What happened?

Effective March 13, 2024, 16VAC15-60, sometimes referred to as the “Training Wage regulation”, has been adopted as a final regulation. 

What are the details?

Key Bites

• It applies to both private and public sector employers.
• The training wage rate is the greater of either the federal minimum wage or 75% of the Virginia minimum wage. As of the reinstatement, 75% of the Virginia minimum wage is $9.00 per hour.
• An employee must be enrolled in an established on-the-job training program for a period not to exceed 90 days to receive the training wage.

• There must be a reasonable expectation of regular, permanent employment for the trainee upon successful completion of the training program.
  • Seasonal employees and temporary employees are not eligible.
• The training wage may only be offered to trainees in programs that meet certain requirements. The program must involve either formal instruction or on-the-job training which grants the trainee limited responsibilities, performed under supervision.

Business Considerations

• Employers should understand the Regulation and familiarize themselves with the details of the reinstated 16VAC15-60 regulation.
• Employers should put in place a structured on-the-job training program to become eligible for offering the training wage.
• Employers should ensure their training program meets the requirements set out in the regulation.
• Employers should guard against displacement because they must not employ or deploy a worker earning the training wage in a manner that would displace other employees.
• Employers should plan for the employee’s future, and it is recommended to only offer the training wage if there is a clear path to stable, full-time employment for the trainee post-training.
• Employers should stay updated and keep up to date with any changes or updates to the regulation to ensure ongoing compliance.

Source References

• Press Release Virginia Department of Labor and Industry

Resources

• 16VAC15-60
• 16VAC15-60-10. Definitions.
• 16VAC15-60-20. Requirements for job training programs.

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