Industry training apprenticeships stack up better - report

The Industry Training Federation is welcoming a report from the Ministry of Education which highlights the effectiveness of industry training apprenticeships over ‘managed’ apprenticeships, through polytechnics or Institutes of Technology.

The Education Ministry study shows that industry training apprenticeships result in higher completion rates and longer-term employment prospects.

"Industry training apprenticeships take place on the job. They are practical and benefit both workers and employers," says Acting ITF Chief Executive Kevin Bryant. "Integrating study with practical skills and workplace knowledge is a winning formula."

Kevin says the benefits of industry training are widespread. "The study also shows that industry training apprentices are much more likely to stay and keep working in New Zealand once they’ve graduated, boosting our economy with qualified workers."

Kevin says every year around 140,000 people are gaining national qualifications through industry training and these numbers are growing. Apprenticeships provided through polytechnics and institutes of technology are relatively small, with the study limited to eight qualifications offered in 13 institutions. The report was also limited due to relatively historical data.

"Progress is rapid in industry training, and there has been a great deal of positive change in recent years. The report highlights the cost-effectiveness of industry training apprenticeships, costing the taxpayer an average of $10,907 compared to $21,399 for managed apprenticeships."

Kevin says that New Zealand’s industry training success must be celebrated and recognised, but there is still work to be done. The ITF is seeking a more cohesive vocational education and training sector, with a level playing field for industry training and other education providers.

The report does not look at the issue of overlapping provision, which is where two different funding rates are applied for essentially the same programme.

"These funding anomalies must be ironed out," says Kevin, "and overlapping provision must be addressed to ensure funding is based on the nature of the programme, and follows the student, not the institution."

The ITF is a voluntary membership organisation representing all of NZ’s Industry Training Organisations.