The Federal Government will invest $3.9 billion to extend support into the second and third year of an eligible Australian apprenticeship through the $716 million Completing Apprenticeship Commencements program.
Under the new changes from October 2021, eligible employers will receive a 10 per cent wage subsidy in the second year of an eligible apprenticeship, and 5 per cent in the third year. The investment is expected to continue to support the 270,000 anticipated commencements under the Boosting Apprenticeship Commencements program from October 2020 to March 2022.
The decision to extend wage support in the second and third year of an apprenticeship recognises the investment by businesses in apprentices and the long term economic benefits of lifting workforce skills.
Minister for Employment, Workforce, Skills, Small and Family Business, Stuart Robert, said the new Completing Apprenticeship Commencements program will help maintain a pipeline of skilled workers right across the economy with 348,200 Australians training as at June 2021, 30 per cent more than the previous 12 months.
“While other countries shed their apprentice workforces, our highly successful Boosting Apprenticeship Commencement program saw new apprenticeships increase 141.5 per cent year on year.”
Minerals Council of Australia’s Chief Executive Officer Tania Constable said the government’s program has contributed to an increase in apprenticeships and the new funding will help convert them into fully qualified tradespeople.
“The mining industry has already committed to creating 5,000 new apprenticeships over the next few years and [this investment]… will help the sector achieve that commitment sooner.
The mining industry has supported an additional 1,500 new apprenticeships. This number will be further boosted when the Mining Skills Organisation Pilot is fully operational at the end of 2021.
Further apprenticeships will be supported through curriculum, assessment and qualification reform to reflect the current requirements of industry. This commitment means 5,000 workers in regions will have a trade qualification for life.