Logically, apprenticeships should be an attractive option for school leavers, as they offer a range of advantages. Many industries offering apprenticeships are relatively stable, providing security during a sometimes-unpredictable labour market. The specialised skills set developed through these apprenticeship programmes is versatile, providing valuable benefits to both the local and national economies. Modern apprenticeships nurture "non-cognitive skills" (Cinque et al, 2021, p. 7) — such as communication, teamwork, and problem-solving — highly valued by employers, and increasingly sought in the workplace (Vaughn, 2017). The hands-on learning experiences that apprenticeships provide equips journeymen with nationally and internationally recognised qualifications and sound skills to found a career upon (Murray, 2001).
Funding is available so that employers to hire apprentices including: Apprenticeship Boost (Tertiary Education Commission, 2020); and the Māori and Pasifika Trades Training (MPTT) designed to enhance employment prospects for Māori and Pasifika learners, offering fee-free pre-trade training to apprentices between the ages of 16 and 40 (MPTT, 2026). The plus for apprentices is that they earn while they learn and work (McIlraith, 2022); and generally either enter their career with a minimal student loan or none (McIlraith, 2022); They end up with a tertiary qualification - granted, usually only to Level 4 (NZQA, 2015); by age 25 apprentices earn more than university graduates; and by age 40, tradespeople are more financially secure (Dann, 2017; Hurren et al., 2017).
While apprentices may be more financially secure as they approach middle age (Hurren et al., 2017) it is only at around age 46 where degree holders match tradespeople economically. And then degree holders pull ahead financially (Bealing, 2021), as they move into more senior, highly-paid roles, and into the board room (Ali & Scott, 2024). But still, those apprentices - now tradespeople - will have well earned enough to put themselves through Uni later in life, and be very competitive with a trade AND a freshly minted degree (Cox, 2021).
This raises the question: with many positive aspects, why in 2024 did only 3712 of our annual 67,000 school leavers take up apprenticeships (Education Counts, 2026; Johnston, 2024), a mere 5.5%? This appears even more disheartening as, despite an overall population increase of 15%, in 2024 we had almost the same number of apprentices as 2014 (i.e. 3742; Figure NZ Trust, 2026). We should have had 4317.
Are we, as career practitioners, providing accurate information to our clients? Apprenticeships could form an ideal first career, enabling our tradespeople, when ready for a new challenge, to dive into higher level tertiary education when ready.
And can cost benefit information compete against the cultural kudos of a university degree (Johnston, 2025)?
Sam
References:
Ali, A., & Scott, D. (2024). Comparison of education earning premiums using tax and survey data [briefing paper]. Ministry of Education. https://www.educationcounts.govt.nz/__data/assets/pdf_file/0004/244534/Comparison-of-education-earning-premiums-using-tax-and-survey-data.pdf
Bealing, M. (2021). Under-served learners: The economic and wellbeing benefits of improving education outcomes [report]. NZIER. https://up.education/wp-content/uploads/2025/03/NZIER-report-to-UP-Education-Under-served-learners-The-economic-and-wellbeing-benefits-of-improving-education-outcomes.pdf
Cinque, M., Carretero, S., & Napierala, J. (2021). Non-cognitive skills and other related concepts: towards a better understanding of similarities and differences (No. 2021/09). JRC Working Papers Series on Labour, Education and Technology. https://www.econstor.eu/bitstream/10419/236541/1/176491032X.pdf
Cox, M. (2021, October 13). Does New Zealand need so many young people studying for a degree?. Business and Economic Research Ltd (BERL). https://berl.co.nz/economic-insights/does-new-zealand-need-so-many-young-people-studying-degree
Dann, L. (2017, December 2). Apprenticeship vs degree - who earns more in a lifetime. New Zealand Herald. https://www.nzherald.co.nz/business/companies/aged-care/apprenticeship-vs-degree-who-earns-more-in-a-lifetime/NAB3SWXGIUS375TYU26R5MQNOY/
Education Counts. (2025). School leavers' attainment [Excel; Pivot-table-School-Leavers-2014-2024, Pivot-table-Vocational-Pathways-2014-2024]. Ministry of Education. https://www.educationcounts.govt.nz/statistics/school-leavers
Figure NZ Trust. (2026). School leavers enrolled in industry training and apprenticeships in their first year after school in New Zealand 2014–2024 [number of people]. https://figure.nz/chart/5DZLYDcToEHd3U5W
Hurren, K., Cox, M., & Nana, G. (2017). Modelling costs v benefits of apprenticeship v degree: A lifetime net financial position approach [report]. Business and Economic Research Limited [BERL]/Industry Training Federation. https://ndhadeliver.natlib.govt.nz/delivery/DeliveryManagerServlet?dps_pid=IE32207681
Johnston, M. (2024, November 8). New Zealand needs clearer pathways to apprenticeships. The New Zealand Initiative. https://www.nzinitiative.org.nz/reports-and-media/opinion/new-zealand-needs-clearer-pathways-to-apprenticeships/
Johnston, M. (2025). Trade Routes: Charting new pathways from secondary school to industry training [report]. The New Zealand Initiative. https://www.nzinitiative.org.nz/reports-and-media/reports/trade-routes-charting-new-pathways-from-secondary-school-to-industry-training/document/872
MPTT. (2026). Home. Māori and Pasifika Trades Training. https://www.mptt.nz/
Murray, N. (2001). A history of apprenticeship in New Zealand [Master's thesis, Lincoln University]. https://researcharchive.lincoln.ac.nz/bitstream/handle/10182/1599/murray_msocsci.pdf?sequence=1
McIlraith, B. (2022, September 16). Trades v bachelor's degrees: Who earns more?. The Manawatu Standard (p. 8).
NZQA. (2015). The New Zealand Qualifications Framework. New Zealand Qualifications Authority. https://www.nzqa.govt.nz/assets/Studying-in-NZ/New-Zealand-Qualification-Framework/requirements-nzqf.pdf
Scott, D. (2025). A review of the New Zealand evidence on the benefits of tertiary education [report]. Ministry of Education | Te Tāhutu o te Mātauranga. https://www.educationcounts.govt.nz/__data/assets/pdf_file/0005/250538/A-review-of-NZ-evidence-on-benefits-of-tertiary-education.pdf
Tertiary Education Commission. (2020, August). Apprenticeship Boost. https://www.tec.govt.nz/funding/funding-and-performance/funding/fund-finder/apprenticeship-boost
Vaughan, K. (2017). The role of apprenticeship in the cultivation of soft skills and dispositions. Journal of Vocational Education & Training, 69(4), 540–557. https://doi.org/10.1080/13636820.2017.1326516
World in Data. (2026). Population development in New Zealand since 1960. https://www.worlddata.info/oceania/new-zealand/populationgrowth.php













