CA · OJT

How California OJT Reimbursement Actually Works for Employers

On-the-job training (OJT) in California runs through local workforce boards using WIOA money. The board reimburses you part of a new hire's wages while they learn. Federal rules set the norm at up to 50% of wages and allow up to 75%. California's state waiver lets boards that apply pay up to 90% for employers with 50 or fewer employees in program year 2026-27. You must sign a contract with the board before or at hire, so apply before you make the offer.

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State pre-filled: CA
Program type pre-filled: OJT

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HOW IT WORKS

Four steps, in this order.

1
Contact your local America's Job Center
2
Sign the OJT contract before hiring
3
Hire and train the worker
4
Invoice for wages during training and get reimbursed

1 VERIFIED PROGRAM

Where the California money comes from.

Run by Local workforce development boards, under EDD and the California Workforce Development Board. Every figure is from an official page, linked on each card.

WIOA On-the-Job Training through your local workforce board

Up to 50% of wages; up to 90% for small employers at some boards

THROUGH YOUR LOCAL BOARD

WHAT YOU GET

A share of the wages for the training period to offset extra training and supervision cost.

HOW MUCH

Up to 50% of the wage rate by federal rule. Boards may go up to 75% in some cases. Boards using the state waiver may pay up to 90% if you have 50 or fewer employees. Caps and hours differ by board.

WHO RECEIVES THE MONEY

Your company. The board reimburses you for part of the trainee's wages.

WHO QUALIFIES

The hire is WIOA-eligible and referred or approved by the board
The job pays a living wage set by the board (for example $20 an hour or more in San Diego)
Full-time regular job; you do not lay off someone to fill it
Training length fits the job, often up to 6 months or 1,040 hours

Before you start: Yes. The OJT contract must be signed before you hire or start training.

LOCAL BOARDS

Same program, different rules by board.

San Diego Workforce Partnership

Up to 50% of hourly wage, 1,040 hours maximum. Job must be full time (32 hours or more) and pay $20 an hour or more. Contract before hiring.

SOURCE: WORKFORCE.ORG

San Luis Obispo County Workforce Development Board

Up to 75% for 1 to 20 employees, 70% for 21 to 35, 50% for 36 and above. Contract up to 6 months or 1,040 hours. The posted policy is dated 2020.

SOURCE: SLOCOUNTY.CA.GOV

Oakland Workforce Development Board

Up to 50% of training wages, up to 75% by exception. Up to $6,000 per training and up to 6 months or 520 hours. Employer must retain the employee 6 months after training.

SOURCE: OAKLANDCA.GOV

Long Beach Workforce Development Board

Up to 50%, and up to 75% for employers with up to 50 employees. Reimbursable wage is capped at $26 an hour. 26 weeks or 1,040 hours maximum.

SOURCE: LONGBEACH.GOV

AVOID THESE

What gets California OJT claims denied.

Hiring or starting training before the OJT contract is signed.
SOURCE: SLOCOUNTY.CA.GOV
Laying off or replacing a current worker with an OJT hire.
SOURCE: WORKFORCE.ORG
A job below the board's wage floor, such as $20 an hour in San Diego.
SOURCE: WORKFORCE.ORG
Asking for reimbursement above the board's wage cap or hours limit.
SOURCE: LONGBEACH.GOV
Not keeping the worker after training. Oakland requires 6 months retention.
SOURCE: OAKLANDCA.GOV

STRAIGHT ANSWERS

California OJT questions.

How much does OJT reimburse?

Up to 50% of the trainee's wage under the federal baseline, up to 75% by local policy, and up to 90% for employers with 50 or fewer employees at boards using California's waiver.

SOURCE: EDD.CA.GOV

Who applies for the 90% waiver?

The local board does, each year. Ask your board if it uses it. Employers with more than 50 employees do not qualify for it.

SOURCE: EDD.CA.GOV

Can I hire first and ask later?

No. San Diego requires the contract before you hire. San Luis Obispo describes OJT as hire first, but training starts only after the contract is signed.

SOURCE: WORKFORCE.ORG

How long can OJT last?

It depends on the board: up to 6 months or 520 hours in Oakland, up to 1,040 hours in San Diego and San Luis Obispo.

SOURCE: OAKLANDCA.GOV

How we checked. Every fact on this page comes from a state agency, a local workforce board or federal regulation, read on September 30, 2026. Where a board publishes nothing, we say so instead of guessing. Programs and funding change often; confirm with the program before you commit. Written by Jason Meehl, founder of Reimbursa. Found an error? Email hello@reimbursa.com.

OTHER PROGRAMS IN CALIFORNIA

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