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Building Construction, Government Federal

Builders applaud apprenticeship incentive boost

Master Builders Australia 2 mins read

24 January 2025

 

The Albanese Government has today recognised the importance of addressing the chronic tradie shortage to be able to overcome Australia’s housing crisis.

 

From 1 July 2025, eligible apprentices in the residential construction sector will receive $10,000 in incentive payments, on top of their wages under a new Key Apprentices Program. The new payment will be staged at 6, 12, 24, 36 and upon completion which is something Master Builders has long called for. 

 

Apprentices in the building and construction industry currently receive a $5,000 payment, which is front-loaded. This payment will remain available for apprentices who are not eligible for the Key Apprentices Program and has been extended until the end of 2025.

 

Last year, Master Builders released its blueprint for increasing the attraction and retention of apprentices in the industry, which can be read here.

 

Quotes attributable to Master Builders Australia CEO Denita Wawn:

 

“Australia’s building and construction industry faces the enormous task of building enough homes, commercial premises and infrastructure to meet increasing demand and a growing population.

 

“Labour shortages are currently the biggest handbrake on fixing the housing crisis.

 

“Coupled with government funding of fee free vocational education and training, there is no better time to pick up the tools and become a tradie.

 

“The revised staggering of payments is something Master Builders Australia has long called for, so there is a financial incentive for apprentices to complete their training.

 

"Around 50 per cent of all apprentices do not complete their training - the new staged payments approach will hopefully see the rate of completions increase. 

 

“Builders would like to see this payment expanded to other areas of the building and construction industry that are also facing chronic shortages and crying out for more apprentices. Without roads, rail, sewerage and water we can’t build more homes for Aussies.

 

“We are disappointed that the high costs associated with hiring and training and apprentices has not been recognised as yet. 98 per cent of businesses in building and construction are small and they are doing it tough.

 

"Master Builders continues to call for a robust incentive system that supports employers and minimises the risk with taking on an apprentice who may or may not complete their training.”

 

Media contact: Dee Zegarac, National Director, Media & Public Affairs

0400 493 071 | dee.zegarac@masterbuilders.com.au

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