The Atlanta Journal-Constitution
Apprenticeships have a new role
Such programs are no longer just for the trades industry.
Rigoberto CHICAGO — Velazquez had a bachelor’s degree in psychology from DePaul University and a steady job at a home health agency, but wasn’t sure what he really wanted to do with his life. So he started taking classes parttime at Wilbur Wright commu- nity college, part of the City Colleges of Chicago, where he fell in love with computers.
Velazquez went on to earn an associate’s degree in com- puter information systems, and soon was i nap ilot apprenticeship program at Accenture, aprofessi onal serv icescom- pany, working in the information technology department alongside colleagues with advanced technology degrees.
When the pilot ended, Velazquez and the three other apprentices were hired, which he doubts would have been possible had they not had the chance to prove their worth.
“I was beside myself, I would have been happy with a help desk job anywhere just to get my foot in the door,” Velazquez said. “To work at Accenture, that’ squiteaq uantum leap.”
Accenture, which in August made its pilot program perma- nent, committing to bring on 25 apprentices annually for the next five years, is among a small but growing number of white-collar companies investing in earn-and-learn programs typically associated with skilled construction trades.
Apprenticeships, which pair paid jobs with relevant edu- cation, are at the forefront of bipartisan workforce strate-
gies from Washington, D.C., to Chicago. Advocates pro- mote them as a solution to fill employers’ talent needs, give young people a debt-free path to solid careers and help work
ers like Velazquez transition to new fields of employment.
Insurance firms Aon and Zurich North America have begun apprenticeship pro- grams in Chicago, and the Chicago Apprentice Network _ newly launched by Aon and Accenture _ aims to get more companies on board. Rush University Medical Center is leading discus- sions with hospital systems in the area about establishing a joint health care apprentice- ship. And traditional trades programs are using appren-tice ships to extend a hand to underserved communi- ties whose residents haven’t had the means or networks to win coveted slots. Much like the Obama administration, the Trump administration has been a vocal supporter of apprenticeships. President Donald Trump in June signed an executive order calling for doubling the amount of federal grants that support apprenticeships to $200 million. More controversially, he called for the Labor Department to propose regu- lations to allow third parties, such as trade groups, to set standa rds for g overnmentfunded apprenticeships. Critics worry that the quality of the training will suffer if government oversight of fed- erall yf unded apprenticeship programs is rolled back. Those programs are required, among other things, to assign men- tors to participants and award incremental wage increases.
But Bob Lerman, a fellow at the Urban Institute and a leading scholar on appren- ticeships, said broad-based industry standards could raise quality and establish international frameworks common in countries with robust apprenticeship programs.
“My concern is that we need to make very significant progress in the next couple of years, or people will try to move on to the next big thing and conclude that maybe we can’t do a robust system in America,” Lerman said. The U.S. had more than 505,000 active apprentices in 2016, up from 375,000 three years ear- lier. Lerman hopes to reach 4 million. Apprenticeships represent a cost for companies, but research shows that the programs can be well worth the investment. International studies sug- gest that for every dollar spent on apprenticesh ip,e mployers may get an average $1.47 back in increased productivity, reduced waste and more inno- vation, according to the Labor Department. A review of Wash- ington state’s workforce train- ing outcomes found apprenticeships boosted participants’ future taxable incomes and thus yielded a $23 return for every public dollar spe nt,com- pared with a $3 return for community college. Advanced manufacturing, which needs skilled labor, is one growth area for appren- ticeships. The industry faces a talent shortfall as baby boomers who dominate its workforce retire and young people raised to prioritize college retain outdated perceptions of factory jobs.
But even in manufacturing, which has a longer history with apprenticeships than some white-collar fields, one of the biggest challenges has been convincing employers to see the long-term benefit of such programs, said Mario Kratsch, vice president of the German-American Chamber of Commerce of the Midwest.
The Industry Consortium for Advanced Technical Train
ing landed a $3.9 million Labor Department grant in 2015 to start an advanced manufacturing apprenticeship program, beginning with seven Chicago-area employers and seven apprentices. The program has grown — this year 27 companies and 32 appren
tices are participating — but many companies are wary of the costs associated with participating, said Kratsch, whose group partnered with the Illinois Manufacturing Association and several community
colleges to form the consortium.
Participating companies pay the chamber a management fee to run the program and also fund apprentices’ wages, cover their community college tuition and designate a supervisor for them. It can take years for some apprentices to become productive, and even then, employers worry that they may not stick around for the long term, Kratsch said.