Apprentice employers welcome PM’s $2bn JobTrainer package

Australia’s largest network of employers of apprentices and trainees today welcomed the federal government’s $2 billion package of support for apprentices, trainees and skills development.
The National Apprentice Employment Network (NAEN) said the JobTrainer package will substantially widen the existing support measures to thousands of additional apprentices and trainees, and help save jobs.
The Chief Executive Officer of NAEN Dianne Dayhew said JobTrainer will help avoid the ‘cliff’ that many businesses expect to face when existing payments end in September.
“The critical thing is that it extends the current wage subsidy for apprentices from small firms to larger businesses with up to 200 employees, so it really gives support to a lot of firms that might struggle to retain their apprentices.
“It will provide much-needed support and confidence to many businesses that will be wondering what happens when the current measures end.
“This provides an added six months of assistance. It will help them avoid the September cliff and hopefully see them through until the economy starts to pick up,” Ms Dayhew said.
“This will be most welcome for apprentices because it safeguards their jobs and helps avoid being laid off or being forced to give up their apprenticeships entirely.”
Ms Dayhew said the apprenticeship system is experiencing one of its most challenging times with numbers in decline and many businesses struggling to retain their existing employees.
“It’s also a difficult time for apprentices and trainees who have been laid off and are struggling to find work.”
NAEN represents the country’s group training organisations that employ some 22,000 apprentices and trainees and places them with host businesses. Approximately 5,000 apprentices and trainees have been placed in ‘hibernation’ due to the COVID-19 pandemic.

National register will connect apprentices and trainees with employers to safeguard jobs and careers

Apprentices and trainees from small businesses who recently lost their jobs are now able to connect with prospective employers to explore ongoing work, through a new national service launched today.

The Apprentice and Trainee Re-engagement Register will support apprentices and trainees displaced as a result of the coronavirus outbreak, by connecting them with a network of employers across the country.

The register enables apprentices and trainees who were in a training contract with a small business at March 1 to upload details such as qualifications, work experience and resumes.

Employers of any size, including Group Training Organisations, are able to register their details and post a vacancy for an apprentice or trainee.

Employers who re-engage apprentices or trainees displaced from a small business may be eligible for a wage subsidy of 50 per cent of the apprentice’s or trainee’s wage, under the government’s Supporting Apprentices and Trainees initiative.

The register is hosted by the National Apprentice Employment Network (NAEN) and supported by the Australian Government, as part of the economic response to the coronavirus.

The Chief Executive Officer of NAEN Dianne Dayhew said the register will be a critical support measure for many apprentices, trainees and employers impacted by business shutdowns.

“This will give apprentices and trainees a chance to retain their skills and safeguard their livelihoods by gaining access to businesses where they can  have a fresh start and be reemployed.

“For employers, it is a great opportunity to engage an apprentice or trainee who comes with existing training and employment experience under their belt,” Ms Dayhew said.

“It has been a challenging start to 2020, but I think all employers recognise that conditions will bounce back and skilled employees will be in demand.

Government’s apprentice support initiative provides a much-needed lift for small business

The National Apprentice Employment Network (NAEN) has today welcomed the federal government’s decision to introduce strong measures to assist small businesses to retain apprentices in the face of unsettling economic conditions.

Prime Minister Scott Morrison has announced an apprentice wage subsidy payment that will assist small businesses to keep their existing apprentices and trainees in work.

The Chief Executive Officer of NAEN Dianne Dayhew said the apprentice support payments will provide a much-needed injection of funding for small business employers to help retain their apprentices that might otherwise become unemployed.

“The government is to be commended for this support. It is important to recognise the investment that goes into hiring and developing apprentices, and it’s equally important to ensure that investment is not lost,” Ms Dayhew said.

The initiative will assist some 120,000 apprentices and trainees to remain in their jobs through a subsidy paid to the employer, equal to 50 per cent of the apprentice or trainee’s wage and worth up to $7000 per quarter.

The measure, worth about $1.3 billion will apply to existing apprentices and trainees employed by businesses with fewer than 20 employees, backdated to 1 January and extending to 30 September 2020.

“The start of 2020 has been a difficult time for many small businesses impacted by drought, bushfires and now coronavirus, so the latest stimulus measures are a very welcome step in helping them stay afloat.”

Group training organisations (GTOs) employ some 30,000 apprentices and trainees across Australia and the feedback from individual GTOs is that the start of 2020 has been relatively flat for apprentice commencements.

Most small businesses with apprentices understand that conditions will bounce back, but there could be a difficult few months ahead and, without assistance, apprentices could well be displaced.

New study shows group training organisations achieving superior completion rates for apprentices and trainees

Australia’s network of group training organisations (GTOs) are achieving “substantially higher” completion rates of apprentices and trainees than direct employers in small and medium sized businesses, according to a landmark study released today.

The National Apprentice Employment Network (NAEN) welcomed the research findings from the National Centre for Vocational Education Research, which show the group training sector achieving superior outcomes for thousands of apprentices and trainees.

“The study shows the focussed efforts of group training organisations in matching apprentices and trainees with host businesses and providing ongoing mentoring and support does produce superior outcomes,” said, the CEO of the National Apprentice Employment Network (NAEN) Ms Dianne Dayhew.

The study, Completion rates for group training organisations and direct employers: how do they compare? examines the completion rates of apprentices and trainees employed by GTOs and those employed by direct employers.

It concludes that “After accounting for the different demographic profiles of GTO apprentices and trainees and employer size, the study shows that GTO completion rates for all apprentices and trainees are substantially higher than for small and medium direct employers.”

For trade apprentices and trainees, GTO completions are higher than for small and medium employers, while for non-trade apprentices and trainees, GTO completions are higher than for small and medium, and large direct employers.

Importantly, the study finds that the profile of GTO apprentices and trainees includes a higher proportion of disadvantaged or ‘high risk’ cohorts commencing apprenticeships and traineeships.