THE Federal Government will spend $1.2 billion to support Australian businesses to employ 100,000 new apprentices and trainees as part of its COVID-19 economic recovery plan.

Starting on October 5, businesses that take on a new Australian apprentice will be eligible for a 50 per cent wage subsidy, regardless of location, occupation, industry, or business size.

Federal Member for Capricornia Michelle Landry said no matter the sector, the wage subsidy would give businesses certainty to hire workers and would provide career paths to young school leavers or people looking for an apprenticeship or traineeship.

“This new wage subsidy will provide school leavers and job seekers in Central and North Queensland with a real opportunity to upskill and re-skill through an apprenticeship or a traineeship,” Ms Landry said.

The subsidy will be available to employers of any size or industry across the country that take on an Australian apprentice or trainee from October 5 until the 100,000 cap is reached.

Under the measure, employers will be eligible for the wage subsidy for a new or recommencing apprentice or trainee until September 30, 2021, up to $7,000 per quarter.

Prime Minister Scott Morrison said apprenticeships and traineeships were ways to get young people working and to ensure employers’ needs were met.

“During this pandemic the Federal Government has been focused on supporting and creating jobs as well as identifying the skills we need in the economic rebuild,” he said.