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TN · OJT

How Tennessee OJT Reimbursement Actually Works for Employers

Tennessee on-the-job training (OJT) runs through local workforce development areas under WIOA. You hire a person the board has approved, sign a training agreement first, and the board reimburses part of the trainee's wages during training. The state page says up to 50%. Federal rules allow up to 75% when the board documents the reason, and one board's desk reference advertises 75%; confirm the rate with your board.

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  • Program type pre-filled: OJT
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HOW IT WORKS

Four steps, in this order.

  1. 1

    Contact your American Job Center before you hire

  2. 2

    The board confirms the trainee is eligible and enrolled before the first day of work

  3. 3

    Sign the OJT contract and training plan

  4. 4

    Pay wages, then send monthly invoices with documents

1 VERIFIED PROGRAM

Where the Tennessee money comes from.

Run by Tennessee Department of Labor and Workforce Development, through local workforce development areas and American Job Centers. Every figure is from an official page, linked on each card.

WIOA On-the-Job Training through your local workforce development area

Up to 50% of wages, 75% in documented cases
THROUGH YOUR LOCAL BOARD
WHAT YOU GET

Reimbursement of part of the trainee's wages during a set training period, for the extra cost of training and lower early productivity.

HOW MUCH

State page: up to 50%. Federal rule: up to 50%, and up to 75% using the 680.730 criteria. Greater Memphis: up to 50%, with more case by case. The Southeast Tennessee desk reference says up to 75%, while its web page says 50%; confirm the current rate.

WHO RECEIVES THE MONEY

The employer, by reimbursement. The employer pays the trainee as usual.

WHO QUALIFIES
  • The trainee must meet WIOA adult, dislocated worker or youth eligibility and be enrolled with the American Job Center before the first day of employment
  • You agree to keep the employee after training
  • Contract length matches the time needed to become proficient
  • Boards will not contract with an employer that has failed to keep past trainees
Before you start: Yes. No expenses are reimbursed until the contract is fully signed and participant data is approved.
HOW TO APPLY
  1. 1Contact your local board or American Job Center employer services
  2. 2Agree the trainee, occupation and training plan, then sign the contract
  3. 3Pay wages and submit monthly invoices with documents

Deadlines and windows: Invoices are due monthly for the previous month. Greater Memphis pays within 30 days of approved documents.

SOURCE: TN.GOV
LOCAL BOARDS

Same program, different rules by board.

Greater Memphis Local Workforce Development Board

Up to 50% by skill and training needed, more case by case; trainee must be enrolled with the American Job Center before day one; invoices paid in 30 days.

SOURCE: GREATERMEMWORKFORCE.COM
Southeast Tennessee workforce board

Web page says up to 50% of the new hire's wages and requires you to retain the employee; its 2024-25 desk reference says up to 75%.

SOURCE: SECAREERCENTER.ORG
Upper Cumberland Workforce Development

Describes OJT help for eligible dislocated workers who enter an apprenticeship as a new hire.

SOURCE: UCWORK.ORG
AVOID THESE

What gets Tennessee OJT claims denied.

STRAIGHT ANSWERS

Tennessee OJT questions.

How much of a new hire's wages will a Tennessee board reimburse?

The state page says up to 50%. Federal rules allow up to 75% when the board documents factors such as trainee barriers or small employer size. Ask your board for its rate.

SOURCE: ECFR.GOV
Do I have to prove what the training cost me?

No. Federal rule 680.720 treats the payment as compensation for extra training and supervision costs, so you do not document them. You still document wages and hours.

SOURCE: ECFR.GOV
Can I use OJT for an apprentice?

Yes. The Comptroller says state OJT funds can be used for apprenticeships and pay up to 50% of the trainee's wages.

SOURCE: COMPTROLLER.TN.GOV
How long can the OJT contract run?

Only as long as the trainee needs to become proficient in the occupation, set from the job's skill level and the person's experience.

SOURCE: ECFR.GOV

How we checked. Every fact on this page comes from a state agency, a local workforce board or federal regulation, read on . 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 TENNESSEE

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