The Federal Government is set to provide $10,000 in incentive payments to apprentices working in construction, to improve apprentice retention and support Australia’s future workforce.
This is double the current level of support, encouraging more Australians to train for jobs in this critical sector.
The new Key Apprenticeship Program will establish a Housing Construction Apprenticeship stream in response to the Strategic Review of the Australian Apprenticeship Incentive System.
The review found that cost-of-living pressures faced by apprentices are steering people away from taking up apprenticeships.
From July 1 2025, eligible apprentices will receive $10,000 in incentive payments, on top of their wages, over the life of their apprenticeship to work in housing construction.
Apprentices will receive $2,000 at six, 12, 24, 36 months, and at the completion of their apprenticeship.
Encouraging more people into apprenticeships will ensure Australia has the workforce to deliver the Homes for Australia Plan, an ambitious target to deliver 1.2 million homes over the next five years.
Prime Minister Anthony Albanese said that building Australia’s future is about so much more than bricks and mortar.
“It is about creating a better life for Australians. It’s about building better education and creating new employment opportunities,” Mr Albanese said.
“Our tradies are the lifeblood of our construction sector, and that’s why today we are announcing that apprentices who finish an apprenticeship in the housing sector will receive a $10,000 incentive payment.
“This will support apprentices with cost of living, while ensuring we have the skilled workforce we need to deliver our Homes for Australia plan.
Federal Minister for Housing and Homelessness, Clare O’Neil, said that more tradies means more new homes, so supporting more apprentices in construction and housing is something the government needs to get right.
“The long-term fix to housing is to build more homes in our cities, suburbs and regions, and that’s why we’ve started one of the biggest home building programs in Australia’s history,” Ms O’Neil said.
Federal Minister for Skills and Training, Andrew Giles, said that it is essential to get the Australian Apprenticeships system right.
“We need to have a system with more apprentices finishing their training and gaining the skills and qualifications that we need in our workforce,” Mr Giles said.
“The Strategic Review of the Australian Apprenticeship Incentive System shows apprentices are especially exposed to the cost-of-living pressures. That’s why we are making this initial investment as a first step to help address the financial challenges apprentices and their employers face.
“This cost-of-living measure should encourage aspiring housing construction tradies to take up the call and join this critical workforce.
“Apprentices are the lifeblood of so many Australian industries. The skills they develop are vital ingredients for us to capitalise on our Future Made in Australia plan and deliver the infrastructure to achieve net zero.
“I would like to thank Dr Iain Ross and Ms Lisa Paul for their comprehensive work in delivering the review.”
