Off-the-Job Training: What Employers Must Actually Allow

Off‑the‑Job Training: What Employers Must Actually Allow

1.

What Is Off‑the‑Job Training?

Off‑the‑job (OTJ) training is any learning that takes place outside an apprentice’s routine work duties but is directly linked to the apprenticeship standard or framework.

This can include formal lessons in a classroom, online modules, day‑release at a college, shadowing a senior colleague in a different function, or completing a project that forms part of the assessment.

The key point is that the activity is not part of the apprentice’s day‑to‑day job role and must be documented as part of the apprenticeship programme.

2.

The Legal Framework

2.1 Apprenticeship Act 2009 and Statutory Right to Time Off

The Apprenticeship Act 2009 gives apprentices a statutory right to “reasonable time off” during working hours to complete training or study that forms part of their apprenticeship.

The Act does not prescribe a fixed number of hours; instead it requires employers to agree a training plan that allows the apprentice to meet the programme’s requirements.

Failure to honour this right can result in an Employment Tribunal claim for breach of contract or unlawful deduction from wages.

2.2 Working Time Regulations

The Working Time Regulations 1998 (as amended) limit average weekly working hours, require rest breaks, and set a maximum of 48 hours per week (averaged over 17 weeks).

When you schedule OTJ training you must ensure the total hours – including on‑the‑job work, OTJ training, and any overtime – do not breach these limits.

If an apprentice works irregular hours, you should re‑calculate the 48‑hour average each pay period.

3.

Funding and the Apprenticeship Levy

3.1 Who Pays the Levy?

If your UK payroll exceeds £3 million per annum (the threshold for the 2023‑24 tax year), you must pay the Apprenticeship Levy at a rate of 0.5 % of your total pay bill.

The levy is collected via PAYE and you receive an “apprenticeship service account” where funds are held for use on approved training and assessment.

Employers with a smaller payroll are not required to pay levy but may still access government‑funded training through co‑investment.

3.2 Funding Bands and Co‑investment

Each apprenticeship standard is assigned to one of 30 funding bands, with a maximum government contribution ranging from £1,500 to £27,000.

The employer’s contribution depends on levy status:

• Levy‑paying employers – use funds from their digital account.

  If the band maximum exceeds the available levy, the employer must co‑invest the excess at a rate of 5 % of the band maximum (the government pays the remaining 95 %).

• Non‑levy employers – pay a 5 % co‑investment directly to the training provider; the government funds the remaining 95 % up to the band ceiling.

All payments are made through the apprenticeship service, and you should agree a payment schedule with your provider that aligns with milestone achievements (e.g., module completion, end‑point assessment).

4.

The 20 % Off‑the‑Job Training Rule

4.1 How to Calculate the 20 %

ESFA funding rules require that a minimum of 20 % of an apprentice’s total contracted working time be spent on OTJ training over the duration of the apprenticeship.

The calculation is:

Total contracted hours in programme = (hours per week) × (number of weeks).
OTJ target hours = 20 % × total contracted hours.

For a full‑time apprentice on a 12‑month contract working 35 hours per week, the total contracted hours are 35 × 52 = 1,820 hours, so the OTJ target is 364 hours (≈ 7 hours per week).

4.2 Example Timetable

4.3 Acceptable Activities

ESFA defines OTJ training as activities that:

• are delivered by an approved training provider or assessment organisation;
• relate directly to the apprenticeship standard’s knowledge, skills, and behaviours;
• occur outside the apprentice’s routine work tasks.

Examples include formal lessons, e‑learning modules, coached practice sessions, and competency assessments.

Time spent in general staff meetings, routine HR tasks, or on‑site production work does not count.

5.

Employer Responsibilities in Practice

5.1 Signing the Apprenticeship Agreement

Before any training begins you must have a signed Apprenticeship Agreement (or a Statement of Apprenticeship Intent for some frameworks).

This contract must set out the apprenticeship programme, the training provider, the expected OTJ hours, and the wage.

The agreement must be lodged on the apprenticeship service within 90 days of the programme start date.

5.2 Paying Wages During Training

Apprentices are entitled to their normal pay for all hours worked, including OTJ training time.

If the apprentice is attending a college block, you should treat those hours as working hours for pay purposes.

The National Minimum Wage for apprentices (currently £5.28 per hour for under‑19s or for aged 19+ in the first year of their apprenticeship) applies, but many employers pay a higher rate to reflect the full on‑the‑job workload.

5.3 Choosing a Training Provider

You must use a training provider that is on the ESFA’s register of apprenticeship training providers.

The provider will negotiate the “delivery plan” – the mix of classroom, online, and workplace learning that meets the 20 % requirement.

When evaluating providers, ask for:

• evidence of previous apprenticeship success rates;
• details of how they calculate OTJ hours;
• clarity on any additional costs (e.g., resources, exam fees) not covered by the funding band.

6.

Common Mistakes and How to Avoid Them

• ❌ Failing to record OTJ hours – Without a contemporaneous log you cannot prove compliance during an audit.
• ❌ Scheduling all OTJ training at the end of the apprenticeship – ESFA expects a steady distribution; clustering hours may be treated as “front‑loading” and rejected.
• ❌ Not adjusting contracts for part‑time apprentices – The 20 % target must be calculated on actual contracted hours, not a full‑time equivalent.
• ❌ Using non‑approved training providers – Any training delivered by an unregistered provider will not attract levy funds.
• ❌ Misclassifying overtime as OTJ training – Overtime is work, not training, and should not be counted toward the 20 % requirement.