Skills initiatives in the recession: a focus on National Skills Academies

National Skills Academies (NSAs) are a key instrument in the Government’s agenda to make the UK economy competitive on a global scale on the basis of world-class skills. As employer-led centres of excellence, National Skills Academies enable employers to identify and address the skills and employment issues within their sector. The uniqueness of each National Skills Academy  - both in terms of sectoral focus and delivery - ensures that key sectors of the economy are meeting employer needs and up-skilling individuals in a range of areas such as enterprise, finance and manufacturing. National Skills Academies provide the key link between employers and training by bringing investment to those skills identified by businesses as essential.

National Skills Academies are focused on transforming the way a sector’s training and development needs are addressed. They have the ability to shape qualifications available to employers by recommending the addition, redesignor removal of qualifications to fill skills gaps and shortages.

Each National Skills Academy has its own industry-specific approach which reflects the extent to which National Skills Academies create practical solutions relevant to employers in their sector. Unlike some other ‘academies’ [1], National Skills Academies are not necessarily purpose built centres for learning. National Skills Academies can facilitate learning through courses delivered by existing training providers, deliver training on-site (e.g. construction), through internet based programmes, be located within existing training centres using state of the art facilities or have a purpose built facility.

The Government sums up National Skills Academy's unique and innovative approach in its response to the Innovation, Universities, Science and Skills Committee report ‘Re-skilling for recovery’: ‘We have introduced NSAs to put employers in the driving seat of the skills system. In return for their sustained investment, employers are able to suitably flex the system and decide which provision and which providers would best meet their needs.’

Support for National Skills Academies from the Government is clear, both in the response above, published in March 2009 and the pre-budget report in December 2008. It has stated its desire for an National Skills Academy in every major sector in the country and for the development of a further four National Skills Academies during 2009. Most recently Government has highlighted the importance of the network stating that it is ‘increasingly looking to the NSA network to start taking on the role of organising demand more strategically and influencing the Learning and Skills Council as necessary’ and that they ‘expect NSAs to be the catalyst that drives the transformational effects throughout the FE system.’

It is extremely encouraging to see Government firmly committing to National Skills Academies and their strategic role in the recession. National Skills Academies provide a route through which employers can influence and shape key factors, such as skills, which if addressed will help us through the recession. The Government’s commitment to achieve more specialised, employer responsive training and development services will promote growth in ultimately all sectors and consequently, the UK economy as a whole. To date, eleven National Skills Academies are in development after having their business plans approved with another five currently in the business plan development stage.

Despite the vital differences between each National Skills Academy, all National Skills Academies operate on the basis of a set of core values; leadership, transformation, collaboration, openness and independence. The values ensure that National Skills Academies have the flexibility, working with the existing skills landscape, to create an innovative supply of skills. National Skills Academies must also ensure that all employers, regardless of location, can access their products and services.

In the three year development phase National Skills Academies are part (50%) funded by the Learning and Skills Council and part (50%) funded by National Skills Academy generated investment such as direct employer contributions or other publically secured funds. The development phase also includes support from the Learning and Skills Council (LSC) through a number of tools and technical assistance to ensure viable and sustainable National Skills Academies.

To ensure future economic prosperity and alleviate the impact of the recession, a long-term approach is needed combined with policy interventions addressing urgent employment needs. National Skills Academies will ensure that the fundamental skills issues, that each was set up to resolve, are addressed now. The recession makes this an even more important task to ensure they don’t deteriorate further, risking an additional negative impact on the economy. The UK can only compete in the global economy if the skills issues identified by employers, now and in the future, are addressed. 

The major benefits of National Skills Academies are undoubtedly for employers, large and small, in filling vacancies with skilled candidates and the more timely issue of up-skilling those already in the workplace. An example is shown with the National Skills Academy for Active Sports and Leisure offering ‘Credit Crunch Courses’ designed to equip business with the relevant tools to save money and boost performance.

Collaboration between the National Skills Academy for Nuclear and the corresponding Sector Skills Council, Cogent, has led to the development of a ‘Skills Passport’ for the sector ensuring a qualified, and crucially during a recession, mobile workforce with transferable skills. This relationship has also led to the development of a Cogent Sector Compact, negotiated with Government by the National Skills Academy, levering an additional £50 million of support through Train to Gain for businesses to train their staff and improve productivity.

The positive experiences of learners engaged with National Skills Academies are another key benefit. National Skills Academies engage with new and different learners, including: those not previously attracted to a particular sector; those not in education, employment or training (NEETs); and those who in the past have been reluctant to engage with training programmes.

The National Skills Academy for Nuclear is facilitating a Nuclear Bursary Award Scheme aimed at attracting a ‘broader mix of new entrants’ to the sector. The bursaries have been awarded to students to help start or further their careers in the sector and have been used for a range of qualifications including Foundation Degrees and Master Degrees clearly providing progression routes to level four and above.

Through a truly employer-led approach, the National Skills Academy for Financial Services ensures that the work experience its learners participate in will develop the required and sought after skill set. This is highlighted with one specific learner who undertook a programme at the Academy’s Tower Hamlets centre, with a four week unpaid work experience programme in Canary Wharf, who as a result achieved an ‘Introduction to Investment Award’ and a permanent position in the financial services industry.

Every active National Skills Academy is able to demonstrate its value with similar case studies and examples. Four National Skills Academies currently in the business planning phase include; power, IT, social care, and enterprise - led by Peter Jones of Dragons’ Den fame. These are to receive up to £30 million in capital and revenue match funded by employers and the National Skills Academy. In a time of recession, when public spending is tighter than ever, National Skills Academies will need to demonstrate added value, real benefits to employers and key stakeholders in each sector.

For National Skills Academies to be fully effective, the surrounding infrastructure, including the LSC, Department for Innovation, Universities and Skills and training providers need to have the flexibility to respond. Changes to the system over recent years have led to an increasingly demand-led, responsive skills system but there are still improvements to be made. John Denham has noted this in a speech at the Royal Society, London in April, stating that ‘we need to be more conscious about what drives investment in skills’.

National Skills Academies have not avoided the recent media scrutiny of skills initiatives. Reports have criticised the programme for failing to deliver 12 academies by the end of 2008 and suggesting that the demand from learners has been low. It is however important to note that whilst 11 National Skills Academy’s business plans have been approved to date, they are all still within their three year development period. It is therefore too soon to fully appreciate the quantifiable impact, despite the qualitative evidence being clear.

The Learning and Skills Council requires all National Skills Academy business plans to undertake a rigorous approval process to ensure the proposed solution can target and improve its sectors’ skills needs. As part of this process the National Skills Academy must demonstrate and achieve measurable business buy-in including contribution and input into programme and qualification development. It is this thorough process and the values of each National Skills Academy that justifies the substantial Government investment involved.

In times of recession it is easy to assume that a radically different approach to the norm is required, to reflect the unusual times we find ourselves in. It is however important that we don’t disregard all previous skills and employment policies in haste and rather than throwing away previous investment, we utilise them in the most effective way. Putting in place emergency strategies to assist employers and individuals during this time is essential and this can be done alongside policy which was put in place prior to the economic downturn, such as National Skills Academies - a view clearly shared with Government.

National Skills Academies provide an ideal link between Government and employers in the provision of skills training. This link, strengthening over time, provides the ideal route for the skills agenda to be driven. Complete integration with skills initiatives such as Train to Gain, and the Training Quality Standard will enable National Skills Academies to have maximum impact and sustainability. The concept of ensuring the right skills are available in the right places to support our economy at the right time is termed ‘strategic skills’ within Government and National Skills Academies provide the perfect vehicle for this.

The recession provides the ideal time to focus on a holistic approach to skills and employment. It is this approach that will ensure all sections of our society enjoy opportunities to develop, access to career opportunities, and as a result are able to enjoy a better, more enjoyable quality of life - during economic recovery as well as in times of prosperity. 
 

1. Other academies include School and City Academies which are ‘all-ability, state-funded schools established and managed by sponsors from a wide range of backgrounds’. Other academies also include national academies such as the Space Academy that are not part of the National Skills Academies network.


The above article appeared in the June 2009 edition of Workplace Bulletin.