$60m Rural And Regional Apprentice Wage Subsidy Trial To Boost Economy


The Government has recently announced a $60 million ‘pilot’ to trial a wage subsidy for employers in rural and regional areas to take on more apprentices. Senator Michaelia Cash said the trial would see up to 1,630 new Australian Apprentices in areas of skills needs.

The welcomed subsidy will commence from 1 January 2019. According to the Government eligible employers will be able to receive payments based on the “apprentice’s relevant award wage rates”.

“The investment is part of our Government’s commitment to maintain a strong vocational education and training (VET) sector with a focus on supporting business needs and a quality skilled workforce,” Minister Cash said.

“Through this incentive we are securing the skills our regional and rural businesses need to remain competitive and give local students new opportunities at home.”

From 1 January 2019, the new subsidy under the Australian Apprenticeships Incentives Program (AAIP), will support eligible new Australian Apprentices in areas such as plumbing, mechanical, electrical, painting trades and hairdressing.

“Subsidies will be provided at 75 per cent of the apprentice’s award wage in the first year, followed with 50 per cent in the second year and 25 per cent in the third year.”

Click here to view the eligible courses/ occupations.

Click here to view the list of eligible postcodes.

Master Builders are still seeking urgent advice about whether GTOs with apprentices placed in
rural and regional locations will be eligible for the subsidy and other related details.
RWK Accountancy will update you as soon as this advice comes to hand.