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Policy initiatives > Budget highlights > Western Australia 2021-22
The 2021-22 state budget was released by the McGowan Labor Government on 9 September 2021. Budget highlights relating to skills and training are provided below. Direct links to relevant budget papers are provided for quick and easy access.
A new scheme will be introduced in 2022 to provide small-to-medium enterprises with access to an additional 300 apprentices and trainees (150 in 2022 and 150 in 2023) to work on government projects through group training organisations. The Additional Apprentices and Trainees Employed through Group Training Organisations budget measure is allocated $32.381 million over four years ($2.701 in 2021-22) (Budget paper no. 2: Budget statements volume 1, p. 384).
The Employer Incentive for Adult Apprentices initiative is allocated $5.2 million over 2021-22 to 2024-25 ($2.2 million in 2021-22) to support 200 mature age apprentices. The initiative will provide an incentive payment to employers that covers 100 per cent of the wage gap between adult and junior apprentices (Budget paper no. 3: Economic and fiscal outlook, pp. 120 and 123).
Introduced as part of the COVID-19 response, the Apprenticeship and Traineeship Re-engagement Incentive (ATRI) initiative provides an incentive payment to employers to re-engage apprentices or trainees who have had their training contracts cancelled. The Extension of the Apprenticeship and Traineeship Re-engagement Incentive initiative will be extended by 12 months from 1 July 2021 to 30 June 2022, at an estimated cost of $4.1 million (Budget paper no. 3: Economic and fiscal outlook, p. 123).
The Apprenticeship and Traineeship Administration and Regulation service provided by the Department of Training and Workforce Development includes registration of training contracts and administration of contract variations, educating participants on training contract and legislation requirements, dispute resolution and monitoring of legislative compliance. The service includes the cost of grants and administration associated with the Employer Incentive Scheme introduced in the 2019-20 budget. The net cost of service for 2021-22 is estimated at $395.751 million (Budget paper no. 2: Budget statements volume 1, p. 389).
The Defence Industry Veterans Employment Scheme (DIVES) scholarship program will be introduced to encourage veterans to take up a career in the defence industry. The program will be delivered by Defence West, in partnership with industry, starting in 2021. The scholarship will support defence veterans to enter engineering trades and/or upskill into non-trade defence industry careers. The program will be co-funded between the WA Government and industry, with each party contributing $5 000 per scholarship with a commitment to co-funding 20 scholarships a year. The initiative has been allocated $130 000 for 2021-22, with $135 000 allocated each year for 2022-23 and 2023-24 (Budget paper no. 2: Budget statements volume 1, p. 202; Jobs & Skills WA: Defence Industry Veterans Employment Scheme).
As an outcome of the inaugural Skills Summit (see the Industry section below), a state-wide pilot program, the Improve Access and Equity for Learner Drivers Pilot, will be introduced to assist eligible young people to access a supervising driver or vehicle and complete the required supervised driving hours for a driver's licence. The program aims to improve employment opportunities for young people and will cost $4.9 million in 2021-22 (Budget paper no. 2: Budget statements volume 1, p. 144).
To provide more opportunities for Aboriginal employment and training, $50 million will be spent over four years ($4.4 million in 2021-22) to continue and expand the Aboriginal Ranger Program. The program supports jobs in remote and regional land and sea management and tourism activities. The initiative forms part of the WA Jobs Plan for the Regions and fulfils an election commitment (Budget paper no. 3: Economic and fiscal outlook, pp. 85, 149 and 151).
A Skills Summit was held on 30 July 2021 with over 130 industry leaders to identify a range of actions to address the workforce pressures being experienced by businesses as a result of the State's stronger than expected economic recovery from the impacts of the COVID-19 pandemic. A range of strategies are being implemented to attract skilled workers to WA, develop regional solutions and harness the skills and experience of the under-utilised segments of the labour force. New strategies will be progressed in partnership with industry. Priority initiatives to attract and retain skilled workers include:
The WA Jobs Plan focuses on preferencing Western Australians for WA jobs, WA manufacturing, creating jobs in regional WA, reducing interstate fly in fly out (FIFO), green jobs, METRONET, more training at TAFE and school and continuing to diversify the State's economy. The training sector is supporting targeted industries such as defence, manufacturing, future battery and critical minerals, hydrogen, tourism and agribusiness through workforce development planning, new curriculum and training programs, prioritisation of Science, Technology, Engineering and Mathematics (STEM) training and the provision of career information to the community. The Department of Jobs, Tourism, Science and Innovation is leading the implementation of the WA Jobs Plan, and $5.1 million over four years is allocated to establish a WA Jobs Taskforce (Budget paper no. 2: Budget statements volume 1, pp. 202 and 384; Fact sheet: WA's strong economy and WA jobs; Budget paper no. 3: Economic and fiscal outlook, pp. 6-7 and 102).
Investment in road, rail and transport is estimated at $3.4 billion in 2021-22 (a 28 per cent increase over spending of $2.7 billion in 2020-21), and a total of $13 billion over the four years to 2024-25. METRONET projects account for a substantial proportion of this spending, with $5.7 billion committed over the next four years, and an additional $817 million in METRONET-related spending allocated in the 2021-22 budget. The local railcar construction and building program is underway at Bellevue Railcar Manufacturing and Assembly Facility (Budget paper no. 3: Economic and fiscal outlook, p. 164; Fact sheet: WA's strong economy and WA jobs).
Synergy, an electricity utilities Government Trading Enterprise, is on track for the planned closure of the Muja C Unit 5 by October 2022 and Unit 6 by October 2024. During 2020, Synergy's Workforce Transition Plan was supported by 18 transition workshops, three employee roadshows and a series of information sessions. Synergy is now entering the next phase of its Workforce Transition Plan which supports 270 full-time affected employees through an assessment of skills, redeployment, upskilling, training and development programs, assistance with job search, financial planning support and preparation for retirement (Budget paper no. 2: Budget statements volume 2, p. 794).
The total Commonwealth Payments for specific purposes and National Partnership Payments to Western Australia for Skills and Workforce Development are estimated at $185.9 million for 2021-22.
WA has been allocated $164.1 million under the National Agreement for Skills and Workforce Development for 2021-22 (Budget paper no. 3: Economic and fiscal outlook, p. 335).
Recurrent expenditure on training service delivery will increase by $6.1 million over the forward estimates period, reflecting additional Commonwealth funding provisioned under the National Agreement for Skills and Workforce Development (Budget paper no. 3: Economic and fiscal outlook, p. 123).
The WA Government is negotiating with the Commonwealth Government regarding the extension of a JobTrainer Fund National Partnership Agreement and the proposed new National Skills Agreement to replace the National Agreement for Skills and Workforce Development and the National Partnership on the Skilling Australians Fund (NPSAF). With matched funding from the Government, the JobTrainer Fund has supported free or low-cost Job Ready programs and courses to support Western Australians to reskill or upskill for jobs in high demand (Budget paper no. 2: Budget statements volume 1, p. 385).
The Training Accreditation Council (the Council) has the statutory responsibility for providing regulatory services to registered training organisations (RTOs) operating solely in WA. The Council is established under the Vocational Education and Training Act 1996 and is supported by the Department of Training and Workforce Development through the services of the Council Secretariat. Regulatory Services to RTOs include quality assurance and recognition of vocational education and training (VET) services. The net cost of services is estimated at $2.425 million for 2021-22 (Budget paper no. 2: Budget statements volume 1, p. 392).
The WA Government is building a skilled workforce for the future by offering free or low-fee short courses and reducing fees by up to 72 per cent on Lower Fees, Local Skills qualifications. Fee reductions have been extended to the end of 2025 and are targeted at industries experiencing employment growth and those that are important for the diversification of the economy including the care sector, agriculture, construction, defence, manufacturing, hospitality and tourism. Fees for other courses have also been frozen until 2025. The Extension of the Lower Fees, Local Skills Initiative and Fee Freeze to 2025 budget measure is estimated at $34.542 million in 2021-22, with a further $211.445 million allocated over the forward estimates (Budget paper no. 2: Budget statements volume 1, p. 384).
$29.8 million has been allocated over four years ($2.927 million in 2021-22) to expand the number of VET places by 8 000 for year 11 and 12 school students. The increase is on top of the additional 1350 VET places introduced in 2021 (Budget paper no. 3: Economic and fiscal outlook, pp. 122-123; Fact sheet: Investing in education and training).
$19.2 million has been allocated over the forward estimates period ($2.705 million in 2021-22) to deliver a variety of short courses to year 9 students at TAFE Colleges. The Career Taster Programs for Year 9 Students initiative, designed to provide students with earlier exposure to the career options that VET pathways offer, will be available from 2022. The WA Government is already engaging with industry, schools and other key stakeholders to inform the program's development, with regional consultation about to commence (Budget paper no. 3: Economic and fiscal outlook, p. 123; Fact sheet: Investing in education and training).
An additional $9.9 million will be spent over 2021-22 to 2024-25 to enable TAFE College lecturers to return to industry, allowing them to upskill and maintain industry qualifications and skills. To enable VET teachers in schools to undertake industry professional learning, additional expenditure of $29.5 million over the forward estimates period has been approved within the Education Agency to fund relief teachers (Budget paper no. 3: Economic and fiscal outlook, pp. 121 and 123).
As part of the WA Government's Kimberley Juvenile Justice Strategy, the North Regional TAFE College will spend an additional $2.6 million over 2021-22 and 2022-23 to continue delivery of a TAFE learning program that provides industry and workplace skills training for young people in Broome and Kununurra (Budget paper no. 3: Economic and fiscal outlook, p. 123).
$184.3 million is provided as part of the COVID-19 Response to upgrade existing TAFE infrastructure across regional and metropolitan WA. In addition, the Government has committed to a $25 million investment in modern equipment (Budget paper no. 2: Budget statements volume 1, p. 385 and pp. 393-395).
The Education and Training portfolio delivers and regulates education for Western Australian students, and includes the Education, Training and Workforce Development, and TAFE Colleges agencies. The service summary for Training and Workforce Development provides an estimated total cost of services for 2021-22 of $730.244 million comprising:
Prior year budget highlights can be accessed by clicking on the buttons below.
NCVER (National Centre for Vocational Education Research) 2021, Budget highlights: Western Australia, VET Knowledge Bank, NCVER, Adelaide, <https://www.voced.edu.au/vet-knowledge-bank-policy-initiatives-budget-highlights-western-australia-2021-22>.
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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