Senate debates

Tuesday, 16 February 2021

Questions without Notice

COVID-19: Construction Industry

2:34 pm

Photo of Matt O'SullivanMatt O'Sullivan (WA, Liberal Party) Share this | | Hansard source

My question is to the Minister for Employment, Skills, Small and Family Business, Senator Cash. Could the minister please update the Senate on how the Morrison government's support for the construction industry throughout the COVID-19 pandemic has supported jobs and small businesses, kept apprentices in training and built the foundation for economic recovery?

2:35 pm

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Minister for Employment, Skills, Small and Family Business) Share this | | Hansard source

I thank Senator O'Sullivan for his question. The construction industry in Australia is fundamental to our economy. It now employs over 1.1 million Australians, and, in terms of the number of small and family businesses within the construction industry itself, there are around 390,000 small businesses. This actually equates to roughly 98.5 per cent of all businesses in the sector. That is why the Morrison government has made supporting our construction industry a priority throughout the COVID-19 pandemic.

In terms of what we've done for the construction sector, one of the fundamentals was obviously keeping apprentices and trainees on the job, where we need them. Of course, when you get hit with a pandemic, the apprentices and trainees are often the first to go, the first that an employer has to lay off. So we put in place a number of programs to assist our employers in keeping those apprentices and trainees on the tools, on the job, where we need them. They are, of course, the HomeBuilder program, support for our residential construction pipeline and extending the First Home Loan Deposit Scheme. Combined, there were a number of policies—JobKeeper, the cash flow boost, the SME guarantee scheme—all of which have helped minimise the economic impact on this vital sector.

As we emerge from COVID-19, the foundation these policies puts in place is driving our early economic comeback. Over the last quarter of 2020, employment in the construction industry has increased by two per cent, or 22,800 jobs. What we've also seen is more than 85,421 applications to the HomeBuilder scheme. We're seeing that the policies that the Morrison government have put in place throughout the pandemic are assisting the construction industry to employ more people.

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

Senator O'Sullivan, a supplementary question?

2:37 pm

Photo of Matt O'SullivanMatt O'Sullivan (WA, Liberal Party) Share this | | Hansard source

I thank the minister for that answer. How has the Morrison government's Supporting Apprentices and Trainees wage subsidy supported the future of the construction workforce through the COVID-19 pandemic?

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Minister for Employment, Skills, Small and Family Business) Share this | | Hansard source

According to the National Skills Commission, of the 1.1 million people that are employed in Australia by the construction industry, I'm pleased to say that over 50 per cent of them actually have a vocational education and training, or VET, qualification. In terms of the support that the government provided, we have our Supporting Apprentices and Trainees wage subsidy. This has been absolutely critical to keeping our apprentices and trainees on the job, as I said. To date, 119,500 apprentices and trainees, employed by 62,600 employers, have now been assisted, and that includes 59,000 small businesses.

In terms of the actual breakdown of those statistics, we've seen 22,500 bricklayers, carpenters and joiners, 17,200 electricians and 12,200 plumbers kept on the job because of the policies the Morrison government put in place to assist these businesses in the construction industry.

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

Senator O'Sullivan, a final supplementary question?

2:38 pm

Photo of Matt O'SullivanMatt O'Sullivan (WA, Liberal Party) Share this | | Hansard source

That's good news. How can the Morrison government's JobMaker Plan support the future of the construction industry and ensure that it can continue to drive Australia's economic success into the future?

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Minister for Employment, Skills, Small and Family Business) Share this | | Hansard source

The policies work together. In addition to the pipeline of work that we've secured through the HomeBuilder policy, what we've also put in place is a Boosting Apprenticeships Commencements policy. This is all about supporting the training of a new generation of apprentices. In relation to that policy, we've seen over 88,000 new training contacts registered with the program to date, which includes around 20,000 in the construction industry itself. So, when you look at the suite of policies that the Morrison government put in place in response to the COVID-19 pandemic, the business tax incentives are out there helping businesses, particularly small businesses; the instant asset write-off is allowing businesses to invest in themselves but also to write off the new asset; and we are removing costly barriers for business. All of those policies combined have supported the construction industry to keep apprentices and trainees in training, on the job, where we need them.