Who is training the young?
John Fraser and Group Training Schemes
from The Jobs Letter No.78 / 11 May 1998
- WHO IS TRAINING THE YOUNG ?
Who is training the young? How are young people able to get a leg up on the skills ladder
in todays' economy? What is happening to industry-based training for young people? With
youth unemployment again a major issue, these are the questions being asked by John Fraser,
chairman of Youthskills NZ and a convener of the Methodist Employment Generation Fund.
His concern: with the massive restructuring, cost-cutting and down-sizing in NZ businesses,
and the creation of SOEs from government departments over the last 15 years, the trade training
that was offered young people by these large concerns is now only a fraction of what is needed. It
was big business and government departments which used to take on the young people to give
them work experience and a work ethic. They now do not appear to be offering young people a
start with a defined training programme.
And with the increasing foreign ownership of many of NZ's larger businesses, and the
government getting out of the "business of business", the question needs to be asked: who has the
commitment to invest long-term in the skills of young New Zealanders?
- Fraser notes that State-Owned Enterprises (SOEs) and ex-government departments do
not figure in training programmes these days, with the exception of Trans Rail. He says that
large employers in major industries throughout the country are multi-skilling their existing
workforce and not engaging new young staff. This means that average age for employees is increasing,
in some notable industries the average age in the mid-40s.
One of the other features of the recent restructuring process has been the contracting out
of specialised skills or maintenance tasks to small self-employed contractors (often
ex-employees), or to bring in already trained people from overseas. Fraser says the contractors are just not
big enough to be able to take on the training component for the next generation of workers -- a
component that the larger firms have provided in the past. And he believes that it is not in our
national interest to depend on imported overseas labour.
His challenge: What is the current generation of employers at large doing to allow the new
young generation to get their initial start up the ladder of skills and experience? We hear a lot about
the lack of skills amongst the unemployed but who is taking the responsibility of giving these
young people the opportunities to get ahead? And what is the government's involvement in this
challenge?
- Fraser says that the main assumption being made is that people can go to the Polytechs
and get trained. But this infrastructure has been under serious assault in the last few years with
the creation of contestable training in the form of Private Training providers.
Fraser: "The reason private providers are establishing is the claim that the polytechs are
not responding with the right training and information required. We should straighten this out, and
not put a lot of energy into providing alternatives. The polytechs need to get on board and
become customer-orientated, and not create a training vacuum themselves"
Fraser believes that Polytechs by themselves are not enough: "They are no substitute for the
on-the-job learning and practical experience that has to be provided within the real world of
industry..."
- Amidst his criticisms on the state of youth training, John Fraser does see some light ahead
-- if industry groups are prepared to tackle training in new ways. One of his answers: create
Group Training Schemes for specific industry skills (see below)
Because today's business is now spread across a whole range of smaller separate contractors
who don't have the capacity to take on individual apprenticeships, the trades need to organise
themselves to spread apprenticeship training opportunities across several employers.
Fraser says the good news is that the Group Training concept already has many successful
examples operating in the building, electrical, plumbing and engineering fields. They were based
on similar training schemes in Australia, and designed to combat barriers to apprenticeship
training which meant many smaller employers were not taking on apprenticeships. Fraser: "We need
to extend these initiatives to have a co-ordinated approach in all the traditional apprenticeable
trade training areas "
Source _Vivian Hutchinson interviews with John Fraser 6 and 9 April 1998
- GROUP APPRENTICESHIPS AND TRAINING SCHEMES
In a Group Training Scheme, the Industry Training Organisation (ITO), employers
and unions co-operate to establish a stand-alone agency which employs and trains apprentices
and then leases these apprentices out to employers for a small premium. This system enables
smaller employers to take on apprentices without having to make a long-term commitment to a
specific individual being trained.
The scheme has the potential to:
- increase the number of apprentices and trainees available in a given region or industry
- widen the scope of training available to those apprentices and trainees
- provide an alternative to traditional apprenticeship systems for employers who would like
to contribute to employing and training young people
Hundreds of apprentices in NZ are currently being trained and leased out in this way.
Fluctuating work demands often prevent businesses and tradespeople from being able to guarantee
a longer-term indenture commitment to a young person. But employers say they like the
Group Training scheme because it enables them to choose when, how long and how often an
apprentice is placed in their company.
How does it work? The Group Training agency is the legal employer of the apprentices.
The agency places employees with a company for a mutually agreed period of time, and then
relocates them with another participating company.
The company pays the agency for the time the apprentice works. This charge usually carries
a premium for other costs such as holiday pay, sick leave, ACC levies, polytech fees, and tools
and clothing expenses. The agency often offers employees counseling support and liaison with
government authorities.
GROUP TRAINING CONTACTS:
Auckland Engineering Apprenticeship Trust
Ivan Fisk
phone 09-636-6601
Mike Latter,
Napier Engineering & Contracting Co.
P.O. Box 2004, Napier
Mark Heimgartner
Gartner- Superlux Ltd
phone 09-636-6092
Electrical Training Co. Auckland
Peter Rushworth
phone 09-527-6165
fax 09-527-6166
Building and Construction Training Orginisation
Steve Robinson
phone 09-378-9049
Auckland Master Plumbers
phone 09-579-5660
fax 09-525-0169
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