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From 1 July 2024, the Australian Government is changing the Apprenticeship and Traineeship funding support model.

There are the usual justifications and logical conclusions, many of which are accurate and important, but not necessarily relevant to individual employers. Among other things, the changes aim to improve support for apprentices, especially those at risk of non-completion, fulfilling commitments from the Jobs and Skills Summit. Additionally, specialised service providers will support specific groups, including those working towards clean energy occupations.

In our view the key points are;

  1. There is a shake-up in the organisations that can provide apprenticeship services. Some well-respected names are gone, some remain, and some new service providers are entering the market. The reasons for the changes are known only to the government, but chances are if your previous Apprenticeship Centre will no longer be able to provide the services post-July 1, the consultant you have been used to working with will pop up in one of the new providers. Nine organizations have been appointed to deliver these services across various regions. These include generalist providers like MAS National and MEGT (Australia) and specialist providers for targeted groups. The new services will replace the current Australian Apprenticeship Support Network providers, with a transition process to ensure continuity of support for existing apprentices.
  2. The levels of funding support available to employers will change. The Hiring Incentive of $3,500 for occupations NOT on the Priority List will cease. So if you have any plans to enrol newly-appointed staff to a traineeship, consider doing so before June 30
  3. The levels of Hiring Incentives for Priority Occupations will increase from $4,000 to $5,000 for 12 months from July 1
  4. Payments will increase from $3,000 to $5,000 for apprentices undertaking occupations that are on the Australian Apprenticeship Priority List
    You can see the occupations on the High Priority List here .

And you can find out more about the program from the Department’s information site here Australian Apprenticeship Support Services – RFT outcomes factsheet.