Warner Goodman Solicitors banner
Services
People
News and Events
Other
Blogs

Hiring an apprentice; eight key facts for employers

View profile for Employment Team
  • Posted
  • Author

An apprenticeship is a work-based training programme that allows the apprentice to gain a recognised qualification by completing a combination of work experience and off-the-job training. Employers may use apprenticeships to fill gaps in their workforce or avoid skill shortages. Our Employment Law team today discusses the main questions you may have if you are considering hiring an apprentice.

What is an approved English apprenticeship?

An approved English apprenticeship is an employment arrangement governed by the Apprenticeships, Skills, Children and Learning Act 2009, where the apprentice does work in an occupation for which an approved apprenticeship standard has been published. As of August 2020, all new apprenticeships entered into in England must be on an apprenticeship standard, and you can find all current approved standards on the Institute for Apprenticeships & Technical Education website. The apprenticeship must take place under an approved English apprenticeship agreement, and must meet additional criteria such as:

  • a practical period of at least 12 months;
  • at least 20% of the apprentice’s normal working hours are spent in off-the-job training;
  • an end point assessment to evaluate if the apprentice has achieved the approved apprenticeship standard.

What is a contract of apprenticeship?

A contract of apprenticeship is the oldest form of apprenticeship agreement. It has few formal requirements and is governed by the common law. An apprentice engaged on a contract of apprenticeship will have enhanced rights which make them more difficult and costly to dismiss, such as the right to:

  • not be dismissed for misconduct unless it is so extreme as to render the apprentice wholly unteachable;
  • not be made redundant unless there is a closure or fundamental change of the business;
  • receive enhanced damages for early termination of their contract, which may include pay for the remainder of their apprenticeship as well as payment for the loss of opportunity for not being able to complete their qualification.

If the contract between you and your apprentice does not meet the requirements of an approved English apprenticeship agreement, you may well have inadvertently created a contract of apprenticeship, which will give the apprentice these enhanced rights.  

What must be included in an approved English apprenticeship agreement?

Regulations published by the Secretary of State for Education set out the criteria that must be included in an approved English apprenticeship agreement. The agreement must include:

  • the skill, trade or occupation the apprentice is being trained for;
  • the name of the apprenticeship they’re working towards;
  • the start and end dates for the apprenticeship;
  • the start and end dates of their practical period;
  • the amount of off the job training the apprentice will be given.

You must ensure that you and the apprentice sign the approved English apprenticeship agreement on or before day one of the apprenticeship. Failing to have a valid, signed agreement by day one of the apprenticeship may result in an old fashioned contract of apprenticeship being created giving the apprentice enhanced rights as mentioned above.  

What is an alternative English apprenticeship?

An alternative English apprenticeship is another form of approved English apprenticeship. This type of apprenticeship is used for apprentices who:

  • were made redundant with less than six months of their practical period left to run;
  • are ministers or trainee ministers of religion or police constables;
  • work otherwise than for an employer or otherwise than for reward.

In April 2022, a pilot scheme for a new type of alternative English apprenticeship will be launched which may allow individuals to complete their apprenticeship with many different employers. The flexi-job apprenticeship will require employers commit to only three months’ training for the apprentice, rather than the usual twelve months. After the three months are up, the apprentice can start a new apprenticeship arrangement with the same employer or move on to another employer.

What rights do apprentices have?

Apprentices engaged under an approved English apprenticeship agreement generally have the same rights as most of your other employees including:

  • Sick pay;
  • Paid annual leave;
  • Paid family leave.

You should also offer them the same benefits as other employees working at similar grades or in similar roles.

How long are apprenticeships?

The length of an apprenticeship varies and can be anywhere from one to five years. Approved English apprenticeships generally consist of a practical period and an end point assessment. The practical period must be at least 12 months and is the period over which the apprentice is expected to attend work and complete off-the-job training. The length of the apprenticeship as a whole includes both the practical period and the end point assessment. Your English apprenticeship agreement must state the start and end dates of both the practical period and the entire apprenticeship.

How much do I need to pay an apprentice?

How much you have to pay an apprentice will depend on their age. There is a set wage for apprentices who are in the first year of their apprenticeship. This rate is set by the Government each year and is currently £4.30 per hour (as of 9th February 2022).

Apprentices who are aged 19 or over and have completed their first year of the apprenticeship are entitled to be paid the National Minimum Wage or National Living Wage rate for their age for the remainder of that apprenticeship.

How do I get funding for the apprenticeship?

You may be able to receive help from the Government to fund an apprenticeship. If you pay the apprenticeship levy, you will be able to access funds from the levy to pay for the apprenticeship course. If you do not pay the levy, you will pay 5% of the course costs and the Government will pay the remaining 95% up to the funding band maximum.

If you are considering hiring an apprentice contact our Employment Team by calling 023 8071 7717 or email employment@warnergoodman.co.uk. We can answer any additional questions you may have and help you draft an approved English Apprenticeship Agreement.

To receive regular Employment Law updates from the team regarding recent tribunal cases and legislation updates, you can subscribe to our weekly Employment Law Newsletter by completing our subscription form or emailing us at events@warnergoodman.co.uk

ENDS

This is for information purposes only and is no substitute for, and should not be interpreted as, legal advice.  All content was correct at the time of publishing and we cannot be held responsible for any changes that may invalidate this article.