Wage Subsidies Available For Employing An Apprentice

Subsidies Apprentices

 

Are you considering employing a plumbing apprentice? Great news – there are wage subsidies available to eligible employers.

Available incentives

Under the Priority Wage Subsidy, if you hire an apprentice in Certificate III in Plumbing and Certificate III in Roof Plumbing among others relevant to the plumbing industry, you may qualify for:

  • 10% of your apprentices’ wages paid to you for the first 24 months (up to $1,500 per quarter)
  • 5% of your apprentices’ wages paid to you for the third 12 month period (up to $750 per quarter)

These incentives are provided because these apprenticeships are part of the Australian Apprenticeship Priority List, which identifies occupations with a strong current and future demand for skilled workers. An employer can only receive this subsidy if you are not receiving any other government assistance for your apprentice.

If you are not eligible for the Priority Wage Subsidy, you may still be eligible to receive the Hiring Incentive: a one-off payment of $1750 for full time apprentices or $875 for part time apprentices.

Disability Australian Apprentice Wage Support (DAAWS) may also be available if you employ an apprentice with disability.

For further information on these financial assistance that may be available to you depending on the circumstances, please visit the Australian Apprenticeships website here.

How to claim

Claims are processed through the Apprenticeships Data Management System (ADMS) Your Australian Apprenticeships Support Network (AASN) | Australian Apprenticeships is able to assist with any questions you may have.

Financial support for apprentices

Apprentices in priority occupations are also eligible for financial support to help them complete their apprenticeship and offset living costs. There are two options available:

  1. The Australian Apprentice Training Support Payment, which can be claimed every 6 months, offering up to $1,250 (for full time apprentices) at 6, 12, 18, 24 months.
  2. The New Energy Apprentice Support Program, which includes Airconditioning and Mechanical Services Plumber, offering $2,000 (for full time apprentices) at 36 months and an additional $2,000 upon completion.

This current model is available up to 30 June 2024.

For more details please visit Financial support for apprentices in priority occupations | Australian Apprenticeships.

Government support and efforts by MPAQ - make your voice be heard

The Federal Government has announced they will be undertaking a review of the current incentives schemes to determine how best to support trainees, apprentices, and employers alike. 

For apprentices and trainees who started in 2018, only 55.8% completed their apprenticeship or traineeship in 2022, according to data from the National Centre for Vocational Education Research (NCVER), which is of great concern.

MPAQ is calling on the State and Federal Government to provide more support for employers to take on apprentices. Providing more support for employers to take on apprentices can have significant economic, social, and cultural benefits for Queensland. It can help address skill shortages, boost economic growth, support small businesses, and provide significant social benefits for young people.

MPAQ has conferred with the newly appointed Minister for Employment and Small Business and Minister for Training and Skills Development, the Hon Lance McCallum MP, to express our perspectives on the government's role in enhancing support for employers in hiring apprentices.

Through our federal body Master Plumbers Australia and New Zealand, we have also written to the Federal Minister for Skills and Training the Hon Brendan O’Connor MP regarding concerns of the potential discontinuation to the inclusion of the apprentice wage subsidy in the 2024 – 25 budget. This would have significant ramifications for our industry.

The Strategic Review of the Australian Apprenticeship Incentive System is investigating the support available to help more people start and complete apprenticeships and traineeships. MPAQ embraces this review and eagerly invites direct feedback from our members. Should you wish to contribute ideas or suggestions, please feel free to email us at info@mpaq.com.au.

 

For further information, please feel free to contact our office on 07 3273 0800 or speak with an Australian Apprentice Support Network provider.

 

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Author
Emma Ross
Emma Ross Senior HR Business Partner

In early 2020, Emma rejoined MPAQ to extend invaluable HR support and guidance to members and internal team. With over a decade of experience in the labour hire sector, encompassing roles in building and construction, hospitality, and the university sector, Emma possesses a comprehensive understanding of the employee life cycle. Her extensive background equips her with profound insights into HR, and she is passionate about ensuring compliance with employment legislation. Emma recognises the significance of cultivating and sustaining robust working relationships with staff members.

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