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Issue
The Training Pools programme will introduce a model that addresses skills gaps for adults at the technical, professional and skilled trades level – Level 3 and above. It is often within these categories where there is a significant level of continuing replacement, however, young people are disinclined to learn the specific vocational skills required. Therefore upskilling an existing adult workforce is of continuing importance.
What is a training pool?
A Training Pool is a consortia of employers, learning providers, trade bodies and employer organisations (e.g Sector Skills Councils, LSPA) that bid to SEEDA to develop a training programme that will meet their needs which are not currently being met in the region by existing FE/HE or private sector providers.
Why are they needed?
There is an urgent need to address skills shortages at Level 3 and above given such shortages are inhibiting the development of companies in SE region. There is an imperative to address this issue if the SE region is to achieve its aim of developing a high-technology, high-quality, high-skill and high-value economy.
Training Pools will enable:
- Business to strengthen their influence on what support and provision is required and how this is shaped to meet their skills needs
- Business to facilitate collaborations with training providers to develop the most relevant and useful training
- Leverage and support from other sources by working with established sector consortia
- Identification and channelling of funding for training for which existing training provision and funding is not currently available. It will thus complement and supplement rather than duplicate current provision.
How they work
The model for Training Pools is built round the following steps:
- Under the guidance and encouragement of a lead "champion" employer-led body (e.g. Sector Skills Council, Sector Consortia or LSPA), a critical mass of employers representing a cross-section of the sector(s) have been brought together on the basis of having identified, shared skills needs, at Level 3 and above. Key criteria is that these needs are shared by a large number of employers, and that there is potential for transfer across sectors.
- Train to Gain Service contributes to the assessment of whether there are existing mechanisms for addressing the needs identified by the bidding consortia. If there is suitable provision available the bid will not be supported.
- Expressions of Interests followed by full and detailed bids which fulfil the criteria for Training Pools are assessed and evaluated by a senior assessment panel, comprising representatives of SEEDA, LSC and GOSE and Skills for Business Network. All bids are endorsed by the relevant Sector Skills Council.
- Following a successful assessment process, funding is provided to the business-led consortia to develop a tailored work-based training scheme, based on a detailed plan of how the identified skills need will be addressed.
Business must contribute at least 27% of total costs of each project either in cash or in in-kind.
N.B Training Pools do not cover management and leadership or other generic skills – each bid should be focused on a specific sectoral need.
Evidence of need for Training Pools
Evidence strongly suggests there is significant numbers of skills shortages at Level 3 and above in SE region. Comparisons with major EU competitors and other G8 countries put UK last in terms of adults, between 25-64 who possess an intermediate qualification. Faced with increasing competition from newly-emerging and rapidly developing economies, it is essential that the SE region competes on high value, high-skilled, and high value added basis.
Deliverables
The total number of employers who will benefit from the initiative will be dependent on the sizes of the respective consortia which are established. There will be a maximum of five Training Pools to which funding will be allocated each year (given that the maximum allowed per Training Pool is £200,000). If an average of ten employers participates in the Pools, this would register a minimum of 50 companies whose productivity and competitiveness would be positively affected.
Benefits
The benefits accruing to individual employees as a result of receiving skills training through Training Pools funding, in addition to the acquisition of skills and, in many cases, accreditation, would be increased employability, prospects for career progression and earnings.
For participating employers, outcomes would include: alleviation of skills shortages, and the constraints they place on the company's capacity and scope for development; development of a more skilled and flexible workforce; improved productivity; greater ability to compete in existing and new markets; opportunities to work cooperatively and collaboratively with other employers within their sector; and to develop effective partnerships with education and training providers. Collaboration between employers will help identify and define pertinent skills shortages which could be the focus for the establishment of consortia to bid for Training Pools funding.
Training Pools will also impact on providers of education and training, by generating a demand for additional provision, some of which will require the development of new curricula and methods of delivery. Furthermore, the potential for them to work with employers to devise appropriate responses to identified training needs will create greater networking, collaboration and mutual understanding between the demand and supply sides.
Strategic Added Value
Training Pools will be a valuable addition to the range of options available to address skills training needs and develop appropriate responses. For agencies such as the LSC, the Skills for Business network and Business Link, it will be a valuable complement to major sources of vocational training, such as Train to Gain. Crucially, however, it will enable a focus on skills at Level 3 and above to be well established in the region.
For further information contact
Andrew Adams.
Sector Skills
SEEDA's sector-based activities aim to enhance the supply and demand for skills from key sectors. In particular, our sector skills activities have focussed upon addressing the competitiveness and productivity issues of sectors that are important to economic growth.
For further information contact Andrew Adams or please follow this link to find out about the Skillset Business Development Scheme funded by SEEDA, Skillset, DTI and South East Media.
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