On 14 December 2022, the European Alliance for Apprenticeships (EAfA) held a live discussion on how to promote apprenticeships to small and medium-sized enterprises (SMEs). During the discussion, around 60 participants got together to discuss policy and different instruments used to involve SMEs in apprenticeship programmes across Europe.

SMEs are the backbone of the European economy, employing around two thirds of EU workforce and representing 99% of EU businesses. They can play a vital role in enabling a shift towards a climate-neutral and digital Europe by bringing innovative solutions and adding value in every sector.

However, a lot of SMEs are finding it challenging to adapt to the EU’s twin transitions for a sustainable and digital economy. Research shows that more than 90 % of European SMEs consider themselves lagging behind in digital innovation. In addition, the advance of digital technologies, like artificial intelligence, blockchain and robotisation, can further exacerbate existing skills shortages and mismatches.

Apprenticeships can facilitate the twin transitions and improve competitiveness among SMEs by securing skilled workers. Additionally, they allow employers to shape young people’s work habits, turning them into motivated and qualified employees.

However, many SMEs are still reluctant to engage in training apprentices due to an unfavourable business environment, burdensome legislation and internal limitations. Lack of information, training culture or sense of ownership may further prevent SMEs from taking part in apprenticeships.

To tackle this issue at the EU level, various financial instruments have been set up, including InvestEU Fund – SME window, the COSME Loan Guarantee Facility, the EIC Accelerator and the European Guarantee Fund.

Examples of promoting apprenticeships among SMEs

The discussion started with an opening speech from discussion moderator Ana Carrero, Deputy Head of Unit for Vocational Education and Training at the Directorate-General for Employment, Social Affairs and Inclusion.

Valentina Guerra (Policy Adviser for Social Affairs and Training at SMEunited) kicked off the first session by sharing concrete examples from several EU Member States of how apprenticeships facilitate school-to-work transitions and provide a supply of skilled workers to SMEs.

She was followed by Paula Zaplana (Technical Policy Officer in European Projects at PIMEC, Spain) who shed light on the Apprenticeship Inter-Network. The network is an Erasmus+ funded platform (to be launched in 2023) that will connect businesses, students and vocational education and training (VET) centres at a European level.

Meanwhile, Miriana Bucalossi (Head of Apprenticeship, WBL Policies and EU Project Management Unit at the Tuscany Region, Italy) stressed the important role the wine sector holds in Tuscany, a region that hosts more than 12 700 wineries, most of which are SMEs.

And finally, Sergio Corridori (Head of HR Department at Marchesi Mazzei, Italy) stressed how his winery puts a strong focus on transmitting knowledge from one generation to another, and how apprenticeships are an important tool to facilitate this process.

Challenges and barriers SMEs face in apprenticeships

Valentina Guerra opened the second part of the live discussion by explaining that there are differences in how Member States and subnational authorities promote apprenticeships to SMEs.

Paula Zaplana agreed, sharing the results of a PIMEC survey that found that SMEs do not participate in apprenticeships because they lack the time and financial resources needed to train apprentices and manage administrative requirements.

Miriana Bucalossi echoed the importance of removing bureaucratic obstacles. She also highlighted that the national legal framework for apprenticeships in Italy considers apprenticeships an employment contract, making it more complicated for employers to hire apprentices.

Finally, Sergio Corridori emphasised that while theoretical knowledge is required, apprentices also need to be equipped with the right practical skills that allow them to directly take up their profession once their studies have been completed.

Solutions and recommendations

In the third and final part of the live discussion, Sergio Corridori highlighted the importance of involving SMEs in VET schools from the very beginning of the learning process. This will ensure that apprenticeships become as relevant and successful as possible.

From a regional perspective, Miriana Bucalossi called for further strenghtening the collaboration between SMEs, VET schools and public authorities. She also called for involving employment agencies, where needed, to alleviate the administrative burden that SMEs often associate with apprenticeships.

Paula Zaplana highlighted that apprenticeships arouse great curiousty and interest among many SMEs, indicating that this type of training is highly valued. However, the image of apprenticeships still needs to be improved.

Finally, Valentina Guerra stressed how higher VET can be further promoted in many Member States as an alternative to higher education, providing students with high-level managerial skills.

You can download the full event report from the ‘Related documents’ section below.