New JobTrainer Package Explained

The Government has announced yesterday the latest $2.5bn stimulus package, the JobTrainer package , with the intention of helping employers re-train, upskill and open new job opportunities.

The JobTrainer package has funds allocated for two distinct parts:

$1.5 billion - aimed at keeping those already in apprenticeships and traineeships employed; and
$500 million - aimed at school leavers and those looking for work, providing for vocational education and training courses. This part is conditional on funds being matched by state and territory governments.

What types of employment positions are covered?

The JobTrainer package will have a focus on training or re-skilling those looking for a job amid the coronavirus pandemic in areas of high demand, with "targeted areas" to be worked out by the newly-formed National Skills Commission ( NSC ) in consultation with the states.

The areas likely to be targeted will include sectors such as healthcare and social assistance, transport, postal and warehousing, manufacturing, retail trade and wholesale trade as industries which are in need of future job growth.

The exact qualifications or course content has yet to be defined and we expect that details will be released by the NSC shortly.

JobTrainer package for Employers

The largest part of the JobTrainer package is the expansion of the 50% apprentice wage subsidy to businesses with less than 200 employees (which previously only applied to businesses with less than 20 employees), and extends the subsidy until 31 March 2021 (from 30 September 2020).

Employers will be reimbursed 50% of an eligible apprentice's wage up to a maximum of $7,000 per quarter per apprentice. We note that employers will be able to access this wage subsidy after an assessment by the Australian Apprenticeship Support Network (AASN).

What are the eligibility requirements?

Small business

Medium Business

Employ less than 20 people, or
A small business with less than 20 people, using a Group Training Organisation, and
The apprentice or trainee was undertaking an Australian Apprenticeship with the business on 1 July 2020 for claims after this date ( Claims prior to 1 July 2020, will continue to be based on the 1 March 2020 eligibility date)

Employ less than 200 people, or

A medium sized business with less than 200 people, using a Group Training Organisation, and
The apprentice or trainee was undertaking an Australian Apprenticeship with the business on 1 July 2020

Claims available: now

Claims available: from 1 October 2020

How do I make a claim for JobTrainer?

If you are an employer of less than 20 employees (ie. 19 employees or less), have already been identified as eligible and have previously submitted a claim for the current wage subsidy, you simply continue with this claims process.
If you are an employer of less than 200 employees (199 employees or less) and have employed an apprentice or trainee from 1 July 2020, you may now qualify for the JobTrainer wage subsidy. You will be able to lodge a claim after 1 October 2020 and more information will be released closer to that date regarding the claim process.

We currently understand that as part of the claim process, every business will need to provide evidence of wages paid to your apprentice(s). Final claims for payment must be lodged by 30 June 2021.

Where a business is unable to retain an apprentice, another business can access the incentive if they take that apprentice on and pay their wages going forward.

What are the differences between JobTrainer and JobKeeper?

	JobTrainer	JobKeeper
Employer eligibility	Not required to demonstrate a "decline in turnover", but must have less than 200 employees or be re-engaging an apprentice or trainee displaced from an eligible small or medium sized business	Must meet a " decline in turnover" test (ie. 15%/30%/50%) and be an "eligible employer" entity
Employee eligibility	Must be an apprentice or trainee employed on July 1 2020	On March 1 2020, were a full time, part time or fixed term employee, or a long-term (over 12 months) casual employee
Wage subsidy	50% wage subsidy, up to $7,000 a quarter ($28,000 per year)	$1,500per eligible employee per fortnight, $9,750 a quarter ($39,000 per year)

Does the JobTrainer subsidy and JobKeeper payment work together?

No, each stimulus package works independently.

An employer will not be eligible to claim the apprentice wage subsidy under the JobTrainer package for any period where they choose to claim the JobKeeper payment for the same apprentice.

Please do not hesitate to contact your Lowe Lippmann Relationship Partner if you wish to discuss any of these matters further.

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Tax Alert - Further guidance on new proposed changes to Division 296 from 1 July 2026

October 19, 2025

Further guidance on proposed changes to Division 296 from 1 July 2026 Earlier this week, we released a Tax Alert ( click here ) after the Government announced some significant changes to the proposed superannuation rules to increase the concessional tax rate from 15% to an effective 30% rate on earnings on total superannuation balances ( TSB ) over $3 million – known as Division 296. These proposed superannuation rules were set to commence on 1 July 2025, but the Government has now announced significant changes that will delay the start date until 1 July 2026 and apply to the 2026-27 financial year onwards.

Tax Alert - Chalmers backs down on Superannuation reform

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Practice Update – October 2025

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