Do all employers get paid for having an apprentice?
Under the new apprenticeship reforms, employers will receive £1000 in apprenticeship funding for recruiting an apprentice aged 16-18 or a 19-24 year old apprentice with an EHC (Education, Health and Care) plan, regardless of the size of your business.
The money, which will be paid to you in two instalments by your Training Provider, acts as a cash incentive to employ young people, particularly school leavers. With results day just around the corner can your business afford to turn down £1000?
Apprentices add real value to companies of every size – employers are able to mould staff to suit the exact requirements of their business and find that their investment in staff really reaps returns – apprentices are likely to stay with employers who’ve supported them and tend to progress well within the business, establishing themselves as essential team members.
Recruiting an apprentice doesn’t necessarily mean a monetary investment either; if you’re an employer with fewer than 50 members of staff and you recruit a 16-18 year old apprentice then the training is completely free. If the apprentice is aged 19+ then a 10% contribution to the total training cost is required. The same applies to non-levy- paying companies with more than 50 members of staff, and levy paying employers (those with an annual wage bill of over £3 million) are required to contribute 0.5% of their annual salary bill to their levy account.
Whilst it may sound complex, it’s actually reassuringly simple, and as your trusted source for all things ‘apprenticeship’ we will of course guide you through the process (and make sure that if eligible, you’re paid for the privilege of employing an apprentice).