Shared scheme creates new apprentice chances

4th June 2013

Highland Councillors are leading the way in Scotland in introducing a scheme which will help reverse the decline in apprenticeships.

Members of the Finance Housing and Resources Committee have agreed to contribute £30,000 towards the establishment of a new company which will create a pool of construction apprentices, who will work with multiple contractors over the duration of their apprenticeships. The scheme, to be administered by CITB Construction Skills, aims to encourage Highland construction companies to engage up to 20 apprentices per year at a time of uncertainty in the economy and reverse the trend of declining apprenticeships across the Highlands.

The Council’s involvement is seen as critical to the success of the scheme. The Council will incorporate a contractural clause on all relevant construction contracts valued at more than £100,000 for contractors to participate in the project.
The Committee agreed that the Council will participate in the Highland Shared Apprentice Scheme Ltd, including membership of the board of directors and will provide payroll and other back office support for the new company free of charge in the first year with a review after year one.

The £30,000 contribution is a one-off to assist with the creation of the company.

Committee Chairman Dave Fallows welcomed the report. The Council, he said, employed 24 apprentices through its direct labour organisation. However, there had been a decline in the private sector in the recruitment of apprentices since 2007. Between 2008-2012, 192 apprentices had been displaced and made redundant in the Highlands.

The Council had been in discussions with CITB Construction Skills, the Scottish Building Federation and some major local contractors to discuss ways of reversing the decline of apprenticeships in the Highlands.

He said: “Currently, the Council is the largest single procurer of construction services in the area. Contractors are very nervous of committing to employing apprentices in the current fragile state of the construction market. This proposal brings contractors together to create a range of flexible placements, allowing the apprentice to work for more than one contractor, enabling the young person to receive current training and experience over the length of their apprenticeship. The risk element of continuously employing the apprentice is taken away from the contractor.”

The proposal is to set up a new company, Highland Shared Apprentice Scheme Ltd to act as host agency (or employer) for a pool of apprenticeships. The new company will be supported by CITB Construction Skills, who have a strong track record of delivery in this field. There are various successful shared apprenticeship schemes operating in England and Eales, but none currently in Scotland.

Councillor Fallows added: ““This is an excellent scheme, which meets the aspirations of the Council in helping tackle youth unemployment and creating jobs for young people of the Highlands.”