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Flexi-wage: how a wage subsidy can help you get hired, and how to raise it with an employer

Flexi-wage is a Work and Income subsidy that pays part of your wages to an employer who hires and trains you for a job you cannot yet fully do. You may qualify after a long time out of work or with barriers to getting a job, and the employer must talk to Work and Income before you start.

Who can get Flexi-wage

Work and Income describes Flexi-wage as help to get the skills you need to meet the entry-level requirements for a job. You get training and ongoing support if you need it, and your employer gets a contribution towards your wages. You may be able to get it if you:

Being on a benefit right now is not one of the conditions Work and Income lists. The test is about your situation: a long gap, a missing qualification, or a job that is about to go. That is why Flexi-wage can also be used by an employer you already work for, to move you into a different role that needs more training and more hours, rather than making you redundant.

Work and Income decides each case, and it looks at the employer as well as you. If you are already talking to Work and Income about finding work, ask your case manager about Flexi-wage. If not, call 0800 559 009 to book an appointment. You need a client number to book, and you can request one online if you do not have one. Our guide to job hunting on Jobseeker Support covers how registering with Work and Income works and what it asks of you.

What the employer gets, and what the job must be

Depending on how much support you need, the employer may get a wage contribution of:

Both figures include GST. On top of that, Work and Income may pay for training and ongoing support, and more if you have complex or specific needs. The money goes to the employer, who claims it every four weeks. You are paid your normal wages by the employer, like any other employee.

The job has conditions of its own. Work and Income says it must:

The first condition protects you too: the subsidy is meant to carry you through the learning period of a lasting job.

Why it must be agreed before your first day

Work and Income tells employers that if they have someone in mind, they should contact it before that person starts work, and that contacting it after the start "may affect your eligibility". Work and Income then checks that both the business and the person meet the criteria, agrees the amount, the length and any training, and drafts a contract that the employer signs and returns with proof of its bank account.

So the timing sits in your hands as much as theirs. The useful moments to raise it are:

Once you have said yes and turned up on Monday, the chance may have gone. If an employer is interested, give them the Work and Income number and ask for a start date that leaves room for the paperwork. Work and Income says it aims to contact an employer within five working days of their enquiry form.

How to raise it without underselling yourself

Flexi-wage is an incentive for the employer, so treat it as one. Lead with what you can do, and mention the subsidy once, as a practical fact that lowers the cost of training you. Never make it the reason to hire you.

In a cover letter, put it near the end, after the paragraphs about the ad's requirements:

"I am registered with Work and Income, and I may be eligible for Flexi-wage, which can contribute to the wages of someone an employer trains into a role. If that would be useful, Work and Income can confirm the details with you before any start date."

At interview, it fits naturally after you explain the gap or the skill you are still building:

"I have not used your scheduling system before, but I learned the one at my last job in a few weeks. If it helps with the training time, I may be eligible for Flexi-wage through Work and Income, which contributes to wages while someone gets up to speed."

Keep the language plain. Say "may be eligible", because Work and Income decides, and offer the details rather than reciting them. If an employer seems put off, it is worth knowing that the law is on your side: under sections 21 and 22 of the Human Rights Act 1993, being unemployed or getting a benefit is a prohibited ground of discrimination, and an employer may not refuse to hire a qualified applicant because of it.

The Cover Letter Writer, part of On the Move, drafts a letter from your CV and the job ad in New Zealand English, using only what your CV shows, so you can add the Flexi-wage line yourself at the end, where it reads as useful information. Our guide to returning to work after a break covers explaining a gap on your CV and in an interview.

Mana in Mahi and other Work and Income programmes

Flexi-wage is one of several programmes, and the right one depends on where you are heading.

If you are not sure which fits, ask Work and Income which programmes you could be considered for before you start applying, so you can mention the right one while it can still be used.

Keep every application in one place

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