What you need to know about Apprenticeships right now – Important!
Benefits for employers and trainees completing an apprenticeship now.
Apprenticeships are fees-free from 01 July 2020 to December 31 2022, for all currently enrolled and new apprentices. The initiatives not only include free apprenticeships, but also free traineeships in targeted areas, wage subsidies for employers of apprentices, and equipment for existing learners who do not have access to technology. https://www.competenz.org.nz/jobseekers/freeapprenticeships/
Apprenticeship Wage Subsidy Boost Scheme for Employers – Paid monthly in advance.
https://www.workandincome.govt.nz/employers/subsidiestraining-and-other-help/apprenticeship-boost.html
Employers can apply for the Apprenticeship Boost which only applies to apprentices in their first or second year. (new and existing) Employers can receive an Apprenticeship Boost subsidy for a maximum of 20 months up until April 04, 2022. The subsidy scheme finishes on April 04, 2022 (need to apply ASAP): IE: If you apply in September 2020 = 19 months, October 2020 = 18 months, November 2020 = 17 months employer subsidy, etc… etc.
How much you receive depends on whether your apprentice is in their first or second year of training:
• employers of first-year apprentices can get $1,000 a month
• employers of second-year apprentices can get $500 a month
• These amounts don’t include GST.
The Process
There needs to be:
• An employment agreement in place
• New apprentice: Contact Competenz to sign up a candidate as an apprentice
• New apprentice: Competenz, employer and apprentice work together to create a training plan
• Employer registers and applies for Apprenticeship Boost subsidy through Work and Income (see link above) for any existing first and second-year apprentices or any new apprentices
• Apply for first month’s payment/s
• You’ll need to reconfirm each month with Work and Income
• You can reconfirm by logging back into your account
• Apprenticeship Boost account. They’ll send you a message when it’s time to do this
You must pay your apprentice at least the minimum or training wage.
• Minimum wage: $18.90 per hour
• Training wage: $15.12 per hour