Boosting Apprenticeship Commencements

Boosting Apprenticeship Commencements Wage Subsidy

To assist with the recovery from the impact of COVID-19, the Australian Government is providing support to all employers who engage a new Australian Apprentice or Trainee through an additional $1.2 billion ‘Boosting Apprenticeship Commencements wage subsidy’.

Re-commencing from the 9th March 2021, any businesses or Group Training Organisation that engages an Australian Apprentice may be eligible for a subsidy of 50 per cent of wages paid to an apprentice. The subsidy remains available to employers of any size or industry, Australia-wide who sign up an Australian apprentice or trainee before 30 September 2021.

The subsidy will now be paid for a full 12 month period for new apprentices and trainees. This includes those apprentices who have already been signed up under this measure. Employers are eligible for 50 per cent of the wages for a new or recommencing apprentice or trainee, up to $7,000 per quarter.

Call us on 1300 4 MRAEL or email us directly for further information

Is my business eligible?

Your business or Group Training Organisation may be eligible if:

  • you engage an Australian Apprentice between 5 October 2020 and 30 September 2021, and
  • your Australian Apprentice or trainee is undertaking a Certificate II or higher qualification, and has a training contract that is formally approved by the relevant state training authority

How much is the subsidy?

Eligible employers and Group Training Organisations will receive a wage subsidy of up to 50 per cent of your Australian Apprentice’s gross wage paid;

  • The wage subsidy is available at a maximum of $7,000 per quarter per eligible Australian Apprentice.
  • The subsidy remains available to employers of any size or industry, Australia-wide who sign up an Australian apprentice or trainee before 30 September 2021.

Anything else I should know?

  • The subsidy is not available for any apprentice receiving any other form of Australian Government wage subsidy e.g. Supporting Apprentices and Trainees or JobKeeper

Are Existing Workers Eligible?

An existing worker will only attract the Boosting Apprenticeship Commencements payment for an employer, where the existing worker:

  • Commences in a trades-based Australian Apprenticeship; or
  • Transfers from a casual employment arrangement to a part time or full-time Australian Apprenticeship; or
  • Transfers from a Part time employment arrangement to a fulltime employment arrangement

In addition, a maximum of 30 existing worker Australian Apprentices per ABN can attract BAC if they meet the above criteria. It is important to note however, there is no limit for trades-based Australian Apprenticeship BAC commencements

Key dates to know

  • Payments will be made quarterly in arrears.
  • Final claims for payment must be lodged by 31 December 2022.

Next Steps

Our team at MRAEL is here to support you with navigating the Boosting Apprenticeship Commencements Wage Subsidy. If you have a specific question please contact us and one of our friendly team members will get in touch with you.