Apprenticeship numbers hit 15-year low
Industry insiders are putting the decrease down to the struggling economy, the expiry of various government subsidies, and several years of change in training policy.
Apprenticeship and workplace training numbers reached a 15-year low last year, with a further decline in the first quarter of the current year. Education Ministry figures revealed 108,315 people in workplace-based learning last year, a 32% decrease from the 15-year peak of 158,570 in 2022. Industry experts attribute the drop to various factors, including a struggling economy, the expiration of government subsidies for apprentices, and changes in vocational education and training policy.
The Agriculture and Environmental Studies sector saw enrolments halve since 2022, while Engineering and related technologies dropped by a third to 29,870 enrolments and Architecture and Building by 29% to 28,650. Philip Aldridge, CEO of the Energy and Infrastructure Industry Skills Board, expressed concern over the decline, stating that the industry would face difficulties in resourcing key initiatives such as roading, water, and extractive projects.
Water, in particular, requires 6000 new people due to its $48 billion investment plan over the next decade.
Ginny Vincent, CEO of Primary Industry Training Organisation (ITO), noted that the primary sector's significant drop in trainees and apprentices was partly due to a post-Covid boom and partly a response to the current economic conditions. She also pointed out confusion resulting from six years of constant change in vocational training, uncertainty around funding, and arrangements. Many farm employees are immigrants on work visas, ineligible for government-subsidised training.
Jason Hungerford, CEO of the Building and Construction ITO (BCITO), said there were 600 people ready to start an apprenticeship, but the industry is facing challenges due to the absence of employer confidence. He emphasized the need for retaining workers in the sector, focusing on both industry and qualification completion. The boom-bust cycle in industry training presents a problem, and the government could assist by investing in infrastructure projects during economic downturns.
The Manufacturing and Engineering Industry Skills Board reported that manufacturing companies are planning to increase apprentice numbers. Despite subdued apprenticeship numbers for several years, business confidence has been hit by the extended war in the Gulf. However, manufacturing and engineering industries have shown signs of recovery and growth, attracting more companies to take on apprentices.
The Food and Fibre Industry Skills Board is reviewing and redesigning qualifications to provide shorter, more targeted training for employees.
Written by urgent.news from RNZ Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
