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“Labour, along with supply chain problems, is one of the top issues currently facing the building industry in Australia, and no stone should be left unturned to increase workforce capacity and skills shortages if we are to reach the goal of building 1.2 million homes.
“Financial incentives which encourage the employment of an apprentice and improve retention have proved invaluable to helping the construction industry to access more workers.
“These incentives work. Without employers willing to train and support an apprentice it will be difficult to offer people a start in the industry.
“Often the role of an employer taking on an apprentice is missed. It is important that the financial commitment, time and resources put into the training and development of an apprentice over the course of their apprenticeship as well as their mentoring role is recognised.
“We acknowledge the Australian Government has committed to a strategic review of the Australian Apprenticeship Incentive System which will take into consideration funding arrangements. However, with submissions to the Review not due until May, presumably followed by a period of consultation, employers will be left in limbo with the current funding arrangements to cease on 30 June 2024.
“At a time when it is critical to avoid anything which will impact the ability to supply homes, HIA is encouraging the Australian Government to maintain the current national funding arrangements for apprentices and employers by a further 12 months while the Review is conducted.
“Labour and skills are a whole of government issue and HIA stands ready to work with government to suggest more ways to increase supply of labour to our industry, it's only after this issue is addressed properly will there be an increase in the supply of housing and an easing the affordability problem,” concluded Ms Martin.
The Victorian Opposition’s announcement that it would remove stamp duty for first-home buyers spending up to $1 million on a new or existing home if elected at next year’s state election, is a positive step towards improving home affordability,” says Steven Wojtkiw, HIA Victoria Deputy Executive Director.
“New home sales rose by 16.5 per cent in the month of April 2025, to its highest level in 12 months,” stated HIA Economist, Maurice Tapang.
The number of homes commencing construction in Australia is set to increase over the next few years, driven by strong population growth, low unemployment, and falling interest rates. However, long-term structural issues continue to pose risks to housing affordability and national supply targets, according to the latest outlook from the Housing Industry Association.
HIA has been calling loudly on the State Government to release more land for new housing, as it is a fundamental element in delivering new homes and supporting housing affordability.