Small business to be dangled a $5000 carrot to put on new workers, meanwhile club operators dropping casual staff
The State Government will pay to keep more apprentices and trainees in the workforce, in the form of $5000 incentives. Meanwhile, hospitality operators are already preparing to cut hundreds of staff.
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Small businesses will be offered $5000 to put on apprentices and trainees in a bid to boost confidence amid coronavirus panic.
Skills Minister David Pisoni will today announce a $12 million fund aimed at getting more than 2400 young South Australians into the workforce.
The funding is not part of the $350 million stimulus package announced by the Premier Steven Marshall last week.
Its release will coincide with new jobs statistics to be released today and recommendations from a leading employment expert on how to get more people working in SA.
Mr Pisoni told The Advertiser the new support package acknowledged the cost to small business of on-the-job training.
“We know that many companies and sole traders benefit enormously from hiring an apprentice or a trainee to expand their business, bringing fresh ideas and energy into the workplace,” Mr Pisoni said.
“This initiative provides a real kickstart for employers – particularly small businesses of 25 employees and under – with financial support to help offset the costs of employment, but also to ensure businesses are getting the right skills to support growth.
“It is also available for businesses that already have apprentices or trainees and are looking to hire more.”
On Monday, new figures, from the National Centre for Vocational Education and Research, for the September 2019 quarter, showed a 20.6 per cent increase apprentices and trainees. The figures also showed strong growth in female apprentices and trainees (21.9 per cent), apprentices and trainees in the 24 to 45 years age bracket (29.3 per cent), and mature-age apprentices and trainees (107.5 per cent).
But Opposition skills spokeswoman Clare Scriven pointed out the figures showed “trade apprentices” commencing in the 12 months to September 2019 was 3775, down from 4000 in the previous year.
Staff axed, clubs close as indoor ban bites
Three city nightclubs have closed for the foreseeable future, while a major Hindley St operator braces to sack more than 100 staff as the Federal Government’s new coronavirus restrictions take its toll.
John Meek, owner of The Woolshed, Downtown and Blackbull, said the new restrictions – which ban indoor gatherings of more than 100 people – will force him to lay off most of his casual employees, mainly bartenders, but also cleaners and maintenance staff.
“It may mean out of 150 (casual staff) … we might be able to keep 50,” he said.
Mr Meek said he pre-warned staff that job cuts were imminent. He expected to send letters to affected employers on Thursday afternoon.
“We build a lifetime of friendships, we call them ‘weekend warriors’, and we’re going to try to keep our key staff but … we’ve got to be able to trade profitably,” he said.
“I would prefer to close for three months but you have to keep the home fire burning otherwise you lose all your top management.”
Meek Hotel Group general manager Andrew Chandler said the full impact of the restrictions would be felt this weekend.
“As of this weekend, we go from 1250 capacity (at The Woolshed) down to 100 capacity,” he said.
Rocket Bar & Rooftop posted on Facebook it would close immediately as would Electric Circus and Mr Kim’s until the regulations were lifted.
However, the Australian Hotels Association says people should not fear going to pubs, clubs and restaurants and is urging people to support businesses by showing up.
AHA boss Ian Horne said the already-struggling industry will be crippled even further – and some businesses won’t survive – as a result of the new rules.