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The announcement includes an extension of the $10,000 Keeping Apprenticeship Program and continuation of the Priority Hiring Incentive for employers for a further 12 months while the Australian Apprenticeship Scheme Review is completed.
“These are welcomed responses to the crippling labour shortages in the housing industry and will play a vital role in providing employers and apprentices with much needed certainty and stability in attracting the school leavers of 2025.
“The number one challenge every builder or tradie is facing around the country is skills shortages and without the workers, the homes Australia needs will remain a pipe dream.
“HIA’s recent All Hands On Deck report found that if Australia is to reach the Housing Accord target of 1.2 million homes there needs to be an injection of 83,000 trades people.
“HIA has long called for targeted apprentice incentives to grow and maintain the domestic workforce alongside employer support to take on new apprentices, as critical interjections to reverse this decline and boost workforce numbers.
“The current Keeping Apprenticeship Program (KAP) has been a key tool to help address apprentice attraction and retention in a highly competitive jobs market.
“HIA strongly advocated on the need for targeted milestone payments throughout an apprenticeship to support higher retention and completion rates and it is pleasing to see the successful KAP scheme extended.
“The Priority Hiring Incentive is even more important. Without an employer, there is no apprentice, and the continuation of current financial incentives are invaluable in helping the construction industry to access more workers.
“Employer incentives are strategic investments that underpin the entire apprenticeship system. Without businesses willing to employ and train apprentices, there is no system.
“There is a clear pattern: when employer incentives are increased and maintained, commencements rise; when incentives are reduced or removed, apprentice numbers dive.
“HIA has advocated extensively on the critical need for continuation of these important incentive programs to boost construction workforce numbers as the shortage of skilled trades remains more acute than at any time prior to the pandemic or before.
“Australia’s number one policy challenge is to address the housing crisis. Today’s announcements are critical steps forward on the path to accessing more skills into the industry that will deliver more homes in 2026 and beyond,” concluded Ms Martin.
The Housing Industry Association (HIA) has welcomed the Prime Minister's acknowledgement today that housing must remain a central consideration as Australia expands its digital infrastructure and data centre capacity.
This member alert is for members who enter into domestic building contracts entered into before 1 July 2026. It is also important information for members who enter into domestic building contracts with clients with untitled land.
Over the past few weeks HIA has been advocating strongly on behalf of members on a range of policy and regulatory issues that have significant implications for housing supply, business confidence and the capacity of our industry to deliver the homes Australia needs.
The Housing Industry Association (HIA) has today written to the Tasmanian Government calling for a commitment that state-funded and state-partnered housing work will continue to be awarded on merit, not industrial arrangements, warning new federal procurement rules could shrink the pool of builders able to deliver the homes Tasmania needs.