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Labor's Andrew Giles to shake up apprenticeships in skills system overhaul

The skills and training minister says urgent labour gaps in clean energy, defence and digital demand a full rethink of how Australia trains its workforce.

Andrew Giles says overhauling the apprenticeship incentive scheme will be a major focus over the next year. AAP/Darren England.

Skills and Training Minister Andrew Giles has flagged a major overhaul of apprenticeship incentives as the Albanese government begins its second term focused on plugging labour shortages across energy, advanced manufacturing, construction, defence and digital sectors.

This week, the government tasked the Productivity Commission with five new inquiries aimed at boosting productivity in key areas including data and digital technology, and the transition of the energy grid to net zero emissions.

In an interview with Capital Brief, Giles said he would soon ramp up consultations with industry and unions to overhaul the apprenticeship incentive regime — a key recommendation of the strategic review led last year by former education secretary Lisa Paul and former Federal Court judge Iain Ross.

That review called for significant changes to the incentive system to better meet business needs, remove duplication by recognising prior learning, and bridge the disconnect between tertiary and VET education.