Changes to BAC scheme announced

4 November, 2020

The Federal Government has announced changes to its’ Boosting Apprenticeship Commencement (BAC) scheme, which subsidises employers for half the wages of apprentices and trainees as part of a COVID-19 economic recovery plan.

From October 28th 2020, existing workers will only attract the BAC subsidy for their employer if they either commence a trade-based apprenticeship, transfer from a casual employment arrangement to a part or full-time apprenticeship, or transfer from a part time to a full-time apprenticeship. An employer will be eligible for the BAC subsidy for up to 30 existing worker commencements.

The $1.2 billion BAC scheme commenced on October 5th 2020, and is available to employers regardless of geographic location, occupation, industry, or size of the business.

Employers will be eligible for 50% of the wages for a new or recommencing apprentice or trainee for the period up to September 30th 2021, up to a maximum of $7,000 per quarter.

The only limits that apply relate to existing workers. Employers can receive the BAC subsidy for any number of apprentices or trainees, provided they meet the eligibility criteria. However, your apprentice or trainee must be one of the first 100,000 apprentices or trainees who are registered.

An employer is not eligible to attract BAC when they’re in receipt of another wage subsidy such as Supporting Apprentices and Trainees (SAT) or JobKeeper for their apprentice or trainee.

More information can be found here