On the Job Training
Subsidized On the Job Training can help your business grow
Hiring and training new staff can be costly, but San Francisco’s On the Job Training assistance program can assist you! By hiring eligible San Francisco residents through the workforce development system, employers can be reimbursed for 50% of the wages paid during a contracted training period, up to $6,000 per individual.
Employers must carry Workers’ Compensation insurance and make Federal and State Tax withholdings as required by law. In addition, the individual trainee payroll tax records and receipts for services (if applicable) must be maintained and available for review for a minimum period of three years after the end of the training period.
The individual must enrolled in Workforce Investment Act services through the San Francisco One-Stop system and be referred to the employer, though employers will have the final selection authority over which individuals are hired. Prior to hiring, employers must sign an OJT Worksheet indentifying the individual to be hired. Since OJT is a "hire first" program, the individual becomes an employee of the company at the start of the training program. Employers do have the ability to refer pre-identified potential hires to the Access Points to determine their eligibility for the OJT, based on funding and at the discretion of the Access Point staff.
The individual may not be someone already on the employer’s payroll, nor be hired prior to the effective date listed on OEWD Form 124: OJT Agreement. Training may only begin after the OJT Agreement has been signed by all parties. Commission only, project-based, temporary, and seasonal jobs are usually not appropriate for OJT, as well as bartenders and occupations requiring licensing as a prerequisite for hiring.
The employer is expected to retain the trainee after the subsidized training period, based upon accomplishment of the training goals and acceptable performance. Trainees hired under this program will be subject to the same personnel policies, rules and regulations, and accorded the same benefits as the other employees of the company.
OJT contracts require that the wages paid to trainees be at least the prevailing entry wage for the specific occupation in this local labor market. There is no maximum allowed wage, though the employer will only be reimbursed for 50% of the wages as stipulated in the OJT Agreement, not to exceed $6,000. If the employer operates under a collective bargaining agreement, the wage and benefits must be those specified in that union agreement and the job opening must be cleared with the appropriate union.
The trainee’s progress and employer’s satisfaction under an OJT Agreement will be monitored by Access Point staff. Each OJT placement must be monitored at least once before completion.
Employers should prepare OJT Contract Invoice and Trainee Timesheet at the end of each month during the contracted training period to reflect hours worked by hires during that month as the basis for reimbursement. One original signed copy of the timesheet should be sent to the Access Point at the end of the month, reflecting the total number of hours the trainee worked during the month, NOT INCLUDING PAID OR UNPAID TIME OFF. In addition, the employer must provide a copy of the payroll register that coincides with the trainee and the pay periods claimed on the invoice and timesheet.
• OEWD Form 122: OJT Training Proposal (Rev. 12.2012)
• OEWD Form 123: Proposed OJT Training Outline (Rev. 12.2012)
• OEWD Form 124: OJT Contract Agreement (Rev. 12.2012)
• OEWD Form 125: OJT Worksheet (Rev. 12.2012)
• OEWD Form 126: Mid- OJT Monitoring Guide (Rev. 12.2012)
• OJT Contract Invoice and Trainee Timesheet (Rev. 12.2012)• Employment Verification and Survey (Rev. 12.2012)
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