Why the return of apprentices could work for a lost generation

Recovery is likely to be slow, the fate of many businesses still hangs in the balance and for those unfortunate enough to have been born in the decade or so from the mid 1980s, the future looks particularly bleak.

Now dubbed the "lost generation", 16-24-year-olds have never had it so bad. Even those armed with impressive A-level results and a decent degree have found the door to the world of work firmly shut.

With many ill-prepared for the demands of an increasingly competitive jobs market, there are growing calls for a return to the culture of apprenticeships to ensure that another set of school leavers don't find themselves joining the ranks of the unemployed.

"We are in danger of becoming a low-skills, low-paid nation," says Simon Waugh, chief executive of the National Apprenticeship Service, which was set up in April last year to boost the number of on-the-job training places. "Many firms find their ability to grow is hampered by a lack of skilled labour, yet apprentices are a key, cost-efficient way to get a better trained workforce. There is a lack of awareness in many firms and that is one of the things we have to change."

As the organisation's first anniversary approaches, it says it has been inundated with young people desperate to get on the first rung of the career ladder. Sadly, many face a long wait to secure their first position.

"There are lots of young people really keen to do an apprenticeship," says Simon. "Currently, we have more than 200,000 people registered online, but at the moment we have just over 7,000 roles available.

"There is tough competition which is good from the employers' perspective as it means they have a pool of really talented people to choose from, but obviously we need more firms to come on board. Part of our job is to make companies aware of the benefits and as we do, we hope that number will soar."

During the credit crunch, many firms suspended their usual graduate recruitment targets, but there are signs that more business are willing to look at introducing apprenticeships. Well-known names like Rolls-Royce and

British Gas have a rolling programme of apprenticeships and Morrisons has previously said it is committed to providing 20,000 places.

Part of the renewed enthusiasm is down to the introduction of a new Government grant. While there is no upper-age limit to becoming an apprentice, firms that take on unemployed youngsters aged between 16 and 17 before the end of March will receive 2,500.

Traditional apprenticeships fell out of fashion in the rush to get school leavers into university or a full-time place in higher education, but with many now finding their qualifications aren't worth the paper they are written on, the idea of being paid while gaining practical experience is an increasingly attractive proposition for some.

"Apprentices are entitled to a minimum weekly wage of 95, but our research shows most earn on average 170 a week," adds Simon. "In the past, there was a sense that apprenticeships were male dominated and it's one of those things that will take some time to change. However, there does tend to be a much more even split these days which is partly down to a much broader range of opportunities.

"There are traditional apprenticeships such as engineering and hairdressing, but we have also noticed an increase in other fields, particularly the creative industry.

"It's important to reaffirm

how important apprenticeships are in our society," says Simon. "Not just to the young people who do them, but to highlight the benefits there are to business. They represent great value for money and can bring life and soul to companies.

"Having apprentices can really invigorate a business and give a feeling of learning throughout the whole organisation.

Our research shows that those who had already caught onto the benefits were in much better shape when the downturn came. Hopefully the economy has

begun to turn a corner and the time is absolutely right for businesses of all sizes to take on apprentices."