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Subsidised Training

Competitive Edge Consulting Australia provides training programs that are nationally recognised in the same way as a TAFE or University course. One advantage of accredited training is that it can attract government incentives & rebates through the traineeship program.

In order to incentivise employers to provide training in the workplace, government cash and rebates can be claimed when you implement a traineeship program.

1. What is the difference between an apprenticeship and a traineeship?
Traineeships are for existing workers as well as new entrants to the workplace. Apprenticeships are for workers beginning a new trade.

2. What are the benefits to an organisation of introducing traineeships?
The advantages of introducing traineeships are:

From a national perspective, traineeships are intended to ensure that Australia is competitive against worldwide benchmarks and that skills shortage areas are addressed.
From an individual perspective, the traineeships leads to a nationally recognised qualification that is portable to any industry sector and a valuable addition to a CV.
From an organisational perspective, traineeships provide a strong opportunity to up-skill employees to higher standards and to ensure that they also meet nationally stipulated requirements. The funding provided through traineeships becomes a useful extension to the learning and development budget of the organisation and a means for the implementation of on-going, consistent training.

Commonwealth Funding

Two sources of funding are available – State and Commonwealth funding. Commonwealth Government funding is the main source of funding for Australian traineeships. However the level and availability of Federal funding for training qualifications differs between the States and Territories. There is an eligibility criteria which applies to all funding.

State or Territory funding

State or Territory funding differs from Commonwealth funding as it is only available to new entrants. This funding is paid in instalments directly to the RTO.
A New Entrant Trainee is defined as a person employed within an enterprise for not more than three months full-time or 12 months part-time or casual or any combination of the above for a continuous period not exceeding 12 months.
State or Territory funding is not available for all qualifications.
Another consideration is that many qualifications attract Commonwealth funding but not State funding.
Besides the funding of training towards qualifications, the State governments also provide other incentives to organisations who implement traineeships.

These incentives vary by State but could include:

Payroll tax incentives
Travel and accommodation allowances
Workcover rebates
Wage assistance for employers of Indigenous Australians
Disability incentives

Who in the organisation is eligible for Government Funding?

It is important to recognise that government funding for training is not only dependent on the training program itself but also has specific criteria for the eligibility of candidates.
The main criteria for funding a traineeship are a worker’s
1. Citizenship status
2. Prior qualifications
3. Employment status

Citizenship Status

The worker must be either an Australian citizen, permanent resident or New Zealand citizen who has been resident in Australia for at least six months.
There is also funding available for foreign nationals who have been sponsored by an employer with a ‘Trade Skills Training’ visa (471). Visit the Australian Government Department of Immigration and Citizenship’s website for information on Trade Skills Training visas.  www.immi.gov.au

Prior Qualifications

Typically funding is only available when ‘up-skilling’ is occurring. That is, if a worker has previously attended training in a similar area funding is unlikely to be available for this training.
Only nationally recognised qualifications are considered as prior qualifications. For example, a candidate who holds a ‘Microsoft Certified Systems Engineer’ qualification may still be eligible for funding, as this qualification is not nationally recognised.
To confuse the issue, certain nationally recognised qualifications (such as Certificates II, III or IV) are not taken into account in assessing whether funding is available if 7 years have passed since they were completed. Australian Apprenticeship Centres will be able to provide more specific information on which qualifications fall into this category.

What Traineeship Documentation needs to be completed?

An agreement is signed by three parties at the commencement of a traineeship.  The Registered Training Organisation (RTO) signs the agreement to indicate that they are part of the process and they establish a training plan. This training plan includes information about the units of competence that are selected for the relevant qualification and also provides details about the logistics of the training and how assessment will take place. The employer is a party to the agreement and will comply with the requirements of delivering a traineeship in terms of the time provided to the trainee for training and assessment purposes.
The agreement that trainees are required to sign at the commencement of the traineeship include questions such as:

Are you an Australian citizen?
Do you have any prior qualifications?
What is your date of birth?
Where do you reside?
How long have you been with this employer?
What was the last year you attended school?
What was your highest level of education prior to this qualification?
Are you employed on a full-time or part-time basis?
Do you have any disabilities?
Are you an Aboriginal or a Torres Strait Islander?

The nominated Australian Apprenticeship Centre will provide the workplace with a checklist listing requirements for sign-ups.
Documents which need to be completed  It is a legal requirement for the following forms to be completed

Training Contract
Company ABN copy (confirms the details of the employer)
Training Plan (RTO completes this section in consultation with the workplace)

Additionally, the Australian Apprenticeship Centre will provide brochures with information such as:

Employer Information Quick reference guide for Apprentices / Trainees
Information of possible benefits such as TOT incentives / Living Away from Home Allowance / Wage Support, etc
Amendment form (relative to particular state of residence)

Employer Obligations

As an employer you have both legal and moral obligations when training your staff.

Legal obligations

All employers who provide training to their staff are obliged to:

provide a healthy and safe training environment for all staff including those with special needs such as disabled employees
ensure staff do not experience discrimination or harassment during the training
provide adequate supervision and support during training
have appropriate insurance policies for staff who undertake specialised training, such as heavy machinery training
inform employees of their rights and responsibilities throughout the training
commit resources necessary to complete agreed training such as safety equipment or computer hardware.

Employers must also observe their usual duties and statutory obligations, such as:

workers’ compensation
occupational health and safety
duty to pay appropriate remuneration
anti-discrimination policy implementation
meeting privacy requirements

Good practice

There are obligations that are not enforced by law, but represent good workplace practice during training.
These include:

reporting and record keeping of training and its outcomes
adequate resources to support the business while staff are absent for training
management strategies to deal with issues associated with the training such as individual problems with the training or changing staff roles.

It is suggested that the workplace also set up an internal written training agreement to be signed by both the employer and the trainee. This will ensure that all parties understand what they can expect from one another.
A training agreement will provide you with a reference document from which you can address any concerns that might arise in relation to the training.

What to do when a candidate leaves the organisation?

It is the responsibility of the employer to:

Notify Competitive Edge Consulting Australia Pty Ltd (RTO)
Notify the Australian Apprenticeship
The RTO is responsible for providing the candidate with a statement of attainment for any completed units of the qualification

How does the Payment cycle for traineeships work?

There is a three-month period from the date of the employee signs up onto the traineeship to the date of a claim form being generated by the Apprenticeship Centre and mailed to the employer.
It is the employer’s responsibility to ensure that this claim form is signed by both an employer representative as well as the trainee. This claim form is in turn mailed back to the Apprenticeship Centre and a first payment occurs within approximately 10 days of the return of this claim form.
There are time constraints on claiming Commonwealth funding – if claim forms are not returned within a certain timeframe funding might not be provided.

Can I complete my course early?

Early Completion
If a candidate completes a qualification in less than 24 months, they may be required to complete an ‘early completion form’, provided by The Apprenticeship Centre. There are no restrictions around early completion as outcomes and achievement of job competency is the paramount consideration.

Traineeships hold enormous benefits for the organisation and the candidate if applied in a way that makes business sense and that meets the learning and business improvement needs of the organisation.
Competitive Edge Consulting Australia also assists organisations to identify whether they are eligible for government funding in relation to their training requirements. We work collaboratively with the client to help them navigate the paperwork, consulting with them to help them get the most from their budget.