How to use the Small Employer Indicator (SEM1)

The small employer indicator was used for employers with fewer than 50 employees to train apprentices at no cost who, at the start of their apprenticeship training, were:

• aged between 16 to 24 and
• have previously been, or are, in care or,
• have an Education, Health and Care Plan (EHCP)

This was only for apprenticeships that started on or before 31 March 2024.

Frequently asked questions

1. Who should record the Small Employer Indicator
2. What happens if the Small Employer Indicator is not recorded

3. What happens if SEM1 was not recorded

    

1. Who should record the Small Employer Indicator

Training Providers must have recorded the small employer indicator (SEM1) for the duration of learning that takes place with that small employer.

The small employer indicator must also be recorded for each academic year that the learner is in learning with the small employer.

You only need to record this field for starts up to and including 31 March 2024. You must not record this field for new starts from 1 April 2024 (or where there is a change of employer and the apprenticeship originally started prior to 1 April 2024).

2. What happens if the Small Employer Indicator is not recorded

If the SEM1 is not recorded and co-investment contributions are outstanding, we will not pay the completion element of the apprenticeship programme.

You must not record this field for new starts from 1 April 2024 (or where there is a change of employer and the apprenticeship originally started prior to 1 April 2024).

3. What happens if SEM1 was not recorded

When SEM1 was not recorded in the previous year, a co-investment payment will be generated and will prevent a completion element being paid.

If this happens, you must:

• not collect that co-investment from the SEM eligible employer

• contact the Department for Education customer service team and they will support with the release of the completion payment

   

Need support?

If you have a specific query that is not covered by this information or the guidance, please contact us using the Customer Help Portal.