How to get huge wage subsidies for trainees between 2020 and 2022.

How to get huge wage subsidies for trainees between 2020 and 2022.

Update 27 March 2022: Subsidy Extended to 30 June 2022

On 27 March, the Prime Minister announced that the Boosting Apprenticeship Commencements subsidy would be extended from its original end date of 31 March 2022 to 30 June 2022.
This is fantastic news for small business employers around Australia.
It means that employers hiring more apprentices and trainees can be eligible for up to $28,000 in funding over a 12 month period.
Its important to note that this funding is not limited to trades apprentices. Whilst the program name includes Apprentices, this is a little misleading….. almost every business owner could identify a traineeship or apprenticeship that would suit their new hires. Some examples of traineeships with a very broad application include:
  • Business
  • Bookkeeping and accounting
  • Human resources
  • Marketing and communications
  • Information technology
Speak to Link Advisors if you re interested to learn if your business and employees are eligible for this funding and so we can put you in touch with our panel of coordinators and trainers.

Overview

The Australian Government has introduced the Boosting Apprenticeship Commencements wage subsidy! The Boosting Apprenticeship Commencements (BAC) wage subsidy was introduced in October 2020 to support employers and Group Training Organisations (GTOs) to employ new or recommencing Australian Apprentices. It was initially limited to 100,000 places but is now uncapped.

Who’s eligible?

Employers or Host Employers may be eligible for the BAC wage subsidy if:

  1. They engage an Australian Apprentice between October 5th, 2020 and March 31st, 2022
  2. The Australian Apprentice is undertaking a Certificate II or higher qualification
  3. The Australian Apprentice’s Training Contract is formally approved by the relevant State Training Authority
  4. It applies to all businesses

Can existing staff attract the BAC subsidy?

An existing worker is eligible to attract the BAC subsidy if one of the following factors apply:

  1. They commence a trade based Australian Apprenticeship
  2. Transfer from casual employment to a part-time or full-time Australian Apprenticeship
  3. Transfer from part-time employment to a full-time Australian Apprenticeship.
  4. If using a GTO, an employer or Host Employer may be eligible for the BAC subsidy for up to 30 existing workers if:

How much will be available to employers?

Eligible employers and GTOs are eligible to apply for a wage subsidy of 50 percent of the commencing or recommencing apprentice or trainee’s gross wage paid for a 12-month period from inception of the program, to a maximum of $7,000 per quarter.

The final date for candidates to enter the program is 31 March 2022. Payments will be made quarterly in arrears into the employer’s nominated bank account. Final claims for payment must be lodged by 30 June 2023.

How do employers register and apply for the subsidy?

An eligible employer should advise of intent to claim Boosting Apprenticeship Commencements using the Boosting Apprenticeship Commencements registration form during sign up of a new Australian Apprentice. The form will be available from your Australian Apprenticeship Support Network provider.

 

If you are looking for more information about the BAC wage subsidy, contact Link Advisors and we can point you in the right direction. We can put you in touch with a facilitator to confirm eligibility and make it happen.