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Eleanor Spence

Employer Incentive Payments

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My understand with regards to the 90 and 365 day payments are that they are an in learning payment and that the 365 day incentive is not an achievement payment just, as I said, an in learning payment so whether the learner actually achieves or not, the employer is entitled to the payment as the learner has been in learning for 365 days.  Can anyone tell me, as I can't see it written anywhere;  whether or not the percentage of OTJ hours logged for the learner has any bearing on whether or not the employer should receive the incentive payments.  For instance,  if at say the 90 day trigger point for payment the learner has not reached the desired percentage of OTJ training (pro rata for the whole programme)  should we be holding back the 90 day incentive payment until that OTJ percentage is reached?

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Martin West

When the incentive payment is shown in the Apps Additional Payments Report and indicated in the payment report for the month then you have 30 days to make payment to the employer. You cannot hold off or offset the payment for any reason.

Steve Hewitt

The ILR is the trigger for these payments and (thank god!) the ILR doesn't have on-going %age of OTJ so it would be impossible for the payments not to be made. As Martin says, once the money arrives in your bank account, it needs to be paid to the employer.

Eleanor Spence

Thank you so much, it's really helpful and reassuring to have this confirmation.

Erica Phelpstead

Hi in relation to this matter - do you know if a learner moves employer from Non Levy to Levy does the new employer receive the 90 day and 365 day payments as well as the previous. ILR seems to have triggered it or have i recorded it incorrectly? 

Martin West

You will only receive for the new employer any due/outstanding incentive payments not paid to the previous employer.

Erica Phelpstead

Thanks Martin

 

I assumed thats how it should be but my finance department state its come up again for the new one. I'll investigate..

 

Thanks as always

Nicola Tabern

How do you record this on the ILR please?

The first payment of £500 should be paid to the employer by the training provider after 90 days of the apprenticeship training start date.

The final payment of £500 should be paid to the employer by the training provider after 365 days of the apprenticeship training start date.

Training providers have 30 working days to make payment to employers.

(Edited)

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