In their recent research the CIPD have found that when asked how they plan to offset the 0.5 per cent charge on payrolls above £3million nearly one third of employers said they plan to do so by adapting existing training programmes so they can be accredited as apprenticeships.
CIPD comment that this goes against the spirit of the reforms.In addition 36 per cent admitted they would be forced to reduce invetsment in other training and development programmes for existing staff which Peter Cheese, the Chief Executive of the CIPD, said defies the aim of introducing the levy in the first place.
The CIPD has called for an overhaul of the levy, due to be introduced from April 2017, replacing it with a wider training levy that is employer owns and is demand led.
What is the Apprenticeship Levy
The apprenticeship levy requires all employers operating in the UK, with a wage bill over £3 million each year, to make an investment in apprenticeships.
Click here for more information on the apprenticeship levy.