As Australia enters another phase of the COVID-19 pandemic, supposedly the recovery phase, the Federal Government has announced another business support program - JobTrainer, which may represent opportunities for your business. The JobTrainer package is designed to support businesses and individuals in the skills area with funding to ensure the workforce is prepared for the jobs that will be required in the future.
Announced by the Prime Minister Scott Morrison and Senator Michaelia Cash on 16 July, the JobTrainer package represents a $2 billion investment by the Government in several specific areas. While the full detail is yet to be announced, we consider it timely to give you a heads-up so you can start thinking as to how your business may benefit and what finance you may require enable your business to take full advantage of the offering.
The focus of the package is on skilling the workforce to take on the jobs that are foreseen to be required by Australian businesses in the recovery and growth post-COVID 19. It covers support for apprenticeships and support for businesses.
Wages Incentives and Subsidies for Business
As part of the initial coronavirus stimulus package, the Government included an initiative for businesses to retain apprentices. This initial package which was launched in March 2020 was valued at $1.3 billion and this new measure through JobTrainer, adds another $1.5 billion to expand the incentive for business to keep apprentices.
Small businesses are already included but the new wage subsidy scheme will be expanded to include medium-sized enterprises that is with under 200 employees. It covers employees that were in employment at 1 July 2020. According to the PM’s announcement, this means 90,000 businesses and that may include yours – worth checking out.
The initial program announced in March 2020 was due to expire at the end of September 2020 in line with many of the other initial stimulus measures. However, this latest announcement extends the program to March 2021.
What’s included? 50% of the wages for trainees and apprentices, up to a cap of $7,000 each quarter.
Support for Apprentices
This new package is aimed to provide support for apprentices by their employer businesses being better placed due to the wage subsidy, to keep them on and allow them to continue with training and to achieve their qualifications.
It also provides 340,000 new training places which should benefit school leavers in particular and those that are now on JobKeepers to acquire the skills that it is expected businesses will require.
The courses involved will be provided at low cost or free in some sectors.
The Government sees the JobTrainer package as a vital component for the economy to move through the recovery phase and rebuild, cognisant that the structure of industry may have changed due to COVID-19. Some businesses have changed focus and even the products and services they were providing and producing. The objective is to ensure that the workforce is skilled to provide businesses with the resources they require.
The specific skills, training and apprenticeships included will be determined on a state-by-state basis with each state and territory government decided which they require to meet the demands of their sectors.
Potential for Your Business
How your business may benefit from the package of course depends on individual circumstances, but as we work with many businesses across numerous sectors we anticipate a lot of our customers may see this as a lever to enable investment and growth.
- It may give you the confidence to move forward with asset acquisition plans.
- The wage subsidy may free up cash flow to make purchases of motor vehicles, trucks or business equipment.
- The prospect of skilled workers being available in you key sector may be the game-changer you require to expand with new machinery.
Making ‘Potential’ a Reality
Jade Finance provides a wide range of business finance products that enable businesses to turn potential opportunities into reality. Without cost-effective loans and finance packages, businesses are usually hamstrung when it comes to putting their expansion and investment plans into action. Our consultants work closely with our business customers to develop financial solutions which facilitate investment, asset acquisitions and provide ongoing cash flow support.
Workable equipment and machinery finance, tailored to your requirements.
- Cheap truck loans.
- Structured business vehicle finance.
- Non-bank lender overdraft facilities.
- Insurance Premium Funding.
- Debtor Invoice Funding.
- Secured and Unsecured Business Loans.
All finance deals are sourced from our large number of banks and non-bank lenders, which include lenders that specialise in key industry sectors and in key equipment acquisitions.
If you have finance requirements that will enable you to take full advantage of JobTrainer or any other government support measure, have a confidential discussion with one of our consultants about how Jade Finance can assist you.
To discuss your business finance requirements contact Jade Finance 1300 000 008
DISCLAIMER: THE INFORMATION PROVIDED IS FOR GENERAL CONSIDERATION. ANY REFERENCE TO OFFICIAL GOVERNMENT POLICIES HAS BEEN SOURCED FROM AUSTRALIAN GOVERNMENT AND STATE GOVERNMENT SOURCES. INFORMATION ON INDIVIDUAL VEHICLE SPECS IS SOURCED FROM THE MANUFACTURER WEBSITE. NO LIABILITY IS ACCEPTED FOR ANY ERRORS IN PRESENTATION OR INTERPRETATION OF THE FACTS AS PROVIDED BY THESE SOURCES. WE ADVISE ALL INDIVIDUALS AND BUSINESSES TO REFER TO THEIR ACCOUNTANT OR FINANCIAL ADVISOR FOR PROFESSIONAL ADVICE SPECIFIC TO THEIR INDIVIDUAL CIRCUMSTANCES.