Select Committee on Education and Skills Minutes of Evidence


Memorandum submitted by the English Regional Development Agencies

REGIONAL DEVELOPMENT AGENCIES

1.   Introduction

  England's nine Regional Development Agencies (RDAs) were set up eight years ago to promote economic prosperity throughout the UK. The overall mission is to make sustainable improvements in the economic performance of all English regions. To this end, each RDA leads the development of a Regional Economic Strategy (RES) along with a wide range of regional partners, including local businesses, government, universities, community and volunteer groups. Since their foundation, RDAs have created (or safeguarded) nearly 800,000 jobs; aided the creation of around 60,000 new businesses; and brought over 12,000 hectares of brownfield land to life. RDAs have also brought some £8 billion of private sector funding into regional development.

2.   Regional context

  RDAs are responsible for working with partners and employers to grow the regional economy—by promoting employment, business growth and competitiveness and by enhancing the development and application of skills. The newly revised Regional Economic Strategies provide a clear vision to transforming regional economies through building on assets and tackling areas of underperformance. The RES is based on both sound evidence and consultation with regional employers, sectors, funders, providers and agencies. It has a clear focus on increasing GVA and diminishing the differential in GVA between and within regions.

  The difference in economic growth and productivity in each region is related, to a large extent, to the number of people in employment and the productivity of the labour force and its sectors. In order to reduce the gap in GVA, regions need to improve total productivity and get more people into employment. RDAs are fundamental in driving this forward, encouraging innovation and enterprise through their business support role, and with it the need for higher-level skills. There is a strong economic case for considering business and skills together as the drivers of productivity. The implementation of Leitch and delivery of the stretching targets therefore have to be seen within the wider productivity agenda.

  This means working with companies to invest in innovation and sustainable production alongside developing the managers and leaders, and investing in individuals to develop higher-level skills.

  RDAs work effectively with sectors and clusters, and recognise their value as both growth sectors and high employment sectors. RDAs are working hard to ensure that the articulation of the skills needs from these sectors and the work of the Sector Skills Councils are brought together more effectively.

  Increasing economic activity rates and ensuring that the region's workforce can support a rapidly changing economy will require regular re-skilling, up-skilling at all skills levels and providing the opportunity to work to all that are willing. The development of these skills is cumulative, and therefore the impact can be seen over time, not as a quick fix.

3.   Where the regional tier adds value

  The Leitch review seeks to create a skills system that meets the need of individuals and employers. Employer investment in skills or recruitment of staff occurs as a result of a desire for improved business performance, with skills and employment being examples of derived demand. Given the derived nature of skills demand, it will be essential to engage businesses and harness business support and enterprise services in order to drive up employer demand for skills. RDAs are in a strong position to respond to the Leitch challenge by raising demand for skills and to spur the creation of a demand-led skills system.

  RDAs are already working with supply and demand side organisations within each region. Major progress has been made and each region now has:

    —  A clear statement of skills priorities, based on detailed knowledge of business demand and aligned to economic priorities set out in the RES.

    —  An integrated approach to business support and skills brokerage through management of Business Links.

    —  Local/ sub-regional priority setting where economic boundaries show this is appropriate and cities or sub-regions have the capacity to do so. (eg city skills and employment strategies / boards)

  Developing plans for skills provision, linked to employment and business support, should continue to be based on regional priorities:

  RDAs can ensure skills can be linked into the competitiveness agendas, in a way no other body is able to do. As a result the collective impact on productivity is maximized. Working at the regional level:

    —  The evidence base is sufficiently robust to allow hard choices to be made.

    —  It is an appropriate level at which to share best practice, generate synergies, and with this, commission activity to benefit regional productivity.

    —  It is also the best level to prioritise investment, align funding and allocate grants to ensure greatest impact and lack of duplication.

    —  There are existing partnership arrangements which enable the strategic direction and delivery of skills priorities. These recognize there is a regional labour market which needs to be addressed, and also make links to local, sub-regional and city region labour markets.

    —  The regions have been recognised with the decision-making and distribution of European funding.

    —  There is a proven track record in terms of delivery.

  RDAs operate regionally but can ensure that local and sub-regional action to address specific labour markets are linked to regional economic priorities and are not operating in isolation. They can also ensure that wider travel-to-work areas are taken into account. Nobody else is in a position to do this.

4.   Regional strategic framework

  At the present time, Regional Skills Partnerships provide a platform for the skills priorities for the region identified from the RES, driven forward by a range of delivery partners. Regional Skills Partnerships are not separate entities, they are genuine partnerships made up of all the key partners. In looking forward, these could be enhanced further in a number of ways.

  There is a clear need for a partnership approach, led by the RDAs, to work across the full range of the skills agenda—drawing together the interests of employers, individual learners, training providers and funders, local authorities and other key organisations.

  Each region should have the flexibility and accountability to decide how best to ensure its skills priorities are met. Consideration should be given as to involvement of the newly formed Regional LSC Councils, which are presently being defined and will perform a specific role and function.

  The regional level should not duplicate what happens at a sub regional or City Region level, but should ensure connectivity between these, and the RES. The region also needs to provide connectivity to the national lead and drivers.

5.   Sub regional and local level delivery

  In order to ensure a market driven approach, delivery and engagement is best done at the most appropriate spatial and economic level, determined by local labour market and employer demand. Already, "local areas", Cities, City Regions and potential "Multi Areas" have articulated their skills and employment needs around retention and recruitment, based on the needs of their employers and individuals within the locality.

  A number of Employment and Skills Boards are already being set up to respond to the priorities for that locality and to ensure that partners are clear what needs to be delivered. They are responding to the market and to economic need. A clear set of deliverables should be achieved, based on the area they serve and the overarching contribution they make to the regional economy.

  However, they should not be seen as governance structures. The National Commission in setting up its network of Employment and Skills Boards, needs to ensure it does not either duplicate these, or proliferate a series of Boards at a spatial level which does not properly represent the natural labour market, or increase bureaucracy through licensing.

  There needs to be coherence and synergies between these, and a feeding back of intelligence into the regional level to ensure overall impact on the regional economy.

QUESTIONS AND ANSWERS

6.   What should we take from the Leitch Report on UK skills gaps? What are the demographic issues which need to be taken into account in skills policy?

  In general terms, RDAs welcome the key features identified in the proposal document and in particular the strong response to Leitch in raising adult skill levels. We have provided comments on the Leitch Report through various fora and, very recently, on the latest draft of the Leitch Implementation Plan. Our key recommendations to the drafting team are to ensure that the plan reflects the need to upskill at all levels, and for businesses to make effective use of skills, if productivity is to improve. The demand for skills is derived from the needs of business and the economy. People need to be in jobs that use their skills effectively if productivity is to improve. We need to generate employer demand for skills, and provide them with support and advice on how to change their business strategy and work organization to make best use of these skills.

  RDAs see there being a number of essential elements that form an integral part of a successful implementation plan for Leitch. These include:

    —  Employer engagement (in widest sense from awareness through to full buy in—culture change).

    —  Excellent shared understanding of the market (ie employer needs, the drivers behind these and supply response).

    —  Responsive, effective demand led skills system (again culture change).

    —  Excellent relevant advice and brokerage—for employers and individuals (adults and young people).

    —  Public funding focused on highest priorities/areas of greatest market failure.

    —  Appropriate measures of success.

    —  Robust, flexible partnerships at national, regional and local levels.

  The Leitch Report provides a national picture of the UK skill needs, but does not look at a sub-national level. Hence there is a risk that the impact of demographic changes, which vary across regions and areas of the country, will be misunderstood and result in policy errors. We suggest as a starting point the differential impact of demographic changes across the country is mapped and due consideration given to how these affects different spatial levels.

  It is also necessary to recognize the importance of Leitch in pulling together all the 14-19 developments with wider skills issues and this reinforces the need to have employers engaged at all levels. The whole process should focus on producing a seamless progression in terms of promoting skills for employment from school, into work-based provision, FE HE and into the workplace.

  The Leitch Report recognises that most of the people that will constitute the workforce in 2020 are already in employment. The Leitch report also identifies that the workforce will need to update their skills as the economy changes. Hence there is a mismatch between the government emphasis on skills investment in young people and the needs of the existing and ageing workforce. Further implications are as follows:

    —  Where demographic trends will lead to reductions the number of young people entering the workforce, skills requirements will need to be met increasingly from the existing (adult) workforce.

    —  It will be important for vocational and academic qualifications to develop individuals' employability, both by qualification design and delivery responding to employer need and by developing broader generic employability skills and experience in the learners.

    —  Many current and former workers will need to retrain to take up job opportunities as part of the ongoing economic restructuring in the regions. The focus needs to be on the current workforce and on upskilling as well as retraining. Current interventions and targets will not achieve the step change needed to be globally competitive in 2010.

7.   Are the measures that we have available to assess the success of skills strategy robust?

  We recognize the need to apply performance measures that are at the same time appropriate and tangible. However, in our view the measures currently used to assess the skills strategy are relatively crude and not totally appropriate—in particular they focus on the supply side and use qualification based as proxy for skills development. This needs to be balanced by demand side indicators, eg employer demand for/investment in skills. We need to progress both the supply and demand side if we are going to achieve the tripartite model visioned in the Skills Strategy.

  There is a need to measure the impact of the Skills Strategy on improving wider economic performance, with intermediate measures reflecting the extent to which firms are adopting higher value-added production strategies, and improved take up and use of skills eg increases in the numbers of jobs that use higher level skills and increased employer investment in skills.

  Consideration needs to be given to how the system might be made more effective and sophisticated, without making it overly complex. Care need to be given in selecting measures to avoid elevating a statistic to indicator/performance measure status, as this can lead/distort actions and behaviours which render it inappropriate for its chosen purpose.

  We endorse the value of qualifications as a universal measure for achievement against level indicators and competencies. The emerging qualifications framework will still be the best benchmark against which employees can be judged.

NATIONAL POLICY/ISSUES

8.   Are the Government's priorities for skills broadly correct—for example, the focus on first "level 2" qualifications?

  A full appropriate Level 2 should be the minimum aim of any national skills strategy if we are to achieve the step change in productivity. However, in specific sectors additional Level 3 targets are critical to ensure that the appropriate intermediate skills levels are achieved. Some flexibility in funding is, in our view, needed to support the attainment of these priority skills.

  The first full Level 2 is also an appropriate priority in terms of supporting the employability of individuals. However, in our view what is funded is too rigidly tied to full qualifications and the restriction in terms of first full Level 2 ie with the changing economic climate the individual who needs to retrain at Level 2 will not be able to do so at the public expense with subsequent impact on their employability There is a significant challenge implicit in the demand led system where the public purse will only support very specific predetermined priorities. Leitch places its focus on the utilisation of public funding on basic/lower level skills with the aim to achieving the "pull through" to intermediate/higher level skills development via funding from other sources (including some public sector—first Level 3, for example)—but with the level of public funding tapering off as the benefit to individual/employer increases. The failure to expand the Level 3 offer and absence of support for vocational provision at Level 4 is a significant constraint on the future productivity of businesses. This, together with the suggestion that learners must commit to full qualifications to receive public support, is likely to limit individual choice and the available provision, as providers mitigate further risk through the pursuit of mainstream funding.

9.   How do other targets, such as the "50% into HE" fit with the wider skills agenda?

  This target needs to be considered alongside the Leitch recommendation that 40% of adults qualified to Level 4 (the 50% target is for 18-30-year-olds). In addition, we recommend:

    —  more sophisticating targeting to link to the Government's aspiration to strengthen the vocational route into HE: It is worth noting that in its current PSA consultation DfES are proposing an emphasis on Level 4+ science qualifications under the skills PSA, and capturing post 16 participation in physical sciences under the increasing educational attainment PSA; and

    —  targeting particular subject areas to incentivise skills development in relation to economically important subjects. GCSE targets, for example, Maths, English and Sciences are very important.

  It is arguable (given the detailed international analysis contained in the Leitch Report and the demography of the UK) that the 50% into HE target should be redefined as 50% of post-19 citizens available for employment should be engaged in HE or higher level skills development.

10.   What is the extent of joined-up working between Government departments, particularly, the DfES and the Department for Work and Pensions?

  We welcome Leitch's proposal to bring skills and employment much closer together through a universal IAG service, New Deal for Skills and closely aligned JCP and LSC provider networks and services. This alignment is vital if we are going to get more of the economically inactive back to work through skills training.

  In our experience there are excellent examples of collaboration between Government Departments, between Departments and other partners, national and regional. These include examples of LSC and JCP working together to develop a Regional Skills and Jobs Plan, the new Skills for Jobs initiative and regional single approved JCP/LSC providers list. There have however, also been inconsistencies in the way different departments collaborate regarding "skills" policies at the regional level—eg DWP and DEFRA continue to pursue policies that do not appear to join up with other departmental approaches; by contrast there are also some tensions (still) between DfES and DWP in relation to skills and workless agendas. The inflexibility of JCP budgets and schemes can also impede progress.

11.   Do current funding structures support a more responsive skills training system? How could they be improved?

  In our view, no. The activities of a host of agencies operating in each region, including the LSC and JCP, are directed by national funding and targets rather than regional priorities. This results in a fragmented regional target framework that acts as a disincentive to collaboration to achieve regional economic aims, which limits the success of Government achieving the Regional Economic Performance 2 Target—ie to reduce the gap in economic growth rates between the regions. The current funding structures are geared to deliver national PSA targets on full qualification achievements rather than responding to the needs of individual learners and employers.

  Rolling this down to the delivery level, most FE colleges are highly reliant on LSC funding, and therefore are primarily focused on achieving LSC set targets that relate to qualification achievements. Public funding for colleges does not extend to supporting responsive delivery if it does not lead to a full qualification. Research shows that the majority of employers do not want to embark on long term skills programmes such as NVQ frameworks. FE providers offer a limited range of CPD/short courses to business and delivery fragmented. Despite employers asking for this kind of provision at all skills levels, the FE sector maintains focus on full qualifications up to Level 2.

  We support the new approach proposed through Train to Gain. The funding system is based on employer demand "triggering" a pull down of funding to support delivery of the skills programme agreed with the employer. This is a major step forward.

  We recommend that a proportion of Train to Gain programme funds are ring-fenced to support business-driven skills provision eg short courses, CPD and leadership and management, bite size qualifications. This, and the national roll out of the Level 3 and 4 Train to Gain pilots to provide a full skills offer employers will really value.

  This would really help gain the confidence of employers in publicly supported skills programmes, and lead to their participation in apprenticeships and full qualifications in the long run.

  The LSC are in the process of implementing new funding processes for the FE System that are linked to college business planning where colleges/providers can reflect the local demand for skills where this has been expressed through dialogue with businesses. It is perhaps not the funding system but the economics of running course in colleges that create inflexibilities, while delivery in the workplace can increase flexibilities.

  Government should require national bodies to set plans based on regional economic priorities, rather than seeking to fit regional activity into previously set national targets. This will ensure that national plans and investment decisions reflect the economic needs of the regions and therefore its national economy, rather than economic development activity having to be massaged to fit nationally set targets or programmes. This is particularly important for skills.

  Leitch made no explicit mention of the regional interface and regional economic demand. Leitch's proposals for a new Commission for Employment and Skills need to be flexible in order to take account of regional and local circumstances. The initial Regional Funding Allocations exercise has been a good starting point in joining up economic development, housing and transport funding; but it has excluded skills funding which is needed to deliver enhanced economic performance.

12.   Is the balance between the public, employers' and individuals' contribution to learning appropriate?

  The principle is right. The challenge now is to develop a more robust learning culture in the UK. We need to promote the benefits of investing in skills development to employers. The current approach is too "broad brush", leaving individuals and companies with real skills needs unable to access public funds. Funding formulae should link to the needs of employers as articulated through the SSAs.

  Perhaps tax relief for individuals and businesses investing in training should be explored or schemes piloted. The introduction of the new Learning Accounts will help in this respect.

  RDAs should retain the option to fund skills development outside of Government targets to help to meet economic skills needs and stimulate local markets.

SUPPLY SIDE

13.   Is there a case for a less regulated supply-side system with fewer intermediary agencies and bodies? What are the potential risks and benefits of such an approach?

  Yes, we need to merge functions and processes into fewer bodies with clear accountability. The key intermediary bodies should be Train to Gain (businesses) and IAG (individual) services to streamline access into provision—these should be heavily promoted. Management information from these services should inform provision (only happening in part in relation to Train to Gain). In this way the supply side could be market driven and possibly would need less regulation.

  Potential benefits include:

    —  skills development addressing local economic need (if delivered at the regional level);

    —  clarity of purpose;

    —  (longer term) efficiency savings.

  There are risks, but we believe these can be managed. They include:

    —  Inability to generate management information of the quality required to support system—it would have to be reliable, accurate and timely.

    —  Confusion to customers as result of restructuring.

    —  Short term inefficiencies/discontinuities from associated retraining, redeployment, possibly redundancies.

14.   What do national and regional agencies currently do well? How are bodies such as the Regional Skills Partnerships working?

  RDAs have clear role in bringing together partners to agree a common vision for their region through the RES. RDAs, through RES's, are unique in promoting a long term view of people and skills in the context of the wider economy and social framework.

  Supporting this, mechanisms such as RES implementation plans have been developed with all key partners to identify how they will assist in delivering the RES. RDAs should work with the new National Commission for Employment and Skills and the Local Boards to ensure grounding with the RES and RSPs. RDA involvement in business support, and increasingly innovation, puts us in an ideal position to drive up employer demand for skills. The integration of skills brokerage with other business support facilitates this. In regions where the RDA is responsible for delivering a combined brokerage service (ie Train to Gain and wider business support) there is the greatest potential to join up brokerage services into a coherent whole.

  In turn, RSPs are supporting regionally agreed priorities, and aligning plans and funding to address those priorities. This joint planning and working ensures appropriate targeting of funding and reduces duplication. RSP working is characterized by goodwill and common commitment.

  The introduction of a regional tier in the LSC structure is to be welcomed. At the regional level the LSC is starting to create a demand led system focusing on customer choice through the development of the regional commissioning plan. However it is early days to judge their performance.

  There is still scope for national and regional bodies to collaborate further eg LSC research driven at the national level (eg NESS) and the regional analysis of this data. Regional bodies can identify what will make a difference at the regional, subregional and local levels which in a region dominated by SMEs is critical for the economy otherwise provision doesn't met needs.

15.   Does the LSC need to be the subject of further reform?

  The LSC would benefit from a period of time to implement and embed the current round of changes. A culture of partnership working rather than a contract culture needs to be developed within the LSC. We have good examples of RDA-LSC partnerships developing and this needs to be encouraged.

  Alongside this there is a need to reform PSA targets to support the shift to a truly demand led system—there is too much focus on funding qualifications because of their need to meet the PSA targets.

  There is a need to clarify the role and purpose of the LSC regarding their economic development function(s).

16.   What is the typical experience of a college or other provider who wants to put on new provision in response to local employer demand?

  In our view, the main consideration will be who is going to pay—this will dictate the experience. In our experience, colleges and providers usually do this in spite of, rather than supported by, public funding structures, or when regional partners focus their discretionary funding on employer responsiveness.

17.   Do we need to consider any further structural reforms in terms of which institutions provide what kind of learning?

  We see many examples of universities, colleges and other training providers working well and further developing their employer engagement activity. One key aim needs to be to encourage training providers to deliver, on a consistent basis, high quality, specialist training aligned with industry clusters, regional priority sectors and travel to work partners. This is needed to ensure that specialist skills networks are capable of meeting the needs of regional economies, and supporting RES aspirations. Also we need to provide more scope for providers to develop programmes for new growing industries eg environmental technologies, which do not readily fit in with the traditional areas of learning. We feel that the Government needs to implement the reforms outlined in the FE White Paper before considering any further structural reforms ie specialisation, employer responsiveness, meeting community need.

  High levels of specialisation work better in urban areas, but in the rural communities access to general provision is the norm. If rural communities are not to become the poor relation in provision then colleges in rural areas need to develop specialisms that reflect the needs of the local labour market or provide progression routes into specialist provision. With any specialist system there needs to be "escape routes" for those who need or want to change direction, traditionally we are not very good at this.

  In terms of the 14-19 agenda, reforms are currently being introduced to develop more collaboration in the training and education process more collaborative, in order to meet the demands of the Diploma entitlement. Further reforms at this stage will over burden the emerging Gateway Provision at local levels. These collaborative consortia need to be part of any structural reforms to ensure an easily accessible local learning environment.

DEMAND SIDE

Employers:

18.   What should a "demand-led" system really look like?

  We welcome the priority for developing a demand-led skills system—this is essential to achieving the Leitch ambition. Such as system will feature:

    —  Employers and individuals being supported in making informed decisions about skills investment via a range of mechanisms.

    —  Assistance for employers to help identify what their current needs are—in our experience even the big companies have little idea of what their skills needs will be in six months let alone 5+ years.

    —  The employer being clear about what provision is available to meet their needs.

    —  The provider responding quickly and responsively to employer requests. Training being delivered in a way that suits the employer, at a time, place and quality acceptable to meet the business need.

    —  If an employer approaches a provider who cannot meet their needs there is a simple and clear referral system to match their needs to a suitable provider. To be truly demand led this system must be able to respond to all employer skills needs, not just requests for qualification-based training.

    —  Employers, employees and the public sector should pay their fair share; as indicated above there should be clarity about what the public purse pays for.

  There may still be the need to develop provision in areas of particular regional need to tackle market failures arising from businesses pursuing low skills trajectories as part of a wider strategy for priority sectors. Employer needs must also focus on the long term needs by growing future workforces low in the supply chain and the Diploma framework will help to encourage this. However, this must be flexible enough to meet the employers changing demands.

19.   Do employers feel like they are shaping skills training—for example through Sector Skills Councils?

  In our view this is likely to depend on their size and sector. Also not all employers relate to the sectors as defined by the footprint of the SSCs. There is scope to raise awareness of SSCs and improve SSC engagement with employers significantly for many SSCs. Big multi-national companies probably have good relationships with the SSCs and have a significant say in the shaping of skills training. However, the SSA is designed to articulate the needs for the sector as a whole. We feel that there needs to also be more direct intervention and support to individual (particularly smaller) companies.

  Employers wish to develop relationships with their suppliers, and shape provision at a local level. Clearly this needs to be cascaded into SSCs to ensure that national qualifications and frameworks are well informed.

  In our experience, employers believe that the system is complex, impenetrable and slow to respond and change. They feel there needs to be an acknowledgement of the fact that qualifications are not always what they want.

  Rather than add further regional SSC resource, the existing networks and infrastructure should be more effectively utilised to "inform" the strategic drivers of the SSCs. SSCs need to work through partners, cluster organisations and bodies to shape the agenda, not feel that they need to duplicate the local level working.

20.   Do employers feel closely involved with the design of qualifications?

  In our experience, no. SSCs do clearly work with groups of employers to shape the qualification to meet employer need. However a small employer who does not engage with an SSC would see no relevance to the processes set up by SSCs to shape and approve qualifications. Also employers will be less inclined to get involved in this process if their need is not qualification based.

  The 14-19 Diploma development is a good example to how to shape qualifications via employer engagement but generally employer groups have found this process challenging because of a lack of experience in this field.

21.   Should employers be further incentivised to take up training? If so, by what means?

  Training needs to be seen by employers as business expenditure investment with a tangible return on the bottom line rather than an overhead or discretionary cost (or as a "product" that is pushed at them isolation of wider business support).

  Consistent with the Leitch vision, we recommend seeing how the "pledge" works out and if this does not achieve the desired results then we should explore the training levy route. We cannot afford to fail on this one.

  Courses meeting recognised skills gaps in high value areas—eg mathematics and engineering etc should be incentivised (eg no tuition fees, golden handshakes etc) to encourage take up—though clearly this may relate to individuals rather than employers.

22.   What is the role of Union Learning Reps?

  Their role is to act as the intermediary between an employee and their employer to represent their training and learning needs. They have an important role in stimulating demand for learning which may not in the first instance be employer related. They therefore prepare the ground for further learning in the workplace. The union learning reps will also help source the training and identify any funding opportunities.

23.   What roles should employment agencies play in facilitating training?

Learners

24.   What is the typical experience of someone looking for skills training?

  Assuming the individual knows what it is they need and are looking for, most will look locally and use personal recommendations to identify providers. They may try one or two avenues, but if those with whom they speak cannot help them (due to funding restrictions, target groups etc) people may give up.

  For the less aware the experience appears pretty daunting, characterized by:

    —  Being unsure where to go for help.

    —  Being signposted and re-signposted without much satisfaction.

    —  Sometimes given partial advice by a provider if they go directly to them.

    —  Facing lack of clarity re support for course costs.

    —  Lacking information on what the prospects are after completing the course.

    —  Facing a lack of flexibility in delivery.

    —  Experiencing bureaucratic and confusing processes regarding enrolment.

  There is little accessible support for adults over the age of 25 that are facing a change of career / re-training etc. The process is very frustrating and time consuming, particularly for those made redundant.

  Leisure / pleasure skills and learning will often be pursued during the evenings or weekends, and may be informal or non-formal (ie not necessarily leading to a qualification). Having a one stop shop for assessment, identification and signposting could provide a much more coherent and accessible experience.

25.   What information, advice and guidance is available to potential learners?

  There are pockets of good practice and many services providing either one of or a combination of, information, advice and guidance through both public and private sector channels. The three are different and require different resources to deliver. Examples of provisions include: Union Learning Reps, Connexions (for under 19s), Next Steps, Learndirect, individual institutions, HE Careers service, Sector Skills Councils, Job Centre Plus, LSC, independent guidance counsellors. Many of these operate independently of one another. There is often therefore unnecessary duplication of effort and materials. Sources of information and advice include the prospectus, learndirect phone line, the college offering the course, friends and family.

  Many publicly funded services provide support for those who fit within the Government target groups (those without their first full Level 2 qualifications or with numeracy and literacy needs) but services are advertised as wider more inclusive services which causes confusion amongst other groups of individuals. It would be helpful to have "gatekeeper" brokers for individuals who can carry out an initial assessment to understand individual needs and then signpost them to the most appropriate support such as careers advice, skills / training provision and, who can advise on what funding / services are available to the individual concerned and what would need to be paid for by the individual themselves—a one stop shop for IAG.

  We support the principle of a universal entitlement to IAG set out by Leitch. We believe that we should be making a strong reality of the proposals for adult IAG with some sensible funding behind it. It could be argued that adult IAG has been inadequately funded and inappropriately delivered for years and that has led to a less than efficient use of training resource as well as a missed opportunity to engage potential learners.

  IAG services and resources should be coordinated at regional level, informed by the vision set out in the RES, and including up-to-date economic and labour market intelligence. Intermediate and higher skilled labour markets often operate at a regional level. The regional level provides the best balance between efficiency, consistency and detail considerations when coordinating LMI.

26.   What is available for those with the very lowest skill levels, who are outside of education, training and the world of employment?

  Again, there is much support for those outside education, training and the world of employment, but much of it is not joined up—meaning that individuals are at risk of exclusion during transition periods or progressing from one level of activity to another. For many who have are furthest away from the labour market, the journey to sustainable employment or engagement in the labour market is long and requires significant and consistent support.

  Research in some areas has identified that there is very little in the way of support for older people (45+), particularly those who do not claim benefits, to (re-) engage with the labour market and employment. Whilst the recent age legislation will help in this area, much IAG and support work is aimed at those already in the workforce or under the age of 25.

  A much closer, integrated and local approach to service provision is required with more flexible funds to support individuals' needs (demand).

  Due to reductions in ACL budgets and other sources of funding for the voluntary sector, there is a potential concern around sources of funding for initial engagement in learning and employment focused activity that does not lead directly to a job outcome or qualification.

27.   What is the role of the new Learner Accounts? What factors should be considered in their design and implementation?

  We welcome the proposals for Learner Accounts to encourage demand from individuals. The role of Learner Accounts should be to provide individuals with an incentive to update their skills, whilst giving them relevant support and choice and encouraging more people to take greater responsibility for their own development. They should promote an increase the uptake of learning, putting the money in the hands of the customer, albeit means tested.

  Factors to consider include:

    —  How individuals will influence / inform the design and delivery of their learning?

    —  What support (Information, Advice and Guidance) will be provided to help individuals make informed choices?

    —  Who will qualify (and who will not). Will this scheme be open to everyone or specific groups (eg those who have not yet achieved their first full Level 2, Level 3 etc)?

    —  What criteria will there be regarding what funds can and cannot be spent on?

    —  Will there be a refund / exchange mechanism for the provision which does not meet the individuals initial needs and objectives or quality standards?

    —  Can the learner account be combined with other learning discounts?

    —  Who will administer the accounts—what will the role of the individual actually be?

    —  How will provision be rated/feedback obtained (eg what is in demand, but not provided by the accredited learning providers; (e-bay style?) rating by individuals on the provision)

    —  Will some individuals be able to access support via Train to Gain and their Learner Account?

    —  Consideration should be given to match funding / double credit in areas of regional skills shortage to incentivise people to take qualifications in areas of market need. Similar boost for disadvantaged communities?

    —  They should not be open to fraud, and not be driven by qualifications.

APPRENTICESHIPS

28.   What should apprenticeships look like?

  Apprenticeships should offer/include the following:

    —  They should be a partnership between the employer, employee, learning provider and Government.

    —  Apprenticeship programs should have a high value for both employers, learners and parents.

    —  They should have excellent standards of training (competence and knowledge based) both within the employer and the education establishment. Such standards would provide the best exposure to actual real-life experiences within the employer environment with the educational support at a time and place most suitable for the apprentice and employer.

    —  They should be Level 2 and Level 3, available for 16+ including adult apprentices.

    —  Those following a young apprenticeship course should feel that they can progress to Level 3 training certain in the knowledge that provision exists in their vocational area. Funded apprenticeships offered at the young apprenticeship level should be determined by the regional skills priorities.

    —  The apprentice, having completed the training, should be able to carry out the role to a high standard, unsupervised.

    —  Skills learned by the apprentice should be transferable and recognised as excellent, particularly within that sector.

29.   How close are they currently to this vision?

  There is still a fair amount of work to do:

    —  Apprenticeships are not viewed in the same light as the traditional academic route.

    —  More employers need to see the value of apprenticeships and sign-up to the programme.

30.   What parts of the current apprenticeship framework are seen as valuable by learners and by employers, and which less so? Is there a case for reform of the framework?

  There are currently over 180 apprenticeships available across a multitude of sectors. However, a key constraint in some areas and sectors is the lack of suitable employer placements. We would support increasing the numbers for both apprenticeships and adult apprenticeships as long as there is enough employer support to make these worthwhile for the apprentice. For example, in the engineering sector (SEMTA footprint) there is a significant interest for Level 3 Adult Apprenticeships that are delivered to meet the needs of the business not, therefore, in line with normal FE terms.

31.   What is the current success rate for apprenticeships?

  Success rates of course vary considerably and we are currently in the process of addressing the really poor provision.

32.   What can we learn from practice in other administrations with apprenticeship systems—ie., Scotland and Wales?

QUALIFICATIONS

33.   Do the qualifications which are currently available make sense to employers and learners?

  No. There are still too many, the picture is too complex and people do not understand:

    —  what qualifications exist;

    —  what they are/offer in terms of learning objectives and outcomes—and so what they "qualify" the individual to do;

    —  how they relate to each other regarding equivalents (old vs new, level vs level etc) or

    —  what progression routes are available.

  There is often insufficient analysis of the long-term impact of new qualifications before they are rolled out nationally, and there is insufficient "accessible" information in the public domain related to what qualifications are available and what they mean / stand for.

34.   Is the Qualifications and Credit Framework succeeding in bringing about a rationalised system? Is there a case for further rationalization?

  It is too early to say whether the QCF will succeed in rationalizing the system.—We look forward to being updated on progress. Our current view is that there remain too many different bodies involved in designing, accrediting and inspecting.

  Work underway within the 14-19 reform is creating more qualification choices and confusing matters further eg the new Specialised Diplomas use GCSEs and A levels as modules / elements within them.

  There is evidence that Level 2 and Level 3 qualifications are generally far narrower that those in Germany. Also within the UK vocational qualifications of the same type and level can vary hugely in learning hours. For example, official figures quoted by Ewart Keep indicate that 650 notional learning hours are required to achieve a Level 3 in Animal Care, compared with 1,220 notional hours in construction, 1,475-2,400 notional hours in IT and 3,900 notional hours in engineering.

  Our feeling is therefore that further rationalization is likely to be required. This must be transparent and easy to understand. Clear communication is critical.

June 2007





 
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