Kickstart initiative to address trade shortage

The federal government has launched a multimillion-dollar incentive program in a bid to address a looming labour shortage across the country.

The $57.5 million Kickstart initiative offers monetary incentives to employers who take on construction trade apprentices.

Announcing the program this week (December 4), minister for skills Chris Evans said the initiative aims to launch an additional 21,000 people into the construction workforce.

"The need for skilled tradespeople in the housing sector will continue to grow and it is important we start training Australians in those skills now," Mr Evans explained.

"Kickstart is about delivering the right skills, in the right areas, at the right time."

Under the new scheme, employers will receive an additional $3,350 when they take on a new apprentice between now and February 28, as well the $1,500 commencement payment.

A looming shortage in the West Australian residential construction sector fuelled the initiative, after the state's peak industry body warned build time for new homes could blow out to almost one year.

The Kickstart bonus can also be used to employ Year 12 students who have recently finished their schooling education - widening the talent pool as a result, the minister explained.