Apprentice Kickstart Extension - Frequently Asked Questions

What is the Apprentice Kickstart Extension?

The Apprentice Kickstart Extension is an employer incentive designed to maintain the increase in commencements of young people in skills shortage traditional trade Australian Apprenticeships as the Australian economy recovers from the impact of the global recession.

Who is eligible for the Apprentice Kickstart Extension?

Employers who are small or medium enterprises (including eligible Group Training Organisations) who employ an Australian Apprentice who is aged 19 years and under and who is undertaking a Certificate III or IV level qualification that leads to a skills shortage trade occupation.

Trade occupations in national skills shortage are those listed on the National Skills Needs List (NSNL), which is available at www.australianapprenticeships.gov.au.

The Apprentice Kickstart Extension is payable for commencements that occur between 12 May 2010 and 12 November 2010 (inclusive) in a qualification leading to an occupation listed on the NSNL.

The employer must also meet the eligibility requirements under the Australian Apprenticeships Incentives Program.

What is a small or medium enterprise?

To be eligible for the Apprentice Kickstart Extension, the Australian Apprentice must be employed by an enterprise that employs less than 200 people.

What is an eligible Group Training Organisation?

The Group Training National Register identifies all Group Training Organisations which have complied with national standards set by Vocational Education and Training Ministers and are eligible to use the Group Training National logo.

All Group Training Organisations listed on this National Register have been recognised as compliant against the National Standard for Group Training Organisations.

Group Training Organisations listed on the Group Training National Register will be eligible for the Apprentice Kickstart Extension. In these cases, the number of people employed by the Group Training Organisation is not taken into account when determining eligibility.

Group Training Organisations that are not listed on the Group Training National Register will not be eligible for the Apprentice Kickstart Extension, unless they meet the definition of a small or medium enterprise.

How much are the Apprentice Kickstart Extension payments?

The Apprentice Kickstart Extension provides a total of $3,350 paid in instalments of $850 and $2,500.

When are the Apprentice Kickstart Extension payments made?

• $850 paid at the three month point of the Australian Apprenticeship; and

• $2,500 paid at the nine month point of the Australian Apprenticeship.

How are the Apprentice Kickstart Extension payments made?

Payments are made directly to the employer's nominated bank account.

Are these payments in addition to existing incentives?

Yes. If eligible, employers will receive the Apprentice Kickstart Extension in addition to other payments available under the Australian Apprenticeships Incentives Program.

How long is the Apprentice Kickstart Extension available?

For commencements which occur between 12 May 2010 and 12 November 2010 (inclusive).

How do employers apply for the Apprentice Kickstart Extension?

Australian Apprenticeships Centres will be able to advise employers of their eligibility for the Apprentice Kickstart Extension.

Is there more information about the Apprentice Kickstart Extension?

Contact an Australian Apprenticeships Centre.

To find an Australian Apprenticeships Centre, call the Australian Apprenticeships Referral Line on 13 38 73 or visit the Australian Apprenticeships website at www.australianapprenticeships.gov.au.

What are the changes to the Innovation Commencement Incentive announced in the Budget on 11 May 2010?

The Innovation Commencement Incentive ceased on 12 May 2010.

Australian Apprentices who commence or recommence on or after 12 May 2010 will not be eligible to attract the Innovation Commencement Incentive for their employer.

How will these changes affect existing employers who are eligible for the Innovation Commencement Incentive?

Employers who commenced or recommenced an Australian Apprentice before 12 May 2010 may still be eligible for the Innovation Commencement Incentive, subject to meeting the relevant eligibility criteria.

How long do eligible employers have to claim the Innovation Commencement Incentive?

Eligible employers can claim the Innovation Commencement Incentive at the completion of the state/territory based waiting period, or three months after commencement of the apprenticeship (whichever is the latter).  Employers have 12 months from this date to claim the Innovation Commencement Incentive.

Will these changes affect employer eligibility for other incentives available under the Australian Apprenticeships Incentive Program?

No. Employers may still attract other incentives available under the Australian Apprenticeships Incentives Program, subject to meeting the relevant eligibility criteria.

Why did the Innovation Commencement Incentive cease on 12 May 2010?

Funding is being re-directed to support emerging skills priorities identified in the Skills for Sustainable Growth package.

Is there more information on the cessation of the Innovation Commencement Incentive?

Contact an Australian Apprenticeships Centre.

To find an Australian Apprenticeships Centre, call the Australian Apprenticeships Referral Line on 13 38 73 or visit the Australian Apprenticeships website at www.australianapprenticeships.gov.au .

What are the changes to the Securing Australian Apprenticeships Through Registered Training Organisations initiative announced in the Budget on 11 May 2010?

The Securing Australian Apprenticeships Through Registered Training Organisations initiative ceased on 12 May 2010.

Registered Training Organisations who commence training an out-of-trade Australian Apprentice on or after 12 May 2010 will not be eligible to attract this payment.

How will these changes affect existing Registered Training Organisations who are eligible for the payment?

Registered Training Organisations who commenced training an out-of-trade Australian Apprentice before 12 May 2010 may still be eligible for the payment, subject to meeting the relevant eligibility criteria.

Why did the Securing Australian Apprenticeships Through Registered Training Organisations initiative cease on 12 May 2010?

State and Territory Governments introduced greater flexibility in User Choice funding arrangements in 2009 in an effort to support Australian Apprentices through the global recession. As a result, Registered Training Organisations are funded to provide training to out-of-trade apprentices and trainees under existing funding arrangements in each jurisdiction.

Will the changes to this payment affect the Securing Australian Apprenticeships initiative?

No. The Securing Australian Apprenticeships initiative will continue to provide financial support to employers who create new opportunities for eligible Australian Apprentices to continue their incomplete (but formally State Training Authority approved) training, or who successfully complete Australian Apprentices, at the Certificate III or IV level in skill shortage trades, or Diploma or Advanced Diploma level qualifications until 31 December 2010.

Is there more information on the cessation of this payment?

Contact an Australian Apprenticeships Centre.

To find an Australian Apprenticeships Centre, call the Australian Apprenticeships Referral Line on 13 38 73 or visit the Australian Apprenticeships website at www.australianapprenticeships.gov.au.

What is the Smarter Apprenticeships Program?

The Smarter Apprenticeships Program will provide industry with the means to adopt and foster support for accelerated training delivery and drive structural change to industry training delivery to embed true competency based training for apprentices.

The Program aims to tackle cultural and attitudinal change in industries to demonstrate that accelerated training doesn't compromise training quality.

How much funding has been given to the Smarter Apprenticeships Program?

The Smarter Apprenticeships Program will provide $19.9 million over four years to implement a more transparent competency based apprenticeship system which meets the needs of industry.

How will the Smarter Apprenticeships Program work?

Funding will be provided to Industry Skills Councils/Industry Bodies to implement and manage projects which achieve the broad adoption and expansion of competency based training packages and qualifications for apprenticeships, tackling industry specific challenges.

The Program will also engage industrial relations experts to identify barriers and solutions to the implementation of competency based training and the interaction of training delivery with the industrial relations framework.

Will the Smarter Apprenticeships Program target particular industries?

Funding will be given a higher priority to high demand occupations.  Projects will also require a national focus, but could include place-based approaches to meet specific geographic issues as appropriate.

When will organisations be able to apply for funding?

It is anticipated that the Department of Education and Workplace Relations will call for funding proposals in the first half of the 2010-11 financial year.

Who will be able to apply for funding?

Industry Skills Councils and Industry Bodies will be able to apply for funding through a competitive grants process.

Does this funding replace the Fast-Track Apprenticeship Program?

Yes.  The Smarter Apprenticeships Program aims to build on the projects funded under the Fast-Track Apprenticeship Program and drive larger, systemic reform to training arrangements across industries.

Who will benefit from the Smarter Apprenticeships Program?

The Program is designed to benefit industry to expedite the delivery of quality apprenticeship training, helping them meet the needs of their workforce, particularly as the economy recovers.

This will have a flow-on effect to employers and Australian Apprentices by reducing the average training period.

Where do I get more information on the Smarter Apprenticeships Program?

Further information regarding the Smarter Apprenticeships Program will be available over the coming months at www.australianapprenticeships.gov.au.