Important Changes to Apprenticeship and Traineeship Funding from July 1, 2024
Starting July 1, 2024, the Australian Government will introduce significant changes to the Apprenticeship and Traineeship funding support model. While these changes are aimed at improving the overall system, it's crucial for individual employers to understand how they might be affected.
Key Points to Note
Changes in Service Providers:
The government has restructured the organisations that can provide apprenticeship services. Some familiar names will no longer be in the market, while others will continue, and new providers will emerge.
Nine organisations have been appointed to deliver these services across different regions, including generalist providers like MAS National and MEGT (Australia) and specialists for targeted groups.
This transition will replace the current Australian Apprenticeship Support Network (AASN) providers, ensuring continuity of support for existing apprentices.
Funding Support Adjustments:
The Hiring Incentive of $3,500 for occupations not on the Priority List will be discontinued. If you plan to enroll new staff in a traineeship, consider doing so before June 30, 2024.
The Hiring Incentives for Priority Occupations will increase from $4,000 to $5,000 for the first 12 months starting July 1.
Payments for apprentices in occupations on the Australian Apprenticeship Priority List will increase from $3,000 to $5,000.
What You Should Do
If you are considering starting a traineeship that is not on the Priority Skills List, it's advisable to do so before 30th June 2024. This will allow you to take advantage of the current funding support before the changes come into effect.
For more information, you can check the list of high-priority occupations here and find additional details about the program on the Department's information site here.
Stay informed and plan ahead to make the most of the available support for apprenticeships and traineeships!