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Policy initiatives > Budget highlights > Western Australia 2018-19
The 2018-19 budget was released by the McGowan Labor Government on 11 May 2018. Budget highlights relating to skills and training are provided below. Direct links to relevant budget papers are provided for quick and easy access.
The wages of eligible apprentices and trainees employed under a training contract registered with the Department of Training and Workforce Development are exempt from payroll tax. The WA Government announced changes to the exemption to apply from 1 December 2017, which limit eligibility to the wages of trainees who are new employees earning $100 000 or less per annum. Transitional arrangements apply for existing employees earning $100 000 or less per annum who had already lodged a training contract. The wages of all apprentices remain eligible for the exemption (Budget paper no. 3: Economic and fiscal outlook, p. 274; Budget paper no. 2: Budget statements volume 1, p. 310)
A total of $6.9 million was allocated over the forward estimates period in the 2017-18 budget (p. 122) to reinstate delivery of craft industry trade qualifications at metropolitan TAFE campuses from the 2018 training year. The initiatives the Department of Training and Workforce Development will progress during the 2018-19 financial year include implementing craft industry apprenticeship training in Western Australia rather than through interstate providers (Budget paper no. 2: Budget statements volume 1, p. 310).
A new regional labour market review framework will be implemented to support the development of regional-specific occupationlists for all of the State's nine regions, ensuring that the identification of priority occupations is more responsive to the regions and that the TAFE colleges deliver training aligned with future jobs growth inthe regions (Budget paper no. 2: Budget statements volume 1, p. 310).
The initiatives the Department of Training and Workforce Development will progress during the 2018-19 financial year include working with industry to provide training in a range of mining industry jobs (Budget paper no. 2: Budget statements volume 1, p. 310).
Technological change and automation, particularly in the resource sector, is a major challenge for the State’s future workforce. In response, a specialist curriculum to address the skill needs of displaced workers in the resource sector is being developed as part of collaboration between major resource sector stakeholders and the South Metropolitan TAFE. Further work is planned to broaden the scope of this initiative to include other industries impacted by automation and new technologies (Budget paper no. 2: Budget statements volume 1, p. 311).
The Department of Training and Workforce Development will work with the State Training Board and industry stakeholders to address critical emerging skill needs in the State. With respect to supporting the roll-out of the National Disability Insurance Scheme, the Department will develop policies and allocate resources to address anticipated jobs growth and skills development needs inthe aged care, allied health and community services sectors (Budget paper no. 2: Budget statements volume 1, p. 311).
The State Training Board and Industry Training Councils will be revamped, including a new reporting structure, recognition criteria, service agreement and anindustry engagement and planning framework to ensure a direct link between industry needs and government economic direction (Budget paper no. 2: Budget statements volume 1, p. 310).
The resource sector's exemption from paying the Building and Construction Industry Training Fund Levy on engineering construction work will be removed. This funding will go towards training and skills development for the State's construction workforce (Budget paper no. 1: Treasurer's speech, p. 6).
The total Commonwealth Payments for specific purposes and National Partnership Payments to Western Australia for Skills and Workforce Development are estimated at $159 million for 2018-19 (Budget paper no. 3: Economic and fiscal outlook, p. 211).
WA has been allocated $159 million under the National Agreement for Skills and Workforce Development for 2018-19 (Budget paper no. 3: Economic and fiscal outlook, p. 211).
In its 2017-18 Budget, the Commonwealth Government announced a new National Partnership on the Skilling Australians Fund (NPSAF) to replace the National Partnership Agreement on Skills Reform, which expired on 30 June 2017. The total Commonwealth funding available under the NPSAF will depend on the level of revenue collected through a new Skilled Migration Levy, subject to the passing of legislation through the Australian Parliament. As a condition of receiving funding, States and Territories would be required to deliver apprenticeship and traineeship targets set by the Commonwealth, and maintain the total vocational education and training budget above a mandatory benchmark. Consistent with the 2017-18 Budget and Mid-year Review, NPSAF funding has not been reflected in this Budget (Budget paper no. 3: Economic and fiscal outlook, pp. 60-61).
The Training Accreditation Council (TAC) has the statutory responsibility for providing regulatory services to Registered Training Organisations (RTOs) operating solely in Western Australia. Regulation, Review, Funding, and Policy Advice provides regulatory, review, funding and policy advisory services, as required by legislation or government policy, to support provision of quality services by registered and/or accredited education and training providers. The net cost of services are estimated at $16.046 million for 2018-19 (Budget paper no. 2: Budget statements volume 1, p. 297).
Works with estimated expenditure continuing in 2018-19 include the Remedial Works Program. $14.7 million is allocated in 2018-19 to upgrade and repurpose ageing TAFE training campuses state-wide. New works with estimated expenditure commencing in 2018-19 include an investment of $17.9 million in South Regional TAFE's Esperance Campus to provide industry-relevant training facilities to support the training and workforce development needs of the Esperance region, with a focus on trades training,nursing and aged care; and a major upgrade at Collie TAFE (Budget paper 1, Treasurer's speech, p. 14; Budget paper no. 2: Budget statements volume 1, p. 318).
Career and Workforce Development Services within the Department of Training and Workforce Development provide education and training information and career guidance to the Western Australian community, as well as employment, training and mentoring services to Aboriginal people and communities. Under the Government’s election commitment, these services are largely being transitioned to Jobs and Skills Centres located at the TAFE Colleges. Six metropolitan and seven regional Jobs and Skills Centres will be established to provide a single point of contact for industry, business and individual jobseekers around their career and training needs (Budget paper no. 2: Budget statements volume 1, p. 310 and 314).
The implementation of a vocational education and training (VET) regional partnerships program will be progressed to provide an opportunity for regional TAFE colleges to invest in new and innovative long-term partnerships to create training and job opportunities (Budget paper no. 2: Budget statements volume 1, p. 310).
As growth in VET in schools continues, a new model will be trialled of allocating TAFE places to increase access for students. This is part of a broader plan being implemented to improve support for public schools and future job prospects for students (Budget paper no. 2: Budget statements volume 1, p. 292).
The Department of Training and Workforce Development will ensure that the TAFE sector contributes to the development and implementation of the long-term international education strategy to increase Western Australia's market share of international students to address the downward revision to international student training activity over the forward estimates period (Budget paper no. 2: Budget statements volume 1, p. 310).
A quality control system will be introduced, including an ongoing audit process for privately registered training providers seeking to deliver government funded training places, with an increase in on-site audits and a focus on outcomes (Budget paper no. 2: Budget statements volume 1, p. 310).
Prior year budget highlights can be accessed by clicking on the buttons below.
NCVER (National Centre for Vocational Education Research) 2018, Budget highlights: Western Australia, VET Knowledge Bank, NCVER, Adelaide, <https://www.voced.edu.au/vet-knowledge-bank-policy-initiatives-budget-highlights-western-australia-2018-19>.
This page is a product in the VET Knowledge Bank, a living resource that NCVER continues to develop and update on an ongoing basis.
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