VET News

Budget 2021-2022: Securing our Economic Recovery by keeping Australians working

This week's 2021-22 Budget is securing Australia’s recovery through protecting jobs today and making it easier for Australians to get a job or hire an employee tomorrow, setting up Australia’s workforce for the coming decades.

Minister for Employment, Workforce, Skills, Small and Family Business, Stuart Robert, said that with employment reaching pre-pandemic levels, this Budget will continue driving jobs growth as part of the next phase of the Government’s Economic Recovery Plan.

‘This Budget is all about building the workforce Australia needs today and tomorrow through putting in place programs to upskill Australians so they can achieve their aspirations and realise their potential as well as getting government to work for business—not the other way around.’ Minister Robert said.

In support of securing our economic recovery the 2021-22 Budget is focused on areas such as:

Protecting jobs today

• The Government is boosting job security by increasing current wage subsidies available through jobactive, Transition to Work and ParentsNext to all businesses to $10,000 from 1 July 2021. 
• The Government is also expanding the $1 billion JobTrainer Fund, to continue the delivery of low fee or free training places in areas of skills need. 
• As part of the plan for Australia’s future, the Government is extending the highly successful Boosting Apprenticeship Commencements (BAC) wage subsidy for a further six months to support new apprentices and trainees who commence by 31 March 2022.
• The Government will invest an extra $129.8 million to provide Job seekers wanting to start up their own businesses with greater support and flexibility, with up to 12,000 places now on offer as part of New Business Assistance with the New Enterprise Incentive Scheme.

Supporting Small and Family Businesses

The Government will back small business with a simple, fast and cheap way to pause or modify Australian Taxation Office (ATO) debt recovery action in relation to a debt that is currently under review by the Administrative Appeals Tribunal (AAT). 

• Small businesses will also benefit from a further $45.4 million in tailored programs over the forward estimates including:
  • $12.7 million allocated in 2021-22 to support an additional 10,000 small businesses to harness digital technologies and improve their digital capability as part of the Digital Solutions – Australian Small Business Advisory Services program helping them to access expert, independent and tailored advice to help them grow their business and create new jobs
  • $8.0 million for a two year campaign to encourage people to support their local small and family-owned businesses as they recover from the impacts of the COVID-19 pandemic
  • $0.9 million over four years from 2021-22 to support small business owners to take proactive, preventative and early steps to improve their mental wellbeing through the Ahead for Business program.
• The Government has the backs of small business, investing $16.0 million over four years to support the ongoing delivery of the Payment Times Reporting Scheme, ensuring those working with larger companies on government contracts get paid on time.
• The Government will also increase funding to the Australian Small Business and Family Enterprise Ombudsman through an injection payment of $1.5 million to help small businesses identify and access support for dispute resolutions.
• In recognition of many small and family businesses operating as franchises, the Government will spend $4.3 million over four years to introduce a Franchise Disclosure Registry to increase transparency and restore confidence in the sector.

Connecting Australians to jobs

• The Morrison Government will deliver the biggest transformational reform of employment services in over 20 years, to better support Australians get into a job.
• The Government will deliver a new employment services model, replacing job active from July 2022. 
• As part of the reform, the Government is investing $481.2 million in support for vulnerable and disadvantaged young people. 
• The Morrison Government’s Local Jobs program will be significantly expanded at a cost of $213.5 million over four years.
• The Morrison Government will invest $30.9 million to deliver a new National Training Register.
• A National Digital Australian Apprenticeships Portal will be established as a one-stop-shop to help employers manage their apprentice workforces and for apprentices to understand their entitlements. 

Securing Australia's workforce

• The Government will continue to negotiate a new National Skills Agreement with the states and territories and is also helping secure Australia’s recovery through its Digital Workforce package, which will see 20,000 individuals upskill and reskill in digital fields.

Getting government to work for Australians

• As part of the Digital Economy Package, the Government has reaffirmed its commitment to guaranteeing essential services for Australians now, and into the future, by allocating $200.1 million to design and deliver an enhanced myGov over the next two years.

Click here for further information from the Department of Education, Skills and Employment on how the 2021-22 Budget is supporting Skills and Training.

Date posted May 13, 2021