AUTOMOTIVE SECTOR CALLS FOR EQUITABLE APPRENTICESHIP INCENTIVES

“We need an approach that recognises the essential contributions of all trade industries to Australia’s economic infrastructure

MTA Queensland has raised significant concerns about the Federal Government’s newly announced $10,000 residential construction apprenticeship bonus scheme, warning that it risks creating an uneven playing field among Australia’s critical trade industries.

“While we fully support initiatives to bolster apprenticeships, which are vital to building Australia’s future workforce, we need a comprehensive approach that strengthens the entire skills base,” said Rod Camm, CEO of MTA Queensland.

“Just as essential as installing a new sink or building a house, getting your car repaired is a vital service. By offering financial incentives solely to the construction sector, the government risks unintentionally diverting apprentices away from the automotive industry, making their decision based on financial gain rather than genuine interest or the needs of the industry,” Mr Camm explained.

MTA Queensland is calling for an evidence-based approach that targets industries with the greatest need for skilled workers, rather than offering selective incentives.

“Recent data shows concerning trends in automotive apprenticeship enrolments, with some states reporting – Light Vehicle mechanics down 22 per cent, Heavy Commercial Vehicle 34 per cent, and Automotive Electrical Technology down 35 per cent compared to this time last year. All these trades are in short supply.”

The automotive sector is at a pivotal moment, undergoing rapid technological evolution with the increasing adoption of electric and hybrid vehicles. This transformation demands a growing workforce of skilled technicians to meet future challenges.

“At a time when the automotive industry is striving to attract more apprentices to address these emerging needs, policies like this actively undermine that goal,” said Mr Camm.

“We need an approach that recognises the essential contributions of all trade industries to Australia’s economic infrastructure. Every trade plays a crucial role, and their development must be supported equally.”

MTA Queensland is urging the Federal Government to reconsider its current policy and implement apprenticeship incentives that are inclusive and balanced across all essential trades, ensuring Australia can sustainably build the skilled workforce it needs for the future.

 

Source: Motor Trader e-Magazine (February 2025) 

15 March 2025