Some $90 million will be invested to expand the number of fee-free TAFE and RTO construction worker training places. Photo: TAFE NSW.
The Federal Government has continued this week’s pre-budget budget releases by announcing it will invest $90 million in TAFEs and industry registered training organisations (RTOs) to bolster the number of skilled construction worker training places.
A government release says the funding is essential to help close the national skills gap and provide the skilled workforce the economy needs to increase housing supply and help to achieve its ambitious national goal of 1.2 million more homes by 2029.
Some $88.8 million will be invested in 20,000 additional Fee-Free TAFE training places to increase the pipeline of workers for construction and housing. This includes $62.4 million for states and territories to deliver an additional 15,000 Fee-Free TAFE and VET places over two years, and $26.4 million to deliver 5000 places in pre-apprenticeship programs over two years from 1 January 2025.
It says the new pre-apprenticeships places will support more people to move into a construction apprenticeship and succeed in training, by providing students with a taste of industry experience before choosing to become an apprentice.
An additional $1.8 million will be invested to streamline skills assessments for 1900 potential migrants from countries with comparable qualifications who want to work in Australia’s construction and housing sector, and to prioritise the processing of about 2600 Trades Recognition Australia skills assessments in targeted occupations.
This announcement adds to other education and skills portfolio budget announcements made this week, including aligning the HELP indexation rate with the lower of either the Consumer Price Index (CPI) or the Wage Price Index (WPI) instead of the CPI, and backdating it to 1 June 2023.
The government also announced funding for the Commonwealth Prac Payment which will support higher education and VET students undertaking mandatory workplace placements each year with funding equivalent to the single Austudy rate.
Minister for Skills and Training Brendan O’Connor said the budget would build a stronger Vocational Education and Training (VET) sector for the future, and support more people into secure, well-paid work.
“In the previous national meeting of skills ministers, we added delivering housing supply to priorities on our national skills agenda, and these investments will support and strengthen Australia’s residential housing capability,” he said.
“This is a great opportunity for people to gain a trade whilst accessing government incentives and reduce cost of living pressures through more affordable housing.”
Minister for Housing, Homelessness and Small Business Julie Collins said building more homes was the best way to address Australia’s housing challenges.
“More homes mean more affordable options for everyone – whether they’re buying, renting or needing a safe space for the night,” she said.
“But to build more homes we need more tradies, and that is what this announcement will deliver. It’s just one way we’re working across government to build the homes Australia needs.”
