The apprenticeship renaissance: What it could mean for solving HR’s talent challenges
Considering rapid technological advancement and shifting workplace dynamics, HR leaders are turning to a time-tested yet freshly reimagined solution: apprenticeships.
A recent report from the Institute for Workplace Skills & Innovation (IWSI) America titled “The New Era of Apprenticeships: Building Careers, Strengthening Industries” reveals how such programs are evolving to meet contemporary workforce needs.
The modern apprenticeship model shatters outdated perceptions that limited such programs to entry-level, lower-paying positions in manual labor industries. Today’s apprenticeships span diverse sectors including IT, healthcare, engineering and accounting, offering specialized expertise and pathways to leadership roles. Such programs are being employed by the likes of Amazon, BMW, Deloitte and Google.
“While college education has traditionally been viewed as the primary route to career success, we’re challenging this notion by highlighting the expanding role of apprenticeships,” said Nicholas Wyman, IWSI America president and co-author of the report.
The numbers are compelling. Apprenticeships have increased by 63% since 2012. Between 2016 and 2023, more than 15,900 new apprenticeship programs were registered across the U.S., bringing more than 1.3 million apprentices into the workforce. That expansion has been supported by federal grants exceeding $500 million since 2016.
Currently, nearly 680,000 apprentices are working across various industries, combining paid on-the-job training with classroom instruction. Call it earning while learning.
For HR people facing persistent talent shortages and retention challenges, apprenticeships offer a number of strategic advantages, among them:
A larger talent pool. Organizations can access diverse candidates often overlooked by traditional recruitment channels.
Enhanced retention. The report highlights how mentorship and structured development pathways improve employee loyalty.
Soft skills development. Apprenticeships cultivate critical workplace competencies that prepare participants for leadership roles.
Adaptability. These programs provide continuous training and upskilling opportunities, helping workforces remain competitive amidst automation and AI advancements.
The report provides practical guidance for HR leaders looking to establish or enhance apprenticeship initiatives, including step-by-step instructions for creating high-quality programs; replicable models based on successful case studies; best practices for recruitment, retention and reward systems; and strategies for engaging younger generations entering the workforce.
“We’re proud to be part of the growing movement that’s redefining how people think about work,” Wyman said. “Apprenticeships are a vital tool for the future of work, offering opportunities to gain the skills necessary to succeed in today’s dynamic economy.”