ILPC 2027

The apprenticeship systems of England and Germany face change, yet the underlying causes and future implications of recent developments remain unclear. This conference paper explores recent change in both systems and argues that they are not following a path of convergence. Apprenticeships are commonly considered a contributory driver of intermediate skills formation, national competitiveness, innovation and job creation (Finegold and Soskice, 1988), but such outcomes can be highly variable across the different national capitalist economies (Hall and Soskice, 2001). The ‘dual’ German system is seen as an exemplar of a corporatist and coordinated approach, where both firms and vocational schools provide highly structured training (Bosch, 2010). Conversely, England’s system is typically characterised as voluntarist, with the flexibility of the economy and labour market given priority (Crouch et al., 1999). Hence conventional wisdom views the English and German apprenticeship systems as fixed ideal types and distinct polar opposites (Hall and Soskice, 2001; Finegold and Soskice, 1988). Despite this, recent developments highlight a potential for convergence, with higher investment in apprenticeships forecast in England compared to an increasing provision and popularity of higher education (HE) in Germany (Bosch and Charest, 2010). Change in the apprenticeship systems therefore derive from two juxtaposing state-driven initiatives in both countries. Firstly, in England, there is a drive to increase apprenticeship participation and reform the system away from provider-led to employer-led control of training through the ‘Trailblazers’ initiative where employer-led groups create new apprenticeship standards. There is to also be an apprenticeship levy from 2017 and an ‘Institute of Apprenticeships’ to independently regulate apprenticeships. Secondly, in Germany, there is increased investment into HE, particularly through the Bologna reforms, leading to shifting societal and industry aspirations and perceptions of apprenticeships that could damage their popularity. Extant debate paints a somewhat contradictory picture of the German system. Many note its undoubted strengths, particularly drawing on its famous ‘dual’ system (Rubery and Grimshaw, 2003; Grugulis, 2007) whilst others highlight its erosion due to the rise of HE, which is seen to lower the social standing of the system (Thelen, 2004; Bosch, 2010; Crouch et al., 1999; Culpepper, 1999) and its so-called dualisation within the labour market, due to educational expansion and the rise of non-standard employment (Thelen and Busemeyer, 2012). The English system, in comparison, is often portrayed as a victim of training failure due to the market-driven dominance of firms and continuous political upheaval (Finegold and Soskice, 1988; Crouch et al., 1999; Gospel, 1995); yet little is known about the likely impact of the recent reforms and the upcoming apprenticeship levy. This paper addresses the above debates by examining the agency of different institutional actors involved in both systems and how they are responding to increasing social, economic and political pressures. The paper draws upon data from semi-structured interviews with institutional, industrial and policy experts from employer and industry organisations, professional associations, chambers of commerce, trade unions, research institutes and government and public bodies. Through this, the paper argues that adopting an institutional perspective on apprenticeships is essential to understanding current and future policy developments in both systems.