COVID-19 Support for Apprentice and Trainees
By Paolo Coniglio, 23.03.2020
The Support for Apprentice and Trainees initiative will provide a wage subsidy of 50% of the apprentice’s or trainee’s wage paid during the 9-month period starting from 1 January 2020 to 30 September 2020 to eligible businesses.
The Apprentice Support initiative is set to provide relief for up to 70,000 small businesses, employing around 117,000 apprentices. This measure is estimated to cost the Australian Government $1.3 billion over the estimated period.
Who is eligible for the Apprentice Support?
Businesses who employ less than 20 full-time employees who retain apprentices or trainees.
Where a small business is not able to retain an apprentice, the subsidy will be available to a new employer.
How is the subsidy provided?
Eligible businesses will be reimbursed up to a maximum of $21,000 per eligible apprentice or trainee ($7,000 per quarter).
Do businesses need to apply or register for the Apprentice Subsidy?
Yes. Businesses can register for the subsidy from early-April 2020. Final claims for payment must be lodged by 31 December 2020. Registration will be available at https://www.australianapprenticeships.gov.au/
Are businesses eligible for both the Cash Flow Assistance and the Apprentice Subsidy?
Yes. The two measures are not mutually exclusive. Eligible businesses will receive both rebates.
This blog and attached resources are of general nature designed for informational and educational purposes only. They should not be construed as professional financial advice for your individual business. Should you need such advice, consult a licensed financial or tax advisor.