< Back 5 Jul 2024

New requirements for Australian Government construction procurements

Chris Reid
Chris ReidLinkedIn

If your business plans to tender for Australian Government construction contracts valued at $10 million or more, there are some important changes which commenced on 1 July 2024, which you’ll need to be aware of.

The changes are part of the Australian Skills Guarantee, which is a key commitment under the Australian Government’s Secure Australian Jobs Plan.

The Skills Guarantee uses government investment in major projects to help train the next generation of skilled workers.

Under the Skills Guarantee, there are minimum targets for engaging apprentices, trainees and paid cadets working on Australian Government-funded major projects.

The Skills Guarantee will also introduce national targets for women to increase the proportion of women working on major projects and drive long-term sustainable change to reduce under-representation of women in the apprenticeship system.

Initially, these targets will be negotiated on a case-by-case basis, but changes will include major construction projects of a similar value being required to allocate a minimum of 10% of all labour hours to be undertaken by apprentices and trainees, with a minimum of 6% of all apprentice/trainee hours to be undertaken by women. Targets for women will increase annually by one percentage point, reaching a minimum of 12% for women in apprenticeships and traineeships in 2030.

If your organisation is interested in attending a webinar on 9th July to learn more, please register at this link: https://us02web.zoom.us/webinar/register/WN_4nSxz87SQE27Sw_mDWJxmA.

For information on the Australian Skills Guarantee, visit Australian Skills Guarantee - Department of Employment and Workplace Relations, Australian Government (dewr.gov.au).

*Photo credit: Hutchies