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Apprenticeships and The Youth Contract

The Youth Contract

The Youth Contract is a package of support worth almost £1 billion to help young unemployed people prepare for work and find a job. Employers are able to take advantage of 160,000 wage incentives, worth up to £2,275 when you employ an 18 to 24 year old on the work programme for at least 26 weeks. 

The key elements are:

An extra 250,000 voluntary workexperience (available across Great Britain) or sector-based work academy places (available in England and Scotland)

A further 20,000 Apprenticeship Grants for Employers, to encourage small and medium employers to recruit their fi rst 16 to 24 year old apprentice, taking the total number to 40,000 (in England only)

Additional support through Jobcentre Plus by way of more adviser time and weekly contact.

An opportunity to have a careers interview with the National Careers Service (in England).

Around £120m to help the most vulnerable 16/17 year old NEETs (Not in Education, Employment or Training) in England back in to education, training or a job with training.

What the Youth Contract means for you as an employer?

Wage incentive

A young person will still need to be paid at least the National Minimum Wage. The wage incentive is only availablewhen you employ someone for 16 hours or more per week. There is a part-time rate (£1,137.50) between 16 and 29 hours and a full-time rate (£2,275) for 30 hours or more. 

Work programme prviders will work with you to identify employment opportunities and issue claim forms when an 18 to 24 year old starts suitable employment. After 26 weeks you can claim the full payment from Department for Work and Pensions (DWP) who will validate the claim and make the payment into your bank account. Small and medium employers may be able to claim a part payment earlier than 26 weeks.

For more information on the Youth Contract, Sector-based work academies and Voluntary work experience click HERE

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