Apprenticeships Are Cost-Effective for You and Your Company
70% of businesses agree that apprenticeships are a crucial part of helping businesses recover from the impact of the pandemic. Removing that gap between studying and practising helps move people into employment quicker and helps businesses thrive with skilled employees. Depending on the size of your business, the government can help you cover the costs involved with hiring and training an apprentice and so not only are you getting workers in quicker, but you are also being compensated for it too.
A study looking into the impact of apprenticeships on the U.K. economy found that gaining an apprenticeship “raised an employee’s gross productivity by £214 per week on average”, with higher numbers for different sectors. In short, apprentices can be more productive in their workplace due to their highly specialised training, and this can bring in more profit for the company at large.
If you are taking on an inexperienced candidate for your apprenticeship, you could cut costs in terms of payroll output, as the national minimum wage for an apprentice is just £4.15. In addition to this, according to Oxford Economics, the average cost of employee turnover is around £25,000. £25,000 to recruit, find someone new, and train them to an acceptable level. With an apprentice, not only are you reducing your wage bill, but your current employees also won’t have to divert their attention to training a new member of staff, as the apprentice will be participating in external training.