Apprenticeship support welcome, but WA businesses best to judge skills needs

Today’s $1.5 billion package to expand apprenticeship subsidies will provide crucial aid to Australian businesses facing the cost of training and retaining the skilled workers our economy needs for the future. Expanding coverage to include medium-sized businesses, which are often family-owned, supports a wider range of businesses and will be important to many WA manufacturers.

Though this aspect of today’s announcement is strongly welcome, steps to centralise pricing and decision-making on vocational education and training would make it more difficult to meet WA’s unique industry needs. Forecasting the skills needs of the economy at a national level would risk being skewed by larger eastern states, requiring WA to pay more to make up the difference in ensuring our training meets local needs. Western Australia has a proportionately higher need for trade and technical roles and nearly double the demand for machinery operators compared to any other state. WA accounts for nearly half of the total mining and resources related VET commencements.

To address the unique labour market needs of the States, funding for training activities should be determined at a State level to better ensure the skill requirements of businesses within individual jurisdictions are met. This approach is outlined in CCIWA’s initial submission to the Productivity Commission’s review into State and Commonwealth VET system governance and funding arrangements.

Aaron Morey

CCIWA Chief Economist

Share This Post

You may also be interested in

More green tape would put major project investment in limbo
More green tape would put major project investment in limbo
Australian businesses have sounded the alarm on the Federal Government’s radical environmental approvals reforms, with a survey revealing almost half would be less likely to...
Read more »
Nature Positive hearings in Canberra bubble an insult to WA
Nature Positive hearings in Canberra bubble an insult to WA
Western Australia has been snubbed by a Senate Committee investigating the planned overhaul of Australia’s environmental approvals system, despite the oversized impact of the changes...
Read more »
Skilled migration boost welcome news for WA economy
Skilled migration boost welcome news for WA economy
CCIWA welcomes the deal struck by the State Government with the Commonwealth to increase Western Australia’s skilled migration cap to 10,000 for 2024-25. The increase...
Read more »