Training-job insertion plan

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Name of the instrument - Local language
Plan Formation-Insertion (PFI)
Name of the instrument - English translation
Training-job insertion plan
Scheme ID
16
Country
Belgium
Reporting year
2020
Type of instrument
Grant for companies
Sub-type of instrument
Support for direct costs
Type of entry
Single instrument
Short description

Employers located in the Walloon region hiring former unemployed as trainees are eligible for this grant. The employer does not pay a salary to the trainees but a lump sum (indemnité forfaitaire), according to the work performed by the trainee and based on the future wage, to FOREM (Walloon regional employment agency). The training period should last between 4 and 26 weeks. Under particular circumstances, the training period can be extended to 52 weeks. The trainee continues to receive social allowances and receives a monthly bonus from FOREM. This instrument is targeted at any unemployed job seeker registered with Forem. Since the reform in 2019 the employer has to be either a natural person or a legal entity, an autonomous public enterprise or a local authority or a temporary employment agency. The objective of the Plan Formation-Insertion (PFI) is to allow the jobseeker to acquire the necessary skills to be integrated/employed in the company providing training.

Not applicable
Level of operation
Regional
Name of a part of the country
Not applicable
Name of the region (for regional instruments)
Wallonia
Name of the sector (for sectoral instruments)
Not applicable
Relevance
Key instrument
Royal Decree of 18 July 1997 modified by programme-law of 5 April 2003 and A.G.W (Walloon Government Decree) of 14 November 2007
Objective(s) and target(s)
Train a job seeker to meet the specific needs of company and then hire him/her
Year of implementation
1997
Year of latest amendment
2019
Operation/management
Regional Public Employment Service (PES) Wallonia: Le Forem, is the entity responsible for the operation and management of the instrument. The objective of the scheme is to allow the jobseeker to acquire necessary skills to be integrated/employed in the company providing training. The employer does not pay a salary to the trainees, but a lump sum (indemnité forfaitaire) to FOREM (Walloon regional employment agency), according to the work performed by the trainee and based on the future wage.
Eligible group(s)
This instrument is targeted at any unemployed job seeker registered with Forem.This financial aid may only be given to the employers having a place of business in the Walloon region, excluding the territory with a German-speaking community. Since the reform in 2019 the employer has to be either: - A natural person or a legal entity - An autonomous public enterprise - A local authority or a temporary employment agency So trainees/employees of these types of firms can be involved
Group(s) with preferential treatment
No preferential treatment
Education and training eligible
Concerning the type of education eligible, the training period should last between 4 and 26 weeks. It can be extended to 52 weeks for: - young people under 25 years of age who have been unemployed for more than 1 year - unemployed over 25 years of age and unemployed for more than 2 years - no diploma secondary education - disability - reintegration after serious illness. Training must follow specific company needs.
Source of financing and collection mechanism
The source of funding is the State (through the loss of tax revenue). Funding comes from FOREM budget.Employer does not pay a salary to the trainees but a lump sum (indemnité forfaitaire), according to the work performed by the trainee and based on the future wage, to FOREM (Walloon regional employment agency) and FOREM pays bonus to trainee (on top of his/her social allowance)
Financing formula and allocation mechanisms
Depending on social allowances that trainee receives, the trainee receives a bonus from FOREM: - 1020.77 per month: FOREM bonus of 289.02 - between 680.17 and 1020.76: FOREM bonus of 578.02- maximum of 680,18: FOREM bonus of 867.06- no allowance: FOREM bonus of 1156.09.Employer does not pay a salary to the trainees but a lump sum (indemnité forfaitaire), to FOREM. Depending on the future gross wage of the trainee, the company pays a different lump sum. Salaries and corresponding lump sums are as follows:- 1734: 663- 1734 - 2039, 99: 867- 2040 - 2345, 99: 1071- 2346 - 2651, 99: 1275- > 2652: 1479
Eligible costs
Employer does not pay a salary to the trainees but a lump sum (indemnité forfaitaire) to FOREM (Walloon regional employment agency), based on future earnings of the trainee.
Volumes of funding
Not available
Beneficiaries/take up
Not available
Organisation responsible for monitoring/evaluation
Le Forem (PES Wallonia).
Most relevant webpage - in English
Not available
Most relevant webpage - local language
https://www.leforem.be/entreprises/aides-financieres-plan-formation-ins…
Recent changes

2019. The major change (in 2019) is that the employer doesn't have to pay the employee, but has to pay a lump sum to FOREM and that the support is now also available for public sector (since the reform in 2019 the employer has to be either i) a natural person or a legal entity; ii) an autonomous public enterprise; iii) a local authority or a temporary employment agency) .

Recent changes in response to COVID-19

No changes

Sources
https://www.leforem.be/entreprises/aides-financieres-plan-formation-ins…
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