Federal Government 50% Apprentice & Trainee Wage Subsidy Extended!

Federal Government 50% Apprentice & Trainee Wage Subsidy Extended!

It is welcome news to employers that the 50% Apprentice and Trainee Wage Subsidy has now been extended to eligible employers until 31 March 2021.

This wage subsidy comes as part of the Australian Government’s response to the COVID-19 pandemic and means that eligible businesses will receive 50% of employed apprenticeship and trainee wages (up to $7,000 per apprentice or trainee) each quarter until 31 March 2021.

Another notable update included in this extension is that from July 2020, eligible businesses now include medium sized businesses (those with 199 or fewer employees).

As per the Australian Government Department of Education, Skills and Employment’s direction, businesses must meet the following requirements to be deemed eligible.

Small Businesses may be eligible if they:

  • Employ fewer than 20 people
  • Are using a Group Training Organisation
  • The apprentice of trainee was undertaking an Australian Apprenticeship in the Small Business on 1 July 2020.

Note: Claims prior to 1 July 2020, will continue to be based on the 1 March 2020 eligibility date.

Medium Sized Businesses may be eligible if they:

  • Employ fewer than 200 people
  • Are using a Group Training Organisation
  • The apprentice of trainee was undertaking an Australian Apprenticeship in the Medium Sized Business on 1 July 2020

Note: Claims from medium-sized businesses will open on 1 October 2020. Final claims for payment must be lodged by 30 June 2021.

Thinking of hiring an Apprentice or Trainee and looking to receive the Apprenticeship and Trainee Wage Subsidy in your business?

The Apprenticeship and Trainee Wage Subsidy is also available to any employer who re-engages eligible apprentices or trainees that have been terminated from employment at an eligible small or medium sized businesses during this period.  

If your business is in a position to hire an out-of-trade apprentice or trainee, now is an excellent time to not only receive financial support in your business but support a person in their career journey.

If you are interested in hearing more on the Apprentice and Trainee Wage Subsidy or are interested in employing an apprentice or trainee, please email info@addstaff.com.au or call 1300 365 606.