Apprenticeships and traineeships

Pre-Apprenticeship Support program

$25 million is provided over two years for the new Pre-Apprenticeship Support program. This provision forms part of the $83.4 million allocated for Future skills initiatives – see the Training providers and programs section below for more information (Budget paper no. 1: Budget speech, p. 24; Budget highlights, p. 7; Media statement: $200 million to be invested in future training).

Work Skills Traineeships program

The Skilling Queenslanders for Work initiative includes the Work Skills Traineeships program. An additional $10 million has been allocated to the initiative for 2020-21 (Unite and recover for Queensland jobs: Queensland's economic recovery plan, p. 44; Media statement: Budget builds skills for Queensland's future; Skilling Queenslanders for Work).

Hydrogen Apprenticeships Centre

$20 million towards a Queensland Apprenticeships Centre in renewable hydrogen at Beenleigh was announced in Stage One of Queensland's Economic Recovery Strategy on 19 May 2020 (Budget paper no. 2: Budget strategy and outlook, p. 109; Media statement: Comprehensive strategy to unite and recover for Queensland jobs; Media statement: Palaszczuk Government to pump $10 million into hydrogen pipeline).

Apprentice and trainee payroll tax rebate

In addition to most apprentice and trainee wages being exempt from payroll tax, an apprentice and trainee rebate is available that reduces total payroll tax liability. The rebate amount is calculated by multiplying 50 per cent of the apprentice and trainee wages by the applicable payroll tax rate for each return period (Budget paper no. 2: Budget strategy and outlook, p. 220).

User Choice Apprentice and Trainee Training Subsidy program

$213.9 million is estimated for the User Choice Apprentice and Trainee Training Subsidy program which provides funding towards the costs of training and assessment for eligible Queensland apprentices and trainees, or complementary pathways leading to apprenticeship outcomes. The subsidy is available to pre-approved public and private RTOs to subsidise tuition fees to reduce the cost of nationally recognised entry level training for apprentices and trainees. The program provides greater flexibility for apprentices, trainees and their employers to select a preferred RTO and to negotiate the type of training to meet their specific needs. The value of this subsidy for each qualification ranges from $1,180 to $50,720, depending on student eligibility and qualification subsidised. The average subsidy value is $9,845 (Budget paper no. 2: Budget strategy and outlook, pp. 190-191).

Travel and Accommodation Subsidy

$2.3 million is estimated for the Travel and Accommodation Subsidy which provides financial assistance to apprentices and trainees for travel expenses incurred in attending off the job training at a RTO. To be eligible, apprentices must attend the closest RTO that offers the required qualification and travel a minimum of 100km return from their usual place of residence to the RTO. The subsidy provides for: return land travel to the RTO of 21 cents per km for distances between 100km and 649km, increasing to 26 cents per km for distances of 650km or more; cost of ferry travel if necessary; a return economy air ticket to the location of the RTO if necessary; accommodation assistance of $30 per day for overnight stay within Queensland and $72 for interstate travellers, if it is necessary to live away from their usual place of residence to attend training (Budget paper no. 2: Budget strategy and outlook, pp. 190-191).

Employment

Future skills initiatives

The $83.4 million allocated for Future skills initiatives includes:

• $8 million over two years for the Social Enterprise Jobs Fund.
• $5 million in 2020-21 for the Workforce Transition Support Program.

These new initiatives form part of the $200 million package announced for training and skills – see the Training providers and programs section below for more information (Budget paper no. 1: Budget speech, p. 24; Budget highlights, p. 7; Media statement: $200 million to be invested in future training).

Back to Work program extension

The Back to Work program has been extended by 12 months with applications open until 30 June 2021. This extension is expected to provide businesses in regional Queensland and parts of South East Queensland with $70 million worth of incentives to hire eligible jobseekers (Budget paper no. 2: Budget strategy and outlook, p. 109; Media statement: Budget builds skills for Queensland's future).

Industry

Capital program

The capital works and infrastructure program is allocated $56 billion over the next four years (Budget paper no. 1: Budget speech, p. 18; Budget paper 3: Capital statement, p. 3).

Making it in Queensland

$40.51 million over four years is provided for the Making it in Queensland election commitment. The policy includes creating new manufacturing hubs with a focus on transport equipment and vehicles, food processing and metal products on the Gold Coast and bioproducts made from crops grown in Mackay, increasing the Made in Queensland grants program by a further $15.5 million, and $16.51 to establish an independent industry body for the manufacturing industry. Establishing Manufacturing Skills Queensland is also included in the $200 million skills package announced to support skills and training needs - see the Training providers and programs section below for more information (Budget highlights, p. 12; Service delivery statements volume 1 including budget measures, p. 1-5; Making it in Queensland: building a stronger manufacturing sector; Media statement: Budget builds skills for Queensland's future).

Hydrogen Industry Development Fund

An additional $10 million over four years is provided to develop the renewable hydrogen industry, bringing the total investment in the Hydrogen Industry Development Fund to $25 million. As part of the government's commitment to industry training and skills:

• $20 million has been allocated towards a Queensland Apprenticeships Centre in renewable hydrogen (announced in Stage One of Queensland's Economic Recovery Strategy on 19 May 2020 - see the Apprenticeships and traineeships section above for more information),
• $10.6 million towards a Hydrogen and Renewable Energy training facility at Bohle TAFE in Townsville (part of the $100 million Equipping TAFE for our Future package, to be delivered by the Department of Employment, Small Business and Training – see the Training providers and programs section below for more information)
• $2 million has been committed to upgrade training facilities at Gladstone State High School to prepare students for jobs in the hydrogen industry (Budget paper no. 2: Budget strategy and outlook, p. 11; Media statement: Budget builds skills for Queensland's future; Media statement: Comprehensive strategy to unite and recover for Queensland jobs; Media statement: Palaszczuk Government to pump $10 million into hydrogen pipeline).

Digital Professional Workforce Plan

The $83.4 million allocated for Future Skills initiatives includes $8 million over four years for a Digital Professional Workforce Plan. These new initiatives form part of the $200 million package announced for training and skills - see the Training providers and programs section below for more information (Budget paper no. 1: Budget speech, p. 24; Budget highlights, p. 7; Media statement: $200 million to be invested in future training).

Equipping TAFE for our Future

The $100 million Equipping TAFE for our Future election commitment will commence in 2021-22 and aims to create high quality training spaces tailored to deliver the skills local industry needs in robotics, cyber security, advanced manufacturing, heavy vehicle automotive, metal trades, hydrogen and renewable energy, agriculture and horticulture, aquaculture, and nursing and allied health (Service delivery statements volume 1 including budget measures, pp. 1-6 and 1-7; Media statement: $200 million to be invested in future training; Media statement: Budget builds skills for Queensland's future; Equipping TAFE for our future).

Maritime industry

$21 million is allocated to revitalise Queensland's coastal shipping industry and create maritime jobs. This election commitment also includes commissioning an audit of Queensland's maritime based work force to find and target areas of skills shortage and investing $1 million to support maritime companies and registered training organisations (RTOs) deliver cadetships and to support maritime training (Budget paper no. 1: Budget speech, p. 11; Backing Queensland maritime jobs).

Rebuilding Queensland Tourism

The $74 million Rebuilding Queensland Tourism initiative includes $4 million to deliver business capability training and future-proofing the industry (Budget paper no. 1: Budget speech, pp. 11-12).

Small Business Skills Hub

$8 billion in economic stimulus was announced in response to the COVID-19 pandemic to provide a range of measures to support Queensland businesses. These measures included the Small Business Skills Hub which provides 400 free online courses for businesses and their employees. $30 million is allocated in the budget to increase the skills and capabilities of small businesses through a focus on priority industry sectors, market development and mentoring. This measure forms part of the $140 million allocated for the Big Plans for Small Business election commitment (Budget paper no. 2: Budget strategy and outlook, p. 9; Budget paper no. 1: Budget speech, p. 18; Unite and recover for Queensland jobs: Queensland's economic recovery plan, p. 50; Big plans for small business).

Manufacturing Trains Rollingstock Expansion Project

The economic recovery plan commits $600 million to build 20 of the trains for Cross River Rail in Maryborough with $92 million  allocated over four years from 2020-21 for the Manufacturing Trains Rollingstock Expansion Project. The construction of Cross River Rail is expected to support 7700 full-time equivalent jobs and 450 apprenticeship and traineeship opportunities. The budget aggregates commitments to train manufacturing in Queensland to a total of $1 billion, with $1 million for a business case to replace carriages for the Westlander, Inlander and Spirit of the Outback long-distance services; continuing the $300 million, 10-year pipeline of manufacturing work to refurbish and maintain the existing Queensland Rail fleet; and an $85 million investment for Maryborough workers to repair incompatible internationally built trains (Budget highlights, p. 12; Service delivery statements volume 1 including budget measures, p. 1-5; Powering Queensland jobs: rail manufacturing; Unite and recover for Queensland jobs: Queensland's economic recovery plan, p. 31).

Department of Regional Development, Manufacturing and Water Develop the economy service area

In 2020-21, the Department of Regional Development, Manufacturing and Water will support government and departmental commitments and priorities in workforce development and advanced technology adoption for regional manufacturers, advanced manufacturing, robotics and craft brewing, and by completing skills implementation plans for priority industries, releasing and implementing the Rail Manufacturing Strategy, continuing the Skills Implementation Plan for Advanced Manufacturing and managing the Made in Queensland program (Service delivery statements volume 3, pp. 3-38).

National Agreements

The total Commonwealth Payments for specific purposes and National Partnership Payments to Queensland for Skills and Workforce Development are estimated at $429.9 million for 2020-21.

National Skills and Workforce Development Specific Purpose Payment

Queensland has been allocated $315 million under the National Agreement for Skills and Workforce Development for 2020-21 (Budget paper no. 2: Budget strategy and outlook, p. 122).

National Partnership Payments

• $100.5 million for the JobTrainer Fund (Budget paper no. 2: Budget strategy and outlook, p. 131).
• $8 million for the National Infection Control Training Fund (Budget paper no. 2: Budget strategy and outlook, p. 131).
• New funding to revitalise TAFE campuses across Australia (Budget paper no. 2: Budget strategy and outlook, p. 131).

The Commonwealth budget estimates Queensland will receive $10.622 million over 2 years($6.4 million in 2020-21) under the Revitalising TAFE Campuses Across Australia project agreement (Australian Government Budget paper no. 3: Federal financial relations, pp. 35-37).

Training providers and programs

A $200 million package was announced to support the skills and training needs of Queenslanders in response to the COVID-19 economic recovery priorities and to grow the skills for the jobs of the future by focusing on skills and training in priority industry growth areas. The package includes:

• A total of $83.4 million ($42.2 million in 2020-21 with a further $41.2 million allocated over the forward estimates) for Future skills initiatives including:
• $32.4 million over two years for the TAFE Priority Skills Fund
• $25 million over two years for Pre-Apprenticeship Support
• $8 million over two years for the Social Enterprise Jobs Fund
• $5 million over two years for the First Nations Training Strategy
• $5 million in 2020-21 for the Workforce Transition Support Program (Service delivery statements volume 1 including budget measures, p. 1-5; Budget paper no. 1: Budget speech, p. 24; Budget highlights, p. 7).
• $16.5 million over three years to establish Manufacturing Skills Queensland, an independent, not-for-profit, industry body that will identify key skills required in the manufacturing sector, work with industry, workers, unions and businesses to deliver training programs, and engage with the government to assist in economic recovery planning and the development of an annual training plan for the manufacturing sector. This initiative also forms part of the $40.51 million Making it in Queensland election commitment - see the Industry section above for more information (Budget highlights, p. 7; Making it in Queensland: building a stronger manufacturing sector).
• $100 million over the forward estimates (2021-22 to 2023-24) for the Equipping TAFE for our Future election commitment. This policy builds on the additional investment in regional TAFE announced as part of the COVID economic response and will provide new, modern facilities through 17 projects (Budget highlights, p. 7; Service delivery statements volume 1 including budget measures, pp. 1-6 and 1-7; Media statement: $200 million to be invested in future training; Media statement: Budget builds skills for Queensland's future).

Free TAFE for year 12 graduates and Free apprenticeships for under 21s programs

$21 million is provided to extend the free TAFE for year 12 graduates and Free apprenticeships for under 21s programs to Queenslanders under 25 in priority areas that include health services, hospitality, engineering, aged and disability support and early childhood education (Budget paper no. 1: Budget speech, p. 23).

Skilling Queenslanders for Work

The Skilling Queenslanders for Work initiative will receive $10 million in 2020-21 in addition to the existing investment of $80 million allocated in the 2017-18 Mid-Year Fiscal and Economic Review. The funding is primarily available for community-based not-for-profit organisations which partner with RTOs with Skills Assure supplier (SAS) status, and will provide assistance for a further 10 000 disadvantaged people (Unite and recover for Queensland jobs: Queensland's economic recovery plan, p. 44; Media statement: Budget builds skills for Queensland's future; Skilling Queenslanders for Work).

Capital program

$126.838 million is allocated in 2020-21 for training-related capital purchases and $32 million in capital grants within the $1.917 billion provided to the education and training capital program. The allocation includes $40.694 million for four Advancing our Training Infrastructure projects, $7.3 million for four Revitalising TAFE projects, $18 million for the Hydrogen Training Centre of Excellence ($2 million post 2020-21) and $14 million for the Renewable Energy Training Facility - Electro Group Training ($3 million post 2020-21) (Budget paper 3: Capital statement, pp. 40-56).

Training facilities in schools

The budget allocates $45 million to build and upgrade training facilities for at-school training, tailored to meet the needs and opportunities of regional areas (Budget paper no. 1: Budget speech, pp. 21-22).

Department of Employment, Small Business and Training concessions

The estimated costs of employment, small business and training concessions include:

• $241.7 million for the Vocational Education and Training (VET) Certificate 3 Guarantee Tuition Fee Subsidy that allows eligible Queenslanders to obtain their first post-school Certificate III qualification to help them gain a job or to improve their employment status, including pathways for disadvantaged learners and Queensland school students (VET in Schools). The subsidy is available to pre-approved private and public RTOs to subsidise tuition fees paid by students undertaking eligible VET qualifications (primarily Certificate III qualifications). The value of this subsidy for each qualification ranges from $472 to $6,650, depending on student eligibility and qualification subsidised. The average subsidy value is $3 060.
• $75 million for the VET Higher Level Skills Tuition Fee Subsidy for eligible students and employers to undertake a priority Certificate IV, diploma or advanced diploma qualification or industry endorsed skill set. This program assists individuals to gain employment in a critical occupation, career advancement in a priority industry or transition to university to continue their studies. The subsidy is available to pre-approved private and public RTOs to subsidise tuition fees paid by students undertaking eligible VET qualifications at Certificate IV or above. The value of this subsidy for each qualification ranges from $1,175 to $10,370, depending on student eligibility and qualification subsidised. The average subsidy value is $4,384 (Budget paper no. 2: Budget strategy and outlook, pp. 190-191).

Department of Employment, Small Business and Training funding

The Department of Employment, Small Business and Training's total budget in 2020-21 is $1.464 billion of which 98.3% is funded by appropriation revenue. Grants and subsidies make up 82.9 per cent of the expenditure budget, and relate mainly to VET programs. The training and skills service area highlights include: commencing the implementation of new skilling initiatives; investing in upgrades and improvements of training infrastructure, and undertaking planning of the Equipping TAFE for our future initiative; promoting TAFE pathways in areas of high skill demand with the Free TAFE for under 25s initiative, providing access to 139 fully subsidised apprenticeship and traineeship qualifications and delivering 26 free Certificate III qualifications for under 25s in priority areas; delivering the JobTrainer Fund in partnership with the Australian Government; continuing the Skilling Queenslanders for Work initiative; driving a new approach to quality provision and choice of provider through the Skills Assure initiative; utilising the Industry Engagement Framework introduced by the Queensland Skills Strategy to target skills needs; providing free online skills sets and/or micro-credentials through TAFE Queensland, Central Queensland University and other training providers to support individuals impacted by COVID-19; extending the Regional Jobs Committee program; continuing the Regional Skills Investment Strategy; delivering the Queensland Training Awards; and maintaining access to confidential, free advice from the State Training Ombudsman (Service delivery statements volume 3, p. 3-27).

TAFE Queensland funding

TAFE Queensland estimates it will receive $423.3 million in grants and contributions and $237.4 million in user charges and fees in 2020-21 (Service delivery statements volume 3, p. 3-35).