In this feature, Caroline Evans, corporate strategy director at Arden University, discusses the transformative role degree apprenticeships can play in reshaping perceptions of retail and supporting the industry in its battle for talent
In the UK retail sector, the average staff turnover rate is 57.3%, meaning that more than one in two members of staff will typically leave a company within a year. To compare, the nation’s average turnover rate is just 15% – highlighting just how high staff turnover is for retail, and the challenges the industry has with talent retention.
There is a long-lasting perception that a job in retail is a short-term, ‘stop-gap’ role, rather than a path to a viable long-term career with progression opportunities. This view of the industry, alongside the high-pressure environment, and in some roles, the lower-than-average pay, has meant the retail sector has long struggled with talent retention, often losing skilled talent based on the short life cycle of transitory workers in the industry. Consequently, retailers are finding themselves continually having to reinvest substantial resources into talent recruitment.
To change the perception that retail is an industry that only offers a temporary job role while you look for something better, retailers need to look into ways they can better retain staff. A good option, which is often underestimated in retail, is looking at learning and development opportunities. Research has found that today’s workforce cares deeply about learning and development opportunities from their employers, with 94% of employees saying they would stay at a company longer if it invested in their learning and development.
Unfortunately, however, only 44% of employees in the retail and hospitality sector feel they can grow professionally in their current organisation, with only a third agreeing that their organisation has already invested in their professional development. This is despite the fact that the majority wish to stay in their respective industry for at least four more years.
By providing relevant training and career development opportunities, retailers could push those working in retail to stay. In the long run, this will eradicate the idea that working in retail is only a ‘stop-gap’ career move.
How degree apprenticeships can nurture existing talent
As the retail sector is rapidly changing, with the fast-paced nature of ecommerce, as well as the increased uptake of technology changing the skills in demand, upskilling is rising in importance. On top of this, the pandemic threw the industry into more stressful waters – and taught the importance of resilience and looking after employee wellbeing.
While degree apprenticeships can help to attract new talent, who may want to gain qualifications, but may not be able to afford these independently, they also enable existing staff members to further develop their skills to support them with promotion opportunities and career progression. This allows current staff members to upskill and keep up with industry demands. In addition, learning as an adult has been shown to help learners maintain a greater sense of purpose, improving overall happiness and therefore, enhancing wellbeing, engagement and retention. This means offering personal development opportunities remains to be a key factor in helping employee wellbeing.
Importantly, however, it also means no time needs to be taken out to study. This is especially important for those who can’t afford to take time out of their career during the current economic difficulties. On a business management apprenticeship degree, for example, employees gain knowledge and skills in important cross-functional business and management disciplines, while they continue to work in their current role. This helps them to build and develop the abilities required to be a successful manager while still earning money and applying their learning in the workplace.
A current learner of Arden University, Georgie, is studying for a Level 6 Chartered Manager Degree Apprenticeship in Business Management; she has been a store manager with Poundland for nine years now and has proudly worked in retail for most of her adult life.
Georgie told us that retail was a job that allowed her to move from store-to-store and even country to country. Her career in Retail has given Georgie a wealth of transferrable skills that that can be easily applied in a new country. Georgie always planned to study for a degree. She postponed her plans to have a family and then life plans and finances seemed to make it impossible to get her plan back on track. Georgie found that her degree apprenticeship works around both her work and personal commitments, as well as being fully funded, so she has been able to finally fulfil her ambition to obtain a degree.
Since starting the degree apprenticeship, her confidence as a manager and as a leader has grown massively. Georgie told us her degree has improved her “understanding of the business, its terminology and the bigger business landscape; it’s given me a much clearer view of our company moving forward. I’m also hoping it takes me to the next level in Poundland, which is area manager.” Poundland has already seen Georgie’s learning positively impact her day-to-day role, contributing to a stronger team moving forward. It’s a clear win-win for employer and employee.
That’s why degree apprenticeship programmes, through a flexible partner, can play an important role in ensuring employees have access to bespoke learning and development for their roles and industry. This will mean learners not only find themselves learning new things and developing their core skills, but they’ll also find themselves continually applying their knowledge directly to their organisation.
On top of all of this, studies have shown that apprentices are 85% more likely to stay in employment post-qualification, with a staggering 64% staying with the same employer. Compare these with the usual retention rates across retail, a you can see how these programmes can prove so highly beneficial for the retail sector. Not only does this mean education will help retailers to develop, but there is also a much higher chance staff will stay with you and potential talent will be more attracted to apply for roles at your business – allowing retail to remain resilient and grow.
