$230 million allocated for trade training
Support for 38,000 into work
WELLINGTON: The Government is allocating $230 million to trades training programmes it says will support 38,000 people into work.
The opposition National Party questioned how effective the programmes would be as statistics showed some schemes falling well short.
Education Minister Chris Hipkins and Social Development and Employment Minister Carmel Sepuloni, who made the preBudget announcement yesterday, said the schemes would assist with the country’s postpandemic economic recovery.
Mr Hipkins said the 3.2% unemployment and economic activity were among the strongest in the world, thanks in part to investments in training programmes such as Apprenticeship Boost — a payment to employers taking on new apprentices.
‘‘Over the past two years, over 190,000 people have benefited from government investment in trades training, including apprenticeships,’’ he said.
Apprenticeship Boost started in August 2020 and lifted the number of apprentices since the start of the pandemic by 55%.
The latest schemes would support another 24,000 apprentices getting Apprenticeship Boost support and 14,000 to keep being supported after August, he said.
There were 17,000 employers involved in the programme and yesterday’s announcement meant new employers could join up, he said.
Under the scheme, the firstyear subsidy rate will lower from $1000 to $500 per month from August 5. The secondyear subsidy rate will remain at $500 per month until the initiative ends in December 2023.
Included in yesterday’s announcement was more support for Mana in Mahi and Maori Trades Training, which had assisted more than 4700 young people into work and training, Ms Sepuloni said.
National Party social development and employment spokeswoman Louise Upston was sceptical of the announcements.
The Maori
Trades and Training initiative, allocated $50 million in the 2020 Budget, has 57 participants, with plans for a total of 434 over the next two years.
It follows a report yesterday which revealed the Ministry of Social Development had spent more than $800,000 for Zoom job expos attended by 126 people.
Trades industry representatives welcomed the continuation of Apprentice Boost but were disappointed at it being halved to $500.
Act New Zealand yesterday released its ‘‘alternative budget’’ where it proposed a range of cuts to public spending.
Shortly after, National Party deputy leader and finance spokeswoman Nicola Willis delivered a speech outlining her party’s approach, focusing on the ‘‘squeezed middle’’.
The Budget is to be delivered on May 19. —