Frequently Asked Questions

ABOUT GTE.

Is GTE a government organization (Public Service)?

No, GTE is a private 'not for profit' company. GTE's Board is made up of local community members from small and large business, local government, training providers, unions and industry representatives. GTE is very much a community organization whose mission is to have a positive impact on local communities by creating employment and training opportunities for local people and labour and skill solutions for businesses.

What is the difference between GTE and other Group Training Companies who may have contacted my Business?

There are 14 Group Training Organizations (GTOs) approved to operate in SA and about 120 nationally. GTE is the only one to have permanent staff and offices in the Limestone Coast Region. GTE has been operating since 1985 and has well established networks with local industry, schools and training providers. GTE field staff are tertiary or trade trained and have an excellent understanding of the needs of local industry and the business environment. GTE apprentices and trainees are supported by local Field Officers and administrative services and our completion rates for apprentices exceed the national average. Other GTOs working in the region are based elsewhere and do not have the local support network for apprentices and trainees and the understanding of local industry that GTE can provide. GTE can supply testimonials from current Host Employers who can support these claims.

Apart from our core business (employing Apprentices/Trainees), GTE works extensively in schools and skill centres providing training and careers advice and assistance to students. GTE runs training and employment programs for school leavers and unemployed people so they have the best chance of obtaining skilled work, which in turn benefits our industry. GTE is represented on various industry committees and programs and assists industry in identifying and managing training and employment issues. For example GTE has been a major force in securing local training for many apprentices who previously had to travel to Adelaide. This has benefited the apprentices, their families and their industry employers. GTE works with counseling and service groups to provide support, education and referral services for apprentices and their families in areas such as financial management, relationships, drug and alcohol counseling and legal services. By using GTE in preference to other Group Training providers, Hosts not only get a quality service but support the work GTE does in our local communities.

FOR EMPLOYER

Is GTE more expensive than employing an Apprentice or Trainee myself?

GTE is the apprentices or trainee's legal employer and all administrative work such as payroll and Workcover claims etc are processed through GTE. The Host is not committed to the full term of the apprenticeship as they would be if they sign an apprentice up themselves, so if the Host runs out of work, or is not happy with the apprentice they can return them to GTE (1 weeks notice) who will try to find them another job. GTE also employs specialist Field Officers to support Hosts and apprentices during the placement. This support involves all aspects of the apprentice on and off job training, safety management, personal issues and problem resolution. Although there is a minimum Administrative cost involved when employing through GTE that cost needs to be offset against the time it would take to complete the paperwork etc. by yourself/own worker. GTE does not make a profit from the administration fee. If the time a Host Employer would take to do the work that GTE does is factored into the costs, GTE's services are more than cost competitive.

How do Group Training hire rates work?

Group Training Companies set apprentice Hire Rates in accordance with the relevant wages, allowances and 'on costs' such as superannuation, leave loading, safety equipment, pre-employment medicals, training requirements etc.. Any available Commonwealth Incentives for employing apprentices and trainees are applied as a reduction within your hire rate. In some cases, depending upon the individual employee, there are other subsidies such as Wage Support available. All of these are passed back to the Host in the Hire Rate. Apart from the administration fee, all wages and 'on costs' are calculated and charged at cost and all Commonwealth Incentives are passed back through the charge out rate in full.

Host Employers are not invoiced when an apprentice is on leave, whether it is Annual, Sick, Bereavement Leave etc. or in most cases for Public Holidays and Trade School attendance. The latter would need clarification with the Field Officer when he/she provides Hire Rates.

Full time Apprentices are contracted for 38 hours per week and will be paid that accordingly. Unless the Apprentice is on leave or attending Trade School (if applicable as above), the Host will be charged for 38 hours per week. In other words, if things are quiet and there isn't a full week's work, the Apprentice is still entitled to his full pay and the Host will be invoiced accordingly.

When you are provided with a Hire rate quote you will see there are hourly, weekly and Annual hire rate figures excluding GST (this is fully recoverable through tax credits). The annual figure is the estimated total payable for the year. You should use the annual figure when comparing the cost of employing the Apprentice directly yourself to employing through GTE. The hourly and weekly figure already takes into consideration provision for leave, Trade school and public holidays. GTE strongly encourages potential Host Employers to refer GTE charge out quotes to their Accountants for cost comparison if they wish to verify our costings. A GTE cost comparison sheet is also available upon request which may be of assistance.

Does GTE keep the Commonwealth Employer Incentives?

No - these are all passed on to the Host Employer through the Hire Rates. All subsidies such as the Commonwealth Incentives (for employing apprentices and trainees) or the Construction Industry Training Board Apprentice Subsidy and other applicable funding is passed back to the Host through the hire rate and spread over the term of the contract.

Does employing through Group Training suit everyone?

No - if you are confident you have enough work to complete an apprentice or trainee (between 12 - 48 months depending upon the vocation and the individual) and you are competent to organize recruitment, do all the administrative work, training monitoring and human resource management yourself then you may not need GTE's services. Alternatively if all this work takes you away from your own business then GTE may be exactly what you need.

Can I retain OWNERSHIP of the apprentice if I use GTE?

Some employers prefer to employ and train their own apprentices as they feel they have more 'ownership' of the employment and training process and that the apprentice feels more a part of their business. GTE respects this position but employers who use GTE services can still 'customize' how GTE will service their apprentice and what the Host Employer wishes to provide for them. GTE Host Employers are part of the apprentice training system and as such GTE is very happy to negotiate arrangements that meet the Host Employer's needs and wishes but retain the flexibility and support available through GTE. We will not remove or rotate apprentices from a Host Employer's worksite without full agreement.

If I take the Apprentice on as a permanent employee after they finish their apprenticeship do they lose entitlements such as Superannuation and Annual Leave?

Not necessarily. For example, in the building trades long service leave is funded from a central pool of money paid by levies from building trades employers. This leave is portable and works on the time served by the apprentice/employee in the industry rather than with one employer.

In other cases, as GTE is not allowed to retain apprentices in employment once they have completed their apprenticeship, the Host Employer may choose to credit the apprentice with 4 years long service if they take them on as a permanent employee after the end of the apprenticeship.

With Annual Leave the apprentice is paid out any accrued leave when they finish with GTE. If the apprentice or Host wishes to retain accrued leave, arrangements can be negotiated with the Host Employer when/if they decide to take the apprentice on permanently. Employers need to understand in this case that accrued leave must be paid at the employee's current wage when it is taken. If there has been a wage increase for the apprentice prior to them taking accrued leave then the employer's costs for leave will increase accordingly.

Accrued Sick Leave is not paid out when the apprentice finishes with GTE. Arrangements for sick leave in excess of the Award or Agreement provisions can be made between the employer and the apprentice without any input from GTE.

Do I need to have approval before I employ an Apprentice/Trainee?

No - if you employ through GTE. As GTE is the legal employer we have the relevant approvals in place already for most vocations and are responsible for obtaining any approvals outside our current scope.

If you are employing the apprentice yourself, training legislation means that you will need to be approved by Traineeships and Apprenticeship Services (TAS) who are a division of the Department of Further Education Employment Science and Technology (DFEEST). If you have employed apprentices and trainees in SA before you will probably already be approved (most likely you will have received a letter from TAS confirming this in mid 2008). If you are unsure you can check with TAS in Mount Gambier on 08 8735 1160. If you are a new employer of apprentices or trainees you may need to get approval.

If you have any further questions, please contact us.