HD those days are pretty much gone, many people who have failed both before and after reciving licenses have lately been given the kick. Some have been given a second chance, but far from everyone.
Also the area trainees today normally don't do aerodrome or approach training, you are streamed to one or the other and will normally not do the other disciplin(s).
I've been told that some years ago you were pretty much gauranteed a second chance if you failed to validate, also if you were an area controller you could be sent to an aerodrome instead and use those ratings (as I think everyone did aerodrome, then if nessecary approach, then if nessecary area, so area controllers would hold all ratings). Unfortunately those days now seem to be gone.