The state finances both indirectly and directly part of the costs of the company-based apprenticeship training. A large number of direct state subsidisation options exist for training companies. In addition, quality-oriented subsidisation options are also available. Recent incentives include subsidisation for guidance, counselling, care and support services, and subsidisation schemes for apprenticeship posts for challenged youth.
The costs of apprenticeship training reduce the company’s taxable profits – a form of indirect public co-financing. Moreover, there are also benefits regarding non-wage labour costs: In the first two years of an apprenticeship, the health insurance contributions are waived for the employer and for the apprentice; the contributions to accident insurance are waived for the entire training period; contributions to unemployment insurance are only payable in the last year of the apprenticeship. Basic subsidisation is thus reduced in a progressive manner as the apprentice gains more experience and his or her share in productive work increases.
Quality-oriented subsidisation options for the training companies are: a) inter- and supra-company training measures, b) continuing education and training measures for IVET trainers, c) apprenticeship leave examinations taken with good results or distinction (the company gets a one-time payment), d) measures for apprentices with learning difficulties, e) equal access by young women and young men to the different apprenticeships (company receives a flat-rate grant) and f) periods of work placement abroad for apprentices (organisational and financial support).
A special subsidisation is available for guidance, counselling, care and support services. The aim is to enhance the opportunities for successful apprenticeship training and to raise participation in training particularly in sectors with few training companies. The services include: coaching of apprentices and counselling services for companies, providing training guidelines for ten core apprenticeship occupations, and safeguarding the quality of the apprenticeship-leave exam by setting up the clearing office for the apprenticeship leave examination.
The Public Employment Service in Austria (AMS) also runs subsidisation schemes for apprenticeship posts designed to integrate groups into the labour market that face certain challenges (e.g., young women in apprenticeships with a low share of women, disadvantaged apprenticeship seekers). Companies participating in this programme receive a flat-rate grant towards the costs of the apprenticeship.