Apprenticeships and traineeships

Additional investment in the skills and training system

The National Partnership Agreement (NPA) on the Skilling Australians Fund ceases on 30 June 2022. This initiative provides an additional $11.9 million in 2022-23 to continue the state's investment in initiatives and skills outcomes delivered under the agreement to individuals, businesses and industry. The state is progressing negotiations with the Commonwealth Government on a new NPA and has provisioned state funding for the continuation of the agreement pending a final outcome (Budget paper 5: Budget measures statement, p. 87).

MTA automotive trades mentoring program

$140 000 per annum over two years from 2022-23 is allocated to the Motor Trades Association (MTA) to provide mentoring to apprentices in the motor trade industry (Budget paper 5: Budget measures statement, p. 89).

Government supported traineeships [discontinued]

This measure will save $15.5 million over three years from 2021-22 by discontinuing a program of the former government to provide additional supported traineeship places in government agencies, including Health, Human Services and Premier and Cabinet. This was a time-limited economic stimulus measure announced in the 2020-21 budget (pp. 13-14) and recognised the challenges in key sectors to take on trainees during the COVID-19 pandemic. The program had a total trainee and apprenticeship target of 750 over four years however only approximately 350 trainee and apprenticeship places have been filled over the course of the program. With COVID-19 restrictions now easing, the need for the program has diminished. Agencies will continue to employ trainees as part of their ongoing programs, with around 300 new employee traineeship/apprenticeship commencements across the South Australian (SA) public sector each year. The Aboriginal Traineeship Program, which is a separate program to place 100 Aboriginal trainees in the SA public sector, will continue (Budget paper 5: Budget measures statement, p. 14).

Employment

Women in small business

$1 million per annum from 2022-23 will be provided to establish a program to grow female-owned businesses in South Australia and boost the economy, creating jobs and supporting local entrepreneurs. The funding will provide a suite of programs to South Australian female-owned businesses. Through the provision of upskilling and support, the Women in Business program will build resilience and strengthen innovative female-owned businesses in South Australia (Budget paper 5: Budget measures statement, p. 14).

Industry

MBA trades outreach to schools

This initiative provides $250 000 per annum from 2022-23 to the Master Builders Association (MBA) to run a program of outreach into schools to encourage students to consider taking up a building trade as a future career path (Budget paper 5: Budget measures statement, p. 89).

New Industry Skills Councils

The 2021-22 highlights of 'Program 2: Training and Skills' within the Department of Innovation include the appointment of new Industry Skills Councils, structured as sub-committees of the South Australian Skills Commission each chaired by the relevant sector member of the Commission to provide expert advice and greater opportunity for collaboration and information sharing between government and industry (Budget paper 4: Agency statements volume 3, p. 173).

National Agreements

The total Commonwealth Payments for specific purposes and National Partnership Payments to South Australia for Skills and Workforce Development are estimated at $126.4 million for 2022-23.

National Skills and Workforce Development Specific Purpose Payment

South Australia has been allocated $110.8 million under the National Agreement for Skills and Workforce Development for 2022-23 (Budget paper 3: Budget statement, p. 47).

National Partnership Payments

The budget estimate for National Partnership Payments is $15.6 million in 2022-23 (Budget paper 3: Budget statement, p. 47).

The Australian Government budget estimates in 2022-23 South Australia may receive $15.6 million from the JobTrainer Fund (Australian Government Budget paper no. 3: Federal financial relations, p. 46).

Training providers and programs

Adult and community education

This initiative provides $1 million per annum from 2022-23 to reverse cuts imposed on adult and community education by the previous government (Budget paper 5: Budget measures statement, p. 87).

Five new technical colleges

$175 million of investing expenditure is allocated over four years ($15 million in 2022-23) for five new technical colleges, including two in regional South Australia at Port Augusta and Mount Gambier and three across the metropolitan area. An additional $2.5 million of operating expenditure is provided in 2023-24 increasing to $21.0 million in 2025-26. This will support the new technical colleges and underpinning strategies, enabling year 10 to 12 students to make informed decisions, complete their South Australian Certificate of Education and transition post-school to further training, education and employment (Budget paper 5: Budget measures statement, p. 25).

Individual support courses

$3.0 million per annum (indexed) from 2022-23 is allocated to provide a return to the delivery of training opportunities supporting the aged care, disability and early childhood sectors in both metropolitan and regional South Australia (Budget paper 5: Budget measures statement, p. 104).

JobTrainer National Partnership Agreement extension

An additional $6.7 million (rounded) over two years ($3.6 million in 2022-23 and $3.0 million in 2023-24) is provided for an extension of the existing JobTrainer Fund National Partnership Agreement with the Commonwealth Government until December 2023, comprising funding of $3.3 million from the Commonwealth, with matched funding from the state government. The extension will increase free or low-fee training places through the JobTrainer Aged Care Boost, which was announced in the 2022-23 Australian Government budget (Budget paper no.3: Federal financial relations, p. 46), to support the aged care workforce (Budget paper 5: Budget measures statement, p. 88).

Skill shortage funding

$2.2 million per annum (indexed) is allocated from 2022-23 to fund courses where industry has reported shortages in areas such as bricklaying, concreting, saw doctoring and chefs (Budget paper 5: Budget measures statement, p. 104).

Tauondi asset sale

$8 million is provided in 2022-23 to transfer ownership of the Tauondi College's land and buildings from the state government to ensure that the College is owned by Aboriginal people, for Aboriginal people and give it a permanent foundation in the community on Kaurna land (Budget paper 5: Budget measures statement, p. 90).

Upgrades to Mount Gambier TAFE SA campus

$5 million will be provided in 2023-24 to upgrade facilities and equipment to further increase the enrolment and retention of students and apprenticeships in trade courses where there are industry identified staff shortages in Mount Gambier and surrounding regions (Budget paper 5: Budget measures statement, p. 105).

Training and Skills departmental cost of services

The objective of the Training and Skills function is, through increased and targeted investment in training, to ensure that South Australians and South Australian businesses have the right skills to participate in the workforce, secure jobs and contribute to a growing economy by: alignment of the investment of public funds with identified skills, training needs and economic priorities; engagement with employers and community organisations to build the skills of the workforce; providing information and support services to learners and workers about skills and training pathways; regulating the apprenticeship and traineeship system to ensure compliance with the South Australian Skills Act 2008; supporting a responsive and high-quality vocational education and training (VET) system. The estimated net cost of services in 2022-23 for 'Program 2 Training and Skills' within the Department for Innovation is $351.677 million (Budget paper 4: Agency statements volume 3, pp. 167 and 173).

Transfer of the Training and Skills functions

From 1 July 2022, the Training and Skills functions will transfer from the Department for Innovation (formerly the Department for Innovation and Skills) to the Department for Education. This funding transfer is not reflected in agency budgets at this time (Budget paper 3: Budget statement, p. 23).

Departmental efficiencies

This measure will save $230 000 in 2021-22 and $21.1 million in 2022-23, increasing to $21.5 million from 2025-26. The quantum of savings reflects the full impact of the machinery of government change transferring skills and training from the Department of Innovation to the Department for Education. Efficiencies include reducing duplication and consolidating corporate functions. Savings will include a reduction in the Research and Innovation Fund and the department's annual investing program (Budget paper 5: Budget measures statement, pp. 87-88).