Australian businesses have responded enthusiastically to the Federal Government's $100 million Apprentice Kickstart initiative, signing up more than 6,400 young traditional trades apprentices in just over six weeks.
Prime Minister Kevin Rudd and Minister for Employment Participation Mark Arbib today urged businesses to continue to take advantage of the boost to employer incentives.
The Kickstart bonus has resulted in 4,400 trade apprentices being signed up in December 2009 - 1,500 more than December 2008 and 1,200 more than pre-global recession levels in December 2007.
Apprentice Kickstart is a practical measure to generate jobs for young people, tackling both youth unemployment and providing a down-payment on the vital skills Australia needs for the future.
In Western Australia alone employers have signed up 840 trades apprentices since Kickstart began on December 1, 2009.
Under Kickstart, the Rudd Government has more than tripled the commencement bonus for employers in the first year, from $1500 to $4850.
Employers receive $2350 when they employ a 15- to 19-year-old apprentice in an eligible trade and then receive a further $2500 after the apprentice completes nine months.
The Australian Government today also invites state and territory governments to submit proposals for a share of a $20 million funding to boost pre-apprenticeships.
Pre-apprenticeship training allows young people to gain a more realistic expectation of the work involved in their trade and to develop basic skills, which can reduce the period of time they will spend in their apprenticeship.
The Kickstart bonus is available to employers of apprentices in the fields that have been hardest hit by skills shortages - identified on the National Skills Needs List.
These include butchers, bakers, bricklayers, carpenters, plumbers, electrical trades and hairdressing.
The bonus is available until 28 February 2010 and aims to sign up 21,000 young apprentices.
The economic downturn particularly hurt apprenticeships, with commencements dropping by about 10,000 in the past year. This bonus will fast-forward hiring decisions - to bring apprentice numbers back up to the levels before the global recession.
Increased apprenticeship training is crucial to enhancing the productivity and innovation of Australian businesses.
This initiative will help develop a highly-skilled workforce and is a great foundation to support the recovery of the Australian economy.
Today's announcement was made at Westminster School in Perth. The school community is receiving $5 million under the Federal Government's education stimulus, including a library, classrooms, an art block and multipurpose room.
Casotti Plumbing and Gasfitting, which is contracted to complete some of the work at Westminster, has employed two new apprentices under the Kickstart Program.
The Government's Economic Stimulus plan has a target of 10 per cent of work on projects to be completed by apprentices.
The stimulus spending is supporting thousands of jobs and small businesses across the country and providing the vital infrastructure for Australia's future.
Our timely, targeted and temporary response to the global recession helped minimise the loss of skills that occurs with unemployment as well as boosting apprentice commencements.
Apprentice sign-ups by State (December 1 to January 14):
ACT 85
NSW 1932
NT 27
Qld 1114
SA 523
Tas 213
Vic 1687
WA 840
Total 6421
Funding for Apprentice Kickstart comes from the Government's $650 million Jobs Fund and was negotiated with the support of the Australian Greens and Senator Stephen Fielding.
It brings to about $250 million the level of additional support the Rudd Government is providing to apprentices.
More information on Apprentice Kickstart is available at: www.australianapprenticeships.gov.au