Apprenticeships and traineeships

Additional support for the Vocational Education and Training Sector

Additional funding of $2 million dollars over 2 years ($1 million in 2019-20 and $1 million in 2020-21) was allocated to increase subsidies paid to registered training organisations (RTOs) for apprenticeships and traineeships to access nationally recognised training in areas linked to skills needs (ACT Economic Survival and Recovery Initiatives: ACT Treasurer's update, p. 6; August 2020 Economic and Fiscal Update, p. 64).

Payroll tax exemptions for new apprentices and trainees - extension

The Youth Support Package included in the August 2020 EFU (p. 91) provided a short-term payroll tax exemption from 1 August 2020 to 31 January 2021 for wages paid to newly employed apprentices or trainees. Net expenses (expenses minus revenue foregone) are estimated at $1.075 million for 2020-21. The budget extends this measure until 30 June 2021 and expects it to be covered through this existing funding (Budget 2020-21: Budget outlook, p. 75).

Growing future skills with more apprenticeship and vocational training places

The 'Growing future skills with more apprenticeship and vocational training places' initiative (Future Skills for Future Jobs grants program), announced in the 2019-20 Budget, continues in 2020-21 with estimated expenses of $238 000. This initiative will attract matched contributions from the Commonwealth Government through the National Partnership on the Skilling Australians Fund (August 2020 Economic and Fiscal Update, p. 103; 2019-20 Budget paper no. 3: Budget outlook, p. 87).

Employment

Jobs for Canberra Fund - expansion

The Jobs for Canberrans Fund was established to allow the ACT Public Service to employ additional workers (with a particular focus on hiring people who were not eligible for the Commonwealth Jobkeeper and Jobseeker programs) on short-term contracts to help deliver projects and programs of benefit to the Canberra community during the COVID-19 pandemic. The measure was allocated $28 million when it was announced in the June 2020 ACT Treasurer's update (p. 19), revised to $28.5 million ($27.362 million in 2020-21) in the August 2020 EFU (p. 87), and allocated an additional $1 million for 2020-21 in the budget (Budget 2020-21: Budget outlook, p. 72; Social inclusion statement, p. 5).

Industry

Infrastructure Investment Program

The Infrastructure Investment Program amounts to $914 million in 2020-21 and $4.3 billion over the four years to 2023-24. Significant infrastructure projects include Building Light Rail to Woden and raising London Circuit; the Canberra Hospital Expansion; and the extension of John Gorton Drive and Molonglo River Bridge project; building a new Woden CIT Campus and Interchange (see the Training providers and programs section below); new or expanded public schools including two new high schools and a new primary school in the city's north; and growing and renewing more public housing (Budget 2020-21: Budget outlook, p. 50).

Knowledge Capital - future jobs fund

The Knowledge Capital - future jobs fund measure has been allocated $2.164 million in 2020-21 to establish a Future Jobs Fund which will provide grants to support economic recovery in the ACT. The focus of the grants will be on saving and creating jobs in the tertiary education, research and growth industry sectors. Funding will be provisioned in 2021-22 to expand the program, informed by the evaluation of existing programs and the outcomes of the first phase of grants provided in 2020-21. The provisioned funding in 2021-22 ($2 million net cost and $5 million net capital) will be used to provide a combination of grants, repayable grants, guarantees, convertible notes or equity injections to projects or proposals that protect or create new jobs in universities and the private sector (Budget 2020-21: Budget outlook, p. 72).

Payroll tax and fee relief

Measures introduced to assist local companies have included payroll tax waivers and deferrals, waivers of licence fees, residential and commercial rates rebates, and utilities bill rebates. The ACT's own-source taxation revenue is expected to be $105.8 million higher over the four years to 2023-24 than estimated in the August 2020 EFU (p. 109) due to stronger than previously forecast economic activity that has driven higher revenue collections and led to lower take up of some of the COVID-19 related measures. The budget introduces new measures including Knowledge Capital - Payroll Tax Deferrals for Universities ($11 000 in 2020-21) and extends the Payroll tax exemptions for new apprentices and trainees (see the Apprenticeships and traineeships section above for more information). Other Supporting local business and the economy and Keeping Canberrans employed measures are summarised on pages 57-61 of the August 2020 EFU, followed by further detail on pages 63 to 91 (Budget 2020-21: Budget outlook, pp. 73, 75, 135, 138, and 140).

Big Canberra Battery

The Big Canberra Battery is a $100 million investment over the next five years to deliver at least 250 megawatts of new 'large-scale' battery storage system capacity across the ACT, to increase energy security and reliability for Canberrans. $1.8 million in 2020-21 and 2021-22 is provided to undertake detailed design work for the project, with construction expected to commence in 2022-23 (Budget 2020-21: Budget outlook, p. 69).

National Agreements

The total Commonwealth Payments for specific purposes and National Partnership Payments to the ACT for Skills and Workforce Development are estimated at $40.541 million for 2020-21.

National Skills and Workforce Development Specific Purpose Payment

The ACT has been allocated $26.17 million under the National Agreement for Skills and Workforce Development for 2020-21 (Budget 2020-21: Budget outlook, p. 173).

National Partnership Payments

• JobTrainer - $8.284 million in 2020-21 (with $9.1 million allocated in 2021-22)
• Revitalising TAFE campuses across Australia - $2 million in 2020-21 (with $608 000 allocated in 2021-22)
• Skilling Australians Fund - $4.087 million in 2020-21 (with $3.999 million allocated in 2021-22).
• The ACT also received $670 000 from the National Infection Control Training Fund in the 2019-20 financial year.

The Skilling Australians Fund schedule for the ACT indicates Commonwealth funding of $5 million in 2019-20 and $4 million in 2020-21. The budget shows the 2019-20 actual ($5.49 million) for the Skilling Australians Fund is higher than the 2019-20 budget estimate ($4.893 million), and $850 000 is reprofiled from the 2019-20 budget to 2020-21 (Budget 2020-21: Budget outlook, p. 173 and Budget 2020-21: Budget statements B, p. 55).

Training providers and programs

JobTrainer Program

The JobTrainer Fund is allocated $16.750 million over 2 years ($13.869 milion in 2020-21), co-funded by the Australian and ACT Governments. The initiative will fund free training places for job seekers, school leavers and young people in areas of skills need or employment growth. The ACT Government will also provide $100 000 for the development of a Vocational Education and Training (VET) Investment Strategy that will ensure future VET expenditure is targeted at the highest priority industries and student cohorts (Budget 2020-21: Budget outlook, pp. 72 and 173; August 2020 Economic and Fiscal Update, p. 63).

National Infection Control Training Fund

The June 2020 ACT Treasurer's update (p. 13) announced up to $670 000 will be contributed towards the joint Commonwealth-Territory fund to deliver infection control training to workers, with a focus on customer facing roles in a range of industries. With Commonwealth matched funding, this will provide fully subsidised training for up to 3800 people in the ACT. Financial estimates were revised in the August 2020 EFU to incorporate an additional $100 000 provided to fund an infection control support program to support the implementation of training and information to ensure appropriate safety protocols in the hospitality sector (August 2020 Economic and Fiscal Update, p. 76; Budget 2020-21: Budget outlook, p. 173).

Additional support for the Vocational Education and Training Sector

Additional support for the VET sector of $1 million in 2019-20 and a further $1 million in 2020-21 was announced in the June 2020 ACT Treasurer's update (p. 6). The measure increases the subsidies for apprenticeships and traineeships to access nationally recognised training in areas linked to skills needs across a range of industries. Subsidies will be provided directly to RTOs (August 2020 Economic and Fiscal Update, p. 64).

More jobs for our growing city - Vocational training for stage and theatre

The 'More jobs for our growing city - Vocational training for stage and theatre' measure announced in the 2018-19 budget (Budget paper no. 3: Budget outlook, p. 101) has been continued with $73 000 allocated in 2020-21. The measure provides for a trained educator at the Canberra Theatre Centre for a Certificate III in Live Production and Services, allowing practical aspects of the training to be provided at the Centre, with the theory component provided through the Canberra Institute of Technology (CIT) (August 2020 Economic and Fiscal Update, p. 102).

Knowledge Capital - Vocational Education and Training Programs

The Knowledge Capital - Vocational Education and Training Programs budget measure provides $1.313 million in 2020-21 and $674 000 in 2021-22 to support Skills Canberra to deliver the new national partnership agreements on JobTrainer, Infection Control Training, and the Australian Apprenticeships and Skilled Capital programs. This funding will support the Government's intention to provide job security during the ongoing COVID-19 health emergency and assist in the ACT's economic recovery (Budget 2020-21: Budget outlook, p. 73).

Output 3.6: Higher Education, Training and Research

Output 3.6: Higher Education, Training and Research of the Chief Minister, Treasury and Economic Development Directorate (CMTEDD) will receive an estimated $52.059 million in funding in 2020-21. Through the Higher Education, Training and Research output the directorate partners with tertiary education institutions to support the growth and development of the sector. Tertiary Education, Training and Research, and Skills Canberra will deliver this output by: promoting Canberra as Australia's study destination of choice for international, interstate and local students and driving continuous improvement in Canberra's student experience; managing vocational education and training (VET) in the Territory; and administering, monitoring and auditing Territory and national funds for a variety of programs addressing skills development (Budget 2020-21: Budget statements B, pp. 24-25).

CIT IT investment

The CIT IT investment measure announced in the June 2020 ACT Treasurer's update (p. 7) fast tracked CIT's 'Study Work Anywhere Any Time' IT project to enable CIT to move delivery of components of its teaching and learning online by July 2020. The expertise required to implement this project will be sourced from local SMEs, which will support the local industry and help keep high value technology skills in the region. The measure was allocated $800 000 in 2019-20 and $195 000 in 2020-21 (August 2020 Economic and Fiscal Update, p. 64).

Better Infrastructure Fund initiatives in the 2020-21 Budget

The Better Infrastructure Fund gives ACT Government agencies an annual funding pool for works that extend the useful life or improve the service delivery capacity of existing infrastructure assets, and is separate from routine repairs and maintenance work. In 2020-21, the estimated total of CIT projects is $2.846 million (Budget 2020-21: Budget outlook, p. 233).

Building the Woden CIT Campus and Transport Interchange

The Government will design and construct a new CIT campus at Woden, in conjunction with a new Woden Bus Interchange. The Woden Campus includes a Youth Foyer and a 20-bed integrated learning and accommodation setting for vulnerable young people who are committed to pursuing education and training. This project also includes capital funding of $35.2 million in 2024-25, bringing the total capital cost over four years to $278 million ($15.3 million in 2020-21) (August 2020 Economic and Fiscal Update, p. 85).

Support for international students

$150 000 was allocated in 2019-20 to support international students as part of the $9 million Community Support Package included in the June 2020 ACT treasurer's update (p. 17), recognising that many people on temporary visas are not eligible for other forms of assistance, such as the Commonwealth's JobKeeper program. Funding will be provided to and subsequently managed by the Australian Red Cross. The measure is unchanged in the August 2020 EFU (p. 82).