Cancellation - inability to fulfil the obligations of the training contract
ATIS-005
Version 3.3
November 2012
Cancellation - inability to fulfil the obligations of the training contract (PDF, 66KB)
An employer, apprentice or trainee (and parent/guardian where applicable) may apply to cancel the training contract for an apprenticeship or traineeship because of their inability to fulfil the obligations under the training contract.
Important information
Situations for cancelling the training contract by the employer include:
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where the employer has ceased business; or
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where there is a substantial change in the employer's circumstances, affecting their capacity to perform their obligations under the training contract. For example, the employer may no longer perform a large percentage of the work in which the apprentice or trainee was to receive training.
Situations for cancelling the training contract by the apprentice or trainee include:
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where the employer's business has relocated to a place to which it is impracticable or unreasonable for the apprentice or trainee to travel; or
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where there is a substantial change in the apprentice's or trainee's circumstances affecting their capacity to perform their obligations under the contract. For example, the apprentice or trainee may no longer be able to perform the work because of a physical condition, allergy etc.
A party to the training contract who wishes to apply for the cancellation of the apprenticeship or traineeship because of one of these situations must send a written application to the Department of Education, Training and Employment (DETE). ATF-024 Single party application to cancel a traininig contract (PDF, 122KB) form can be used for this purpose.
It is important to note that this type of cancellation can be accepted by DETE with only the signature of the party applying for cancellation on the form.
It must be noted that where all parties do not agree to cancelling, cancellation of the training contract will not be effective unless or until DETE approves the application and provides a date of effect of cancellation. The employer and apprentice or trainee are still required to fulfil their obligations under the training contract including maintaining employment, training and payment of wages, until DETE decides the matter.
In cases where the application for cancellation is disputed, DETE is required to address the matter under fair procedures. This will require an investigation to be undertaken.
For further information
Contact:
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Apprenticeships Info on 1800 210 210 regarding the cancellation of the apprenticeship or traineeship
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Fair Work Infoline on 13 13 94 regarding the effect a cancellation of the apprenticeship or traineeship may have on the employment and the parties' obligations in relation to the employment.
