Apprenticeships and traineeships

Apprenticeship and Traineeship Administration and Regulation

Apprenticeship and Traineeship Administration and Regulation 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 estimated net cost of service for 2024-25 is $62.875 million (Budget paper no. 2: Budget statements volume 1, p. 382).

Building and Construction Industry Training Board: 2024-25 Operational Plan and New Initiatives

The Building and Construction Industry Training Board, which manages the Construction Training Fund (CTF), will increase total spending by $54.9 million over 2023-24 to 2027-28, primarily to support training in the construction sector. This includes:

• $37.2 million to implement a four-year Apprentice Support Program to help and incentivise apprentices to complete their qualifications, comprising a tool allowance program that provides a $1000 payment on commencement and a further $1000 payment on completion, as well as an annual milestone payment bonus program. $1000 milestone payments will be available for eligible apprentices for each year of their training from 1 January 2025, with claims able to be made up to 12 months after completion. 
• $15.1 million for a 25 per cent increase in the base employer grant. Eligible employers of three to four year apprentices will receive a base grant of $15 000, up from $12 000 previously. Employers of 18-24 month apprentices will receive a base grant of $12 500, up from $10 000.
• $5 million to increase the Capital Grants Program for private registered training organisations (RTOs) to upgrade facilities and equipment to expand their construction training capacity (Budget paper no. 3: Economic and fiscal outlook, p. 126; Cash boost to help construction apprentices to complete training, 1 May 2024). 

Group Training Organisation (GTO) Wage Subsidy Program

$21.5 million is allocated over five years from 2023-24 ($4.8 million in 2024-25) for the Group Training Organisation Wage Subsidy program to subsidise wages for new apprentices and trainees commencing in the building and construction industry in 2024 (Budget paper no. 3: Economic and fiscal outlook, pp. 95 and 122).

The expansion of the program will create a further 150 new apprentice and trainee jobs in 2024 through a joint funding model with the Construction Training Fund and will take the total funded places to 300, in addition to the 450 places that have been achieved since 2022 (Budget paper no. 3: Economic and fiscal outlook, p. 124; Budget paper no. 2: Budget statements volume 1, p. 378).

Payroll tax: Apprentices and trainees exemption

The wages of all apprentices who are undertaking training under an approved training contract are exempt from payroll tax. The payroll tax exemption for new employee trainees earning up to $100 000 per annum will continue to apply for the nominal duration of training contracts that were registered with Department of Training and Workforce Development before 1 July 2019. The estimated actual expenditure for the exemption is $43.3 million for 2023-24 (Budget paper no. 3: Economic and fiscal outlook, pp. 339 and 340).

Employment

Jobs and Skills Centre Services

Jobs and Skills Centres provide free education and training information, career guidance to the Western Australian community, as well as employment, training and mentoring services to Aboriginal people and communities. The net cost of service for 2024-25 is estimated at $18.839 million (Budget paper no. 2: Budget statements volume 1, p. 381).

Aboriginal Services at Jobs and Skills Centres

$4.2 million is allocated over 2024-25 to 2027-28 to extend delivery of culturally appropriate services at Jobs and Skills Centres, with $1.2 million provided in 2024-25. The aim of the service is to support Aboriginal people seeking to transition into training and employment, and the program contributes to the Closing the Gap (CTG) Outcome 6 - Aboriginal and Torres Strait Islander students reach their full potential through further education pathways (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 125).

Skilled Migration Initiatives

$16.1 million will be provided between 2024-25 to 2027-28 across a range of skilled migration initiatives and increased engagement with the Commonwealth, with $4.9 million allocated in 2024-25. The initiatives include an extension of the Skilled Migration Job Connect Program to assist skilled migrants with overcoming barriers to local employment opportunities ($5.6 million), extending the operation of the Construction Migration Office to assist employers with the Construction Visa Subsidy Program (CVSP) ($4.3 million), and continuing to provide access to publicly funded training for secondary holders of skill shortage visas, and those on humanitarian and 'pathway to marriage' visas ($2 million) (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 125).

Year 9 Career Taster Program

The Year 9 Career Taster Program will be funded on an ongoing basis from 2026, at a cost of $17.1 million over 2025-26 to 2027-28. The program provides Year 9 students with career development training and practical work experience to inform future career decisions (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 124).

Industry

Industry development

The Department of Jobs, Tourism, Science and Innovation is supporting the development of the diverse range of industries identified in Diversify WA. To support the international education sector, $1.5 million will be provided to the Western Australian Technical Vocational Education and Training Consortium in 2024-25. The consortium promotes overseas opportunities for Western Australian international education providers (Budget paper no. 2: Budget statements volume 1, p. 195).

International Education

To build the sustainability of the international education sector, an additional $2 million will be provided over 2024-25 and 2025-26 within the Jobs, Tourism, Science and Innovation portfolio, bringing the total additional spending on international education to $89 million since 2020-21. The measure includes continuing support for a vocational education and training (VET) organisation and teacher training course subsidies (Budget paper no. 3: Economic and fiscal outlook, p. 110).

Pilbara Hydrogen Hub

The asset investment program of the Department of Primary Industries and Regional Development includes $8 million in 2024-25 (as part of an overall $140 million State and Commonwealth commitment), towards the construction of the Pilbara Hydrogen Hub to develop a hydrogen or ammonia pipeline to connect strategic industrial areas, the creation of a Clean Energy Training and Research Centre, and port upgrades to facilitate export opportunities (Budget paper no. 2: Budget statements volume 1, pp. 221 and 222). 

Additionally, nearly $15 million is allocated within the existing initiatives of the Department of Jobs, Tourism, Science and Innovation for the project in 2024-25, with the spending either partly or fully funded by the Commonwealth Government or industry (Budget paper no. 2: Budget statements volume 1, p. 194).

Residential construction industry

The residential construction industry will be supported with $85 million in training initiatives, including a $21.5 million extension of the Group Training Organisation Wage Subsidy program with a further 150 places in 2024 to help small and medium enterprises with the cost of taking on an apprentice; and a further $37 million for a four-year apprenticeship program through the Construction Training Fund (CTF), including a tool allowance program and annual milestone payments (Budget paper no. 3: Economic and fiscal outlook, p. 8).

Skilling for Energy Transitions and a Diversifying Economy

Under the National Skills Agreement, the Western Australian Government has lodged a proposal with the Commonwealth Government to establish a Clean Energy National Centre of Excellence to build Western Australia's clean energy workforce capability and capacity, and to position the State at the forefront of the national and global clean energy transition. The aim of this model is to lead development of training and workforce initiatives to capitalise on clean energy investment and export opportunities in Western Australia and to deliver the advanced skills base needed for the state's energy transition (Budget paper no. 2: Budget statements volume 1, p. 377).

The Government has committed resources for clean energy and defence workforce planning to identify future advanced technical, trade, digital and science, technology, engineering and mathematics skills needed to position Western Australia to be the home of nuclear-powered submarines and deliver a workforce across the State to respond to the size, scale and diversity of clean energy projects across solar, wind, hydrogen and battery clean energy sectors (Budget paper no. 2: Budget statements volume 1, p. 377).

The budget includes $1.7 million to boost workforce planning for submarine sustainment under the AUKUS agreement, and to support Western Australia's transition to a clean energy future (Media release, 9 May 2024).

National Agreements

National Skills Agreement

Funding from the Commonwealth Government under the National Skills Agreement is estimated at $235.8 million in 2024-25 (Budget paper no. 3: Economic and fiscal outlook, p. 351).

Fee-Free TAFE

The estimated Commonwealth funding to Western Australia for the Fee-Free TAFE Skills Agreement over the four years from 2022-23 to 2026-27 is $62.1 million. There is no funding allocation for 2024-25. The estimated actual funding received in 2023-24 is $33 million and $15.8 million in 2025-26 (Budget paper no. 3: Economic and fiscal outlook, p. 351).

Regulation

Regulatory Services to RTOs

The Training Accreditation Council (the Council or TAC) has the statutory responsibility for providing regulatory services to registered training organisations (RTOs) operating solely in Western Australia. TAC 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 $2.6 million for 2024-25 (Budget paper no. 2: Budget statements volume 1, p. 385).

Training providers and programs

Cost of Living - Continuation of Fee-Free TAFE settings in 2025

$1.5 million is provided in 2024-25 ($7.8 million over four years) to deliver Fee-Free TAFE, making more than 130 fee-free qualifications and skill sets available again in 2025. This support will run through to 2029-30 to assist students for the full duration of their courses (Budget paper no. 3: Economic and fiscal outlook, pp. 6 and 122). 

Training Delivery Costs

An additional $22.8 million is allocated over 2023-24 to 2025-26 in response to an increase in demand for training places due to lower training fees and an increase in the cost of delivery. This includes the national changes to the nominal training hours of several care sector qualifications and the updated training rates for the delivery of training in critical construction industries such as electrical training (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 124). 

TAFE Lecturers Return to Industry Program

To support TAFE lecturers with their professional development and to maintain industry currency, the TAFE Lecturer Return to Industry Program will be funded on an ongoing basis from 2026, at a cost of $8.7 million over 2025-26 to 2027-28 (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 125).

The 'TAFE College Lecturers Industry Placement' program was initially included in the 2021-22 Budget paper no. 3: Economic and fiscal outlook (pp. 120 and 123). 

Heavy Vehicle Driver Training Program

$7.2 million is allocated between 2024-25 and 2027-28 to extend the Heavy Vehicle Driver Training Program delivered in the South West from 2024 onwards. The program delivers theoretical and practical hands-on truck driver training to provide job-ready workers for the transport industry (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 125).

Implementation of the National Skills Agreement

The Department of Training and Workforce Development will spend an additional $5 million over 2024-25 and 2025-26 to support implementation of the National Skills Agreement, including to resource ongoing negotiations with the Commonwealth on specific policy initiatives to be funded under the Agreement (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 125).

TAFE Colleges Temporary Regional Attraction and Retention Allowance Extension

To support training delivery in targeted regional locations, an additional $3 million is provided in 2024 to extend a temporary regional attraction and retention incentive for lecturers at North Regional TAFE and Central Regional TAFE (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 125).

Training and Workforce Development Cost and Demand Model

Treasury will work with the Department of Training and Workforce Development over 2024 25 ($159 000) and 2025 26 ($164 000) to develop a resource and allocation model to inform the Department of Training and Workforce Development's funding for the state training system. The state's vocational education and training (VET) footprint has increased significantly in recent years, reflecting significant additional investment by the state and Commonwealth governments. Development of this model will inform sustainable funding and resource allocation for the system into the future (Budget paper no. 2: Budget statements volume 1, pp. 131 and 133).

TAFE Colleges: International Student Enrolment Forecasts

Spending across the TAFE colleges has been reduced by $1.6 million, reflecting updated estimates of the number of enrolments of international students undertaking training over 2023-24 to 2027-28 (Budget paper no. 3: Economic and fiscal outlook, pp. 122 and 125).