Companies must hire apprentices to win big government contracts

This bill requires companies to hire apprentices if they want to win large government contracts. When the government buys goods or services worth over a certain amount, the winning company must employ apprentices for at least 2% of their workforce on that contract. An apprentice is someone learning job skills through a mix of work and study. The government says this will create more training opportunities for young people and help fill skills gaps in the economy. Business groups say this could make government contracts more expensive and harder to fulfill, especially for smaller companies that may struggle to find suitable apprentices or provide the required training.

• 1Companies bidding for large government contracts must employ apprentices
• 2Apprentices must make up at least 2% of the workforce on each contract
• 3Only applies to government contracts above a certain value threshold
• 4Apprentices learn through a combination of work experience and formal study
• 5Government says this will boost youth employment and fill skills shortages