Your investment

There are several costs you’ll need to consider that recognises the investment you are about to make when you take on an apprentice:

Starting pay rate

What you start them on is mostly your choice. Look at factors such as their previous experience, skills, and attitude. The rate you choose to start them on, needs to recognise the investment you are making while being mindful of market conditions as you want to avoid the risk of losing them to higher-paying jobs.

Get advice from businesses that employ apprentices to get a feel of what others do – you will find a happy medium that suits. It’s a good idea to review their pay after their 90-day period as they may have exceeded your expectations. 

Apprenticeship fees 

There are a few costs involved with having an apprentice:

  • Training fees – these include off-job training, Industry regulator trainee licence (if applicable), on-job assessment material, reporting credits, and all other industry liaison to keep the qualification current. The apprentice normally pays these, but sometimes employers pick up the tab – it’s up to you.  However, it is useful to put some accountability back on the apprentice so they understand what you are doing for them. An alternative is  reimbursing their fees on completion of each apprenticeship year. The payer can choose between weekly payments or discounted annual invoices.
  • Tools – Your new apprentice may not have the tools to start their training, so have a think about how you approach this. You could supply them with a required tool list before they start. You could let them use yours, or you may offer something else. Whichever option you choose, this is a common theme we see and should be taken into consideration.

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