Incentives to engage more adult apprentices

Adult Apprentice Female.JPG

Employers in Pearce will be incentivised to take on a new adult apprentice with the Liberal Government extending the Support for Adult Australian Apprentices payment (SAAA).

From 1 July 2019, eligibility for the (SAAA) payment will be extended to employers who take on an eligible apprentice aged 21 to 24 years studying a certificate III or IV qualification in areas of skills needs.

Until now, eligibility for the SAAA payment was limited to employers who engaged an eligible apprentice aged 25 and over when they commenced their Australian Apprenticeship. The SAAA payment could not be accessed for the 21 to 24 year old age group despite them being paid an adult wage.

Eligible employers in Pearce will now receive a one-off payment of $4,000 to take on an adult apprentice from 21 years of age.

Federal Member for Pearce, Christian Porter, said the Liberal Government was making it easier for Australians to start an apprenticeship.

“The experience and maturity adult apprentices bring to their apprenticeship – after years of studying or working elsewhere – is highly valued by employers,” Mr Porter said.

“Extending the SAAA payment initiative for adult apprentices aged 21 – 24 years old will support 12,500 apprentices over three years from 2019-20 and would also incentivise local small businesses to take on an adult apprentice and expand their business.”

The Fair Work Commission’s determination that an ‘adult apprentice’ for wage purposes was someone aged 21 years or older when they started their apprenticeship has created a disincentive for businesses to take on an apprentice aged between 21 and 24.

“Lowering the eligibility threshold for the SAAA to 21 years and over will encourage more employers to take on adult apprentices in areas of skills needs,” Mr Porter said.

“The Liberal Government is delivering an apprenticeship system that works for all Australians.”