Government fully funds the training costs for apprentices aged 16 to 18.
If apprentices are aged 19 and over employers may be required to make a contribution towards the training cost.
The employer pays the apprentice a salary reflective of industry rates and experience. The minimum wage is £2.60 per hour (from 1 October 2011) and the average is £170 a week.
11 September 2011 Apprenticeships: A great idea for your business 4 What does it cost?
Presentation title in footer Engineering Apprenticeships well established in case studies Shortage in external labour market Opportunities for ex-apprentices to progress into supervisory and managerial jobs Costs of training were relatively high at £29,000 over a three to four year period, but recouped over two to three years after completion
Presentation title in footer Construction Employers train to meet their own skill needs and those of their sub-contractors Training tends to be highly structured and relatively costly compared to other sectors: £22,000 although there is variability between employers Employers’ costs are recouped two years after completing the Apprenticeship
Presentation title in footer Business Administration Training costs vary because of the varying durations of training The cost of training to Level 2 is around £1,100 and around £3,500 to £3,900 at Level 3 depending upon the duration of the training The payback period for a Level 3 Apprenticeship which takes three years to complete is around one year.
Presentation title in footer Information Technology The largely workplace-based nature of training means productivity is relatively high Therefore there are comparatively low costs to employers Employers’ costs are recouped in a short space of time – on average around six months