Parliamentary Speeches
Apprenticeships and Cadetships ( 25/02/2010)
Mr DONALD PAGE (Ballina) [12.19 p.m.]: I welcome an opportunity to say a few words on the issue of apprentices, traineeships and skills shortages in New South Wales and across Australia. At the outset I move the following amendment:
That the motion be amended by leaving out paragraph (2).
That paragraph states that the Opposition does not have a policy to promote apprenticeships and cadetships. I draw to the attention of the member for East Hills, who moved this motion, that the New South Wales Liberal-Nationals Coalition went to the last election with a specific policy on this issue, which I have with me, entitled, "Get NSW Back in Front—Hands On: A nine-point plan to address the skills shortage and build a stronger economy." The Liberal-Nationals Coalition had a policy at the last election—I know because I wrote it—that is designed to address skills shortages in this State. As I said, that policy involves a nine-point plan.
In New South Wales we have a low apprenticeship completion rate. The last time I looked we had a completion rate of around 41 per cent. In other words, only 41 per cent of those who start apprenticeships in this State finish them. The national average is around 60 per cent. We are lagging behind other States in apprenticeship completions. At the last election one of the central points of our policy was to provide some incentive for apprentices to complete their apprenticeships. Unfortunately, many apprentices commenced but did not complete their apprenticeships as they were able to earn more money somewhere else, or they had some other reason for not doing so. At that stage the national economy was reasonably buoyant and they were going off to other jobs. Our policy provided a $1,000 incentive each year for those apprentices who completed their apprenticeships.
The second point in our nine-point plan was to introduce competency-based apprenticeships. By that we mean that if apprentices have the ability to complete their apprenticeships after three years they should not be held back for the full four years—an important competency-based concept. If they do the work and acquire the skills they should be able to complete their apprenticeships in three years rather than four years. That implies that more apprentices would be going into the marketplace after their third year rather than having to wait the traditional four years. The third element of our nine-point plan is to continue exempting employers from WorkCover premiums for apprentices. The Carr Government removed the exemption to pay workers compensation premiums to apprenticeships but that was reinstated, and I understand that that is still the case. I make it plain that the Coalition will continue that exemption.
The fourth element of our nine-point plan was to provide the permanent extension of vocational education and training opportunities to high school students in years 9 and 10. If students in years 9 and 10 do not have a particularly strong academic bent and do not want to go to university, they should be given an opportunity to pursue a vocational pathway and to obtain a high school certificate qualification in their chosen area. One of the problems in Australia and in New South Wales is that too many parents believe their children will be successful only if they go to university and obtain a degree rather than obtain trade skills and qualifications and become useful members of our community—the skilled workers that we desperately need. We must educate parents and explain to them that we do not measure the value of a child's education by whether he or she matriculates at university; we measure it by establishing whether he or she has attained the skills that will be useful to him or her, that generate income for that person, the State and the economy, and that address our serious skills shortage.
The sixth point in our nine-point plan was a $2 million package of measures to promote mathematics, science and engineering studies and ongoing employment in the New South Wales defence industry. We want to ensure that that happens. Our seventh point in the nine-point plan is a formal bid to host the 2013 WorldSkills Skills Olympics in New South Wales. It will be interesting to hear from the member for East Hills whether the Government has put in a bid to host the 2013 WorldSkills Skills Olympics in New South Wales. I said earlier that we must do more to ensure that additional apprentices complete their apprenticeships. The problem we are experiencing with apprenticeships is also being experienced in the TAFE system.
It gives me no pleasure to inform members that, typically, about 500,000 people go through our TAFE system each year but fewer than half those students complete their courses—a major waste of time and energy for those who do not complete their courses, and a major waste of the resources of taxpayers in this State. It is incumbent on the New South Wales Government to introduce policies that encourage apprentices to complete their apprenticeships. As I said earlier, in New South Wales only about 40 per cent of people complete their apprenticeships compared with the national average of 60 per cent. There is some leeway to be made up in relation to apprenticeship completions and in relation to the less than 50 per cent completion rate of TAFE students in New South Wales.
In TAFE half a million students are in the system at any one time, and 250,000 students across the State do not complete their courses. The Government must focus its attention on those issues rather than attempt to score political points by saying that the Opposition does not have a policy when clearly it does. We went to the last election with this policy and, no doubt, closer to the 2011 election the shadow Minister responsible for this area will announce another policy. Skills shortages are a real problem in this State. This Government has its own challenges to ensure that the apprenticeship completion level is higher than it is at the moment.
The Government must also ensure that there is an increase in the number of students completing TAFE courses. It must provide financial incentives for apprentices to complete their apprenticeships—policies such as the one we have of providing apprentices with $1,000 every year they complete their courses. That would encourage them to continue their apprenticeships rather than accepting other alternatives. As I said earlier, I welcome the opportunity to speak in debate on this motion. I moved an amendment to remove paragraph (2) that states the Opposition does not have a policy when quite clearly it does. I reinforce my earlier message about moving towards competency-based apprenticeships. If apprentices are smart enough, good enough and capable of achieving the required skills in three years they should receive their apprenticeships. They will then be out in the marketplace earlier.
