding negotiations take place before the final ILR dataset is available.

“We believe it is something that the sector should support, because it will help to secure funding for the sector.

“We want to gather views from the sector on what the main barriers are and what can be done to help enable an earlier collection date.”

IA’s consultation closes on Monday December 3, and responses can be made here: http://www.surveymonkey.com/s/R15

A decision is expected to be made at the IA board meeting on December 12.

Independent assessment is key

Ann Watson on why EAL backs the Richard Review’s proposal to use tax breaks to encourage employers to take on apprentices 

Certain issues surrounding apprenticeships are brought up time and again by government, employers, training providers, awarding organisations and apprentices themselves.

The Richard Review is the latest to highlight the benefits of the vocational pathway and the need for rigorous, high quality training equal to a university education.

One of the review’s key recommendations is the use of National Insurance or tax breaks to encourage employers, who may not have considered the option, to take on apprentices.

It’s an idea that EAL has backed before. Such a policy would especially help small and medium-sized enterprises.

However, all businesses should be encouraged to provide alternative opportunities for young people.

This is especially significant in times of high unemployment, when more graduates are chasing fewer employment opportunities and when the rising cost of university education leaves more graduates with record debt.

Government support through tax incentives would send a strong signal to employers, schools, students and parents that an apprenticeship is an equally valuable choice to a degree. As Richard states, it is “inappropriate for it to be viewed as a lower-status alternative”.

Apprenticeship numbers are at record levels so we must ensure that quality is maintained.

Using an apprenticeship funding system pegged to the tax system would hopefully help to ensure rigorous, quality training is being funded centrally, thereby protecting and enhancing the apprenticeships brand.

Independent assessment is also key.

Apprenticeship numbers are at record levels so we must ensure that quality is maintained”

Awarding organisations such as EAL provide a vital role in the accreditation and recognition of industry qualifications and standards, ensuring apprentices gain awards that employers can rely on.

We have consistently advocated the importance of independent assessment — we are the only specialist awarding organisation to employ full-time technical specialists as external verifiers to support employers and learning providers to uphold standards.

It is innovative approaches such as this that ensure standards are at the heart of every apprenticeship and that employers can trust that their new workers are competent.

Combining high quality training with rigorous independent assessment alongside the right incentives for businesses will lead to greater opportunities for young people to access a highly skilled, fulfilling career.

Employers should be at the heart of this, investing in apprenticeships that they can rely on, but government should also contribute to the cost in a simple, accessible way that does not discourage small and medium sized enterprises from participating.

Apprenticeships are vital for bringing down the numbers of young people who are not in education, employment or training, as well as meeting skills gaps in sectors such as manufacturing and engineering that are central to economic recovery.

Businesses of all sizes need to be encouraged and helped to participate, and perceptions of apprenticeships need to change among teachers, careers advisers, parents and young people themselves.

The recommendations made in the Richard Review are a step in this direction.

Ann Watson is the managing director of EAL
(Excellence, Achievement and Learning),
the specialist awarding organisation
for industry qualifications

Ofsted’s clear message for FE

Strong leadership at every level is critical if England wants to have a world-class education and skills system, says Matthew Coffey, national director of learning and skills at Ofsted.

There is no doubt there is a great deal of good and outstanding provision in the learning and skills sector, but much work and improvement are still needed, especially in FE colleges.

While the overall effectiveness of all learning and skills providers has improved slightly over the past three years, the proportion of colleges judged inadequate or satisfactory is the highest that it has been. In fact, 35 per cent of colleges are now less than good compared with 30 per cent at the end of 2010.

This means 1.5 million learners are attending providers judged to be less than good, compared with 1.3 million last year – that’s about another 200,000 learners.

Ofsted’s annual report highlights the weak leadership and governance in providers that have declined since their last inspection.”

Last year, we judged four colleges to be inadequate; this year there were 13. And those 13 are serving more than 82,000 learners. This is not acceptable.

So why are so many learners in FE provision that is less than good?

Ofsted’s annual report highlights the weak leadership and governance in providers that have declined since their last inspection.

Conversely, all the providers that had improved to outstanding overall had particularly effective leadership that focused clearly on improving teaching and learning.

Chief inspector Sir Michael Wilshaw focused on leadership because, as he said, “leaders change things. Leaders move things on. Leaders determine the culture and ethos of the institution.”

Rising unemployment and slow economic growth present the learning and skills sector with enormous challenges, especially when supporting learners at what is, for many of them, a pivotal time in their life.

It is therefore critical that providers offer courses and qualifications that ensure their learners have a greater chance of progressing to further training or employment. Leaders therefore need to focus on the usefulness and not the quantity of qualifications.

Current incentives largely ignore the progress made by learners and the value post-16 education adds. Funding clearly needs to change.

But my lasting memory of the German visit is the simplicity of the post-16 education system. There are lessons for us to learn.”

We have all heard a great deal about “the German system” and particularly their approach to apprenticeships. Sir Michael and I visited a few weeks ago to see for ourselves. Youth unemployment in Germany is one of the lowest in the EU and has been continually declining.

Apprenticeships have a high profile and are the main route to post-compulsory education and training for the 70 per cent of school-leavers who do not enter higher education.

In the UK, just 7 per cent of young people aged 16 to 18 participated in apprenticeships in 2011.

Information and guidance is well-established, whereas a recent Ofsted survey found careers’ guidance on apprenticeships in England to be weak. We aren’t Germany, and as Doug Richard commented recently, we can’t simply adopt a system from one country to another.

But my lasting memory of the German visit is the simplicity of the post-16 education system. There are lessons for us to learn.

Improving young people’s skills in English and maths is one of the many challenges for the learning and skills sector as a whole, especially when considering nearly 80 per cent of those who leave school at 16 without achieving a grade C or above in these subjects at GCSE still have not achieved this standard by 19.

We have therefore highlighted the need for more teachers with the specialist expertise required to support these learners.

We know there are many good, outstanding and sometimes genuinely world-class providers in the sector. I attended a FE college. My youngest daughter attends one now and I have inspected many of them over the past 10 years.

We know that qualification success rates are generally high. However, we do not know the extent to which these qualifications enhance their careers or support them in gaining employment or progressing to further education and training. We therefore need to broaden the systems we all use to measure the true outcomes for learners.

Matthew Coffey is the national director, learning and skills, at Ofsted

Apprenticeship tax breaks welcomed

Business leaders and union bosses have united behind an “all-or-nothing” review of apprenticeships that has called for workplace tax breaks.

Doug Richard’s review of apprenticeships was published on November 27 with proposals for a revamp of the way courses were paid for at its “heart”.

The former Dragons’ Den investor said he wanted a closer relationship between employers and providers, and called for employers to pay providers directly for apprenticeship training. Tax credits, or other forms of government incentives, should then be dished out to employers as the government paid its part for training.

The Confederation of British Industry (CBI) and the University and College Union (UCU) welcomed the recommendation.

Businesses will welcome the idea of a skills tax credit”

Neil Carberry, the CBI’s director for employment and skills policy, said: “It’s rightly recognised that we need a simple, accessible funding system, and businesses will welcome the idea of a skills tax credit.”

Sally Hunt, UCU’s general secretary, said: “We have long called for stronger employer incentives to train and believe the proposal for government funding for apprenticeships to be routed through the National Insurance or tax system would get more employers on board.”

However, the Institute for Learning (IfL) and the Association of Colleges (AoC) were more cautious.

Toni Fazaeli, IfL chief executive, said: “Assessors have told us that cash incentives on offer, particularly for small businesses, are not effective, so we are interested in Mr Richard’s recommendation that incentives should be offered through the tax system instead.”

Teresa Frith, AoC skills policy manager, said that it was keen that colleges were brought closer to both apprentices and employers. “Our experience suggests that the stronger the direct relationships, the better the experience for all. However, there is little clarity on how this relationship will be managed or formed.

“We believe there may well be some significant challenges for all stakeholders when it comes to implementation, particularly when considering the proposed funding route.”

Lynne Sedgmore, executive director of the 157 Group, said that it supported the call for stronger employer involvement.

Mr Richard told FE Week that his proposals were not “a laundry list” from which the government could pick the elements that it wanted.

John Walker, national chair of the Federation of Small Businesses, said it was “particularly pleased” that the review identified the need for a clear definition of an apprenticeship. This would improve the brand image and give a clearer perception of what the apprentice and employer would get.

David Hughes, chief executive of the National Institute of Adult Continuing Education, also welcomed the report, but was critical of its “lack of emphasis” on the role that apprentices could play in shaping their curriculum.

Christine Blower, general secretary of the National Union of Teachers, said: “For too long apprenticeships have not been valued enough in society. Young people deserve the recognition that this route to employment is worthwhile and just as credible as gaining a degree from a university.”

Doug Richard’s recommendations

  1. Apprenticeships should be redefined
  2. The focus of apprenticeships should be on outcome
  3. The government should set up a contest for the best qualification
  4. The testing and validation process should be independent and genuinely respected by industry
  5. All apprentices should have achieved level two in English and maths before they can complete their apprenticeship
  6. The government should encourage diversity and innovation in delivering apprenticeships
  7. The government has a role in promoting good quality delivery
  8. Government funding must create the right incentives for apprenticeship training
  9. Learners and employers need access to good quality information
  10. Government must actively boost awareness of the new apprenticeship model

Ofsted accused of moving goalposts

Ofsted has been accused of “moving the goalposts” for colleges following a damning annual report that pointed to a threefold increase in the number of colleges judged inadequate.

Association of Colleges (AoC) chief executive Martin Doel hit out at the education watchdog after its report highlighted how 13 colleges received the lowest possible grading in 2011/12, compared with four the previous year and how, for the second year running, no college achieved an outstanding grade for teaching and learning.

Ofsted further questioned college governance, monitoring of apprenticeships, the “relatively small” growth in the number of apprenticeships among under-19s and said there was a “real danger” that increased subcontracting would dilute quality.

But Mr Doel said that colleges had been doing what government asked of them and questioned the “transparency” of the new inspection regime — brought in from September — and the “relevant experience” of inspectors.

“If the goalposts are being shifted by Ofsted, we at least need to know the rules of the new game.”

“The annual report no longer represents a state-of-the-nation view of provision, but rather a snapshot of inspections that are now triggered by a risk-based approach. By definition this is skewed towards more negative results,” he said.

But he admitted that, “without doubt”, the report included difficult messages for the sector.

“Every AoC college is committed to doing the best that it can for its students and is committed to achieving continuous improvement,” added Mr Doel.

“Colleges are delivering what government has asked of them and we are interested to discuss how college performance might be better reflected in a wider basket of measures.

“But if the goalposts are being shifted by Ofsted, we at least need to know the rules of the new game. A fair and transparent inspection regime makes an important contribution to this process.”

He further said that there was too little data in inspection reports to provide this transparency or the information required by colleges, parents, employers and potential students.

“We have further concerns about the relevant experience of some Ofsted inspectors and that the inspections do not give a true reflection of the whole of a college’s provision,” he said.

The wider Ofsted annual report was based on the findings of nearly 25,000 inspections of early years and childcare, schools, colleges and adult learning and skills.

It said that schools were improving, with year-on-year rises in the proportion of those rated good or better.

In the learning and skills sector, 70 colleges were inspected, with 63 adult and community learning providers and 128 independent learning providers.

“Overall, the quality of provision in the learning and skills sector is not improving,” said the report.

“Almost 1.5 million learners are being supported by providers who are not yet good and some colleges have now been satisfactory for over 10 years.”

Chief inspector Sir Michael Wilshaw called on the government to “shine a spotlight” on the FE sector, branding it a “real concern”.

An Ofsted spokesperson defended the revamped inspection reports, saying they were more “user-friendly,” containing bullet points rather than lengthy pieces of text, declined to comment on the AoC statement.

 

Work Programme needs to focus on the right skills

A leading adult learning charity has said a £435 million government programme introduced 18 months ago to get the long-term unemployed back into work has failed to train people in the skills they need to get a job.

The Work Programme has been attacked after official figures revealed that just one in 28 unemployed people referred to the scheme had found a job that continued for six months.

The National Institute of Adult Continuing Education (NIACE) called for participants to be assessed on entry to the programme and particularly criticised its failure to recognise that some needed to be taught basic English and maths.

David Cameron defended the flagship scheme in Parliament, describing it as “the right programme”.

The Prime Minister said: “It is worth remembering that the Work Programme is dealing with the hardest to-work cases there are in our country. These are people, adults, who have been out of work for over a year and young people who have been out of work for over nine months.”

At the very least there needs to be training for those who lack skills in English and maths”

NIACE chief executive David Hughes said the figures were disappointing. “We know from our own development work around this issue that far too many Work Programme providers are simply not providing the skills’ training needed for clients to make the journey into sustained and secure employment,” he said.

“We know that there are not enough jobs at present. However, that makes it even more important to provide skills training for people now so that they have the skills they, and the economy, will need in the future.

“At the very least there needs to be training for those who lack skills in English and maths, as these can be huge barriers to work. We also believe that there needs to be, for those who have good English and maths skills, sector specific training.”

The charity said inconsistent provision of English, maths and language training between providers was a problem.

“Some prime providers have elected to address English and maths skills’ needs in some parts of the contract package areas, but many haven’t,” said a spokesperson. “Sometimes, even where provision exists in one part of a contract package area, in other parts it does not.”

NIACE added that it was important to hear from Work Programme participants.

In December the organisation will publish a guide for Work Programme providers on how to give more structured skills support and advice on securing Skills Funding Agency cash.

The Association of Colleges said people were being let down by the scheme.

Teresa Frith, AoC skills policy manager, said: “The statistics show that it’s difficult to move people from long-term unemployment into sustainable work. The Department of Work and Pensions decided in 2010 to run the Work Programme with large national contracts, some of which were given to big companies with a limited track record. It may be time for a rethink.”

Government urged to ‘shine spotlight’ on further education, says Ofsted annual report

The government has been urged to “shine a spotlight” on the further education sector following a damning Ofsted annual report that has pointed to a threefold increase in the number of inadequate colleges. Click here to download the report.

It said 13 colleges received the grading in 2011/12, compared to four the previous year.

It further pointed out how, for the second year running, Ofsted did not judge a single college to be outstanding for teaching and learning.

“In the weakest providers, too much emphasis was placed on attracting young people to popular, often low-level, courses that were of little value to employers,” said the report.

“Meanwhile, the success rates in the teaching of functional literacy and numeracy skills, fundamental to the needs of students and employers, are too low.

“There has been too much of a focus on expansion at the expense of improving the quality of provision.”

The government now needs to shine as much of a spotlight on this sector as it has done on schools.”

It added: “The learning and skills sector needs re-orientating towards a moral determination to provide high quality and relevant provision, which should include reputable apprenticeship opportunities for young people.”

Following the release of his first annual Ofsted report as Her Majesty’s Chief Inspector of Education, Children’s Services and Skills, Sir Michael Wilshaw, said: “The further education sector is a real concern for me at a time when the nation needs skilled and qualified people entering the workforce more than ever before.

“It is vital that the sector responds with high quality provision designed to tackle the urgent issue of youth unemployment.

“The government now needs to shine as  much of a spotlight on this sector as it has done on schools.

“Schools have seen their increased freedoms balanced by a strong accountability system and action on failure. The same should be true for colleges.”

The wider report was based on the findings of nearly 25,000 inspections of early years and childcare, schools, colleges and adult learning and skills.

It said schools were improving, with year-on-year rises in the proportion of those rated good or better.

In the learning and skills sector, among others, 70 colleges were inspected, along with 63 adult and community learning providers and 128 independent learning providers.

“Overall, the quality of provision in the learning and skills sector is not improving,” said the report.

“Almost 1.5 million learners are being supported by providers who are not yet good and some colleges have now been satisfactory for over 10 years.

“For general further education colleges, the overall picture of inspection results has worsened over the past year.”

The report further questioned college governance, monitoring of apprenticeships, the “relatively small” growth in the number of apprenticeships among under 19s and said there was a “real danger that increased subcontracting will dilute quality in the learning and skills sector”.

It added: “The 261 providers that were inspected accounted for about 866,460 learners in the sector. Of these, around 380,700 were t providers judged to be either satisfactory or inadequate. This is a significant concern.”

For more comment and analysis, see the next edition of FE Week