Apprentice and Trainee Payments

Remuneration exemptions

Some apprentice and trainee remuneration (including superannuation) is exempt from WorkCover insurance so you need to be aware of the restrictions and qualifications that apply.

Remuneration is exempt if the apprentice or trainee:

  • is employed by you under a current training agreement as part of an approved training scheme,
  • hasn't worked for you under any previous training agreement, but if they have – the time between any two agreements must be less than 3 months,
  • did not work for you, outside of a training agreement, during the two year period before the start of the current training agreement, but if they did;
    • any full-time employment must be no more than 3 months in total,
    • any part-time or continuous casual employment must be for no more than 12 months in total.

However, the 3 month or 12 month restriction does not apply to you if the apprentice or trainee:

  • was aged under 19 years at the start of the current training agreement
  • previously worked for you while they were a school student
  • had not previously commenced a training agreement with you

Trainee remuneration threshold

In addition to the above rules, there is a cap on the amount of trainee remuneration that is exempt. (Note that there is no cap on apprentice remuneration.) This means you can only claim an exemption for your trainee's remuneration (including superannuation) if it is:

  • $36,070 or less in 2010/11
  • $38,520 or less in 2011/12
  • $39,870 or less in 2012/13
  • $40,920 or less in 2013/14
  • $42,540 or less in 2014/15 and 2015/16
  • $42,920 or less in 2016/17
  • $44,420 or less in 2017/18
  • $46,130 or less in 2018/19.
  • $47,610 or less in 2019/20.

If your trainee's annualised remuneration is more than this amount none of their remuneration is exempt.

For a list of apprenticeship and traineeship qualifications that this relates to, please visit www.worksafe.vic.gov.au/insurance or the Department of Education website at www.education.vic.gov.au/training

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