Apprenticeships are one of the best ways for job seekers to gain skills and knowledge of a particular career, and also can help them gain access into certain industries as well. One of the largest investments are being made by businesses who put an emphasis on hiring and mentoring apprentices. The return on investment is large, as employers can gain advantage from the many benefits of state-approved apprenticeship programs. For example, A recent study by Case Western Reserve University indicated that one company they profiled obtains at least a 50 percent rate of return on its apprenticeship program, compared to hiring machinists off the street. thedaily.case.edu/apprenticeships-worthinvestment
Here are some other fast facts from ApprenticeshipUSA’s Toolkit:
- The return on investment for a registered apprenticeship program is $1.46 for every $1 invested in an apprentice. caf-fca.org/wpcontent/uploads/2014/08/Advantage_ROTI.pdf
- Over 70% of 2016 college graduates plan on leaving their job within the first three years while registered apprenticeship has a demonstrated 89% three-year retention rate. Moreover, 91% of apprentices retain employment after the conclusion of the apprenticeship program.
- Apprenticeship graduates also earn over the course of their careers $300,000 more on average in wages and benefits than their peers who do not participate in a Registered Apprenticeship. (An Effectiveness Assessment and Cost-Benefit Analysis of Registered Apprenticeship in 10 States. 2012.) www.mathematicampr.com/~/media/publications/PDFs/labor/registered_apprenticeship_10states.pdf
- Apprentices who completed their apprenticeships stay with the company to become employees in over 90% of reported cases. This retention rate is an incredible competitive advantage in a limited labor market, with an average starting wage of over $60,000 per year. (This data was obtained from the Common Reporting Information System and the Registered Apprenticeship Partners Information Data System.)
- Dollar for dollar, no workforce training method packs as much punch as apprenticeship. A 2012 Mathematica evaluation of 10 States found that for every dollar invested in Apprenticeship, the tax returns (return on investment) were $27 and total benefits were more than $35. (Reed, D. et. al. July 25, 2012). An effectiveness assessment and cost-benefit analysis of Registered Apprenticeship in 10 States.) wdr.doleta.gov/research/FullText_Documents/ETAOP_2012_10.pdf
For more information:
Please click on any of the below images to download from their online site.