Submission from the Scottish Apprenticeship Advisory Board on Skills alignment with needs
SAAB Submission to the Scottish Parliament Education, Children and Young People Committee: On the alignment of skills provision between the education system and the needs of businesses, and the outcomes that are delivered for both individuals and businesses.
The Scottish Apprenticeship Advisory Board (SAAB) is an independent industry-led body which ensures apprenticeships are demand-led, fit for purpose and future orientated.
The purpose of SAAB is to provide employer leadership and contribution to the development of apprenticeships in Scotland, so that they are aligned with industry and economic need, Fair Work and job opportunities.
SAAB was established by Skills Development Scotland (SDS) in 2016 following recommendations from the Commission for Developing Scotland’s Young Workforce. SDS provides organisational, secretarial and communications support to SAAB. The Scottish Funding Council (SFC) is also represented.
As the voice of industry, SAAB is made up of leading employers and representatives from industry bodies across a range of sectors. SAAB covers policy, standards and frameworks, communications, and funding across five groups:
• The SAAB Group Board (GB) oversees the other groups and is responsible for providing advice and making recommendations on the guiding principles, operational policy, systems, and structures supporting apprenticeships in Scotland.
• The Standards and Frameworks Group (SFG) oversees apprenticeship standards and framework development for the apprenticeship family in Scotland and ensures they are demand and employer led.
• The Employer Engagement Group (EEG) aims to strengthen employer input to the strategic direction of apprenticeships and work-based learning pathways, and to ensure the apprenticeship system meets the needs of industry.
• The Employer Equalities Group (EEQ) aims to address under-representation in apprenticeships and to support better access and participation.
• The Apprentice Engagement Group (AEG) is made up of current and former apprentices and aims to promote the value of apprenticeships and champion the contribution they can make to individuals, employers and the economy in Scotland.
Full details and the Terms of Reference for all SAAB groups are available in the SAAB Structure and Remit document.
The SFG provides leadership to and works closely with the Apprenticeship Approvals Group (AAG), which has responsibility for approving all Scottish apprenticeships. The AAG is an employer-led group aimed at ensuring Scottish apprenticeships meet the needs of employers. It was set up in October 2019 as part of the new governance structure for apprenticeships in Scotland. AAG replaced the existing body at that time – the Modern Apprenticeship Group (MAG) which brought with it a shift from apprenticeship development being government-led, to industry-led.
SAAB comprises of over 80 senior representatives and business leaders from organisations across all sectors and sizes from employers, public sector, industry and representative organisations in Scotland. Full membership details are available on the SAAB pages and include the following sectors:
• Agriculture & Land management
• Automotive
• Business Management
• Construction
• Creative Industries
• Energy & Utilities
• Engineering & Manufacturing
• Food & Drink
• Financial Services
• Higher and Further Education
• Hospitality and Tourism
• Life Sciences
• Local Authority
• Public Sector
• Retail
• Technology
• Textiles
• Third Sector
• Trade Union
• Training
SAAB is the’ voice of industry’ in Scotland for apprenticeships. SAAB members have detailed engagement with the apprenticeship system throughout the whole process.
SAAB members believe in the concept of ‘growing our own’ which resonates across all sectors and sizes, recognising the long-term investment that apprenticeships bring to an organisation’s talent pipeline.
In Scotland, apprenticeships are ‘owned’ by employers through SAAB leadership and the governance structure. SAAB:
• Ensures that underpinning infrastructure can support policy objectives
• Provides recommendations to Scottish Government
• Provides strong and relevant employer leadership
• Act as custodians of Apprenticeships in the absence of a sector skills council
Through the Standards and Frameworks Group (SFG), SAAB provides leadership to the Standards and Frameworks development programme, a full review of Scottish Apprenticeships over the next three to five years to ensure they are fit for the future. SDS has been working with SAAB, employers, and key partners in the skills system to develop and trial the new approach over the past few years and is now rolling it out across all apprenticeships.
The approach will ensure an apprenticeship system that is responsive and resilient, governed by SAAB, approved by the Apprenticeship Approval Group (AAG) and driven by employers. The new system entails improved progression pathways through direct alignment of Foundation Apprenticeships (FA), Modern Apprenticeships (MA) and Graduate Apprenticeships (GA), agile broad sector apprenticeships with occupational pathways and direct employer and employee involvement in the process. The new, layered model for future apprenticeship standards provides apprentices with transferrable higher order ‘meta skills’, such as communication and collaboration, to ensure they can adapt throughout their working lives and thrive in the new world of work.
Employers are at the heart of apprenticeship development through their active involvement in Technical Expert Groups (TEGs). TEGs are short-life working groups that develop apprenticeships through the expertise of the people involved. Typically, a TEG is made up of 10 to 15 members including employers, industry and professional bodies, qualification and education experts and social partners, such as trade unions. All members are from the relevant sector or occupation aligned to the apprenticeships in development. They understand the apprenticeship role and know the skills and behaviours required from employees within the sector. This approach is entirely employer-led to ensure the result is an apprenticeship which meets the needs of employers.
So far, two apprenticeships and four occupational standards have been developed and approved using the new employer-led approach and another two apprenticeships are nearing completion. 150 employers within 22 TEG workshops participated across four pilot developments. Further employer and TEG engagement is now underway developing apprenticeships within phase 1 of the mainstream plan with a further seven sectors due to commence in 22/23.
SAAB is involved in demand analysis and forecasting of all Scottish apprenticeships, including MA, FA and GA. SAAB’s role is to check and challenge and to provide valuable industry insight for the demand assessment, through a process agreed between SDS and the SAAB Employer Engagement Group (EEG) to strengthen demand analysis and forecasting
The EEG is involved at three key stages of the process: Review and scope at proposal stage; review of findings and estimates before the finalisation of the demand statement reports; and provides feedback on the final allocations.
SAAB recently commissioned independent education research body the Edge Foundation to conduct a review of Graduate Apprenticeships (GAs) in Scotland. Graduate Apprenticeships:
Developing Scotland’s Future Workforce was published in November and confirms that degree-level work-based learning has a critical role in driving economic growth, increasing productivity and responding to future skills needs.
Researchers found that GAs are valued by employers and learners alike, and recommended changes around flexibility, funding and the broadening of disciplines and opportunities available. SAAB is pleased with and fully supportive of the recommendations in the report and will continue to use this evidence to positively influence the skills landscape. The recommendations are:
• Increase flexibility in GAs and build a more flexible system to support the delivery of Graduate Apprenticeships
• Upskill and introduce an agile, demand-led funding system, driven by employer demand
• Make a clear commitment to longer-term funding to provide certainty and clarity of provision
• Broaden the frameworks on offer, to future proof GAs, including sectors where there might be more female applicants
• Drive demand and increase awareness of the GA programme in schools and colleges
As part of the skills legacy for COP26 SAAB, in a joint approach with SDS, consulted employers and expert views to understand how to embed sustainability in all Scottish apprenticeships. Independent research company IFF was commissioned to gather these findings and produce recommendations in a report. Sustainability in Scottish Apprenticeships: A system-level approach to the net zero transition was launched during a Ministerial COP26 event in November.
The report sets out the following recommendations:
• Refer to ‘sustainability’ in apprenticeships and confirm key components
• Support employers to develop and reflect sustainable work practices which can be mirrored in apprenticeships
• Use a multi-stakeholder approach to guide skills development
• Take a phased/iterative approach to reflecting sustainability
• Ensure stakeholders receive necessary support
SAAB is fully committed to support all recommendations and has produced a response to the report. SAAB recommends:
• To allow for some sectoral and occupational variations when referring to sustainability
• To prioritise new ‘green’ occupations where there is demand within the labour market, and then move to embedding sustainability across all apprenticeships. SAAB is committed to integrating sustainability within the existing apprenticeship development programme through their leadership of the Standards and Frameworks Strategy
• To work together with SDS to explore international best and emerging practice for consideration in the Scottish system
• For the Scottish Government to provide funding for a universal skilling proposition open to the current 47,000 apprentices in training. In instances where apprentices may require additional opportunities to develop sustainable skill and mindsets, SAAB recommends the exploration of a national apprentice changemaker/challenge programme.
• For the Scottish Government to ring-fence funding for training, incentives, and an education and marketing campaign to raise awareness with employers, providers and assessors.
SAAB was instrumental in the development of the £15m Apprentice Employer Grant (AEG) in early 2020. The AEG awarded employers with up to £5,000 for taking on a new Modern or Graduate Apprentice or for upskilling an existing employee. The programme has since been replaced with the Local Authority managed Employer Recruitment Incentives. SAAB also supported the development of the Apprentice Transition Plan, helping Modern Apprentices affected by redundancy due to Covid-19 to find new work or move to further learning.
The SAAB Gender Commission (GC) was commissioned by the SAAB Group Board to examine, through the lens of apprenticeships, what can be done to prevent barriers to gender diversity in the workplace. The overall aim of the commission is to produce a recommendations report with 'business ready', clear advice and actions that employers (and others) can readily deploy. The full report is expected for publication early in the new year.
The OECD is currently conducting a review of the Scottish apprenticeship system. Phase II of this review will gather evidence to benchmark the role of SAAB against structures in top performing OECD countries, recognising international best practice. The OECD will prepare recommendations on the governance, structure and responsibilities of SAAB. The report is expected to be available in 2022.