Learners in receipt of low wages

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This topic contains 43 replies, has 11 voices, and was last updated by  Henry ESFA 1 week, 2 days ago.

Viewing 19 posts - 26 through 44 (of 44 total)
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  • steveh
    Participant

    THIS JUST IN from the AEB Feedback email:

    Hello Steve,

    Thank you for your feedback about paragraph 152 in the 2018/19 Adult Education Budget funding rules – version 1.

    We will amend this paragraph in the 2018/19 Adult Education Budget funding rules – version 2 (which will include the performance management section), due to be published before the end of July. Subject to any further feedback we receive, the revised paragraph will be:

    152. You must have seen evidence of the learner’s gross annual wages in these circumstances. This could be a wage slip within 3 months of the learner’s learning start date, or a current employment contract which states gross monthly / annual wages. Please note this is not an exhaustive list, but must support your decision to award full funding to an individual who would normally be eligible for co-funding. (TBC)

    Regards,

    AEB funding policy implementation team.

    So, yes, treat it like someone who hasn’t been here three years where you note the visa number and expiry but don’t actually copy the thing. What a relief to see some common sense from ESFA!

     
    #262960

    steveh
    Participant

    This also just in!

    Hello Steve,

    Thank you for your enquiry about the low-wage paragraphs in the 2018/19 Adult Education Budget funding rules – version 1.

    If an employed individual meets the criteria set out in paragraphs 151.1 and 151.2, regardless of the hours they work, the individual would be eligible.

     
    #262972

    warrilowk
    Participant

    Steve – you’re a legend!

    That’s great news and just in time, as we start 18/19 enrolment on Saturday

    thanks very much
    Kate

     
    #262986

    Spats
    Participant

    Thanks for posting the update Steve. The fact that it’s based on annual gross salary and not hourly wage seems completely unfair, mind.

     
    #262992

    liamryan
    Participant

    “regardless of the hours they work”. Presumably they will still need to work at least 16 hours a week to meet the general eligibility of the AEB budget?

    Liam

     
    #262994

    Ruth CJ
    Participant

    Liam – Where does it say a student needs to work 16 hours a week to be eligible for AEB funding?

     
    #263039

    steveh
    Participant

    (just to point out that loads of people emailed, and are all getting the same response, it wasn’t just me! thanks to everyone who expressed concerns to ESFA)

     
    #263047

    Martin West
    Participant

    Hi Spats,
    It is based on their current contract, hourly rate and hours and as long as the evidence reflects an annual amount lower than that specified they would meet the criteria.

    Liam,
    Same as Ruth where did you get that from?

     
    #263051
    SFA STAFF

    Henry ESFA
    Keymaster

    Dear colleagues,

    Thank you for your enquiries about the low-wage paragraphs in the 2018/19 Adult Education Budget funding rules – version 1.

    If an employed individual meets the criteria set out in paragraphs 151.1 and 151.2, regardless of the hours they work, or their hourly rate, the individual would be eligible.

    Learners in receipt of low wage

    151. You may fully fund learners, who are employed and cannot contribute towards the cost of co-funding fees. You must be satisfied the learner meets both of the following:

    151.1 is eligible for co-funding, and
    151.2 earn less than £15,736.50 annual gross salary, based on the Social Mobility Commission’s low pay threshold of £8.07 (hourly rate in 2016) and on the assumption of a 37.5hr contract with paid statutory holiday entitlement

    We will amend paragraph 152 in the 2018/19 Adult Education Budget funding rules – version 2 (which will include the performance management section), due to be published before the end of July. Subject to any further feedback we receive, the revised paragraph will be:

    152. You must have seen evidence of the learner’s gross annual wages in these circumstances. This could be a wage slip within 3 months of the learner’s learning start date, or a current employment contract which states gross monthly / annual wages. Please note this is not an exhaustive list, but must support your decision to award full funding to an individual who would normally be eligible for co-funding. (TBC)

    Regards,

    ESFA.

     
    #263076

    liamryan
    Participant

    Hi Ruth CJ / Martin,

    I thought it was always the case that to be eligible for funding you had to be either unemployed and receiving state benefits or employed and working more than 16 hours. Is this no longer the case?

     
    #263106

    Martin West
    Participant

    Hi Liam,
    Learner eligibility for AEB funding is dependent on Age and that they meet the general eligibility for funding as specified in the funding rules.

    Learners may be entitled to full or co-funding depending on the qualification they are undertaking, the level of prior attainment, their age, employment status and method of delivery.

    It is not as simple as you suggest, you do need to refer to all the specific requirements as set out in the funding rules as those who are employed and working less than 16 hours or even retired may also be eligible depending on their specific criteria.
    HTH

     
    #263203

    Gary Mills
    Participant

    The information I got from the ESFA is that the learner would need to be earning £15,736.50 or less per year AND also earning £8.07 or less per hour, so that someone working for 25 hours per week at £10 per hour so earning £13,000 per year would not be eligible because of the hourly rate being over £8.07.

     
    #264532

    steveh
    Participant

    Gary, it explicitly says three posts above yours, posted by someone from the ESFA:

    If an employed individual meets the criteria set out in paragraphs 151.1 and 151.2, regardless of the hours they work, or their hourly rate, the individual would be eligible.

     
    #264541

    Gary Mills
    Participant

    Yes, and the response I received today has totally confused me.

    ‘The learner must earn less than £15,736.50 for a 37.5 hour week with paid statutory holiday entitlement, or a pro-rata amount based on those figures. This equates to £8.07 per hour, and is based on the Social Mobility Commission’s low pay threshold in 2016. All three factors must be taken into account in any calculation; annual wage, weekly hours and hourly rate.
    For example, an individual earning £14,900 for a 30hr week is not eligible (£9.55 per hour), even though the annual wage is less than the overall figure. An individual earning £15,736 for a 40hr week is eligible (£7.56 per hour) – less than the overall figure and the statutory hourly rate.’

    I asked the question ‘If we were to use £8.07 for 2018-19, does that mean that anyone earning £8.08 and above per hour is excluded?’ to which the reply was
    ‘Yes, it does because their rate is above the permitted hourly rate.’

    I also asked ‘Someone earning £10 per hour might be on a lower annual wage than someone earning £8.07 per hour because of the hours worked. Should the £10 per hour person then be given fee remission or not?’ And the reply was
    No, because in this case the hourly rate would be more than £8.07.’

    That doesn’t seem to tally with the above post.

     
    #264543

    steveh
    Participant

    oh heck.

    was it service desk? don’t suppose you got a name?

     
    #264545

    Gary Mills
    Participant

    Hi Steve, yes it was, and yes I did. I am going to have to get clarification from them because our PT prospectus is going to print this week with hourly and yearly rate mentioned.

    *Sigh*

     
    #264549

    Gary Mills
    Participant

    Latest update is that the ESFA guidance posted on here on June 7th is correct and should be used. The information I received from the service desk is not correct.

     
    #264673

    Martin West
    Participant

    So it is simple as: ‘is eligible for co-funding, and earn less than £15,736.50 annual gross salary and we must have seen evidence of the learner’s gross annual wages within 3 months of the learner’s learning start date’
    Yet another example of contradictory guidance from the service desk.

     
    #264679
    SFA STAFF

    Henry ESFA
    Keymaster

    Dear colleagues,

    We would like to apologise for the conflicting advice some of you have received regarding the low-wage flexibility being introduced for the 2018 to 2019 funding year.

    We can confirm that if an employed individual (working full or part-time) meets the criteria set out in paragraphs 151.1 and 151.2, regardless of the hours they work, or their hourly rate, the individual would be eligible. We will amend paragraph 151.2 to make this clearer.

    As confirmed in the message we posted on June 7, 2018 at 3:41pm we will also amend paragraph 152 so this aligns with evidence requirements set out in the funding rules. Subject to any further feedback, these revisions (set out below) will be published in v2 of the 2018 to 2019 Adult Education Budget Funding and Performance Management rules, due to be published in July.

    Learners in receipt of low wage

    151. You may fully fund learners, who are employed and cannot contribute towards the cost of co-funding fees. You must be satisfied the learner meets both of the following:

    151.1 is eligible for co-funding, and
    151.2 earn less than £15,736.50 annual gross salary

    152. You must have seen evidence of the learner’s gross annual wages in these circumstances. This could be a wage slip within 3 months of the learner’s learning start date, or a current employment contract which states gross monthly / annual wages. Please note this is not an exhaustive list, but must support your decision to award full funding to an individual who would normally be eligible for co-funding. (TBC)

    Thank you,

    ESFA.

     
    #264735
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