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The Government’s $380.6m Apprenticeship Boost fund which commenced on 1 August 2020, is designed to help employers to retain and bring on new apprentices as the economy recovers from the impacts of COVID-19. In May 2022, and as part of the Government’s 2022 Budget package, the Government announced the extension of Apprenticeship Boost through to 23 December 2023, with an additional $230m funding.

Key details of the fund include:

  • Employers of first and second year apprentices who are in a Tertiary Education Commission approved New Zealand Apprenticeship or a Managed Apprenticeship are able to apply for Apprenticeship Boost. This includes all Careerforce apprenticeship programmes.
  • Employers can apply for Apprenticeship Boost whether an apprentice has just started their training programme or is within their first two years, but for a maximum of 24 months.
  • Apprenticeship Boost became available from August 2020 and was initially scheduled to be available until August 2022, but subsequently extended to December 2023.
  • Through to August 2022, employers, with an apprentice who is in the first year of their apprenticeship are eligible for $1,000 per month, and for an apprentice in their second year, will be eligible for $500 per month for a maximum period of 20 months. From August 2022, monthly payments change to $500 per month for apprentices within either their first or second year of their apprenticeship.
  • Apprenticeship Boost payments will cease after December 2023, regardless of where an apprentice is at within their first 24 months. An employer enrolling a new apprentice in August 2022 will be eligible for up to 17 months of Apprenticeship Boost payments, while an employer enrolling a new apprentice in April 2023 will only be eligible for up to 9 months of Apprenticeship Boost payments.
  • State sector employers are not eligible, nor can you claim Apprenticeship Boost payments if you are already receiving another wage subsidy from MSD, or any payments from MBIE for any particular apprentice.

 

How to apply
If you have eligible apprentices within your business, you need to apply for the Apprenticeship Boost fund through the Ministry of Social Development. For more details on the Apprenticeship Boost fund, including how to apply, go here.

For more information on the Apprenticeship Boost initiative, please go to the TEC website or to the MSD website.

IMPORTANT

Careerforce apprentices are required to complete at least one module within any five month period of their apprenticeship, or the apprenticeship will be placed on-hold. Any Apprenticeship Boost payments will also go on-hold, as the apprenticeship is not deemed to be active. As soon as the apprentice completes a module, they are automatically taken off-hold, and any eligible Apprenticeship Boost payments will resume. If there are no modules completed within any six month period, apprentices may be withdrawn from their apprenticeship.

Please refer to the following information relating to the Code of Good Practice for NZ Apprenticeships and expectations around literacy and numeracy:

TEC Code of Good Practice for NZ Apprenticeships

Literacy and Numeracy Requirements

Last updated 19 May 2022