The Apprenticeship Levy came into effect on 6th April and news sites were immediately filled with statisics from business groups disclosing shocking statistics of the number of companies that have little or no knowledge of it.
Meanwhile a survey from the Chartered Institute of Personnel and Development (CIPD) reported that less than a third of the estimated 22,000 UK businesses with an annual pay bill of £3m or more expected to pay the 0.5% levy have not even calculated how much it will cost them each year.
With confusion surrounding the levy the predominant message, it would be quite easy for a business to feel comfortable slipping into an ignorant majority. But despite the cynisim pervading the media, the levy is a golden opporuntity for companies to skill up employees.
For the furnishing industry, it has the ability to act as a lifeline and start bridging the emerging skills gap that was revealed in the survey that we and the Furniture Industry Research Association (FIRA) commissioned in 2014.
Put simply, employers paying the levy will be able to access the funds they have paid in via an online portal called the Digital Apprenticeship Service (DAS). They will also receive a 10% top-up from the government to their total monthly contributions in England.
Businesses that don’t have to pay the levy will be able to access government funding to help towards the costs of apprenticeships.
To support industry to understand the complexities of the levy and what impact it will have on industry, The Furniture Makers’ Company is organising a conference at Furniture Makers’ Hall, London on Thursday 18th May.
Chaired by Gary Baker, MD of CD UK, the morning session will cover the impact of the levy on the furnishing industry, how companies large and small can work with training providers to launch an apprenticeship programme and case studies from retailers and manufacturers.
The afternoon session will explore in greater depth the wider issues that affect training and education in the furnishing industry, the challenges graduates face in getting a job in our sector, the progress of the Level 2 and 3 apprenticeship standards and much more.
A lot of vital work has been performed by the Company since the Mind the Gap report identified the concerning issue of a widening skills gap in our industry. The Company’s training and education initiatives today range from awarding Key Stage 4 students, through our School Design Prize, all the way to funding Masters’ students and developing young industry professionals. Despite this, the skills gap remains a pressing issue and something this conference will address.
With speakers from across the furnishing and education industry presenting at the conference, attendees will leave with a firm understanding of how the levy can benefit them and plenty of new contacts from the networking opportunities.
Tickets cost £45+VAT and are available to purchase here. Lunch will be provided. Readers of Furniture News can save 5% on the price of admission by quoting the code FN5 at the checkout.
Charles Vernon is an education and training chairman at The Furniture Makers’ Company, the furnishing industry's charity.
