Budget 2016: Youth Jobs PaTH to help create employment opportunities

Budget 2016: Youth Jobs PaTH to help create employment opportunities

To help more than 100,000 vulnerable young people into jobs

The Federal government is attempting to get vulnerable young people into jobs with a new initiative called Youth Jobs PaTH (Prepare, Trial, Hire).

The initiative aims to improve employment, which the tech industry could benefit from. Many businesses within the ICT sector have been speaking out about a skilled shortage in the industry, and this lead could help alleviate the situation.

“It is not just another training programme. From April 1, 2017, young job seekers, who need to boost their job-readiness, will participate in intensive pre-employment skills training within five months of registering with jobactive.

“The first three weeks of training will focus on skills such as working in a team, presentation, and appropriate IT literacy. A further three weeks of training will centre on advanced job preparation and job hunting skills,” treasurer Scott Morrison, said.

This new initiative is expected to help more than 100,000 young people into jobs.

In stage two, the government will introduce an internship programme with up to 120,000 placements over four years to help young job seekers who have been in employment services for six months or more to gain valuable work experience within a real business.

Job seekers and businesses, with the help of job active providers, will be able to work together to design an internship placement of four to 12 weeks duration, during which the individual will work for 15 to 25 hours per week.

These individuals will receive $200 per fortnight on top of their regular income support payment while participating in the internship. As for businesses that take on the interns, they will receive an upfront payment of $1000.

In stage three, Australian employers will be eligible for a Youth Bonus wage subsidy of between $6500 and $10,000, depending on the person's job readiness. Businesses will have the flexibility to employ young job seekers either directly, through labour hire arrangements, or combined with an apprenticeship or traineeship.

“Australian businesses, especially small businesses, have told me they want to give young people a go, but we need to do more to get young people ready for a job, so businesses don't carry all the risk and cost.

“That is why the Youth Jobs PaTH is such an important part of the Turnbull government's economic plan for jobs and growth,” Morrison added.

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Tags employmentfederal governmentBudget 2016skilled hsortage

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