Australia's national VET data custodian

Money makes the world go round?

Published
27 May 2011

Low training wages for trade apprentices are not a deal breaker when it comes to completing their apprenticeship.

Research released by the National Centre for Vocational Education Research finds that the payoff associated with becoming a qualified tradesperson is what encourages apprentices to finish their training, not how much they get paid as an apprentice.

However, for trainees, training wages matter more with completion rates decreasing if they can make more money in alternative employment.

Dr Tom Karmel, Managing Director, NCVER said the economic climate significantly increased the attractiveness of undertaking an apprenticeship or traineeship.

“When times were tough alternative employment became less appealing compared to being an apprentice or trainee and in general the benefits of completing increased,” Dr Karmel said.

“But when times are good it is harder to keep apprentices and trainees because more opportunities are available.

“In terms of completion rates for apprentices, training wages don’t make much of a difference. The more important factor is what apprentices get paid as fully-qualified tradespeople.”

Copies of The impact of wages and the likelihood of employment on the probability of completing an apprenticeship or traineeship, are available from www.ncver.edu.au/publications/2364.html

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