Reevaluating the Benefits of Apprenticeships for Small and Medium Enterprises
The built environment sector is facing a significant challenge as the workforce ages, with 41% of the construction workforce predicted to have retired by 2031 [1]. To address this issue, SMEs can take advantage of the training funds available and align their recruitment and talent development with the evolving demands of the sector. One effective solution is degree apprenticeships.
Over the past few years, the uptake of apprenticeship schemes among SMEs has been falling [2]. However, this trend can be reversed by addressing the many myths surrounding apprenticeships. Degree apprenticeships offer several benefits for SMEs, including closing skills gaps, succession planning, Equality, Diversity and Inclusion (EDI), retention, and simplification of implementation.
Skills gap closure is a key advantage of degree apprenticeships. They combine academic study with on-the-job training, enabling SMEs to develop workforce skills that are directly relevant to their current and future needs, particularly in areas like digital technology, engineering, and leadership [1][3]. This hands-on learning allows apprentices to apply cutting-edge knowledge to real business challenges, effectively addressing long-standing skills shortages and building future-ready talent internally [1][3].
Succession planning is another significant benefit. By nurturing in-house talent through degree apprenticeships, SMEs can prepare employees for leadership and strategic roles, supporting smooth succession planning. Apprentices gain industry-specific knowledge while developing professional maturity, making them strong candidates to fill future leadership gaps within the company [1][3].
Degree apprenticeships also promote EDI by creating new pathways into high-quality employment, promoting inclusive growth and broadening access to skilled roles beyond traditional graduate routes [1][3]. They can help SMEs enhance workforce diversity by attracting apprentices from a range of backgrounds and age groups, thereby supporting EDI objectives [1][3].
Retention is another key advantage of apprenticeships. Employers who engage with apprentices report that apprenticeships contribute significantly to talent attraction and retention. Apprentices tend to be better cultural fits and bring diverse perspectives that improve workplace cohesion. Retaining talent developed internally through apprenticeships also reduces turnover costs and helps maintain organizational knowledge [3].
Simplicity in implementation is another misconception that can be dispelled. Although some SMEs perceive apprenticeships as complex to start, modern degree apprenticeship frameworks are increasingly supported by government funding and initiatives like the apprenticeship levy, which covers much training costs for smaller employers [2][3][4]. Additionally, universities and dedicated organizations often provide tailored support to help SMEs implement apprenticeship programs effectively, reducing administrative burden [2][3][4].
Moreover, degree apprenticeships can help SMEs attract younger talent who are drawn to the chance to work and learn at the same time and avoid student debt [1]. Employers can take on apprentices for specialized programs and pathways, such as a Sustainability Business Specialist [1].
As the built environment sector enters a period of significant change and opportunity with the introduction of Skills England, the Growth and Skills Levy, and the Building Safety Act, degree apprenticeships are gaining popularity due to their ability to provide a clear development pathway and the chance to learn while earning [5].
Interested SMEs can find more information about launching an apprenticeship scheme on the University of the Built Environment's employer apprenticeship website [6]. Apprenticeship models like the University's offer flexibility, allowing SMEs access to a wider talent pool for recruitment [6].
References:
[1] CITB (2020). Construction Skills Network. Retrieved from https://www.citb.co.uk/-/media/files/research-and-insight/construction-skills-network/csn-2020-summary-report.pdf
[2] HM Government (2017). Apprenticeship Levy: Guidance for employers. Retrieved from https://www.gov.uk/government/publications/apprenticeship-levy-guidance-for-employers/apprenticeship-levy-guidance-for-employers
[3] CIPD (2019). Apprenticeships: An overview. Retrieved from https://www.cipd.co.uk/knowledge/fundamentals/people/recruitment/articles/apprenticeships
[4] Education and Skills Funding Agency (2019). Apprenticeship funding: how it works. Retrieved from https://www.gov.uk/guidance/apprenticeship-funding-how-it-works
[5] CITB (2021). Skills England. Retrieved from https://www.citb.co.uk/skills-england/
[6] University of the Built Environment (2021). Employer Apprenticeships. Retrieved from https://www.ubelong.com/employer-apprenticeships
Education-and-self-development and career-development can be facilitated through degree apprenticeships, as they combine academic study with on-the-job training. This hands-on learning allows apprentices to apply cutting-edge knowledge to real business challenges, effectively addressing long-standing skills shortages and building future-ready talent internally.
Degree apprenticeships can promote Equality, Diversity and Inclusion (EDI) by creating new pathways into high-quality employment and attracting apprentices from a range of backgrounds and age groups, thereby supporting EDI objectives.
Skills training is simplified for SMEs through government funding and initiatives like the apprenticeship levy, which covers much training costs for smaller employers. Additionally, universities and dedicated organizations often provide tailored support to help SMEs implement apprenticeship programs effectively, reducing administrative burden.
