Current information as at 23 July 2020 

 

A broad-based wage subsidy for employers to help them keep existing apprentices and employ new ones.

The Apprenticeship Boost aims to provide support for employers to retain and take on new apprentices as the economy recovers from the impacts of COVID-19, so they can continue to earn and progress towards their qualifications.

This initiative recognises apprentices need more support from employers in their first two years while they are training and developing their skills.

As an employer you can use these funds to rehire apprentices you had to let go due to COVID-19.

Apprenticeship Boost will be available from August 2020 and runs for 20 months.

An employer of an apprentice who is in the first year of their apprenticeship will be eligible for $1,000 per month, and an employer of an apprentice in their second year is eligible for $500 per month for a maximum period of 20 months.

No. There are no priority industries for this support; this is available to apprentices in all industries.

This support is a wage subsidy paid to the employer per eligible apprentice. The employer is required (by law) to continue to pay the apprentice at least the minimum wage or training wage. The employer will therefore top up this subsidy amount and continue to pay the apprentice the wage they are legally entitled to. 

No. The Apprenticeship Boost is available for all new and existing apprentices, if they are eligible. As an employer you can use these funds to rehire apprentices you may have had to let go due financial hardship.

Employers can apply for Apprenticeship Boost whether an apprentice has just started their training programme or is nearing the end of their first two years - right up until the apprentice has completed 24 months of their training programme (while the initiative is running).

Employers of first and second year apprentices who are in a Tertiary Education Commission approved New Zealand Apprenticeship or a Managed Apprenticeship will be able to apply for Apprenticeship Boost through WINZ.

How to apply

Apprenticeship Boost will be available from August 2020. Keep checking the WINZ website for updates - they'll let you know when to apply.

Step 1: Your apprentice(s) will need to sign a consent form.

Step 2: You'll need to fill out an online form - this will be available on the WINZ website soon.

You'll need your details:

  • Business trading name
  • Business legal name
  • Bank account details
  • Business Inland Revenue number
  • GST number (if you're GST registered).

You'll need your apprentice's:

  • name
  • date of birth
  • Inland Revenue number
  • tertiary organisation that they're registered with
  • industry qualification that they're training for
  • training start date.

Step 3: You'll need to re-confirm each month with WINZ, so they know the information about yourself and your apprentice(s) is correct and you still qualify for the payment.

 

The Government has also announced changes to Mana in Mahi, additional support for Group Training Schemes and a new Regional Apprentice initiative

  • The Apprenticeship Boost – a broad-based wage subsidy for employers to help them keep existing apprentices and employ new ones.
  • Mana in Mahi extension – expanding the existing programme which helps employers provide on-the-job support for employees.
  • Group Training Scheme support – funding to ensure that organisations such as ATNZ remain viable, by enabling them to continue to employ apprentices and trainees and provide related services to host businesses
  • Regional Apprenticeships Initiative – support for displaced regional apprentices who have lost their jobs, initially focusing on Māori and Pacific Peoples (funded through the Provincial Growth Fund). Regional Apprenticeships includes a wage subsidy of up to $16,000 for the first year of training and up to $8000 for the second year. It also includes additional funding to help with other business support and pastoral care so the employer and apprentice can successfully maintain the apprenticeship.

Employers will be able to access support from either the Apprenticeship Boost, Mana in Mahi, or the Regional Apprenticeships Initiative, depending on the type of apprentice or pre-apprentice trainee they employ.

We also understand that employers will be able to access the Free Apprenticeships and Traineeships fund (TTAF), as well as an Employer subsidy scheme, ie you can only apply to one apprentice support fund, outside of the TTAF.

An apprentice who is in the first year of their apprenticeship will be eligible for $1,000 per month, and an apprentice in their second year is eligible for $500 per month for a maximum period of 20 months under the Apprenticeship Boost. Mana in Mahi and some Regional Apprenticeships participants will get a higher subsidy to reflect the different level of need of the individual apprentices (or pre-apprentice trainees) involved.

All employer benefits will be passed on to ATNZ Host Companies, so they will benefit equally from the Government announcements.

Their funding will come through the Group Training Scheme Fund and is different in design to other initiatives within the programme as it is geared to maintaining the viability of schemes like ATNZ.