Matt O'Sullivan (WA, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Employment, Skills, Small and Family Business, Senator Cash. Minister, this week is the 10th National Skills Week, a week dedicated to raising the profile and status of vocational learning, dispelling outdated myths and showcasing the attractive career opportunities for all Australians. Can the minister update the Senate on how the Morrison government's skills reform agenda has strengthened our vocational education system?

Michaelia Cash (WA, Liberal Party, Minister for Employment, Skills, Small and Family Business) Share this | Link to this | Hansard source

I acknowledge the strong interest that Senator O'Sullivan has had in vocational education and training throughout his career. It is National Skills Week this week. It is the 10th National Skills Week, and we are certainly celebrating what vocational education and training is able to offer to Australians. In particular, with the impact of COVID-19 both here in Australia and globally, we have seen an acceleration in the change in the nature of work. What we are very much focused on now as a government is our capacity to grow, to thrive and to create more jobs, which is very much dependent on employers and individuals, regards of their background, regardless of their circumstances, being able to access the right skills at the right time. That is exactly what a strong vocational education and training sector can do for Australians. The government understands the key role that vocational education and training plays in delivering Australians with the right skills for employers, and that is why, as a government, we are investing a record $6.5 billion. I will just say that again for the benefit of those on the other side. The Morrison government is investing a record $6.5 billion into our skills system. We know that you need to reform the skills system in Australia. The mess that those on the other side left—and I will address that in future questions—is still being paid for by Australians. That is why we're investing an additional $6.5 billion in skills reform across Australia.

In particular, we are focusing on wage subsidies so that small and medium businesses across Australia are able to keep their apprentices and trainees in training. We're also looking at ensuring that our skills sector responds properly to areas of demand— (Time expired)

Scott Ryan (President) Share this | Link to this | Hansard source

Senator O'Sullivan, a supplementary question?

Matt O'Sullivan (WA, Liberal Party) Share this | Link to this | Hansard source

Following the government's successful and, might I add, swift negotiation of a new heads of agreement for national skills funding and reform, what will the government's further reform priorities to support job creation and a skilled Australia deliver?

Michaelia Cash (WA, Liberal Party, Minister for Employment, Skills, Small and Family Business) Share this | Link to this | Hansard source

(—) (): In addition to investing a record $6.5 billion in our skills system, what Senator Watt does not appreciate is that the greatest fall in apprentice numbers on record occurred in 2012-13 when they fell by 110,000 or 22 per cent. That was under the former Labor government. In addition, Senator Watt, over two years the former Labor government gutted $1.2 billion from employer incentives. They were not incentivised to take on apprentices, because you gutted the system. Since we have been in office, we have progressively reformed vocational education and training in Australia. As I said, we are now investing a record $6.5 billion in our skills system, and that includes getting rid of Labor's NASWD, the National Agreement for Skills and Workforce Development, and replacing it with a new funding agreement— (Time expired).

Scott Ryan (President) Share this | Link to this | Hansard source

Senator O'Sullivan, a final supplementary question?

Matt O'Sullivan (WA, Liberal Party) Share this | Link to this | Hansard source

I thank the minister for that answer. Minister, can you please update the Senate on the government's supporting apprentices and trainees' wage subsidy and how this program is preserving our skilled workforce through the economic impacts of COVID-19?

Michaelia Cash (WA, Liberal Party, Minister for Employment, Skills, Small and Family Business) Share this | Link to this | Hansard source

In particular, as a result of COVID-19, because we do know that apprentices and trainees are affected when there is a downturn in the economy, this government have put in place a $2.8 billion supporting apprentices and trainees wage subsidy. We're extending the subsidy to apprentices employed by medium businesses. Initially it was focused on small businesses, but we are now extending it to medium businesses in Australia. The extended wage subsidy will now support around 90,000 businesses, employing around 180,000 apprentices. In fact, as at 21 August the program has supported around 50,700 businesses to retain over 88,000 apprentices. This is despite the impact that COVID-19 is having on the economy. In fact, Senator O'Sullivan, in the state of Western Australia 6,227 apprentices and trainees are currently being supported by the $2.8 billion wage subsidy that we put in place.