Small building businesses in rural and regional communities around the country will take on more apprentices as a result of new apprentice wage subsidies announced by the Federal Government.
The $60 million wage subsidy trial for regional and rural apprentices will see up to 1,630 new Australian apprentices in areas of skills needs.
Federal Member for Durack and Minister for the Environment Melissa Price welcomed the announcement.
“Businesses in eligible locations can take advantage of this incentive to secure the skills our regional and rural businesses need to remain competitive and give local students new opportunities to stay in their homes,” she said.
“It’s an incentive I believe will encourage businesses and employers to employ a new apprentice and kick start someone’s career.
“A Vocational Education and Training (VET) qualification is every bit as important to the economy as a university degree.”
From 1 January 2019, the new subsidy under the Australian Apprenticeships Incentives Program (AAIP), will support eligible new Australian apprentices in areas such as plumbing, mechanical, electrical, painting trades and hairdressing.
Under the subsidy eligible employers will be able to receive payments based on the apprentice’s relevant award wage rates.
“Subsidies will be provided at 75 per cent of the apprentice’s award wage in the first year, followed with 50 per cent in the second year and 25 per cent in the third year,” Minister Price said.