The chief of the IMI has used a keynote speech to highlight the issues of low pay among apprentices and the problems of attracting new people to the industry.

Speaking at the IMI Annual dinner in Central London, the IMI’s CEO Steve Nash spelled out what changing expectations of school leavers mean to the industry if it wishes to succeed in attracting the best talent.

He said: “The industry is telling us they struggle to attract the highest quality school leavers into training that they need to help them overcome the technological challenges they face over the next decade. This demand cannot be met while the industry continues to pay apprentices the legal minimum of £2.73 per hour across the board.”

“The education system is now totally geared up to keep young people in school until they’re 18 and push them toward university. Meanwhile, young people no longer have access to careers advisors who might send them down a vocational route since the service was reorganised in 2012. This puts industry at a disadvantage.”

“The pool of available young people to go into apprenticeships is set to shrink dramatically despite the election promises we’ve heard from all the parties. Industry must take action independently.”

To offset arguments against raising pay on economic grounds, the IMI recently produced evidence to show the motor industry can cope with a £2 per hour uplift in the starting salary for apprentices.

Using an econometric model developed in-house, the IMI calculates the return on employer investment from a well recruited and productive apprentice, with a starting salary of £4.73, will still be on average 130% on sold hours alone

This post was written by:

- who has written 382 posts on CAT Magazine.

Editor of CAT Magazine and an experienced motoring journalist

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