Why apprenticeships are worth the money
3 mins read time
Apprenticeships
In this article: Apprenticeships are the linchpin of the industry, but they aren’t always appreciated, the IMI’s ROI calculator should make it clearer
Apprentices are a sound investment for the motor industry, but that message doesn’t always seem to be getting through to employers. That could change if they knew how valuable apprenticeships are and the return on investment they could gain from them.
The latest version of the IMI’s ROI Calculator shows that a level 3 apprentice in automotive maintenance and repair can deliver a return on investment of more than 200% over the course of three years. What’s more, apprentices typically start to yield a profit within 12 to 24 months, according to the IMI.
The free online tool is an easy way to gauge how quickly different apprentices pay off. This transparency is particularly welcome given the recent slump in the number of young people taking up apprenticeships in the industry.
Steve Nash, CEO of the IMI, said: “Some firms facing the upfront cost of funding apprentices may feel that it can’t be justified. But our ROI Calculator proves the contrary. We urge all employers to use the online tool to estimate the net benefit.”
The IMI has invested in research to show the benefit of apprenticeships, and the white paper written by Dr Paul Spear, Research and Return on Investment Manager at the institute highlighted how beneficial investing in apprenticeships is.
Dr Spear’s independently verified research results speak for themselves; apprentices typically generate an ROI between 150% and 300%, home grown apprentice-trained technicians invariably outperform market-recruited technicians, growing your own technicians through apprenticeships reduces long-term recruitment and training costs and apprentices learn company best practice and culture from the start and do not need reprogramming.
“Our hope is that this model can be used as an effective tool to persuade lapsed employers, employers considering succession of staff nearing retirement or employers new to apprenticeships and planning to expand their service operation to take the next step to discovering the benefits of taking on a keen and ambitious young person,” said Spear in the report.
Would taking on an apprentice help your firm prepare for the future?
Take three short steps to discover the potential payback from a Light Vehicle Apprentice Technician, go to the IMI’s ROI calculator, or to learn more about apprenticeships visit the institute’s apprenticeship pages.
Read Dr Paul Spear’s whitepaper on The ROI of Apprenticeships
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