Evidence submitted by Scottish Engineering
INTRODUCTION
Scottish Engineering promotes the Scottish manufacturing engineering industry and its interests, in Scotland, in the United Kingdom and Europe, whilst providing market leader high quality practical services in all aspects of employment.
The Scottish Engineering Quarterly Review which tracks the state of the industry in terms of Capital Investment, Training Investment, Order Intake, Output Volume etc has shown a positive trend for the past 18 quarters. The shipbuilding and defence industry in Scotland is of significant size and is one of the sectors registering continued growth. The majority of the major players in the shipbuilding and defence industry are members of Scottish Engineering.
SUMMARY OF MAIN POINTS OF THIS DOCUMENT
— There needs to be an increase in Modern Apprenticeship funding to match that available in England and Wales.
— There needs to be parity of esteem for vocational vs academic learning.
— Mature apprentices should not be disadvantaged.
— With the loss of Make it in Scotland Roadshows, how will we now enthuse our 2nd year pupils about Manufacturing?
— Careers advisers need to engage more with employers.
— Scottish Enterprise need to be commended for it's pro-active pilot programmes.
1. MODERN APPRENTICESHIP (MA) FUNDING
Engineering apprenticeships are of high quality but necessarily more expensive than those of shorter term and less intensive training.
Our member companies confirm that the total cost to all parties of training an Engineering Modern Apprentice in Scotland is approx £47K over 3.5 years.
Scotland has a different Educational system from the rest of the country and this necessitates a difference in the funding model. Colleges claim payment via SUMs (Student unit of Measurement) funding from the Scottish Funding Council for individuals registering for a National Certificate as part of their Modern Apprenticeship. However there is still a charge placed on the training providers by the colleges, which has to be paid from the National Rate of funding of £9,000. This is on average £1,150, which leaves an amount of £7,850 for all costs excluding college fees.
The other main difference between the funding models across the UK is the skills payments. In Scotland 5 Core Skills are generally covered in the qualifications taken either at school or college. In England and Wales the 5 Key Skills are often separately assessed and as such they are funded separately to the tune of £865.
In summary then, in England the funding for all costs excluding college fees and key skills payment is the National rate of £11,743. Therefore an exact comparison between England and Scotland leaves a disparity of as much as £3,893 per MA and for the Highlands & Islands this disparity climbs to £6,893.
To cover the cost of quality training in Scotland requires a minimum funding level of £12,898 in order to match the non-educational element in England and Wales.
The introduction of Skills Development Scotland will give the opportunity to make the funding system for National Programmes common across Scottish Enterprise and Highlands and Islands Enterprise areas. It should also allow standardisation of the administration of the programmes. Currently Local Enterprise Companies (LEC) differ slightly in the way they apply rules for Scottish Vocational Qualification (SVQ) Level 2, Adult Apprenticeships, recording of apprenticeship completions and transfers etc.
2. VOCATIONAL VS ACADEMIC
Vocational learning is a valuable learning route for companies and individuals.
Achieving parity of esteem between academic and vocational learning, recognising that vocational learning is a valuable alternative to the academic pathway and important to all is essential for the continued economic success of the country. Schools should not view it as a failure if their pupils do not go on to Higher Education. The concept that we need to have 55% of school leavers in University is flawed—companies need vocationally trained staff. University does not suit the training needs of all young people and should not be seen as the only route to a career.
3. MAKE IT IN SCOTLAND ROADSHOWS
The Make it in Scotland programme introduced by the Manufacturing Image Group to improve the knowledge and image of the manufacturing sector among young people allowed every 2nd Year pupil the opportunity to learn about Manufacturing industry in Scotland. Last year the funding for this project was drastically reduced and this year it has been dropped altogether and replaced with a pilot scheme only funded for one year.
This is a lost opportunity for the country as well as the manufacturing industry to increase the knowledge of the younger generation about the significance of engineering and manufacturing in their economy.
4. ROLE FOR MATURE APPRENTICES
Engineering is a very wide-ranging sector. It is therefore very difficult for young people to appreciate what is involved in a career in engineering and the opportunities available to them in the sector. Consequently they may only realise their desire to work in engineering at a later stage in life.
Secondly the supply of suitably qualified, motivated youngsters reduces over future years due to the country's demographics and the subject choices of youngsters at school.
At present there is limited encouragement for companies to take on apprentices over the age of 19, ie funding is half of that available between 16-18, the LEC's don't encourage them and the training mechanisms are geared to school leavers.
We need to reduce these limiting factors to ensure a supply of the skills we need for the future growth of the manufacturing industry.
5. CAREERS ADVISERS OUT OF DATE
Data from the SQA (Scottish Qualifications Authority) on numbers of entrants to Chemistry, Graphic Communication, Information Systems, Mathematics, Physics and Technological Studies published for 2006 show a decline of on average of 3% for most and as much as 9% for Technological Studies and 22% for Information Systems. Scotland cannot afford to allow this trend to continue.
To give effective careers advice Careers Advisers must be engaged with industry so that their advice can reflect market demands, be relevant and cover all levels of entry to industry. They need to go back to making regular visits to local companies.
One of the most cost effective ways of doing this that we have been involved in recently is the EEBL (Excellence in Education through Business Links) pilot programme for Careers Advisers and Teachers running in the Renfrewshire area.
There also needs to be improved opportunities for teachers to learn about the world of industry. They have a large influence on the subject and career choices that young people make.
6. SCOTTISH ENTERPRISE
Scottish Enterprise (SE) is to be commended for taking a pro-active role and working with various organisations on pilots aiming to improve the SE programmes.
— Accelerated Modern Apprenticeship pilot running to create a fasttrack apprenticeship for adults.
— The Scottish Marine Technologies Training Project for workforce development and training to ensure the correct skills are available for the Future Aircraft Carrier (CVF) programme.
— Business Improvement Techniques SVQ pilot programme.
We will continue to work with them and support these programme improvements.
RECOMMENDATIONS
— Increase Modern Apprenticeship funding to a minimum funding level of £13,763 in order to match the non-educational element in England and Wales.
— Encourage schools to view vocational and academic training on an equal footing.
— Fund programmes to encourage young people into STEM (Science, Technology, Engineering and Mathematics) careers through a long-term plan not on a year-to-year basis.
— Fund adult apprenticeships at a more substantial level.
— Fund a training programme to improve the knowledge of careers advisers and teachers about opportunities in the engineering sector.
Scottish Engineering
April 2008
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