Apprentices 


Much has changed in apprenticeship regulation in recent years. The Apprenticeship, Skills, Children and Learning Act 2009 (ASCL 09) created a framework for apprenticeships. Key features include:


• a minimum duration: all apprenticeships must last a minimum of a year. For those aged 19 or over, apprenticeships must last between one and four years;


• all apprentices must be employees with an Apprenticeship Agreement. An apprentice cannot be self-employed, a worker or a volunteer;


• there are minimum working hours;


• there are minimum levels of guided learning hours for on and off-the-job training; and


• there are minimum requirements for skills training, including in English and Maths.


The ACSL 09 requires the whole of the apprenticeship to be delivered within the contracted hours under the employment contract. In other words, all training time for off-the-job learning must be paid. For information on minimum rates of pay for apprentices, see Chapter 4. 


All Apprenticeship Agreements must take the form of a written statement of particulars of employment or a written contract of employment, which must include a statement of the skill, trade or occupation for which the apprentice is being trained (Apprenticeships (Form of Apprenticeship) Regulations 2012) (AFAR 12). The Apprenticeship Agreement is a contract of employment, not a “contract for apprenticeship”. Apprentices have all the rights and responsibilities of ordinary employees, including as to unfair dismissal and redundancy. 


In the past, it was very difficult for an employer to dismiss an apprentice for capability or misconduct. An apprentice who was dismissed prematurely could bring a substantial contract claim for damages for loss of training and status, as well as loss of earnings for the remaining term of the apprenticeship (Dunk v George Waller & Son Limited [1970] 2 QB 163).


The change to the law making all apprentices into employees makes it easier for employers to impose performance management and capability procedures on apprentices, who will be covered by unfair dismissal law, just like any other employee, as long as they have signed a valid Apprenticeship Agreement. However, a tribunal is likely to expect high levels of employer involvement, training and opportunities to improve before dismissing an apprentice on “capability” (performance) grounds (although apprentices are not exempt from the normal two year service requirement — see Chapter 10). The redundancy rules that apply to apprentices in England are summarised in Chapter 11. The rules in Scotland and Wales are different.


Just because an employer describes a contract as one of apprenticeship, or refers to the employee as an apprentice, does not make the relationship one of apprenticeship (Chassis & Cab Specialists Ltd v Lee UKEAT/0268/10). In future, under section 21 of the Enterprise Act 2016, only statutory apprenticeships can be called “apprenticeships”. Using the label “apprenticeship” to promote a non-qualifying arrangement will be an offence. 


Apprentices have a right to at least minimum statutory employment terms, including statutory sick pay, statutory holiday pay and rest breaks under the Working Time Regulations, and to protection from discrimination (see Chapter 7: Discrimination).


There are specific grants and funding available to employers to take on apprentices.


From April 2017, the government intends to introduce an apprenticeship levy on UK employers to fund new apprenticeships, to be charged at a rate of 0.5% of an employer’s pay bill, payable by employers with a payroll of over £3 million. The Enterprise Act 2016 has created a new regulatory body called the Institute for Apprenticeships to regulate apprenticeship quality. 


As an incentive for employers to create more apprenticeships, from 6 April 2016, employers are no longer required to pay national insurance contributions for apprentices aged under-25 on earnings up to the Upper Earnings Limit.