New Federal Apprenticeship Incentives
In good news for cabinet making and wood trades, new federal apprenticeship incentives provide up to $10,000 for apprentices
The Australian Government has confirmed significant support for apprentices and employers in priority trades, including cabinetmaking and allied wood trades.
If you are training, or planning to train, an apprentice in one of the recognised qualifications in our industry below, there is direct financial help available for both the apprentice and the business.
Who is eligible in our industry
Under the Key Apprenticeship Program, Housing Construction Apprenticeship stream, eligible apprentices training towards an occupation on the Australian Apprenticeships Priority List and identified as a housing construction occupation can claim payments across their apprenticeship journey, up to a total of $10,000 for full-time or $5,000 for part-time, with payments made at six, 12, 24 and 36 months, and at completion.
Apprentices cannot receive KAP and the Australian Apprentice Training Support Payment at the same time.
Employers of priority-trade apprentices can access the Priority Hiring Incentive, paid at six and 12 months from commencement, to help offset onboarding and training costs, up to $5,000 for full-time ($2,000 at six months and $3,000 at 12 months).
Recognised occupations and example qualifications relevant to cabinetmaking and wood trades include:
▪️Cabinet Maker MSF30322 Certificate III in Cabinet Making and Timber Technology
▪️Carpenter CPC30220 Certificate III in Carpentry
▪️Joiner CPC31920 Certificate III in Joinery
▪️Glazier MSF31422 Certificate III in Glass and Glazing
▪️Wood Machinist FWP31121 Certificate III in Wood Machining
▪️Shopfitter CPC30120 Certificate III in Shopfitting
What apprentices can receive
Key Apprenticeship Program, Housing Construction stream (KAP-HCA)
Up to $10,000 for full-time apprentices, paid $2,000 at each of six, 12, 24 and 36 months, plus $2,000 at completion. Part-time apprentices receive half these amounts.
Australian Apprentice Training Support Payment (alternative to KAP)
Where an apprentice is not on KAP, they may be eligible for the Training Support Payment, up to $5,000 over the first two years, paid $1,750 at six months, $1,750 at 12 months, $750 at
18 months, $750 at 24 months. This payment cannot be received concurrently with KAP.
What employers can receive
Priority Hiring Incentive
Up to $5,000 for full-time apprentices in eligible occupations, paid $2,000 at six months and $3,000 at 12 months. Part-time rates are $1,000 and $1,500. Only one year’s worth of payments can be claimed for a single apprenticeship.
Key dates
For KAP eligibility, apprentices must have commenced or recommenced on or after 1 July 2025.
For Priority Hiring Incentive, employers must have commenced or recommenced apprentices on or after 1 July 2024.
To activate your claim, start with your Apprentice Connect Australia Provider then lodge your claim through the Apprenticeships Data Management System (ADMS). Make sure you take note of effective dates and time limits.