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You’re Hired! Why recruiters need to seize the opportunities in apprenticeships

The apprenticeship levy presents smaller recruitment agencies with a huge opportunity, if they choose to seize it.

It is smaller agencies that may well be best placed to take advantage of apprenticeships and get on with the job of matching people with placements, without all the big agency angst

The apprenticeship levy only comes into effect for employers with a payroll of £3 million or more. Large agencies with large numbers of staff, including any temporary agency staff which counts towards the £3 million, are hit by the levy.

Indeed, as Phil Hammond has diverted £80 million of tax payers’ hard-earned cash to small business apprenticeships, it may well be those smaller agencies, with local knowledge or a high street presence, that can really seize the opportunities that may come about.

The direction of travel from the government is clear and apprenticeships are here to stay. Recruiters can play their part, if they want to.

While some of these recruitment giants may well have had concerns about the technicalities of how the levy might penalise them if they had, for example, a large number of temporary workers on the pay book, many of them failed to see the opportunities apprenticeships offer.

By focusing on apprenticeships, the government is trying to get more young people into work, at the same time as addressing the nations skill’s shortages and alarming productivity shortcomings.

If it delivers as promised, this will be good for the health of the UK workforce.

‘Do what you do best’

Paul Mizen, Managing Director at The Recruit Venture Group, who help recruiters launch their own business, said: “Keeping up with the latest legislation and government announcements on things like apprenticeships is not always easy, and it can be particularly difficult to accurately analyse the effects they will have on the industry and the opportunities they may bring.

“And while we have seen a lot of hand-wringing in the industry over apprenticeships and the apprenticeship lvey, what good recruiters need to think about is how to work with the system, not against it.”

“This money for small business apprenticeships certainly seems to throw up some interesting potential, particularly for the smaller agencies that we support.”

“At The Recruit Venture Group we support recruiters who have the talent and drive to start their own business. That’s all about giving them freedom to do what they do best – matching people with positions.”

“Our compliance team makes sure we’re always one step ahead of changing regulations.”

“We don’t think they should have to be bogged down with having to keep up with shifting political or legal sands. We can do that for them, and, if we see opportunities, like within apprenticeships, we can pass that on to the recruitment businesses we support.”

Many talented recruitment staff may be put off from starting their own business because of the feeling of being cut off from other talented, experienced staff.

One of the key pillars of Recruit Ventures is about offering new businesses up-to-the minute information on the issues affecting the industry to ensure they are never caught out – including when the Chancellor makes his next big announcement.

 

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