South Australian Skills Act 2008
Div 3CSubstitution of employer under training contract and transfer fees
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Division 3C—Substitution of employer under training contract and transfer fees 54MA—Transfer of training contract where change of ownership of business (1) A change in the ownership of a business (or part of a business) does not result in the termination of a training contract entered into by the former owner but, where a change in ownership occurs, the rights, obligations and liabilities of the former owner under the contract are transferred to the new owner. (2) If a training contract is transferred under this section, both the former owner and the new owner must, within 21 days of the transfer or assignment, notify the Commission in writing of the transfer. 54N—Commission may approve substitution of employer under training contract (1) The Commission may, on an application under this section and in accordance with any requirements set out in the regulations or the South Australian Skills Standards, approve the substitution of an employer in relation to a training contract. (a) may be made by, or on behalf of, an employer, or an apprentice or trainee, in relation to a training contract, or a person who is to be substituted for the employer (a proposed employer), each of whom will be taken to be a party to the application; and (c) must include any information or documents required by the Commission; and (3) The Commission may only approve the substitution of an employer under this section if— (a) the proposed employer consents to the substitution; and (b) the proposed employer is not a prohibited employer; and (c) the proposed employer is— (i) a registered employer; and (ii) operating within the scope of the registration of the employer; and (iii) complying with any other condition of the registration; and (d) the proposed employer has paid, or has entered into an agreement to pay, any transfer fee payable under section 54O to the employer in relation to the training contract; (e) the Commission is satisfied that it is, in all the circumstances, appropriate to do so. (4) Despite subsection (3)(c), the Commission may approve a substitution despite a proposed employer not being a registered employer if— (a) the proposed employer has applied for registration under Division 3, but that application has not yet been determined; and (b) the Commission is satisfied that the proposed employer is a fit and proper person to enter a training contract. (5) The Commission should, where it is reasonably practicable to do so, have regard to any submissions of the existing employer in relation to the relevant training contract in relation to the application (other than where that employer is the applicant). (6) The following provisions apply where the substitution of an employer is approved under this section: (a) the employment of the apprentice or trainee to which the training contract relates continues as employment with the new employer; (b) the training contract continues in force, subject to the substitution; (c) any rights, obligations and liabilities of the former employer in relation to that training contract are, by force of this paragraph, transferred to the new employer. 54O—Transfer fee payable in relation to certain substitutions of employer in relation to training contract (1) This section applies to the substitution of an employer in relation to a training contract under section 54N. (2) A proposed employer in relation to a training contract must, in accordance with any requirements set out in the regulations or the South Australian Skills Standards, pay to the previous employer in relation to the training contract the prescribed transfer fee for a business of the relevant size. (3) An amount payable to a previous employer under this section may be recovered by the previous employer as a debt in a court of competent jurisdiction. (4) The Governor may, by regulation, exempt a specified proposed employer, or proposed employers of a specified class, from the operation of this section. (5) Nothing in this section affects any cause of action or other right that an employer may have arising out of, or relating to, a training contract. (6) For the purposes of this section, the size of a business is to be determined as follows: (a) if the business employs or otherwise engages not more than 20 people, the business will be taken to be a small business; (b) if the business employs or otherwise engages more than 20 people, the business will be taken to be a medium to large business. previous employer in relation to a training contract, means the employer in relation to the training contract immediately preceding the substitution of a proposed employer under section 54N; proposed employer, in relation to a training contract, has the same meaning as in section 54N.