Federal Government Introduces Incentives to Tackle Housing Shortage

The Albanese Government introduced incentives to address Australia’s tradie shortage and subsequent housing crisis. From 1 July 2025, eligible apprentices in the residential construction sector will receive $10,000 in incentive payments in addition to their wages under a new Key Apprentices Program.

 

GALLERY  

Apprentices within the building and construction industry currently receive a front-loaded payment of $5,000. This will continue to be available for apprentices who aren’t eligible for the program and has been extended until the end of 2025.

“Australia’s building and construction industry faces the enormous task of building enough homes, commercial premises and infrastructure to meet increasing demand and a growing population,” Master Builders Australia chief executive Denita Wawn says.

Approximately 50% of apprentices didn’t complete their training and Denita says the new staged payments approach will hopefully see the rate of completions increase.

Master Plumbers Australia/New Zealand (MPANZ) has welcomed the Federal Government’s plan. However, MPANZ emphasises the need for additional and better measures to support businesses to take on apprentices, and the government has extended existing employer incentives until the end of 2025.

MPANZ spokesperson Nathaniel Smith says that there is still a pressing need for improved government assistance to pave the way for the next generation of plumbers, despite being optimistic about the financial incentive.

“Meeting targets for building homes, critical public infrastructure and the energy transition requires us to grow the plumbing workforce,” he says.

“The only way to do this is to encourage more people into apprenticeships and assist businesses with the cost of employing apprentices.”

Nathaniel states that employer incentives are valuable and do succeed in the industry.

“The vast majority of plumbing apprentices already complete their study as this is a requirement to work as a plumber, so while the government’s focus on completion is welcomed, it’s not enough,” he says.

“What we need is more employers to put on a plumbing apprentice directly, or to source one through a group training organisation. However, the cost of doing so in the current environment can be prohibitive, especially for SMEs and that’s where government-funded incentives come in. They assist to employ and for the apprentice to stay in the journey with the employer.”






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