Wage subsidy to encourage employers to hire more apprentices

A $60 million wage subsidy trial to encourage employers in regional communities to hire more apprentices has been welcomed by Federal Member for Hinkler Keith Pitt.

“While today’s announcement is fantastic news for both employers and young people looking to start an apprenticeship, imagine what we could do if the Queensland State Government actually signed up for the Skilling Australians Fund?

“In February I launched a campaign to encourage local businesses to take on more apprentices and I’ve been pushing ever since.

“The Queensland State Government continues to reject the offer of millions of dollars of federal funding which would be used to create around 50,000 new apprentice training places.

“The Coalition Government has invested $1.5 billion in the Skilling Australians Fund, but the Queensland State Government is happy to let our young people down. This is unacceptable.

“I think the Premier needs to explain to the people of Queensland why she won’t sign up for the Skilling Australians Fund,” Mr Pitt said.

The wage subsidy trial will see up to 1,630 new Australian Apprentices in areas of skills needs, including areas such as plumbing, mechanical, electrical and painting trades.
Mr Pitt said under the subsidy, eligible employers within Hinkler 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,” Mr Pitt said. 

From 1 January 2019, the new subsidy under the Australian Apprenticeships Incentives Program (AAIP), will support eligible new Australian Apprentices.