2021/2022 Federal Budget Announcements and What This Means for our Valued Host Employers 

Over the past 15 months, the Federal government has invested significantly into wage subsidy schemes supporting apprentices to remain employed in the building and construction industry, that has had a direct and positive impact to our host employers.

This commitment from the Government has been extended for new apprentices until March 2022. Currently there are two wage subsidy initiatives that provide financial incentive to host employers. They are:

• Supporting Apprentice and Trainee (SAT) retention subsidy. This subsidy was support introduced in early 2020 for small to medium size businesses who had an apprentice in training on 1 March 2020. The SAT wage subsidy expired 31 March 2021.
• Boosting Apprenticeship Commencements (BAC) wage subsidy. The Government is committed to spending an additional $2.7 billion to extend the BAC. This subsidy is for new apprentices that commenced in training from 4 October 2020.

What does this mean for you?

1. A continuation of the BAC wage subsidy, extended for a further six months from 30 September this year to March 2022. The BAC wage subsidy is currently passed onto Host Employers in full and will continue into 2022.
2. MBA Apprentices currently receiving SAT wage subsidy that is passed onto Host Employers, has expired. All claims are currently being finalised. Host Employers will receive this final credit to their account shortly. Master Builders has escalated our concerns with Government about the SAT wage subsidy ending and the impacts this will have on host employers and apprentices. We will communicate with you further once we receive a response about our concerns raised.
3. Confidence to continue to employ MBA Apprentices with a pipeline of work planned and invested in for the next 12 months.

What you can expect from the Master Builders, is a continuation of the same level of service, support, and financial assistance for apprentices receiving BAC wage subsidy.

At this time of year, we are waiting on notification from the Fair Work Commission about the percentage increase to the Building and Construction Award. Following this announcement, Master Builders will review the current charge out rate of apprentices and communicate with you about any subsequent changes to rates.

As the leading industry association of building and construction in the ACT, you can be assured as an organisation we continue to advocate on the behalf of our host employers to see an ongoing commitment to support and retain apprentices in our vital industry through wage subsidy initiatives.