Apprentice plumbers, brick layers, carpenters and electrician to get $10k cash promise in new Labor election pledge

Aspiring plumbers, sparkies and brickies will be paid up to $10,000 to complete apprenticeships which will boost struggling home completion numbers in a major election promise to woo voters. The Prime Minister will announce the policy on Friday, in his National Press Club address in Canberra, which traditionally coincides around Australia Day. The $626.9m Key Apprentice Program will allow eligible apprentices in areas related to housing construction to receive a $2000 incentive at six, 12, 24, and 36-month intervals of their apprenticeship, plus a final $2000 upon completion of the program. Applying to jobs like bricklayers, electricians, plumbers, carpenters and joiners, the program will start from July 1 this year, and will only be applicable to students who sign up after the start date. He will also announce an increase to the Living Away From Home Allowance for apprentices, currently set at $77.17 a week for first-year trainees, with the provision raised for the first time since 2003. In his speech, Mr Albanese will say the cash bonus will help train the “next generation of tradies,” who are under “significant financial pressure”. “Right now, a first-year carpentry apprentice earns about two-thirds of the minimum wage. Some apprentices earn even less. That’s before you buy tools, safety gear, clothing and boots,” he is expected to say. “As a number of apprentices have said, they could earn a lot more stacking shelves in their local supermarket. Too many leave training, because they can’t afford to stay.” The program was modelled on the New Energy Apprenticeships Program, a similar initiative for apprentices in the clean energy sector, which allowed trainees in housing construction, automotive and advanced manufacturing to access $10,000 of support. According to government figures from May 2024, more than 2210 had signed up to the program in the first year of the scheme’s operation. The latest election promise follows Labor’s commitment to legislate 10,000 fee-free TAFE courses every year in priority areas like early childhood education, aged and disability care and construction. However the program was criticised by the Coalition for being an irresponsible use of taxpayer dollars. It’s also criticising the plan’s effectiveness, with current enrolments under fee-free TAFE arrangements only garnering a completion rate of 13 per cent. Industry groups like Master Builders Australia also say the initiative prioritises TAFE courses over industry-led providers. Labor has also vowed to scrap HECS debts by 20 per cent and raise the income threshold for loan repayments – in another major move to woo voters.