What is the small employer indicator (SEM1)
Training Providers must ensure apprentices employed by a small employer are recorded with the small employer indicator (SEM1).
What is classed as a small employer
Employers with fewer than 50 people working for them can train, at no cost, apprentices aged 16-18 or aged 19-24 who have previously been in care or who have a Local Authority Education, Health, and Care plan.
When SEM1 Needs to be recorded
The SEM1 must be recorded in each academic year that the learner is in learning:
- Failure to record this in an academic year will mean that co-investment contribution will be due from the employer.
- If the SEM1 is not recorded and co-investment contributions are outstanding, the ESFA will not pay the completion element of the apprenticeship programme.
- Retrospective recording of the small employer indicator will not remove the requirement for co-investment contributions from an employer in a previous academic year.