Budget that works

NATHAN WOULFE, Recruitment editor (ANP Newspapers)

FEDERAL budgets leave me cold - I have next to zero interest in reading the treasurer's 1100-page opus.

That said, there are plenty of inclusions in the 2011 Federal Budget that will impact on jobseekers.

The government's plans to build Australia's future workforce includes $3 billion in spending over the next six years, with substantial reforms to the training system.

The budget promises $558 million in a new National Workforce Development Fund to deliver more training outcomes designed to meet the needs of a growing economy, an estimated 130,000 industry focused training places, $100 million to support new approaches to training to ensure skilled apprentices can gain their qualifications sooner and $143 million to provide 30,000 additional commencements for job seekers in the Language, Literacy and Numeracy Program, among numerous other outcomes.

Sarina Russo, managing director of Sarina Russo Job Access, said increased incentives for apprentices to stay with their trade through a $1700 increase in the Trades Apprentice Income Bonus scheme was good news.

"It makes it more financially attractive for jobseekers to undertake, and complete, their apprenticeships and allows employers to compete more effectively for young jobseekers who can be lured by the 'short-term' cash offered for unskilled labour," Ms Russo said.

"The Australian Apprenticeship Mentoring Package will support both apprentices and employers to maximise the potential from trade training, promote trade career opportunities and boost the skills of our existing and future workforce.

"Carrot and stick initiatives like the Seniors Work Bonus, Pathways for Early School Leavers, literacy and numeracy programs, the extension of Learn or Earn until 21 and the cutting of effective tax rates for single parents and pensioners provide incentives and remove barriers for people to get back to work.

"The 130,000 training places will help address long-term disadvantage by ensuring jobseekers with workforce barriers are made job ready.

"These new programs will allow us to motivate, mentor and ensure the long-term unemployed are job-ready and the targeted incentives will encourage employers to give them a chance to prove themselves in the workplace."

The Budget is also fog cussed on the long-term unemployed, with a plan that includes $95 million for six-month wage subsidies to reward employers who take on a very long term unemployed person and help them re-engage with the workforce.

The subsidy is set at the average rate of Newstart Allowance and includes $133 million for more intensive obligations for the very long-term unemployed.

It requires people who have spent two years in employment services to participate in work experience for two days a week for 11 months a year.