The CIPD is calling on the Government to introduce an Apprenticeship Guarantee for 16- to 17-year-olds and ensure zero-hours contract reforms preserve flexible routes into work for young people.
The professional body for HR and people development made the call ahead of the Milburn Review’s final report into youth unemployment and inactivity, which it expects in the coming weeks.
Its proposed guarantee would create an additional 20,000 apprenticeship places for this age group by 2029/30, restoring provision to the level seen before the Apprenticeship Levy was introduced in 2017.
Employer backing for an Apprenticeship Guarantee
According to CIPD research, 90% of employers support introducing the guarantee, while six in ten say it would encourage them to take on more apprentices above their current provision.
The CIPD points to official apprenticeship data recording 160 Foundation Apprenticeship starts, against a government target of 30,000 by the end of this parliament. Its earlier research found that apprenticeship starts among under-19s fell by 41% between 2015/16 and 2022/23.
The body argues that a guarantee would give more young people a direct route from education into training and employment, while helping employers address skills shortages and supporting social mobility.
Four measures to support delivery
The CIPD proposes backing the guarantee with:
- A £5,200 apprenticeship wage grant, calculated as six months’ wages at £8 an hour for 25 hours a week.
- Full funding for apprenticeship training.
- Local support to help employers create and fill apprenticeship vacancies.
- A statutory duty on local authorities to support delivery and work with employers to ensure sufficient opportunities are available.
Devolved authorities would receive responsibility and support to identify local skills needs and work with employers, professional bodies and other stakeholders to make suitable opportunities available.
Protecting flexible first jobs
Alongside its apprenticeship proposals, the CIPD warns that poorly designed zero-hours contract reforms could reduce the number of flexible entry-level jobs available to young people and students.
It wants the Government to restart discussions with employer organisations and trade unions to ensure the reforms work in practice.
Ben Willmott, head of public policy at the CIPD, said:
“Young people need more opportunities to access both good-quality apprenticeships and flexible job opportunities. Policy should expand these opportunities, not inadvertently reduce them.”
Ben Willmott, head of public policy, CIPD
Willmott said around a quarter of a million students work on zero-hours contracts, allowing them to earn money and gain skills and experience alongside their studies.
“The proposed regulations on the use of zero hours contracts could be a huge blow to youth opportunity if we get them wrong,” he said. “The Government must ensure its reforms do not reduce access to these important opportunities for young people.”
He added that an Apprenticeship Guarantee could widen access to vocational training, strengthen employers’ talent pipelines and offer a practical way to expand opportunities while public finances remain under pressure.
“Our proposed wage grant would help offset the upfront employment costs of taking on an apprentice during the early stages of learning and development. Additionally, stronger local support for employers would also make it easier, particularly for small firms, to invest in apprenticeships and develop young people.”
