Training policy – a return to the tripartite system?

Skills featured prominently in the budget debate this year. At least, they did on the Government side of the debate: Philip Hammond, the U.K. Chancellor (or Finance Minister), made skills a central plank in his strategy for improving productivity and growth. The leader and other senior figures in the Labour Party have so far focused on other issues, notably housing, poverty and unemployment, though they may get around to addressing the skills proposals later on. And I will also try to blog on the issues of productivity and skills in the next few days.

Meanwhile I wanted to draw attention to Philip Hammond’s mention of the trade union movement and employers’ representatives. Apparently the Confederation of British Industry and the Trades Union Congress have formed a partnership with the Government over the design of a National Retraining Scheme. It will start relatively modestly, it seems, with investment in digital and construction skills. And it includes continuing support for UnionLearn, which seems to me a good idea.

To be honest, I found myself rather surprised by this section of Hammond’s speech. Three-way partnerships in training policy between state, employers and unions are well established in many European countries, including Germany and the Scandinavian nations. And they were once normal in the U.K., particularly after the 1964 Industrial Training Act set out a national system of tripartite sector-based Industrial Training Boards. Hilary Pemberton argued that this legislation failed to transform deep rooted cultural attitudes, making it easy for the Thatcher Government to do away with it.

Whether Hammond’s National Retraining Scheme will do any better is a moot point. It clearly represents a much more modest form of tripartism than the ITBs, but perhaps this will prove an asset – particularly if the Retraining Scheme is linked firmly with measures to promote skills utilisation. The history is less than promising, but if the Government is able to persist with the Scheme, it might prove very interesting indeed.

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