WA resource sector levy exemption to be removed

The Western Australian Government will remove the resource industry’s long-standing exemption from contributing to the Building and Construction Industry Training Fund (BCITF) to support training and skills development for the state’s construction workforce.

The BCITF levy currently applies to all residential, commercial and civil engineering projects undertaken in Western Australia, where the total value of construction is estimated to be more than $20,000.

The levy is invested in training incentives and support for employers of apprentices and trainees in the building and construction industry.

The resources industry has been exempt from the payment since 1995. Once the exemption is removed, the resources sector will also contribute the 0.2 per cent levy for engineering construction work, excluding mining operations.

Minister for Education and Training, Sue Ellery, said, “The McGowan Government’s Plan for Jobs includes a commitment to strengthen Western Australia’s training system and increase training opportunities.

“It recognises the importance of apprenticeships and traineeships in helping Western Australians gain the skills they need to secure jobs in the future.

“The removal of the exemption will not only make it more equitable across industries, but it will help support training at a critical time as the economy improves.

“Creating additional training opportunities for Western Australians is key to ensuring we are well placed as the state’s economy grows and diversifies.”

Many construction workers employed on resource sector construction projects have been trained by the building and construction sector. This initiative will ensure all sectors contribute equitably to the cost of training the state’s construction workforce.

Additional funds collected under the levy will be reinvested to support training in Western Australia. The State Government will develop options to support improved training opportunities in consultation with industry.

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