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Hairdressers and builders alike have welcomed an expansion to the federal government’s apprentice wage subsidy scheme. Over the next 12 months, Australian employers will receive $1.2 billion to hire new apprentices. The subsidy will be available for those hired before September 30, with the government expecting businesses to take on 70,000 apprentices over the next year. The existing $1 billion Boosting Apprenticeship Commencements wage subsidy scheme was announced in October 2020. Minister for Employment Michaelia Cash said the subsidy’s first phase allowed 40,000 businesses to take on 100,000 new apprentices. “This initiative has supported the creation of [jobs for] more than 8000 bricklayers, 6000 electricians, and almost 11,000 people in retail and hospitality work,” she said. On Tuesday, Prime Minister Scott Morrison said the initial wage subsidy scheme was ‘”fully subscribed” in only five months of the program. He said 40 per cent of new apprentices and trainees from the first phase of the scheme were working at small businesses. “The largest take-up [of apprentices was] in the construction; food and beverage; administrative; and repair and maintenance sectors,” he said. “Around one-fifth of the new apprentices were over the age of 35.” Eden Hair Energy Salon owner Emmalene Mahar currently has five hairdresser apprentices and two trainees who are studying business-related tertiary qualifications. She said the next phase of the subsidy would allow her to take on more apprentices. “As a business, we have a pretty big commitment to our apprenticeships,” Mrs Mahar said. “We would hope that across this year, we would take on another two to three apprentices. “The wage subsidy will certainly aid that.” She said she was hopeful the wage subsidy would encourage more people to work in the field. “As an industry, [hairdressing has] been on a skills shortage list for 20 years,” she said. “Any incentive or initiative to encourage employees to our profession is very welcomed. “My hope would be any sort of publicity that would put hairdressing on the radar as a potential career option.” Mrs Mahar said the subsidy would allow businesses to hire mature apprentices. She said mature-age apprentices were people aged over 21, and that the award specified that apprentices 22 and over be paid 30 per cent higher than younger people in the same position. “Mature apprentices have found it difficult to break into the industry because of the higher wages associated with them,” she said. “Higher wages for mature-aged apprentices means often fewer opportunities, which I think is sad because there are often great advantages with hiring somebody who has experience.” Master Builders ACT chief executive Michael Hopkins said the scheme’s extension would be “welcome news to local construction apprentices and host employers”. “This extension will allow local construction businesses, who are currently facing increased work demands due to the success of HomeBuilder, to employ and train a skilled workforce,” he said. “During 2020, apprentices were one of the most vulnerable groups, facing job shortages during the pandemic-induced recession.” Our journalists work hard to provide local, up-to-date news to the community. This is how you can continue to access our trusted content:
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Hairdressers and builders alike have welcomed an expansion to the federal government’s apprentice wage subsidy scheme.
Over the next 12 months, Australian employers will receive $1.2 billion to hire new apprentices.
The subsidy will be available for those hired before September 30, with the government expecting businesses to take on 70,000 apprentices over the next year.
The existing $1 billion Boosting Apprenticeship Commencements wage subsidy scheme was announced in October 2020.
Minister for Employment Michaelia Cash said the subsidy’s first phase allowed 40,000 businesses to take on 100,000 new apprentices.
“This initiative has supported the creation of [jobs for] more than 8000 bricklayers, 6000 electricians, and almost 11,000 people in retail and hospitality work,” she said.
On Tuesday, Prime Minister Scott Morrison said the initial wage subsidy scheme was ‘”fully subscribed” in only five months of the program.
He said 40 per cent of new apprentices and trainees from the first phase of the scheme were working at small businesses.
“The largest take-up [of apprentices was] in the construction; food and beverage; administrative; and repair and maintenance sectors,” he said.
“Around one-fifth of the new apprentices were over the age of 35.”
Eden Hair Energy Salon owner Emmalene Mahar currently has five hairdresser apprentices and two trainees who are studying business-related tertiary qualifications.
She said the next phase of the subsidy would allow her to take on more apprentices.
“As a business, we have a pretty big commitment to our apprenticeships,” Mrs Mahar said.
“We would hope that across this year, we would take on another two to three apprentices.
“The wage subsidy will certainly aid that.”
She said she was hopeful the wage subsidy would encourage more people to work in the field.
“As an industry, [hairdressing has] been on a skills shortage list for 20 years,” she said.
“Any incentive or initiative to encourage employees to our profession is very welcomed.
“My hope would be any sort of publicity that would put hairdressing on the radar as a potential career option.”
Mrs Mahar said the subsidy would allow businesses to hire mature apprentices. She said mature-age apprentices were people aged over 21, and that the award specified that apprentices 22 and over be paid 30 per cent higher than younger people in the same position.
“Mature apprentices have found it difficult to break into the industry because of the higher wages associated with them,” she said.
“Higher wages for mature-aged apprentices means often fewer opportunities, which I think is sad because there are often great advantages with hiring somebody who has experience.”
Master Builders ACT chief executive Michael Hopkins said the scheme’s extension would be “welcome news to local construction apprentices and host employers”.
“This extension will allow local construction businesses, who are currently facing increased work demands due to the success of HomeBuilder, to employ and train a skilled workforce,” he said.
“During 2020, apprentices were one of the most vulnerable groups, facing job shortages during the pandemic-induced recession.”
Our journalists work hard to provide local, up-to-date news to the community. This is how you can continue to access our trusted content:
