There is a shortage of IT talent and diversity in the tech sector. Per Scholas proposes a solution called PS ApprenTech which places graduates from their training programs into 1-2 year apprenticeships at companies. This provides on-the-job training, increases retention, and has a positive ROI. Per Scholas aims to pilot this with 50 apprentices across 5 companies by 2019 and scale to 100 apprentices by 2020.
2. 2
The Challenge
56% 12% $60-65k
of employers cite a talent
shortage in many IT roles1, and
report 1.5m unfilled
cybersecurity roles by 20202
Talent Shortage Extreme Lack of Diversity
People of color makeup just 12%
of the tech workforce, women of
color makeup less than 4%3.
Starting Salaries on the Rise
Entry level salaries are on the rise
for Bachelor's degree holders. In
New York City, the average starting
salary in engineering/IT is between
$60-$65,000 a year4.
1 Harvey Nash, & KPMG. (2017, May 23). The Harvey Nash / KPMG CIO Survey. Retrieved January 03, 2018, from https://www.hnkpmgciosurvey.com/
2 Van Zadelhoff, M. (2017, May 24). Cybersecurity Has a Serious Talent Shortage. Here's How to Fix It. Retrieved January 03, 2018, from https://hbr.org/2017/05/cybersecurity-has-a-serious-talent-shortage-heres-how-to-fix-it
3 DIVERSITY IN THE TECHNOLOGY SECTOR(Rep. No. GAO-18-69). (2017, November). Retrieved January 3, 2018, from United States Government Accountability Office website: https://www.gao.gov/assets/690/688460.pdf
4 Miller, S. (2017, July 01). Starting Salaries for 2017 College Grads Hit All-Time High. Retrieved January 03, 2018, from https://www.shrm.org/resourcesandtools/hr-topics/compensation/pages/2017-college-grads-salaries.aspx
3. 3
Graduate retained as full time staff
upon completion of ApprenTechship.
Salaries are increased to meet current skill
level. Per Scholas provides ongoing support
and additional certifications.
Graduate hired as an ApprenTech at
your business. ApprenTechships last 1-2
years, where they learn on the job.
ApprenTechships are not registered
through the DOL, so your business can
avoid time spent filling out lengthy
forms.
The Solution: PS ApprenTech
Student graduates from Per Scholas.
Capstone training to further match skills
your business needs optional. All training
is front loaded, so ApprenTechs are able
to work full time.
4. 4
Our Trainings:
● Cybersecurity: 17 week, full time leading to
the CCNA CyberOps certification
● Web Development: 18 week, full time Full
Stack Development training in partnership with
General Assembly
● IT Support: 16 week, full time leading to
CompTIA A+ and Network+ certifications
● Launching Q4 2018: Systems Administrator
training leading to AWS certification
Who’s Hired:
5. 5
Scaling The Solution
Skilled Workers
On the job training, mentorship, and professional development guarantee that
ApprenTech’s skills match exact business needs and eliminates the skills gap.
Increased Staff Retention
ApprenTechs feel supported and committed to the company that has invested in them.
Positive Bottom Line Impact
ApprenTechs often turn profitable after just 12 months on the job, and generate an ROI of
between 40-50%5. Cost savings on recruitment costs, salaries, and attrition.
Increased Diversity
PS ApprenTechs are 90% people of color and 30% women.
5 Helper, S., Noonan, R., Nicholson, J. R., & Langdon, D. (2016, November). The Benefits and Costs of Apprenticeships: A Business Perspective(Rep.). Retrieved January 3, 2018, from Economics & Statistics Administration website: http://www.esa.doc.gov/sites/default/files/the-benefits-and-costs-of-
apprenticeships-a-business-perspective.pdf
6. 6
Case Study: Barclays Apprenticeship Program
●Hired into permanent, full time learning roles at a lower salary than other
full time hires. The salary savings are invested into training.
●Two years of on the job training and mentorship, at the end of which
there is a guaranteed salary increase.
●80% retention at 4 years
Per Scholas Training
IT Support, Networking, Cybersecurity,
Web Development
Barclays Assessment Day
Graduates complete a series of
personality assessments, group and
public speaking activities, and one on
one interviews to assess competency
Barclays Apprenticeship
Based on graduates’ performance
during assessment day, they are placed
into specific roles that match their
strengths, are paired with a mentor, and
go through periodic trainings.
After Two Years
Apprentice title is dropped and a salary
increase is awarded.
7. 7
Cost Comparison:
College Grad vs. ApprenTech
Cost College Grad Per Scholas ApprenTech
Recruitment $3,500+6 In kind recruiting and screening through Per
Scholas
Salary $60,000/year 4 $40,000/year for length of ApprenTechship
Onboarding/Training $1,2007 $20,000 (mentorship and OTJ training)
Turnover $12,6008 (71% leave within 1 year9) <10% leave within 1 year
Total $77,400 $60,000
6 (2016, March 20). Retrieved January 3, 2018, from https://www.collegerecruiter.com/blog/2016/03/20/the-average-cost-per-hire-for-on-campus-recruiting-is-3582/
4 Miller, S. (2017, July 01). Starting Salaries for 2017 College Grads Hit All-Time High. Retrieved January 03, 2018, from https://www.shrm.org/resourcesandtools/hr-topics/compensation/pages/2017-college-grads-salaries.aspx
7Taylor, T. C. (2016, January 20). The Costs of Training New Employees, Including Hidden Expenses. Retrieved January 3, 2018, from https://www.adp.com/thrive/articles/the-costs-of-training-new-employees-including-hidden-expenses-3-157.aspx
8 Boushey, H., & Glynn, S. (2012, November 16). There Are Significant Business Costs to Replacing Employees. Retrieved January 3, 2018, from https://www.americanprogress.org/issues/economy/reports/2012/11/16/44464/there-are-significant-business-costs-to-replacing-employees/
9 Karami, S. (2016, February 10). New Survey Results: Recent Grads Leave First Jobs Quickly. Retrieved January 3, 2018, from https://www.expresspros.com/Newsroom/America-Employed/New-Survey-Results--Recent-Grads-Leave-First-Jobs-Quickly.aspx
9. 9
The Difference:
Registered vs Unregistered Apprenticeships
●Registered: Must meet a set of requirements set forth by the
Department of Labor. Only certain, specific IT roles can currently be
registered.
●Unregistered: Do not have to meet standards for registration by the
Department of Labor. Created and maintained by your business and
tailored to meet your specific needs.
10. 10
Vision
●Pilot cohort of 50+ ApprenTechs with 5 or more employer partners to
launch by July 2019
●Cohorts to be implemented on a rolling basis (at least 2 ApprenTechs per
business site)
●Pilot cohorts to be evaluated at year 1 and 2 of ApprenTechship
●Goal to scale to 100 ApprenTechs by end of 2020
11. 11
1 Harvey Nash, & KPMG. (2017, May 23). The Harvey Nash / KPMG CIO Survey. Retrieved January 03, 2018, from https://www.hnkpmgciosurvey.com/
2 Van Zadelhoff, M. (2017, May 24). Cybersecurity Has a Serious Talent Shortage. Here's How to Fix It. Retrieved January 03, 2018, from https://hbr.org/2017/05/cybersecurity-
has-a-serious-talent-shortage-heres-how-to-fix-it
3 DIVERSITY IN THE TECHNOLOGY SECTOR(Rep. No. GAO-18-69). (2017, November). Retrieved January 3, 2018, from United States Government Accountability Office
website: https://www.gao.gov/assets/690/688460.pdf
4 Miller, S. (2017, July 01). Starting Salaries for 2017 College Grads Hit All-Time High. Retrieved January 03, 2018, from https://www.shrm.org/resourcesandtools/hr-
topics/compensation/pages/2017-college-grads-salaries.aspx
5 Helper, S., Noonan, R., Nicholson, J. R., & Langdon, D. (2016, November). The Benefits and Costs of Apprenticeships: A Business Perspective(Rep.). Retrieved January 3,
2018, from Economics & Statistics Administration website: http://www.esa.doc.gov/sites/default/files/the-benefits-and-costs-of-apprenticeships-a-business-perspective.pdf
6 (2016, March 20). Retrieved January 3, 2018, from https://www.collegerecruiter.com/blog/2016/03/20/the-average-cost-per-hire-for-on-campus-recruiting-is-3582/
7 Taylor, T. C. (2016, January 20). The Costs of Training New Employees, Including Hidden Expenses. Retrieved January 3, 2018, from https://www.adp.com/thrive/articles/the-
costs-of-training-new-employees-including-hidden-expenses-3-157.aspx
8 Boushey, H., & Glynn, S. (2012, November 16). There Are Significant Business Costs to Replacing Employees. Retrieved January 3, 2018, from
https://www.americanprogress.org/issues/economy/reports/2012/11/16/44464/there-are-significant-business-costs-to-replacing-employees/
9 Karami, S. (2016, February 10). New Survey Results: Recent Grads Leave First Jobs Quickly. Retrieved January 3, 2018, from
https://www.expresspros.com/Newsroom/America-Employed/New-Survey-Results--Recent-Grads-Leave-First-Jobs-Quickly.aspx
Appendix