Embrace Apprenticeships & Traineeships: Good for Business, Good for Australia

This will be the first part of a series entitled, Embrace Apprenticeships & Traineeships: Good for Business, Good for Australia. We cover apprenticeships and traineeships and how this pathway, sometimes overlooked in conversations be it in the schools, or in the boardroom, is good for businesses and its good for Australia, and Australians. There is a lot to unpack for all involved, therefore we will highlight all the different parts and how vital this pathway is towards securing Australia’s future, and how important it is, for unlocking potential for young people and people who are looking for a new start.

The Basics

It’s crucial to recognise that University education is not the only route to a successful and fulfilling career. Apprenticeships and Traineeships have always been powerful pathways that deserve serious consideration.

An apprenticeship or traineeship is a pathway that is a powerful combination of work and further study, owing to the concurrent structure of a tertiary qualification and work experience, that one obtains simultaneously. It’s an employment and education outcome all in one. Apprenticeships and Traineeships can lead to some of these outcomes including, but not exclusive to:

1.????? A solid career path in a field or trade that can span one’s entire working life, obtained in the same time frame as a Bachelor Degree, for a fraction of the tuition, reimbursed by your employer.

2.????? A stepping stone to build on the knowledge and experience of a trade or industry to quickly ascend in the industry. Opportunities in management and beyond are possible.

3.????? The foundation skills to launch a start up business and build it to successful heights, large earning potential.

4.????? The opportunity to teach and mentor future workers who are undertaking apprenticeships and traineeships, following in your footsteps.

5.????? The foundation to pursue even further education, Diplomas and Degrees, and the resources to fund the education.

6.????? A big one…no HECS/HELP debt to begin your career.

What is an apprenticeship or traineeship?

Australian Apprenticeships and traineeships are holistically similar, but have a few differences in application. Both are opportunities to gain paid hands-on experience with a business, while learning and achieving a qualification in a trade or industry skill set. This qualification is Nationally Recognised Australia wide, and is delivered by a Registered Training Organisation (RTO). The RTO can be a public, state government run institution called a Technical and Further Education institute (TAFE), or a private institution registered as an RTO. Unlike a University or purely tertiary academic setting, these programs place individuals directly in their chosen field, allowing them to apply their knowledge in real-time and understand the nuances of their industry. Apprenticeships and Traineeships have a nominal period of between 12-48 months that is set out in a Registered Training Contract with the Australian Government, and entered into with the employer. It is a fixed term contract of employment with responsibilities set out for the apprentice/trainee, and the employer on the work/study obligations. During this period The individual will undertake their tertiary qualification (i.e Certificate III ) through a TAFE/RTO and will be paid during required training attendance. The attendance, depending on the industry and the qualification sought, can be classroom based, or blended workplace delivery. It can be done in set classroom training “blocks”, or through time-release at the workplace. The apprenticeship or traineeship can be completed with one employer or with several employers, with the aggregate of time served reaching the agreed upon nominal time. However, time spent outside of employment, is not counted towards the nominal completion time.

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What are the differences between and apprenticeship and traineeship?

An Apprenticeship is usually in a registered, licensed, and/or skilled trade. Here you are looking at occupations like Carpentry, Mechanical Fitters, Boilermakers, Hairdressers, Plumbers, and Electricians. The duration of an Apprenticeship is typically 3-4 years (depending on the trade) of on-the-job training, and about the same length of off the job (TAFE/RTO) training that runs concurrently. The apprenticeship can be completed with just one employer, or with multiple employers. Completing with one versus multiple employers is dependent on certain factors including, but not exclusive to the specialty or experience provided by the employer, the match between employer and apprentice, business needs of the employer, or the apprentice relocates to a different state or territory.

A Traineeship is a broader range of occupations and skill sets. These can include several different options of qualifications that are available the duration is typically shorter than an apprenticeship, usually 12-24 months (depending on the traineeship), which runs concurrently with the TAFE/RTO qualification (ie Certificate III in Business). Common traineeships include aged care, early childhood, business administration, and sales. Like an apprenticeship, the traineeship can be completed with one employer or multiple employers for similar reasons.

What are the requirements of starting an apprenticeship or traineeship?

The first overarching requirement is an interest in the trade or industry! Because it’s a paid role, the prospective employer will be looking for attributes similar to any entry level role. Basic job readiness is the key. These include a desire to learn, reliability, punctuality to work, and the ability to work will with colleagues and management. For most, it is the first time in full-time employment, so there are growing pains associated with juggling the demands of work with non-work demands, essentially the concept of “Adulting”. For Apprenticeships in certain trades, it is advantageous for a candidate to have done some prior training through a pre-apprenticeship (Certificate II Level) qualification. This will assist the individual in understanding the basic requirements of the trade. It will teach them basic use of hand tools, and safety, Whilst it’s not compulsory to undertake a pre-apprenticeship, it is advantageous for a person entering an apprenticeship without a prior understanding of the basic tenants of the trade/industry. Employers may view this as a convincing step forward in commitment and provides a higher likelihood of retention. For the business, an apprentice/trainee that has completed their first year, is more likely to complete the full term. With each completed year, this probability increases, corresponding with a progressive return for the business on the investment of time and training. Ultimately, the employer will have first crack at a fully trained, qualified employee, that has already embedded the company’s ethos in their practice.

With traineeships, there is more of a reliance on pre-requisite soft skills, than technical skills as a means of entry. Trainees will undergo more pre-requisite training on the job. An aged care trainee will undertake First Aid and CPR training as part of their RTO training, or as part of their onboarding if the candidate is not holding a current First Aid/CPR qualification. There is often more security clearance requirements for traineeships working in vulnerable settings, including criminal background checks. Business administration trainees are looked at for their ability to work with others and deal in front facing members of public or stakeholder groups.

Apprenticeships and traineeships can be completed Full Time, Part Time, and also Part Time whilst still in Secondary School. This is called a School Based Apprenticeship/Traineeship (SBAT). Whilst an apprentice or trainee needs to have attained a minimum working age in the state or territory, the good news is that there is no maximum age to undertake an apprenticeship or traineeship. There are more and more adult (previously referred to as “mature aged”) apprentices and trainees involved in various industries. These are individuals who either have chosen a different work or study path out of school but have circled back to a different industry later on. More and more have chosen a different career path after multiple years in a different industry, a transition back to work, from a full-time caring role, or re-skilling as a result of an industry that has been altered due to changes in technology or offshoring.

What will I be paid?

Modern awards are established by law with statutory minimum training award wages for apprentices and trainees. An employer will need to comply with the minimum pay rate in that award or be in non-compliance with the law and face significant penalties (wage theft). This pay rate is set at a level less than that of a qualified experienced worker in that trade or specialisation. This is largely due to the time invested by the business in training and supervising. In certain awards, and trades, there is a graduated increase in the hourly wage as an apprentice completes a year or stage worth of employment under the training contract. This accounts for the more autonomy and competence that comes along with the skilling, and less supervisory hours required. At the conclusion of the apprenticeship or traineeship, the employee will be paid in line with the award wage for a full entry level or qualified worker. A business can choose to pay above minimum award wages, at their discretion, or as part of an enterprise agreement. They may choose to do so to attract and retain talent to advantage their business over their competitors.

Apprentices and Trainees may be eligible to receive subsidies from the federal government to assist with the purchase costs of tools and some personal protective clothing/uniform, there may be benefits such as discounted vehicle registrations. In some cases, apprentices and trainees may qualify for low-income benefits such as a commonwealth concession card.

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In the next part of the series, we will talk about School Based Apprenticeships/Traineeships, as well as expand on the growing trend of older adults, choosing apprenticeships and traineeships and rebooting their career paths.