Job Creation and Training in the Irish Hospitality Industry · 2013-10-21 · Job Creation and...

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Job Creation and Training in the Irish Hospitality Industry September 2013

Transcript of Job Creation and Training in the Irish Hospitality Industry · 2013-10-21 · Job Creation and...

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Job Creation and Training in the Irish Hospitality Industry

September 2013

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TABLE OF CONTENTS PAGE Executive Summary 3 Background 4 – 5 IHF Training Needs Survey 5 – 6

IHF Proposal to Address Skill Shortages in FETAC Levels 4 & 5 Registered Training Providers 6 Training Venues 6 Issues to be Overcome with VEC Network 7 Institutes of Technology (IOTs) 7 Issues to be overcome with IOT Model 7 Seasonal Hotels 7 Funding 8 Possible Training Model – Apprenticeship Schemes 8 Candidates 9 Programme Modules 9

Other Areas of Consideration Training for People with Disabilities 10 Need for Involvement with Industry 10 Qualifications in the Education and Training System 10 Solas 11 Intreo 12 Forfás 12 Conclusion 13

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EXECUTIVE SUMMARY

The Irish Hotels Federation (IHF) is the national organisation of the hotel and guesthouse

sector in Ireland and is a key stakeholder in Irish tourism. It is officially recognised on a

national and international level as the representative body. The IHF represents almost 800

properties in Ireland through promoting and defending the interests of its members.

In addition to our various functions the IHF works very closely with tourism training providers

and organisations, in particular Fáilte Ireland (formerly CERT). Our working relationship with

Fáilte Ireland has proved very successful over the years with Fáilte Ireland always giving due

consideration to our sector’s training, employment and service needs.

With more than 50,000 people directly employed by hotels and guesthouses in Ireland, the

hotel sector has a critical role to play in job creation and the recovery of the wider economy.

This document sets out the background to the IHF’s very real concerns in relation to training

and skills in the Irish hotel sector. It also outlines the key elements of our training

requirements and sets out possible solutions to these training requirements.

There is currently no State organisation tasked with pre-employment training of young adults or those wishing to up-skill and/or re-skill for a career in hospitality.

An opportunity exists with the formation of Solas and the Local Employment and Training Boards (LETBs) to establish a fully inclusive Labour Training and Activation policy by adding Tourism as a function within these new organisations.

A definite need is perceived for pre-employment training and re-training within the hospitality industry.

New policy regarding Labour Force Activation has not sufficiently addressed the needs of a key industry within the state.

There is a need for Skills and Labour Market Studies in the area of Hospitality/Tourism to be carried out by State Bodies such as Solas and/or Forfás.

The industry wishes to create new apprenticeship schemes backed by the principle of life-long learning and accreditation within the national qualifications framework.

The IHF estimates that 2,000 training apprenticeship places at minimum would be taken up annually in schemes it has identified. 1

A further 5,000 jobs could be created through re-skilling those on the live register.2 1 & 2 – IHF Training Needs Survey 2013 (Page 5)

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BACKGROUND

The IHF is concerned that the hotel and catering sector will in the immediate future face an

acute shortage of trained craft, entry level workers, supervisors and line management due to

the market failure within the training arena.

Fáilte Ireland is no longer providing pre-employment training. In the absence of such training,

fully trained operatives from overseas are gaining advantage when seeking employment in

tourism enterprises. The void left by the extinction of CERT and subsequent exit from pre-

employment training by Fáilte Ireland has not been filled.

While Fáilte Ireland’s current programme of training is quite extensive as demonstrated on

the training section of their website – www.fáilteireland.ie

(http://www.Fáilteireland.ie/Upcoming-Training-Workshops.aspx#searchtext=&), there is a

focus on training in the area of marketing, revenue, sales and other programmes targeted at

managers and owners. It does not cover the entry level training (FETAC 4 & 5) currently

required by our sector. This is increasingly problematic in the context of future and changing

skills needs.

State funded training schemes have focused mainly on Information and Communication

Technology and other manufacturing areas but have consistently omitted Hospitality and

Tourism. Outsourcing of schemes has been to the detriment of Tourism since there are no

established training companies in the state capable of tendering and delivering to the

industry’s requirements and standards.

This gap in training was not immediately felt by hoteliers due to the downturn in business and

the drop in demand for large numbers of new staff. However, after a number of years without

the conduit of trained entry level staff there is now a perceived and real demand for such

staff. Increased taxation of the workforce and emigration have taken their toll on the younger

chefs and supervisors who would normally have stayed within the industry.

The exit from craft training by Fáilte Ireland has coincided with the abolition of FAS (now

Solus) and the restructuring of the whole employment training infrastructure for the country.

The IHF has discovered through dialogue with Solus and Fáilte Ireland that Hotel and Catering

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training policy has not been updated or reviewed effectively within the plans for the new

structure replacing FAS.

Institutes of Technology (IOTs) offer Catering and Hotel Management courses in the following

locations, Dublin, Tallaght, Waterford, Cork, Tralee, Limerick, Galway, Athlone, Dundalk and

Letterkenny. However, training in these venues is from HETAC Level 6 to Level 8. While this

level of training is indispensable to our sector there is an obvious gap in training FETAC Level 4

and Level 5.

The IHF accepts that HETAC levels 6 and over is the remit of the third level sector but there is

scope for the IOTs to provide certification of modular learning programmes devised with

industry.

The IHF has learned that approximately 3,000 fulltime students are educated in Hotel and

Catering studies of which about 40% will be available for full time employment annually. The

cohort of graduated full time hospitality and catering students annually is welcome and they

all find employment within hospitality, catering and institutional catering. Full time education

is expensive however, and the IHF believes that full time third level education is not a

requirement for every catering career.

The IHF perceives a disconnect between the provision of long course duration training in the

IOTs and the industry’s requirement for semi-skilled workers in certain areas of culinary

preparation and other employment areas within the sector. The IHF would like to see a more

modular approach being taken to the industry’s demands. This is happening currently but

there could be better delivery and increased co-operation with the LETBs in developing

solutions to short duration programmes for pre-employment training.

IHF TRAINING NEEDS SURVEY

To quantify the current shortage of entry level craft staff and to demonstrate the difficulty

that IHF members are experiencing in recruiting such staff, the IHF surveyed its members in

May 2013. Based on a 21% response rate by number of rooms and extrapolating for the total

number of available rooms, the survey revealed that: there is a demand for 1,760 permanent

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staff and 5,865 seasonal staff in 2013. IHF Members also indicated they would require an

additional 2,745 staff in 2014.

With this level of craft jobs on offer and over 400,000 people on the live register, there is an

opportunity, providing funding is made available, to train or retrain people currently excluded

from the workforce, take them off the live register and get them started on a career path that

will grow their skills base and potential. The IHF sees the requirement to reintroduce this level

of craft training as a priority in order to fill the shortages in its members’ establishments and

in the wider tourism industry.

IHF PROPOSAL TO ADDRESS SKILL SHORTAGES IN FETAC LEVELS 4 & 5

REGISTERED TRAINING PROVIDERS

The IHF, in partnership with Registered Training Providers who have Quality and Qualification

Ireland (QQI) validated training programmes, is seeking to source funding to pilot craft level

training programmes. Registered Training providers include; Vocational Educational

Committees (VECs), Colleges of Further Education (CFEs) and Institutes of Technology (IOTs).

Furthermore they have the network nationally that would make them attractive to the hotel

industry as enablers of basic craft education and training programmes.

TRAINING VENUES

Vocational Educational Committees (VECs) and Colleges of Further Education (CFEs): The

following CFEs and VECs have indicated their willingness to partner with the IHF to deliver

pilot training programmes, provided funding was made available.

Cork City VEC in the former Fáilte Ireland Training Centre

Limerick City VEC if they could lease the Fáilte Ireland training Centre

Cavan Institute which has taken ownership of the former Army Barracks

Coláiste Ide

Galway VEC on an outreach basis in hotel kitchens.

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In addition, existing Catering Training Centres no longer used by Fáilte Ireland in Limerick,

Waterford and Amiens Street (Dublin) would be ideal for use as training centres under VEC

management.

Issues to Overcome with the VEC Network

Capex is required to equip the VECs with suitable facilities for culinary training

Agreed curricula, training and performance standards will be required

A central body for administering programmes will be essential

Institutes of Technology (IOTs): The IHF has been in contact with a number of IOTs and they

have indicated that, if funding was available, they could deliver additional training

programmes. Some have capacity to deliver in their own properties; some would use an

outreach centre. In addition some IOTs could deliver programmes during the summer months

when the IOTs are normally closed.

Issues to be overcome with the IOT Model

Industry generally is busiest at these times so there are issues with compatibility in relation to

usage through collaboration with the IOTs.

It is a source of frustration that the Springboard funding request submitted collectively by a

number of IOTs was unsuccessful in the current round of funding requests. The IHF is grateful

that the Tralee IT application is to be funded but this alone is a small measure within the

context of the overall industry requirements.

Seasonal Hotels: There is opportunity for IOTs to participate in outreach programmes using

seasonal hotel facilities or in conjunction with the LETBs.

The old CERT model of using dormant seasonal hotel facilities for this purpose is worth

retracing for this purpose. In peak years, CERT trained over 1,000 participants in short winter

pre-employment courses in this manner.

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FUNDING

Examples of the cost of delivering some training programmes in VECs and CFE are:

33 week programme, Professional Cookery, 5M2088, in Cavan Institute would be approximately €1,300 per trainee.

33 week programme, Hospitality Operations, 5M2083, in Cavan Institute would be approximately €800 per trainee.

The VEC would cover all other costs.

An example of the cost of delivering a training programme in IOTs is:

16 week programme on an outreach basis at €5,500 per trainee. The total cost for 16 trainee chefs would be €90,000.

This would cover the cost of renting premises, instructors’ salaries, ingredients, trainees’

allowances, uniforms and knives. The cost of delivering restaurant and bar programmes in

conjunction with a cookery programme would be considerably less per trainee. The IHF would

assist colleges with recruitment and with securing placements for trainees for work experience and

jobs.

POSSIBLE TRAINING MODEL - Apprenticeship Schemes

IHF Members favour the ‘Apprenticeship Model of Training’. This approach links the capacity

of candidates to ‘earn as they learn’ in a structured and accredited learning format. The

guiding principle is that candidates earn a wage during their instruction period and have the

opportunity to advance their prospects through modular training over a period appropriate to

the skills that must be acquired.

For example a culinary skills apprentice may require a short intensive training period followed

by supervised practical experience. For the study of complete kitchen management it may be

necessary to combine a number of short apprenticeships into a longer contract. There may be

a requirement for candidates to have a programme co-ordinated across several employments

in order to reach conclusion.

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The IHF believes that within the hotel area alone, there could be scope for around 1,000

culinary apprenticeships annually. Other areas would include Food and Beverage service,

Maintenance and Housekeeping functions.

CANDIDATES

The IHF believes that an opportunity currently exists for the hospitality sector to develop links

with the Department of Social Protection with a view to up-skilling or retraining job seekers

currently on the live register to fill the craft vacancies which currently exist in the hotel sector.

With the support and assistance of the Department of Social Protection (DSP), the IHF would

screen candidates. Successful candidates would then be interviewed by potential employers

who would select trainees who would be effectively sponsored by the employer and

guaranteed a minimum of one year’s post training employment. The employment offered

would continue with ‘on the job’ training, supervision and assessment co-ordinated through

the LETB. Certification (from the registered training providers referred to above) would follow

and the employer and employee could develop a career path for a number of years.

The DSP and employers would agree a set of incentives that would continue to long term

employment and access to continual development.

Over time the programme would evolve to become a real incentive to job training/retraining

and starting/restarting of careers.

The IHF believes that this approach would be a real catalyst for the integration of candidates

from the live register into tourism. It would also be beneficial in achieving increased access

for local workers within the hospitality area.

PROGRAMMES AND MODULES

The older training modules of Fáilte Ireland are a rich repository of blueprints for pre-

employment training. Many of these modules may require up-dating and some modifications

but the main advantage is that the programmes are fully accredited by Qualifications and

Quality Assurance Ireland (QQI).

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OTHER AREAS OF CONSIDERATION

TRAINING FOR PEOPLE WITH DISABILITIES

The IHF has partnered with the National Learning Network to ensure that the industry creates

opportunities for people with disabilities. There is plenty of scope for hospitality to play its

part in providing work opportunities for people in this area.

NEED FOR INVOLVEMENT WITH INDUSTRY

The IHF has established an Education and Employment Advisory Grouping to deal with the

gaps in the education, funding and training system as it currently exists. This dynamic

grouping will advise on policy changes that will be positive for all concerned. Members of the

committee include hoteliers, educators and representatives from Fáilte Ireland and other

hospitality organisations. This grouping will liaise with the various training providers (VECs,

IOTs, and CFEs). It will attempt to identify areas of training with most need and the training

programmes and modules most suitable for industry needs.

Qualifications in the Education and Training System

The chart overleaf outlines the main education and training pathways in Ireland. It also

indicates the levels at which awards and programmes are placed in the system. The system

has ten award levels. Each level is based on nationally agreed standards of knowledge, skill

and competence and reflects what an individual is expected to know, understand and be able

to do following successful completion of a process of learning and training. This qualifications

system is known as the National Framework of Qualifications and is made up of the Further

Education and Training Awards Council (FETAC), the Higher Education and Training Awards

Council (HETAC), The National Qualifications Authority of Ireland (NQAI) and the Irish

Universities Quality Boards (IUQB).

The Department of Education and Skills has amalgamated this system into a new single agency

- Qualifications and Quality Assurance Ireland (QQI). However, there is much confusion

regarding the appropriate qualifying standard that would apply to craft training programmes.

Some educators talk about FETAC levels 4, 5, 6 and others refer to HETAC. In some instances

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an interim use of City and Guilds has been mentioned. Qualifying standards for craft training

and skills is an area that must be addressed in order that qualifications are well defined and

measurable.

SOLAS

There is a real need for hospitality and tourism to be integrated within the structures of Solas.

From the outset, the IHF would like to have the Skills and Labour Market Research Unit of

Solas consider a study on the requirements of the hospitality sector. The sector has expanded

beyond the traditional areas of hotels, guesthouses and restaurants in recent years. The

provision of catering at food halls within supermarkets, the burgeoning nursing home sector,

institutional and sporting catering has expanded the opportunities of employment for

hospitality employees. The lag in training has led to many positions being filled by skilled

European and non EU staff. Currently no statistics exist for the requirements of our sector.

An industry liaison is required and the IHF offers its Education and Advisory Grouping as such

a vehicle.

There is a need for tourism and hospitality to be represented within the policy area of Solas so

that due consideration may be given to the sector when Solas contemplates its programmes

and supports.

Source: Forfás - Monitoring

Ireland’s Skills Supply 2012

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The orderly development of tourism requires training and delivery objectives for the industry

nationally to be established in a co-ordinated manner. Currently there is no specific Labour

Force census in the tourism area for the purpose of employment planning. As a primary

stakeholder in tourism the IHF believes that Solas should manage the training requirements

for our industry. A National Tourism training and employment plan is a minimum request. The

IHF is happy to assist in co-ordinating the production of such a plan. We seek this to be added

to the functions of Solas in order to ensure continuity of provision.

Further representation is required on LETBs where we can contribute as employers to the

practical and pragmatic employment outcomes for the candidates who will seek pathways to

gainful employment through LETB programmes and services.

INTREO

The IHF is committed to assisting the Department of Social Protection in its role of assisting

people on the live register to gain employment through our industry. Over the past year in

particular, the IHF has established linkages at various levels in order to convey the

requirements of the industry and in turn to learn the operation of Intreo first hand.

The IHF would like to assist the State in the referral processes that will provide the LETB’s with

candidates for training. The Federation believes its members can work innovatively in securing

better employment prospects for candidates from courses run by the VEC. Some change is

required from the employer’s perspective in how candidates are selected for vocational

training. The Federation believes that it can assist in the process and ensure better value for

state investment in training.

Locally, the Federation members will become more familiar with their Intreo office and work

with an agreed framework to bring about increased employment opportunities within hotels

for candidates.

FORFÁS

The IHF sees a key role for Forfás in continuing more in-depth studies of the Tourism Industry

workforce and education. The contribution to economic recovery by Tourism can only be

maintained through on-going management and analysis of the industry.

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The IHF proposes that Fáilte Ireland work closely with Forfás in developing on-going labour

force surveys and assessment of our industry.

The seminal work done by Forfás for other areas of the economy if applied to tourism and

hospitality would strengthen the policy making and success of future tourism endeavours.

As a matter of course the inclusion should become reality by 2014.

CONCLUSION

The IHF remains a committed partner in developing the full potential of the Hotel and

Guesthouse sector. As an employment intensive industry we have the ability to maintain

strong levels of employment and provide a vital first job opportunity to thousands of young

people.

Career opportunities exist within the sector that are not being exploited to full potential currently due to market failure within the area of training and employment policy.

Craft training enables employees to develop transferable skills that can improve their employability within the tourism industry and beyond.

Continued development of craft training in hotels is central to a successful and sustainable industry which will continue to benefit the Irish economy as a whole.

If the skill shortage is not addressed, we foresee acute skill shortages in the hotel sector leading to possible long-term damage to the tourism sector.

An opportunity will have been lost to provide several thousand of our long-term unemployed with both jobs and skills.

Future success within the industry depends on the industry being represented within all the appropriate new structures of State tasked with employment, up-skilling, reskilling and pre-employment training.

A Tourism Training Division should now be formed within SOLAS to address this demand.

It is essential that these policy issues be resolved quickly.