Following on from the welcome news that Signage Cert III TAFE courses will be free in most states, the Federal government has widened the programmes - but how to encourage more youngsters, and employers with over 200 employees, to apply? The AiG poses the question.
Signage apprenticeships are now fee-free in most states (ASGA photo)
"The Federal Government's initial response to the Strategic Review of the Australian Apprenticeships Incentive System recognises the importance of apprentices, in particular for small business and in the critical housing sector, but it leaves open uncertainty about crucial employer incentives to hire young workers," says Innes Willox, Chief Executive of the national employer association, the Australian Industry Group.
"The Key Apprentices program seeks to encourage apprentices into trade occupations, particularly in construction to ease the housing crisis, and will hopefully encourage more young Australians to take up trade apprenticeships. This is welcome. However, there is no clarity around continuing employer incentives which are due to expire on 30th June.
Willox adds: "Without continuing a broader system of incentives, it means there will be far fewer apprentices employed simply because companies will no longer be supported to do so.
"Industry has been very clear that financial incentives are an important factor in supporting employers to take on apprentices and trainees, as well as supporting apprentices and trainees to complete their training contracts. For an employer, the cost of supervising and training an apprentice can be prohibitive."
Unanswered questions
Willox continues: "There remain many unanswered questions about the how the apprenticeships system across the economy will 
AiG's Innes Willoxwork into the future. This level of uncertainty is challenging for business, particularly as skills shortages continue to be a significant issue now and into the future. Establishing the proposed innovation fund would be a welcome initiative but it should not come at the expense of employers with more than 200 staff.
"We welcome that the review recognises the additional support that many smaller employers need, but we are concerned with a recommendation that only employers with less than 200 people should receive incentives – particularly when larger companies employ half the trainees and one in five apprentices currently in the workforce. Those companies are also more likely to hire women, indigenous Australians and more diverse cohorts in our community.
"Larger employers also play an important role in employing diverse cohorts and regionally based apprentices. For example, employers of over 200 workers employ more than two fifths (42.8%) of all Indigenous apprentices, half (50.5%) of women in non-traditional trades and half (51.4%) of all apprentices from a non-English speaking background.
"We will continue to work with the Government on the review recommendations and how they will impact broader industry," concludes Willox.
