Can subsidized On the Job Training stretch payroll dollars?

Yes, with some extra effort – Effort that can be worth it! Let’s look at the facts:

On the Job Training (OJT) is a government wage and training subsidy paid directly to employers through a contract.   OJT helps defray costs of upgrading new employee skills with training you specify. It can shorten the time it takes to get a new employee up to speed.  If you are looking to expand and train for job specific or specialized skills, you may receive up to 50% of an employee’s wage rate.  Additional perks can include tax credits for new hires.



  • You make the hiring decision.
  • May include tax credits for new hires.
  • You determine job performance standards.
  • You retain the right to terminate a trainee.
  • Paperwork is handled by an OJT Representative working with you, your HR or payroll staff.
  • Reimbursement happens during the training period.



  • You hire OJT trainees as regular, full-time employees.
  • A trainee’s rate of pay is commensurate with what you pay others for similar work.
  • OJT trainees do not replace employees laid off with six months prior to your application.


A conversation with Sherman Landry, Program Coordinator at the Employment and Training Division-Employer Services will answer your questions, help you make a decision, and get you to next steps.


Sherman Landry
(707) 441-4652