ACT apprentices and trainees will soon receive a $250 cost-of-living payment, skills minister Chris Steel said. The ACT Government contact them in coming weeks, and payments will be made within a month.

However, the building and construction sector says the payments are inadequate.

Master Builders ACT acting CEO Ziad Zakout said: “While no one is going to say no to $250, for tradies this realistically amounts to around two tanks of fuel in their work ute. This does not go far enough in addressing the chronic lack of funding for apprentices in the sector.”

The payment – a budget measure – will support up to 5,700 apprentices and trainees while they train, Mr Steel said. To be eligible, apprentices and trainees must be active as of 1 July, under a national training contract; live in Canberra; and be employed by an ACT employer.

“The ACT Government is committed to supporting Canberrans to train for the jobs our growing community needs, including in renewable energy, construction, cyber security, the care sector and hospitality,” Mr Steel said.

“It’s part of our plan to grow, strengthen and diversify our city’s workforce as we continue to deliver important major new infrastructure projects like schools, hospitals and light rail.

“At the same time these payments will also support local businesses whose staff may be undertaking training under a national training contract.

“The payment is among a range of initiatives to support Canberra’s skilled workforce, to ensure we have the right mix of skills to support the jobs of the future.”

Mr Zakout called on government to drastically increase funding for apprentices across the board.

The building and construction industry is the number one employer of apprentices and trainees in the ACT. At the end of March 2023, there were 2,156 construction apprentices in-training in the ACT, which represents 35.7 per cent of all ACT apprentices. However, a large share of apprentices are permanently exiting their training prematurely, because other industries offer more immediately attractive earning opportunities.

“Master Builders ACT has long advocated to the ACT government to increase apprenticeship subsidies for all trade apprenticeships,” Mr Zakout said. “This includes carpentry and plumbing apprentices who are currently provided the lowest subsidy in the ACT compared with any other State or Territory.

“While financial incentives and subsidies are a fantastic start to bringing more people to building and construction apprenticeships, on this occasion a one-off grant does not go far enough.”

Mr Steel said the cost of living initiative would support the ACT Government’s target of 300,000 jobs by 2030.