Important announcement about HITO fees

Clarification on HITO Changes: Message from the Chief Executive

 I wish firstly to apologise if our communications have either not made it through to our valued stakeholders, or some messages have been mixed. Please know that we have been listening to you and would like to clarify a couple of points.

Below are all the costs associated with an apprentice completing their qualification over a Three-year period.

If you are commencing an apprentice from year one the following approximate costs are included below which cover the entire apprenticeship

One off sign on

 

Industry contribution

 

($435.00 per year)

Off Job Training

 

$1500.00 over three years

$490.00 credits over three years

$600.00 materials over three years

 

Final Assessments

 

$135- 2759 In-salon assessment:

$275- 2757 final assessment:

 

 

 

Other

 

 

$55.00 HITO workbooks

$50.00 Training Record Book

$150.00 Transfer fees

(up to 2x)

$110.00 Training manual

 

 

Total Apprenticeship Costs

$355.00 $1740.00 $2590.00 $410.00 $365.00 $5460

The new way forward at $30-00 per week from EITHER the apprentice or the OWNER comes to a total of $4620-00* and if the apprentice wishes to pay yearly an upfront fee of $1560-00 there is a 10% discount. The rationale behind this is to remove some of the barriers from owners taking apprentices on and apprentices passing their final qualifications.

The $4620-00 fee can actually be further reduced if the apprentice finishes their qualification in less than 3 years, thereby giving yet another opportunity to remove a barrier.

I really am sorry if our communication was in any way offensive and led any of you to think you had to be debt collectors, or pay anything extra. Many employers wished to pay for their apprentices, and a number wish their apprentice to pay themselves, either is fine, and my hope was by removing large lump sum payments that a barrier to completion would be removed.

SLM’s versus STA’s

I also understand that some of you believe the change in name from Sales and Liaison Manager to Sales and Training Advisor means no one will visit you anymore?  This is not true, our STA”s are to be fair all pretty brand new, and I appreciate that some of you feel we have been missing in action over the past few months, and for that I apologise. People move on from roles for a huge variety of reasons but I am confident that we have been able to put a great new team in place, but it will take them a little while to get up to speed, please bear with us.

We absolutely want to embrace technology going forward and will be introducing face brook groups for apprentices, and text messaging to check on how things are going, but we will also be visiting you to update you, and take on board any comments you have.

Thank you for taking the time to read this update, I very much value your feedback, and if you would like to speak with me directly please don’t hesitate to get in touch with me. kay.nelson@hito.org.nz. I would be delighted to call you and answer any queries, and listen to any feedback personally.

*These figures are based on an Hairdressing apprentice completing their qualification in 3 years.

HITO fees

All HITO trainees pay the same fee per week (unless they are completing QbyE). Below are some frequently asked questions on how our payments system works.

How do payments work?

From 3rd April 2017 everyone signed into a HITO Training Agreement will pay $30 per week towards their training.

This amount will be paid directly by the employer via direct debit, and it will be taken out of the trainee’s weekly salary. Employers and trainees can discuss alternate arrangements if they wish.

If you are completing Qualification by Experience (Q by E) your fees are different. Please refer to the Qualification by Experience or Work visa pages for more information.

How much are the fees?

Every trainee pays $30 per week unless they are completing Qualification by Experience.

Current trainees will have their fees backdated to 1st January 2017. Your employer will discuss this with you.

Can fees be paid in one lump sum?

Yes. Annual fees are $1560, and you receive a 10% discount for paying in full – a total of $1404 per year.

Why are you changing the payments system?

Currently, employers and trainees pay a lot of different fees for different parts of their training. Employers pay an employer fee, while apprentices pay for resources, off-job training, final assessments, and more. We know this can be confusing and hard to budget for.

By paying one payment each week, both trainees and employers can easily budget for fees. All the fees are paid to HITO, so there’s no confusion over when and where off-job training fees, resource fees, and assessment fees need to be paid.

When do the payments start?

The new payment system comes into effect on 3 April 2017. All new trainees will receive the new Training Agreement and direct debit form to fill out. Payments start in the first week of the qualification and continue until the trainee completes the qualification.

For all current trainees, payments will be backdated to 1 January 2017. HITO will be in touch to discuss this with you.

How are the fees paid?

HITO sends all trainees and their employers a direct debit form. This form sets up a weekly payment from the employer’s account. The employer needs to arrange with the trainee whether this amount will come from the trainee’s salary, if the employer will pay it, or if there will be another arrangement.

What happens if a payment doesn’t go through?

There is a dishonour fee of up to $11.50 per missed payment. As the payment comes out of the business account, the employer is responsible for this cost.

What about trainees already signed on with HITO?

HITO will be in touch with all current trainees to discuss the changes to the fee system. In short:

  • All current trainees will move to the new system.
  • Any fees they have paid since 1 January 2017 will be credited to their account. Trainees will need to provide proof of any payments.
  • Trainees who have not paid anything this year will be invoiced for the first 4 months of the year. Their direct debit will start on 1 May 2017.
  • Employers who have paid the HITO Employer Fee in 2017 can choose to credit this amount to their apprentice or have it refunded.