On-the-Job Training (OJT)
Frequently Asked Questions
On-the-Job Training (OJT)
Frequently Asked Questions
What is On-the-Job Training?
It is training that takes place whenever a new employee starts on the job. The federal government offers a program which helps employers cut down on the costs of training a new employee and at the same time helps unemployed people obtain jobs by making it financially possible for employers to hire and train JTPA eligible people.
How does the program work?
The employer and Next Step Center enter into an agreement whereby the employer makes a commitment to hire and train a person. The employer is reimbursed up to 50% (determined by set criteria) of the employee’s wages during the initial agreed upon training period.
What about paperwork?
You will provide the OJT Representative with general company information, a job description and the training outline. Copies of insurance(s) will also be required. The OJT Representative will prepare documents listing this information for your signature.
Who is eligible for the program?
Any private or public employer. The only restrictions are that no agreements may be written for jobs involving a commission or piecework payment, or for positions requiring licenses. The person hired must meet funding eligibility criteria.
How long is the training period?
Not less than 4 weeks nor more than 16 weeks. This is determined by criteria set by the federal government.
How many hours will a trainee be required to work?
The job must be full time, non-seasonal employment. We cannot write contracts for seasonal jobs. The work must be at least 32 hours per week to be considered full time. Senior citizens may be approved for part time work.
What wages will I pay the trainee?
The wages will be expected to be at the prevailing wage for the occupation in the industry or the union wage where the occupation is unionized.
What about unions?
Where a union is involved as a collective bargaining agent, certification and approval by the union is required.
What if a trainee quits?
If a trainee voluntarily quits the training position, you will be paid through the last date of employment. A new training program can be written for a new employee.
If I feel the trainee isn’t working out, or I can no longer keep him/her due to lack of business, can I terminate him/her?
Yes, as an employer, you can terminate a trainee on the same grounds as any other employee. You will be paid your reimbursement up to the date the trainee was terminated. The OJT representative must be notified according to the contract stipulations.
Can I hire a trainee in a position in which an employee has been laid off in the past?
No, an OJT trainee may not fill a position if a past employee has been laid off in that position or a similar one.
A Message to Employers Regarding OJT
Hiring this job seeker could mean that part of your cost in training this individual will be reimbursed. If you hire this applicant, your company may be reimbursed up to 50% of the new employee’s salary during an established training period. In addition, you decide what is needed to train a new worker to perform the job the way you want it performed. This allows you to train the new worker with your technology, your equipment, and according to your company’s standards and procedures.
Employer Advantages
Employer Responsibilities
Process for Reimbursement
Once you have made a commitment to hire this job seeker, you must complete an OJT contract which will be provided to you by the OJT agency.
To maximize business participation, OJT contracting has been structured to be an easy process. To learn how your company can participate in that process and to take full advantage of the potential presented by the OJT Program, please call or fax us.