MI · OJT

How Michigan OJT Reimbursement Actually Works for Employers

Michigan on-the-job training runs through the local Michigan Works! agencies under WIOA. You hire an eligible job seeker, sign OJT paperwork before the start date, and the agency reimburses part of the wages during training. Federal rules allow up to 50% of wages, and up to 75% where the board documents why. The Michigan boards checked in September 2026 publish 50% or less, so expect 50%. A separate state option, the Going PRO Talent Fund, pays up to $2,000 per new hire, but its employer application window was closed as of September 2026.

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

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HOW IT WORKS

Four steps, in this order.

1
Meet your local Michigan Works! business services team about the open job
2
Agree the OJT plan and finish eligibility paperwork before the hire starts
3
Hire and train the eligible candidate
4
Submit wage records and receive reimbursement

2 VERIFIED PROGRAMS

Where the Michigan money comes from.

Run by Michigan Works! agencies (local workforce boards), under LEO-WD policy. Every figure is from an official page, linked on each card.

WIOA On-the-Job Training through your Michigan Works! agency

Up to 50% of wages (federal cap 75% with documentation)

THROUGH YOUR LOCAL BOARD

WHAT YOU GET

Reimbursement for the extra cost of training and supervision. You do not have to document those extra costs.

HOW MUCH

Federal rule: up to 50% of the wage rate, up to 75% where the Local Board documents set factors. Michigan boards checked: Macomb/St. Clair up to 50%; West Michigan 50%; Oakland up to half of wages, up to $5,000, depending on funds.

WHO RECEIVES THE MONEY

The employer, as reimbursement of part of the trainee's wages. The employer pays the trainee as usual.

WHO QUALIFIES

Candidate must be WIOA eligible and approved by the agency
Position must be full-time (Macomb/St. Clair also sets a $14.00 per hour minimum)
West Michigan: in business at least one year, current on state taxes, in one of seven listed counties
OJT contract limited to the time needed to become proficient

Before you start: Yes. Macomb/St. Clair: OJT documentation must be approved before the new employee starts work.

Going PRO Talent Fund: new-hire on-the-job training

Up to $2,000 per new hire

INDEPENDENT WINDOW CLOSED; COLLABORATIVE TRACK OPEN

WHAT YOU GET

Reimbursement of OJT costs for a new hire who is becoming proficient in a permanent full-time job at your worksite.

HOW MUCH

Up to $2,000 per person. Paid at 50% after 30 consecutive days of retained employment, 75% after 60 days, and 100% after 90 days.

WHO RECEIVES THE MONEY

The employer, by reimbursement. Reimbursement is earned in steps as the new hire stays employed.

WHO QUALIFIES

Private for-profit or non-profit employer with a physical work location in Michigan
Current with all state tax obligations
Trainees are permanent, full-time employees, 18 or older, working primarily in Michigan
Training must lead to an industry-recognized credential and finish within one year of the award
Not available for non-apprentice workers you already employ

Before you start: Yes. Training before the effective award date is not reimbursed.

LOCAL BOARDS

Same program, different rules by board.

Michigan Works! Macomb/St. Clair

Up to 50% of the new hire's wages; full-time jobs paying at least $14.00 an hour; approval before the start date.

SOURCE: MSC-MW.ORG

Oakland County Michigan Works!

Up to half of a trainee's wages, up to $5,000, depending on funds available.

SOURCE: OAKGOV.COM

West Michigan Works!

50% of wages, typically for 4 to 6 weeks. Seven counties: Kent, Allegan, Barry, Muskegon, Ottawa, Montcalm and Ionia. Employer in business at least one year.

SOURCE: WESTMIWORKS.ORG

AVOID THESE

What gets Michigan OJT claims denied.

Starting the new hire before OJT paperwork is approved.
SOURCE: MSC-MW.ORG
A pattern of not keeping past OJT trainees as regular employees on equal pay and benefits.
SOURCE: ECFR.GOV
Treating an existing employee as an OJT trainee. Federal rules allow employed workers only in set cases.
SOURCE: ECFR.GOV
Under Going PRO, OJT for current non-apprentice employees is ineligible.
SOURCE: MICHIGAN.GOV

STRAIGHT ANSWERS

Michigan OJT questions.

How much of a new hire's wages will a Michigan Works! agency reimburse?

Federal rules allow up to 50%, and up to 75% where the board documents the reason. The Michigan boards checked advertise 50% or less, so confirm your agency's current rate.

SOURCE: ECFR.GOV

Do I have to prove what the training cost me?

No. The payment is treated as compensation for extra training cost and lower productivity. You do document wages and hours.

SOURCE: ECFR.GOV

Can I get OJT money for someone I already hired?

Usually not. Approval must come before the start date. Federal rules allow employed workers only when set conditions are met.

SOURCE: MSC-MW.ORG

Is the Going PRO OJT grant open right now?

As of September 2026 the Talent Fund page shows no open Independent window. Cycle 2 for FY26 closed April 24, 2026. Ask your Michigan Works! agency about the next cycle.

SOURCE: MICHIGAN.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 MICHIGAN

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