THE HON STEPHEN JONES MP

ASSISTANT TREASURER

MINISTER FOR FINANCIAL SERVICES

MEMBER FOR WHITLAM

ALISON BYRNES MP

MEMBER FOR CUNNINGHAM

MEDIA RELEASE

The Albanese Government will establish a Commonwealth Prac Payment to support students undertaking mandatory work placements required for university and vocational education and training qualifications.

The new payment will be for eligible teaching, nursing, midwifery and social work students in the Illawarra and Southern Highlands.

The payment will provide around 68,000 eligible higher education students and over 5,000 VET students each year with $319.50 per week during their clinical and professional placement periods.

Benchmarked to the single Austudy per week rate, this payment will provide cost-of-living relief for many students. It will be means-tested and available from 1 July 2025 and will be in addition to any income support a student may also receive.

The Government will work with the higher education and vocational education sectors to introduce and deliver this new support.

The introduction of this payment acts on the advice of the Universities Accord and the Women’s Economic Equality Taskforce.

Paid placements will help ease the care and teaching workforce skills shortages identified in the Government’s Employment White Paper and assist more students to commence and complete their studies.

With the majority of students and workers in these critical care fields being women, the payment also helps implement the Government’s gender equality strategy, Working for Women. The payment will also help support the pipeline of social workers available to support those affected by family, domestic and sexual violence.

This is part of the first stage of reforms the Albanese Government will implement in response to the Universities Accord and builds on our reforms to make the HELP system fairer.

Quotes attributable to Member for Whitlam Stephen Jones:

“Our government is providing much-needed cost-of-living support for students in the Illawarra and Southern Highlands as part of our responsible Budget.

“Many studying these courses undertake unpaid, mandatory placements. That’s why we’re encouraging people to study to become teachers, nurses and social workers with this financial support.”

Quotes attributable to Member for Cunningham Alison Byrnes:

“It is no secret that the Illawarra needs more local teachers, nurses, social workers and midwives, after years of skills shortages across the region.

“Making sure our students can afford to complete their training here at home whilst studying at our world class University of Wollongong is a major win for our region.

“It will allow us to better retain our workforce whilst encouraging more workers to upskill or change professions to high need areas without being financially penalised."

Quotes attributable to Minister for Education Jason Clare:

“This will give people who have signed up to do some of the most important jobs in this country a bit of extra help to get the qualifications they need. 

“Placement poverty is a real thing. I have met students who told me they can afford to go to uni, but they can’t afford to do the prac.

“Some students say prac means they have to give up their part-time job, and that they don’t have the money to pay the bills.

“This is practical support for practical training.”

Quotes attributable to Minister for Skills and Training Brendan O’Connor:

"This Prac payment is in addition to the Government's investment in Fee-Free TAFE which is supporting thousands to gain Division 2 nursing qualifications and helping to address skills shortages in aged and health care. 

"This is an additional payment to support nursing TAFE students who have extra costs such as uniforms, travel, temporary accommodation or child care, during mandatory clinical placements.

"We are making it more accessible for people right across the country for people to get the skills they need to attain jobs in areas of high demand."

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