Apprenticeship Boost

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Source: Tertiary Education Commission

Apprenticeship Boost payments are available through the Ministry of Social Development (MSD).
Payments are made directly to employers to incentivise them to take on new apprentices. From 1 January 2025, employers can receive up to 12 months of support per eligible apprentice. Payments are currently $500 per month (excluding GST).
The employer must continue to pay their apprentice at least the minimum or relevant training wage.
More information, including how employers can apply for Apprenticeship Boost, is available from Work and Income:
Apprenticeship Boost – Work and Income
Background
Apprenticeship Boost was first introduced in August 2020 as part of the Government’s wider Apprenticeship Support Programme – a cross-agency response to help support apprentices and employers to manage the impacts of COVID-19. The Government has provided ongoing funding through Budget 2024, with some changes to eligibility and payments.  
Apprentice eligibility from 1 January 2025
To be eligible for Apprenticeship Boost, an apprentice must:

be enrolled and engaged in a Tertiary Education Commission (TEC)-approved and funded New Zealand Apprenticeship or Managed Apprenticeship
be actively training in a targeted occupation through a tertiary education organisation (TEO), and
have completed no more than 12 months in a TEC-approved apprenticeship that is the “same or similar” to a programme they may have done in the past.  

Apprentices must be employed in the occupation for which they are in training. They must be an employee (ie, not a self-employed contractor or sole trader).
Approved and funded New Zealand Apprenticeships and Managed Apprenticeships
Apprentices need to be enrolled in a TEC-approved and funded New Zealand Apprenticeship or Managed Apprenticeship programme to be eligible. More information about New Zealand Apprenticeships is available at:
New Zealand apprenticeships
New Zealand Apprenticeships and Managed Apprenticeships both involve training consisting of 120 credits or more, leading to a qualification at Level 4 on the New Zealand Qualifications and Credentials Framework. Apprenticeship programmes are approved and funded by the TEC. Enrolments in these programmes are specifically reported as apprenticeship enrolments to the TEC.
Apprentices’ training is governed by a tripartite training agreement signed by the apprentice, the employer and the relevant TEO.
Apprentices must be actively training in a targeted occupation
Targeted occupations for Apprenticeship Boost are defined through New Zealand Standard Classification of Education (NZSCED) code of the qualification that an apprentice is training towards. They are:

NZSCED code
Field of study

0403
Building

0501
Agriculture

0503
Horticulture and Viticulture

0505
Forestry Studies

0301
Manufacturing, Engineering and Technology

0303
Process and Resources Engineering

0305
Automotive Engineering and Technology

0313
Electrical and Electronic Engineering and Technology

0315
Aerospace Engineering and Technology

0317
Maritime Engineering and Technology

0399
Other Engineering and Technology

0905
Human Welfare Studies and Services

1101
Food and Hospitality

More information about NZSCED codes is available at NZSCED Narrow Fields of Study – Education Counts.
To ensure that targeted occupations remain relevant, the Ministry of Education will review them every two years and report to Cabinet ministers. The next review is scheduled for July 2027.
Apprentices must be in their first year of training
As of 1 January 2025, only apprentices in their first year of training are eligible for Apprenticeship Boost.
Employers may receive up to 12 monthly payments for an eligible apprentice in a TEC-approved apprenticeship that is the “same or similar” to a programme they may have done in the past.
Apprenticeship programmes are the “same or similar” if they create transferable technical skills relevant to a particular occupation. If an apprentice has been previously enrolled in any other TEC-approved apprenticeship with “same or similar” content, this will be counted towards the number of months of training the apprentice has completed. The number of months enrolled in a “same or similar” programme will be subtracted from the maximum 12 months of possible payments.
Some new apprentices may be ineligible because they have completed training in a “same or similar” programme with a previous employer. This requirement cannot be waived regardless of the circumstances.
Transition to new requirements
There are some changes to eligibility and payments as of 1 January 2025.
Previously, payments were available for a maximum of 24 months per apprentice. This is now 12 months.
Previously, apprentices in all occupations were eligible. This is now limited to targeted occupations that are critical to New Zealand’s growth and sustainability.
Employers who are already receiving Apprenticeship Boost payments will keep getting these from MSD until 31 December 2024. That includes payments for apprentices who won’t be eligible after 1 January 2025.
Employers will continue to receive payments for apprentices from 1 January 2025 if:

the apprentice is training in a targeted occupation, and
they are in their first 12 months of training.

MSD will automatically check the eligibility of employers who are currently receiving payments. Employers of eligible apprentices will continue to receive payments as normal and don’t need to reapply, but will need to continue to reconfirm each month with MSD to get the monthly payment.  
Agency roles and who to contact
MSD’s role
MSD manages the applications for Apprenticeship Boost and is responsible for payments. It receives employers’ applications, processes them and makes the payments. Applications can be made through MSD’s web page Apprenticeship Boost – Work and Income.  
MSD is the best point of contact for employers.
TEC’s role
TEC supports MSD by verifying information. We check an employer’s details, and confirm the number of months of training the apprentice has completed and if the training is in a targeted occupation. A data file is transferred from MSD to TEC for verification each day. When all details match between the MSD application and TEC’s data for an apprentice, the data is verified and the payment process can start.
TEC is the best point of contact for TEOs, and for issues with data submitted for an apprentice.

FAQs for TEOs delivering apprenticeships  
What is the role of TEOs in Apprenticeship Boost?
There are a few things you can do that will help the process run smoothly:

Make sure all the data for apprenticeships that you provide to TEC is up to date and accurate so we can match it with the data that employers submit to MSD.
Check the Apprenticeship Boost Unmatched submission app on Qlik for a list of your apprentices where the Apprenticeship Boost employer name does not match the data you have submitted for that apprentice.  

As part of TEC’s Data System Refresh (DSR) Programme, this app will be replaced with a new Power BI report in mid-2025 (date to be confirmed). The data in the app will be current up to 25 December 2024, but no data will be added to it after this date. For queries that need 2025 data, please contact customerservice@tec.govt.nz.
Please continue to refer to the app for information submitted up to 25 December 2024, and work with the employer to ensure you are submitting the same employer name to TEC and MSD. 

Process new enrolments for apprenticeships as promptly as possible.
Help out where you can with enquiries from employers whose applications haven’t been successfully processed because the data they have submitted doesn’t match the data in TEC’s system.

Where should I direct further questions from employers about Apprenticeship Boost?
MSD is leading the Apprenticeship Boost programme and is the best contact point for employers.
What are the privacy statement requirements since data is being shared with MSD?  
Employers will need to get their apprentices to sign a consent form as part of the application process. This will cover the privacy arrangements and enable TEC and MSD to share information. Make sure the consent form used is the original form from the Work and Income website – do not use a copy or altered version.
How will Apprenticeship Boost affect other TEC funding paid to TEOs for apprenticeships?
Apprenticeship Boost won’t affect any funding that you currently receive from TEC. Apprenticeship Boost payments will be made directly by MSD to employers.
Apprenticeship data
Good data helps applications be approved more quickly
Apprenticeship Boost relies on good data provided to MSD by the employer and submitted to TEC by TEOs. Often, the data is different and this slows down payments to employers. Key data includes:

Apprentice name and date of birth: Make sure you give the apprentice’s legal name, and encourage employers to do the same in MSD applications. We often see abbreviated names that don’t match, or mismatched dates of birth. These mismatches result in failed verification.
Employer name: The employer name must also match in the MSD application and TEC data. The MSD application records the legal name of the entity verified by the Inland Revenue Department and the trading name. A training agreement should record the legal name (which can be checked against the Companies Office). Please do not include branch names in this field.

If I deliver Managed Apprenticeships, will I have to send data to TEC more frequently?
A Managed Apprenticeship template will be provisioned monthly on DXP Ngā Kete for TEOs that have been approved by TEC to deliver Managed Apprenticeships. This needs to be completed fully and accurately and submitted on time each month. Giving the employer’s correct name is critical to the data matching and the employer being paid as quickly as possible.
For TEOs that submit data via the Single Data Return (SDR), the data you submit in your course enrolment file should match the data you submit in your monthly Managed Apprenticeships template.
We are aware there will be timing issues as the Managed Apprenticeships template in DXP Ngā Kete is submitted monthly while the SDR files are submitted three times a year. However, we expect that your course enrolment file in the SDR will reflect apprenticeships submitted via Managed Apprenticeships templates in DXP Ngā Kete for the prior months.
How is the payment start date calculated for employers?
If the employer completed their application to MSD within 20 working days of creating their account with MSD, the payment start date will be the day they created their account. If the employer completed their application more than 20 working days after they created their account with MSD, the payment start date will be the day they completed their application.
If an apprentice’s training is on hold, is their employer still entitled to the Apprenticeship Boost assistance?
No. TEC will advise MSD when an apprentice’s enrolment is on hold. Payments will not be made when we have reported an apprentice as on hold.  
Does an apprentice’s previous study or training impact their eligibility?
It may do.
If an apprentice has been enrolled in a same or similar apprenticeship programme previously, this will be included in the calculation of their months of eligibility.
If the apprentice has previously been enrolled in other vocational training that is not an apprenticeship, this will not be included in the calculation of their months of eligibility.
How will MSD be informed about previous study or training?  
We will count every month where there is a record of an active apprenticeship   and share this with MSD. “Active” means the enrolment is not on hold, withdrawn or completed.

How will my privacy be protected?
Your employer will ask you to sign a consent form before sharing any information with MSD. This form clearly outlines what information will be shared between MSD and TEC to help determine if you are eligible for Apprenticeship Boost. The information will be shared securely.
What should I do if I change employers?
Please let your TEO know about any changes in employment status as soon as this occurs.
What should I do if I put my training on hold?
Please get your employer to notify MSD if you put your training on hold. You should also let your TEO know.
What should I do if I no longer want to do my apprenticeship?
Please get your employer to notify MSD if you withdraw from your training. You should also let your TEO know.
Will I receive Apprenticeship Boost payments?
No. Apprenticeship Boost payments will be paid to your employer.  
What should I do if I’m concerned about wages I receive from my employer?
The wages you receive are part of your agreement with your employer. If your employer is doing something that you think would make them ineligible for Apprenticeship Boost payments, please let MSD know by calling 0800 673 227 or emailing Apprenticeship_Boost@msd.govt.nz.
Assistance payments will be made to your employer, who must continue to pay you the relevant minimum or training wage. If you think you are not being paid the minimum wage or training wage, this may be a breach of employment law. Contact Employment New Zealand to lodge a complaint with the Labour Inspectorate.  
Who/where should I send my questions to?
Please send your questions to customerservice@tec.govt.nz.

MIL OSI

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