State budget announces new employer incentive for hiring apprentices
Employers are being encouraged to take on an apprentice through two key initiatives announced in the 2017-18 State Budget handed down this week.
The Chamber of Commerce and Industry Queensland (CCIQ) was delighted to see the Palaszczuk Government recommit to the 50% payroll tax rebate scheme for employers taking on an apprentices or trainees, which will provide much needed consistency around the State’s apprenticeship policy.
A newly announced incentive, called for by CCIQ in the lead up to the State Budget, offers an ‘apprentice discount’ to employers removing apprentice wages from their premium calculation.
Due to come into effect from 1 July 2017, these welcomed announcements come at a sensible time when both State and national figures are showing an almost 50 per cent decline in the training of apprentices and trainees since 2012.
With more than 50 per cent of businesses in a 2016 CCIQ survey indicating wage subsidies and incentive payments as the top attractor for hiring more apprentices, it is anticipated that such initiatives will mean businesses are able play a bigger part in boosting training numbers back to a sustainable level over the next few years.
It is important to note that while employers can benefit from these savings, the level of cover offered to apprentices will not change.