Andrew Wallace (Fisher, Liberal Party) Share this | Hansard source

I thank the honourable member for bringing this to our attention. This is an issue which is very important to me. Vocational education and training is an issue which is very important to me, as is tertiary education, university education. I don't know how many people in this place have done a trade or been TAFE educated and university educated, but I am one of them. And I can say without a shadow of a doubt—and this might make sense to members opposite—that I am who I am because of my vocational education and training background as a carpenter and joiner.

In my view, one of the problems that we have in Australia is that, ever since around the years of the Gillard government, all young people were told that you need to go to university if you want to be someone. That has had a lasting impact on all those young people who didn't go to university. They are now having their own children, and there is still the concept that, if your son or daughter is going to be someone, they need to go to university and get a law degree, an economics degree, an accounting degree or a business degree. We are facing a situation where many young people now feel that they have to go to university. But in my view we need to encourage young people by telling them that, if they want a qualification as a tradesperson, they can contribute to society just as well as someone who goes to university.

An honourable member: They will probably get more money, too.

Indeed, and on that we will agree.

An opposition member interjecting—

I will tell you why in a moment. If you just shush, you might learn something! The problem with doing a trade is that, out of a four-year apprenticeship, an employer will really only get about one year of productiveness out of that apprentice. The reality—and I can speak for this because I have been through it—is that, as a first-year apprentice, you are next to useless. As a second-year apprentice, you are getting better but still not earning the boss any money. By the third year, the apprentice is starting to do well and is able to earn his or her keep. By the fourth year, the apprentice has become so expensive that you could actually employ a subcontractor for less. So you will get one fruitful year, economically, out of an apprentice.

So we on this side are introducing a new policy whereby the government will provide very significant subsidies. The government will provide a wage subsidy of up to 75 per cent for a first-year apprentice, 50 per cent in their second year and 25 per cent in their third year. We on this side understand that we have got to fill this skills shortage. If we don't fill this skills shortage, we are going to have to import tradespeople from overseas. It would be an absolute disgrace if we had to go down that route. We have to encourage young people. We have to give them a sense of pride in their work. And there is absolutely nothing wrong with being a skilled tradesperson; in fact it is a matter of pride. If you work for yourself as a plumber or electrician, by and large, you will earn more money than you will if you get a business degree. So, young people, go and get an apprenticeship and earn yourself some decent money and start your own businesses.

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