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7. Conclusion

To create Jobs with a Future there must be reform in each of the areas we have highlighted. The CFMEU is committed to pursuing policies that will maximise employment opportunities for young Australians. In particular we will seek to:

  • push for a clamp down on tax avoidance in the construction industry, recognising that it discourages apprenticeships and skills formation.
  • limit the working holiday maker program,
  • limit the use of body hire in the industry, and
  • resist youth wages in the industry.

These specific measures will go a long way towards creating an environment conducive to increasing youth employment. However, governments must go further if we are to halt the decline in apprenticeship commencements.

There must be an immediate plan put into place to ensure that our retiring tradespeople are replaced by a highly skilled new generation. If this does not happen our industry will falter and eventually collapse.

As part of such a plan the CFMEU strongly supports the introduction of legislated industry training funds in all states and territories. Currently such funds only exist in Queensland, Western Australia, Tasmania the Australian Capital Territory and South Australia. Details of the levies are included below.

Western Australia 0.2 % of all contracts with a value more than $20,000
Tasmania 0.2 % of all contracts with a value more than $5,000
South Australia 0.25 % of all contracts with a value more than $5,000
ACT 0.2 % of all contracts with a value more than $10,000
Queensland 0.2 % of interest accrued on long service leave, plus 0.05% of the value of a contract.

The funds impose a levy throughout the industry that ensures that all stakeholders contribute equally to skills development. For a levy system to be fully effective, this approach must be extended to Victoria and New South Wales. The amount of the levy should also be increased, to between 1 and 2% of the value of contracts.

Other positive developments are occurring in some States. For example in Queensland, the government agency Q-Build increased their apprenticeship intake by more than 50%, taking on a total of 140 apprentices. The then Minister for Public Works and Housing, Robert Schwarten, stated that the increase would:

“......play a significant role in the state Governments job strategy. It will also make an important contribution towards reducing crucial skills shortages in some areas of the state.” (Press Release ‘Government offers 140 apprenticeships’ 10/11/98).

Queensland is setting an example that other States and Territories should follow. Major builders and sub-contractors also have a role to play.


By committing to Jobs with a Future all parties stand to benefit:

  • Government reduces youth unemployment, resulting in less spending on income support and increases in taxation revenue.
  • Industry ensure a skilled and productive workforce into the next century, resulting in benefits for employers, unions and clients.
  • Young Australians gain access to real employment with a nationally recognised post-secondary qualification.

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United we bargain - Divided we beg.

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Contact the National Office, Construction Division at:
Level 12, 276 Pitt Street, Sydney, NSW 2000
Ph: 02 8524 5800
Fax: 02 8524 5801
Email: queries@fed.cfmeu.asn.au

Postal address: PO Box Q235, Queen Victoria Building Post Office, Sydney NSW 1230.

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