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Apprenticeships and Skills (Public Procurement Apprenticeships can be the future of skills training in the UK. I am proposing a small change that would make a big difference. Apprenticeships and Skills (Public Procurement Contracts) Ten Minute Rule Bill - “A Bill to require certain public procurement contracts let by public authorities to include a commitment by the contractor to provide apprenticeships and skills training; and for connected purposes.” Background The Ten Minute Rule Motion to introduce the „Apprenticeships and Skills (Public Procurement Contracts) Bill‟ passed to its second reading with unanimous support from all members present in the chamber on the 14 September 2010. The bill aims to introduce a requirement that contracts awarded by public authorities include a commitment that successful bidders demonstrate firm commitment to skills training and apprenticeships. In effect it seeks to enshrine in legislation a requirement to comply with the OGC Guidance “Promoting skills through public procurement.” This would bring into play the unique leverage of public sector procurement to promoting skills, jobs and training opportunities, particularly important in the current economic climate. I have been in discussion with minister John Hayes Minister of State for Further Education, Skills and Lifelong Learning. He is keen to explore together ways in which the aims of the Bill can be achieved and will be putting together some firm proposals for further review. The second reading of the bill will take place during National Apprenticeships Week on Friday 11th February. Last month the government published its skills strategy (Skills for Sustainable Growth) and its future funding plans for adult FE and skills (Investing in Skills for Sustainable Growth). Both documents are available on the BIS website at: www.bis.gov.uk/news/topstories/2010/Nov/skills-for-sustainable-growth. The strategy makes direct reference to the role of procurement regarding apprenticeships. “Apprenticeships are jobs; therefore employers are central to the continuing success of the programme. As part of our drive to encourage industry to develop new forms of professional standards (discussed below), we will encourage employers to consider how they can put Apprenticeships at the centre of any new proposals. The Department for Business Innovation and Skills will also work with public sector bodies to encourage and support them to use public procurement as a lever to raise employers‟ engagement with Apprenticeships and other types of training.” (Skills for Sustainable Growth, page 19, para 16) Quote from John Hayes Minister of State for Further Education, Skills and Lifelong Learning in support of National Apprenticeships week. “Apprenticeships are a key priority for the coalition government. I know they are for many of you too. I am determined to see the number of Apprenticeships opportunities grow in England for both young people and for adults. This was consolidated last week in the Spending Review when we announced we would fund 75,000 more adult Apprenticeships each year for the next four years. This announcement has been widely supported by business leaders and I have already set the National Apprenticeship Service (NAS) the task of finding the employers required to offer these new places.” Endorsements “It was one of Labour‟s proudest achievements to have rescued apprenticeships from the verge of extinction. They offer hundreds of thousands of young people the chance to get on in life and to have a fulfilling career. In 1997 there were just 60,000 new apprenticeships starts a year, but by last year this number had increased to around a quarter of a million. But with youth unemployment increasing and the next generation at risk of having worse life chances than their parents for the first time in almost a century, we have to go much further. That is why I worry about the Government abandoning the apprenticeship guarantee for 16-18 year olds. And that is why I support any measure which will increase the number of young people who can benefit from an apprenticeship.” Ed Miliband MP, Leader of the Labour Party. „I realise the importance of apprenticeships, so much so that in 2009 I participated under the last government in a campaign to promote Apprenticeships that created 4000 firm enquires, and was involved in four seminars in London, Leeds, Birmingham and Newcastle. As such I fully endorse Catherine McKinnell‟s 'Apprenticeships and Skills (Public Procurement Contracts) Bill,' as she too realises the crucial role of apprenticeships in developing the skills of young people through training and real work experience. Through this initiative by ensuring there is a firm need for contracts awarded by the public sector to stipulate a commitment to taking on and developing apprentices, I believe she will continue to build upon the impressive strides made under the last government in the area of apprenticeships.‟ Lord Alan Sugar of Clapton, Former Government Enterprise Advisor. “The TUC is delighted to be supporting Catherine McKinnell MP‟s „Small Change, Big Difference‟ campaign to boost the number of apprenticeships. There are a number of different ways public procurement can be used to increase the number of high quality apprenticeship opportunities. We believe it is fair and reasonable that those private contractors in receipt of large levels of public money are required do their bit to support apprentices and boost skills. Our studies show that there is a gender divide within existing apprenticeships. We believe Catherine McKinnell MP‟s proposals could go a long way to boosting the numbers of women taking up well-paid apprenticeships in a growing number of industries trading with the public sector. I hope that MPs from all parties will give this Ten Minute Rule Bill a good hearing and give it their support.” Frances O’Grady, Deputy General Secretary, TUC “The Federation of Small Businesses in the North East supports the aim of this Bill to encourage the creation of more apprenticeships across the region. We have been pushing for the public sector to play a more strategic role in stimulating the growth of apprenticeships as well taking on more apprentices themselves. The North East labour market faces a number of challenges over the coming months and increasing the number of apprenticeships is one way to improve the resilience of the region. Alongside this we want to see local authorities do more to help small businesses win public sector contracts which will further help achieve the aims of this Bill.” Martin McTauge, North East Policy Chairman, Federation of Small Businesses “The Association of Colleges fully supports the Apprenticeships and Skills (Public Procurement Contracts) Bill. Further Education Colleges, which provide over 50,000 apprenticeships, find that the most significant problem in relation to apprenticeships is finding sufficient number of employers to meet demand from young people and adults. The proposals in the Bill would help in ensuring some of this untapped demand is met. ” Martin Doel, Chief Executive, Association of Colleges “Unite welcomes this excellent initiative from Catherine McKinnell MP. The development of workplace skills is integral to the ongoing economic development of the North East, Yorkshire and the Humber regions. Now more than ever we need more good quality apprenticeships for young men and women at the start of their working lives. I believe that the ideas proposed in this Ten Minute Rule Bill could make a significant contribution to effectively increase the number of apprenticeships, which has the full support of Unite the Union and I hope that it achieves the widest possible support from all relevant quarters.” Davey Hall, Regional Secretary of Unite the Union (North East, Yorkshire and Humber). “Your Homes Newcastle is happy to give its support to Catherine McKinnell‟s „Apprenticeships and Skills (Public Procurement Contracts) Bill.‟ John Lee, Chief Executive, Your Homes Newcastle Ltd “NUS is proud to support the Small Change Big Difference Campaign. Apprenticeships offer incredible value to individuals, employers and society as a whole so it is right open up as many opportunities as possible for both young people and adults. It is clear that more employers need to get on board in contributing the skills base of the current workforce and this campaign places the public sector at the forefront of this. There is a high demand out there for high quality and accessible apprenticeships in all sorts of subject areas, and we want to support Catherine McKinnell as she campaigns to create these opportunities.” Shane Cowen, Vice President National Union of Students. “Ensuring that employers take responsibility for developing their staff (young entrants and established workers alike) must be a key plank in the economic regeneration and growth which Britain so clearly needs. Apprenticeships matter and government‟s purchasing power can help shift the culture so that every employer recognises what they can contribute. NIACE applauds Catherine McKinnell‟s initiative in bringing forward this imaginative proposal.” Professor Alan Tuckett, Chief Executive National Institute of Adult Continuing Education. “This is the time to bring in landmark legislation that supports apprenticeships. The UK lags behind some of our European counterparts in the approach to apprenticeships. The GMB Northern Region recognises that the skilled workers of tomorrow are today‟s apprentices and for the UK economy to thrive, properly trained people are essential to our future. The
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