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CIPD PRESS RELEASE 28 January 2008
Government should provide tax relief on train to gain, says CIPD
The Chartered Institute of Personnel and Development (CIPD) welcomes the governments renewed calls to expand apprenticeships in the UK, but is concerned that small/medium enterprises which provide the majority of apprenticeships lack the financial support they need.
The CIPD believes the government should re-examine the tax agenda especially capital gains tax with a view to offering tax relief on train to gain schemes. It costs an employer thousands of pounds to take on an apprentice.
The CIPD also welcomes the government's announcement for companies' such as McDonalds, Network Rail and Flybe to deliver in house training programmes equivalent to A Levels.
John McGurk, CIPD's Learning, Training and Development adviser said: "The CIPD is delighted the government is formally recognising high quality in house training programmes like those announced today. With an increasing number of UK organisations facing acute recruitment and skills shortages, many employers see in house training and apprenticeships as a better means of addressing these than externally provided courses.
"Training and qualifications are central to upskilling employees and improving productivity. But any effort to increase skills has to be underpinned by good people management. The assumption is still that more training and qualifications automatically produces higher productivity. However skills development is much less effective if it is detached from people management practices such as job appraisal and reward.
"Organisations must also be aware skills training should be transferable to other roles and companies, allowing individuals to develop and contribute to the UK's knowledge economy ."
* John McGurk is available for interview.
* The CIPD website address is http://www.cipd.co.uk If you are a member of the press and wish to view other CIPD information, please visit http://www.cipd.co.uk, call 020 8612 6400, or email mailto:press@cipd.co.uk
* The Chartered Institute of Personnel and Development (CIPD) has over 130,000 members and is the leading professional institute for those involved in the management and development of people.
CIPD press enquiries: Meera Vohora/ Hannah Smith CIPD Press Office 151 The Broadway, London SW19 1JQ Tel: 020 8612 6400
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