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Levy should help train temporary staff - report.

ALMOST a million temporary workers could benefit from better skills training if they had access to the training funds their agencies pay to the Treasury, according to a report.

Courses that could lead to significant pay rises and higher productivity would be unlocked if money paid for the Apprenticeship Levy could also be used on other qualifications as part of a skills levy, said the Recruitment and Employment Confederation (REC).

The organisation launched a petition calling for changes to the Apprenticeship Levy, saying it was "poorly designed, inflexible and doesn't reflect modern working practices".

Around 670 REC members have PS104m of Apprenticeship Levy funds between them going unspent, because it cannot be used to support the temporary workers on their payrolls, it was suggested.

REC chief executive Neil Carberry said: "The Apprenticeship Levy was designed with the best of intentions, but everyone knows it is not working as intended. It's time for reform.

"As we redesign the levy, keeping support in place for apprenticeships matters, but we must end the scandal of locking temporary workers out of the system. "Employers are paying a levy for them, but can't use it to support their development - 95% of REC members who pay the levy cannot use the funds available to them to train their staff.

"One of our members told us they would use a reformed levy to enable their staff to 'secure longer-term sustainable employment and build their personal resilience'.

"We should be helping these well-intentioned employers unlock productivity in their workforce by using the levy to train temps."

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Title Annotation:Business
Publication:The Journal (Newcastle, England)
Date:Jul 2, 2019
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