BUDGET 2020

BUDGET 2020 UPDATE - 31 JULY 2020
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APPRENTICESHIP BOOST

Apprenticeship Boost was announced within the Budget 2020 $1.6 billion investment in trades training and aims to provide support for employers to retain and take on new apprentices as the economy recovers from the impacts of COVID-19.

Apprenticeship Boost is a payment to employers of apprentices in their first or second year of training, available from August 2020 to April 2022. Employers can receive up to 20 months of support with payments of $1,000 per month in apprentices’ first year and $500 per month in their second year.

This scheme is administered by the Ministry of Social Development with the Work and Income website providing the application details.

 

Questions and Answers

Please note that the following information has been provided by the Tertiary Education Commission. All questions are to be directed to the Ministry of Social Development: apprenticeship_boost@msd.govt.nz.

 

When is an apprentice considered a first or second year apprentice?

To be eligible for Apprenticeship Boost, an apprentice must be actively training and have completed 24 months or less in an eligible apprenticeship through a transitional ITO (e.g. MITO) or a provider.

The start date will be the date of an apprentice’s first apprenticeship training agreement with the transitional ITO or provider the apprentice is enrolled with at the time their current employer applies for Apprenticeship Boost payments. This also applies to any changes to the enrolment during the 20 month eligibility period.

An apprentice’s previous apprenticeship enrolment(s) with the current transitional ITO will be counted, even if it was a different apprenticeship programme.

 

How is the payment start date calculated?

MSD will calculate this. The payments will be backdated to the start date, provided the eligibility criteria are met and the supporting evidence is provided within the required timeframes.

 

How long will it take to make payments to employers?

The Ministry of Social Development is expecting a significant number of applications when Apprenticeship Boost opens. This will impact the time taken to verify applications. A delay in payments of two to four weeks could be expected.

 

How do I apply?

You can apply via the Work and Income website.

 

BUDGET 2020 UPDATE - 13 JULY 2020
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MITO TRAINEEESHIP PROGRAMMES

The following traineeship programmes have now been confirmed as being eligible for the Targeted Training and Apprenticeship Fund. The Fund will pay the training fees for all learners that enrol or are already enrolled in a MITO traineeship programme, from 1 July 2020 to 31 December 2022.

View the list of the traineeship programmes that MITO offers:


MITO APPRENTICESHIP PROGRAMMES

The Fund will also pay for the training fees for all learners that enrol or are already enrolled in a MITO apprenticeship programme, from 1 July 2020 to 31 December 2022.

View the list of the apprenticeship training programmes that MITO offers:



KEEN TO GET QUALIFIED?

To enrol in a training programme with MITO you must be working fulltime in one of the industries we support. You will need to ensure that your employer is on board. Don’t delay! We look forward to your enquiry.

If you are seeking employment, then take a look at our Job Hub  for vacancies listed. You can also make a jobseeker profile where registered employers can view your CV and make direct contact with you.

If you have any questions please contact us.

 

BUDGET 2020 UPDATE - 17 june 2020
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APPRENTICESHIP BOOST SCHEME

The Government has announced an additional apprenticeship support scheme as part of Budget 2020 that will provide businesses with up to $16,000 to cover the cost of each apprentice in the first two years of their training. The Minister of Education, Hon Chris Hipkins, says the Apprenticeship Boost scheme will ensure that there is not a skill shortage in New Zealand as the economy recovers from the impact of COVID-19. Apprenticeship Boost is in addition to the Targeted Training and Apprenticeship Fund, announced 2 June, which removes training fees for apprenticeship training programmes from 1 July 2020 to 31 December 2022.

Apprenticeship Boost will run for 20 months from August 2020 until April 2022. Employers will be eligible for funding of up to $12,000 per full year of training for each first year apprentice, and up to $6,000 per full year of training for each second year apprentice.

Apprentice Boost is available for new and currently enrolled apprentices.

“Apprenticeship Boost is another substantial Budget 2020 initiative that recognises the contribution and commitment that employers dedicate to training their workforces through on-the-job training.” says MITO chief executive Janet Lane. “Having Apprenticeship Boost alongside the Targeted Training and Apprenticeship Fund to financially support businesses who train apprentices is unprecedented, and significant to New Zealand’s post COVID-19 recovery.”

Further information about the Fund can be found in the Minister’s press release.

READY TO ENROL AN APPRENTICE?

If you have an employee who is ready to sign-up for an apprenticeship, click here.

If you have any questions please contact us.

 

BUDGET 2020 UPDATE - 4 june 2020
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TARGETED TRAINING AND APPRENTICESHIP FUND

Further to the Budget 2020 announcements on 14 May, the Minister of Education, Hon Chris Hipkins, has announced details of the Targeted Training and Apprenticeship Fund, which is designed to make it easier for people to train in industries where demand is expected to grow as New Zealand recovers from COVID-19. Further information about the Fund can be found in the Minister’s press release.

MITO APPRENTICESHIP PROGRAMMES

The Fund will pay for the training fees for all learners that enrol or are already enrolled in a MITO apprenticeship programme, from 1 July 2020 to 31 December 2022.

View the list of the apprenticeship training programmes that MITO offers:

 

KEEN TO GET QUALIFIED?

To enrol in a training programme with MITO you must be working fulltime in one of the industries we support. You will need to ensure that your employer is on board. Don’t delay! We look forward to your enquiry.

If you are seeking employment, then take a look at our Job Hub for vacancies listed. You can also make a jobseeker profile where registered employers can view your CV and make direct contact with you.

If you have any questions please contact us.

 

BUDGET 2020 ANNOUNCEMENT - 14 may 2020
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On 14 May the Government unveiled a $1.6 billion Trades and Apprenticeships Training Package as part of Budget 2020. The focus is on jobs – retaining jobs and training for priority jobs in line with the Government’s wider Budget objective to rebuild the economy after the effects of the COVID-19 lockdown.

With specific details to be released, the package includes:

  • $334m funding for additional tertiary education enrolments
  • $320m targeted investment support for free trades training in critical industries (building and construction, agriculture, and manufacturing, community health, counselling and care work). The fund will be available from 1 July 2020.
  • $412m support for employers to retain and keep training their apprentices
  • $276m funding for Workforce Development Councils and Regional Skills Leadership groups, to be established to give industry and regions a greater voice and help them respond to COVID-19
  • $141m to support high quality tertiary and trades education
  • $32m increased funding to meet demand in Trades Academies
  • $50m for a Māori Apprenticeships Fund
  • $19m for group training schemes to retain apprentices
  • $26m operating and capital for a new online careers advice system
  • An extension to the wage subsidy scheme.

MITO’s chief executive Janet Lane congratulates the Government for their faith and foresight in rebuilding the economy through these education and training initiatives. She says, “this is a lifeline that will pay dividends for NZ Inc. We know from past experience the impact of recessions on our workforces and the resulting skills shortages that take years to recover.”

READ THE GOVERNMENT'S PRESS RELEASE HERE

EXTENSION TO WAGE SUBSIDY SCHEME

The Budget includes a targeted extension of the wage subsidy scheme. From 10 June, businesses that have suffered, or expect to suffer, revenue loss of at least 50% for the 30-day period prior to the application date, versus the nearest comparable period last year, will be eligible for the extension of the scheme. The subsidy will be open for applications for 12 weeks and will be paid as an 8-week lump sum to employers at the same weekly rates as the current scheme.

READ THE GOVERNMENT'S PRESS RELEASE HERE

WORKFORCE DEVELOPMENT COUNCILS FAST-TRACKED

The establishment of the six Workforce Development Councils (WDCs) originally mandated to occur by 30 June 2021 has been fast-tracked to be formed by October this year. The Government has stated that fast-tracking all six WDCs will ensure that they are an integral part of the designing the response to COVID-19 and that their influence in the vocational education and training system will become more immediate.

The primary role of each interim Establishment Board will be to establish the WDC as a legal entity. Where possible, they will work with transitional Industry Training Organisations, the New Zealand Institute of Skills and Technology and other providers to provide advice and guidance to inform tertiary education system responses to COVID-19 impacts.

The Tertiary Education Commission is seeking Expressions of Interest from industry leaders between Monday 18 May and 2 June, to form the interim Establishment Board for each of the six WDCs. All six interim Establishment Boards will be appointed by the Commission in June.

FURTHER INFORMATION CAN BE FOUND HERE