The Australian Apprenticeships Incentive System (Incentives System) provides a range of support to eligible employers to ensure Australians receive quality training while in paid employment.
The Incentives System is focused on attracting and retaining Australian Apprentices in priority occupations that reflect a strong current and projected demand, as laid out in the Australian Apprenticeships Priority List (Priority List).
The Priority Hiring Incentive is focused on supporting employers to hire Australian Apprentices in priority occupations. It is open to employers whose apprentices commence from 1 July 2024 and is targeted to the first year of the Australian Apprenticeship.
Eligible employers and Group Training Organisations (GTOs) that hire a new or existing worker in a priority occupation can claim up to a maximum of $5,000 for full-time apprentices and $2,500 for part-time apprentices.
Am I eligible?
To attract the Priority Hiring Incentive, the employer’s Australian Apprentice must:
In addition to the above requirements, employers must not be in receipt of the Disability Australian Apprentice Wage Support (DAAWS) or any other form of Australian Government or equivalent assistance for the same Australian Apprenticeship.
The Training Contract must also be formally approved by the State Training Authority (STA). The Australian Apprentice’s prior qualifications may affect eligibility for the Priority Hiring Incentive.
There is no limit on the number of Australian Apprentices an employer can claim for, provided they meet the relevant eligibility criteria for the Priority Hiring Incentive.
For further information visit apprenticeships.gov.au
The Group Training Organisation Reimbursement Program offers a payment to eligible Group Training Organisations (GTOs) that place an Australian Apprentice training towards a qualification and occupation listed on the Australian Apprenticeships Priority List with a Small or Medium Enterprise (SME) that has not directly engaged or hosted an Australian Apprentice through a GTO arrangement within the last two years.
The program offers a payment of $100 per week, up to $5,200 (GST inclusive) paid over 52 weeks of a hosting arrangement with a SME. Pro-rated amounts apply.
For further information visit apprenticeships.gov.au.
BAC and CAC claim periods and time limits
The timeframe to lodge BAC or CAC claims for any wages paid from 1 January 2022 to 30 June 2023 closed on 31 December 2023. BAC/CAC claims for this period can no longer be accepted or lodged via ADMS.
Date CAC claim application available from
Dates wages paid | Date CAC claim application available from |
|---|---|
1 July 2023 – 30 September 2023 | 1 October 2023 |
1 October 2023 – 31 December 2023 | 1 January 2024 |
1 January 2024 – 31 March 2024 | 1 April 2024 |
1 April 2024 – 30 June 2024 | 1 July 2024 |
1 July 2024 – 30 September 2024 | 1 October 2024 |
1 October 2024 – 31 December 2024 | 1 January 2025 |
1 January 2025 – 31 March 2025 | 1 April 2025 |
1 April 2025 – 30 June 2025 | 1 July 2025 |
CAC claims for wages paid between 1 July 2023 to 30 June 2025 must be submitted in the Apprenticeships Data Management System (ADMS) by 31 December 2025. All employers must register for ADMS to access any of the incentives within the Incentives System.
For assistance setting up your ADMS access, visit our ADMS for employers webpage.
The Priority Wage Subsidy ceased to new entrants on 30 June 2024. Eligible employers can continue to claim where assessed as eligible prior to 30 June 2024.
Under the grandfathered Priority Wage Subsidy, the following payments are made (in arrears) to eligible employers, over a maximum of three years:
The first payment is made three months after commencement. Subsequent payments are made quarterly.
Eligible employers can lodge their claims through the Apprenticeships Data Management System (ADMS).
You may also be eligible for the following Government financial incentives and assistance depending on your State.
icare Apprentice Incentive Scheme
Employers may receive exemptions from workers compensation premiums for their apprentices through the icare Apprentice Incentive Scheme.
To be eligible for the reduction you must:
Please note that this exemption is not available to employers of trainees.
For further information visit icare.nsw.gov.au/employers.
Payroll tax rebates
A payroll tax rebate can be claimed on wages paid to apprentices and new entrant trainees that are approved by Training Services NSW (TSN) under the Apprenticeship and Traineeship Act 2001.
For further information visit nsw.gov.au or revenue.nsw.gov.au
Trainee wages
The eligibility for the rebate on wages paid to trainees is based on the “training type” as defined by TSN. You can claim the rebate if TSN defines your training type as “new entrant traineeship”.
You cannot claim the rebate if TSN defines your training type as “existing worker traineeship”.
For further information about new entrant and existing worker traineeships, visit nsw.gov.au.
For further information about payroll tax rebates visit revenue.nsw.gov.au.
Apprentice wages
You can claim the rebate on all wages paid to TSN-approved apprentices for the period of their apprenticeship. No additional eligibility rules apply.
For further information about payroll tax rebates visit revenue.nsw.gov.au.
Brick and Block Careers
Brick and Block Careers offers a subsidy of up to $1,000 per year to eligible employers of bricklaying apprentices.
For further information please visit brickandblockcareers.org.au/employers.
Payroll tax rebate
If your apprentice and trainee wages are exempt from payroll tax, you can also claim a payroll tax rebate. The rebate is automatically calculated when you enter your apprentice and trainee wages and lodge a return.
For further information visit qro.qld.gov.au
Skilling Queenslanders for Work initiative
Incentives are available for employers who recruit Queensland job seekers as part of the Skilling Queenslanders for Work and Back to Work initiatives.
For further information visit desbt.qld.gov.au/training/employers/funding/sqw .
First Start
First Start provides wage subsidies of up to $30,000 to local councils and community organisations who employ young people and disadvantaged job seekers in traineeships and apprenticeships.
Back to Work
Under Back to Work, eligible employers will be supported to hire an eligible unemployed job seeker through Youth Boost and Employer Incentive payments.
Small Businesses may also be eligible for the Small Business Support Pool payment to help retain an employee who was employed under a Back to Work agreement.
For further information visit business.qld.gov.au
Brick and Block Careers
Brick and Block Careers offers a subsidy of up to $1,000 per year to eligible employers of bricklaying apprentices.
For further information please visit brickandblockcareers.org.au/employers.
Payroll tax exemptions
From 1 July 2016, apprentice and trainee wages are payroll tax exempt if they are paid or payable to a re-employed apprentice or trainee:
For further information visit sro.vic.gov.au.
WorkCover exemption
Some apprentice/trainee remuneration is exempt from WorkCover insurance.
For further information visit worksafe.vic.gov.au/apprentices-and-trainees.
Brick and Block Careers
Brick and Block Careers offers a subsidy of up to $1,000 per year to eligible employers of bricklaying apprentices.
For further information please visit brickandblockcareers.org.au/employers.
Jobs and Skills WA Employer Incentive
The Jobs and Skills WA Employer Incentive provides financial assistance to Western Australian businesses.
The base incentive is up to $8,500 for apprentices and up to $4,250 for new entrant trainees signed up on or after 1 July 2019. Additional loadings are available for training that is identified as a State priority or training for priority groups.
For further information visit jobsandskills.wa.gov.au/employerincentive .
Construction Training Fund
The Construction Training Fund provides an Employer Grant to help eligible employers offset the costs of training staff through grants and subsidies.
As of 1 July 2024, the base grant is up to $15,000. Additional bonuses are available for employing someone who has completed a pre-apprenticeship, lives regionally, is female, indigenous, or is mature-aged.
The list of apprentice certifications the Employer Grant covers is comprehensive, spanning most construction industry sectors, and includes Certificate II, III, and IV qualifications.
For further information visit ctf.wa.gov.au/funding.
Payroll tax exemptions
There are a number of payments and employers which may be exempt from payroll tax.
For further information visit wa.gov.au.
Australian Apprentices (including trainees) may also be eligible for financial support. These supports offer an incentive to follow certain career pathways, and can help with cost-of-living expenses including purchasing ‘tools of the trade’.
Find out more more about the financial support available to apprentices and trainees.
Payment of incentives and personal benefits is subject to employers and Australian Apprentices satisfying eligibility criteria as set out in the Australian Apprenticeships Incentives System Guidelines.
These incentives, and the eligibility criteria, can change from time to time. MEGT Apprentice Connect Provider staff can advise which incentives are relevant to your industry and business and which incentives you are eligible to receive. There is no charge involved in gaining advice from MEGT Apprentice Connect Provider as it is a government-funded service.
In addition to Federal Government incentives and benefits, state governments focusing on local skills shortages may also provide benefits to encourage employment of Australian Apprentices. These benefits vary depending on market needs to stimulate the economy, so ask an MEGT Apprentice Connect Provider staff member about support you may be eligible for.