Dáil Éireann Debate, Thursday - 1 June 2023
125. Deputy Colm Burke asked the Minister for Further and Higher Education, Research, Innovation and Science the action he has taken to date in increasing apprenticeship places, as well as their starting remuneration; his upcoming plans in this sector; and if he will make a statement on the matter. [26603/23]
View answerApprenticeships are employer-led demand-driven programmes that develop the skills of an apprentice in order to meet the labour market needs. The number of new apprenticeship registrations is, therefore, primarily determined by the level of recruitment of apprentices by employers.
The Action Plan for Apprenticeship 2021-2025 sets a target of 10,000 apprentice registrations per annum by 2025. 2022 saw 8,286 new apprenticeship registrations an increase of 34% on the pre-Covid figure in 2019. Overall, the broader range of apprenticeship offerings and a growth in registrations linked to the re-opening of the economy after the pandemic created an apprentice population of 24,212 by the end of 2021. Strong registrations continued in 2022, with 8,286 registrations and a population of 26,325 at year end.
This strong growth in apprenticeship training is very welcome and indeed essential to meeting priority skills needs. The apprenticeship system has, however, been engaging with meeting this greatly increased demand while recovering from the impact of the extended closures of the training system during Covid.
As part of a response to this dual challenge, SOLAS has worked with ETBs to increase training capacity via capital development, additional instructors, and innovative delivery models.
This has been facilitated by significant Government investment to allow for additional capacity across the system. This includes €12m during the pandemic to support additional classes and teaching capacity to ameliorate Covid-19 measures, over €17m in 2022 for increased capital investment, €6m for measures including additional instructors, and in 2023, additional funding of €30m for apprenticeship growth.
This fund will support up to 5,000 additional training places in 2023 across both Further and Higher education sectors and support the continuing growth of apprenticeships with a forecast of almost 9,000 registrations in 2023 in line with the Governments Action Plan for Apprenticeships 2021-2025. The majority (over 6500) will be on craft programmes. This will provide critical support to the delivery of Government goals under Housing for All, climate action and retrofitting.
Work continues to develop additional capacity allocation across further and higher education and these places will continue to come on stream in 2023.
Approximately 80 new instructor posts were approved across June-Oct 2021 for the three largest apprenticeship programmes: Electrical, Plumbing, and Carpentry & Joinery.
In 2022, the Minister announced the roll-out of €17.2 million in capital funding to respond to the growing demand for apprenticeships, and ensure the required increased capacity will be delivered. This builds on the €20 million Apprenticeship Capital Fund investment in 2021 across both the further and higher education sectors. The funding includes:
• The development of hubs dedicated to electrical training for the next three years.
• Expansion of electrical, plumbing, and carpentry programmes across FE & HE
• The development of essential craft apprenticeship training facilities at Kilkenny and Carlow ETB and in Donegal.
• A call for additional phase 2 capacity in craft programmes that include carpentry, plumbing, and refrigeration.
• Expansion of electrical apprenticeships in ATU Donegal and MTU Kerry
Registrations for craft apprenticeship are forecasted to show significant increases in demand over time. To ensure the craft training system is expanded to meet this demand and other capital needs (including equipment needs arising from changes in programme curricula) investment will continue.
Apprentices are primarily employees and all of the 67 available apprenticeships are undertaken under a contract of employment. For the majority of apprenticeships, the rate of pay is agreed between the apprentice and the employer with the employer paying the apprentice during both on-the-job and off-the-job training elements of the apprenticeship.
For craft apprenticeship programmes, the minimum rates of pay are agreed through legally binding Sectoral Employment Orders (Construction Sector and Mechanical Engineering Building Services Contracting Sector) or through agreement within the relevant sector.
Whilst on that basis any review of rates is a matter for the appropriate industrial relations structures, the Department recognises that there is increasing pressure on workers as a result of inflation and other cost of living factors. Equally, it is important that apprenticeship is a valued and valuable option for employers and prospective apprentices. Consequently, the Department is engaging with partners to assess how these structures could best be informed of apprenticeship considerations. This is ongoing and the Department is committed to concluding the process as soon as possible.
Separately, as part of Budget 2023 the Government introduced a cost-of-living package for students. This included a once-off reduction of up to 33% in the contribution fee for apprentices and additional funding for social inclusion measures in apprenticeship, such as a bursary for apprentices from under-represented groups.
