The Better Manufacturing Apprenticeship Outcomes report published by the Manufacturing Industry Skills Alliance (the Jobs and Skills Council for Manufacturing) presents the first dedicated, sector-wide examination of apprenticeship completions across the manufacturing industry, using both customised NCVER data analysis with a literature review and consultation with 111 stakeholders, including 43 apprentices, across all states and territories.

The study used a nuanced apprenticeship-level completion calculation, which consolidated multiple contracts into a single apprenticeship record. That meant that when apprentices moved from one employer to another (and hence needed a new apprenticeship contract) they were recognised as continuing with their studies and not as a non-completion. This produced more accurate and generally higher completion rates than the usual methodology focussing on contract completions, and in doing so provides a clearer picture of actual apprentice journeys.

For the 11,960 manufacturing apprentices and trainees who commenced in 2019, the overall completion rate was 60 percent, slightly higher than building and construction (58%) and mining/automotive (58%), and only slightly below energy and utilities (67%). However, the 60 percent overall completion rate hides substantial variation by training package:

  • Chemical, Hydrocarbons and Refining (79% completion rate)
  • Aeroskills (76%)
  • Laboratory Operations (67%)
  • Manufacturing and Engineering (MEM) (65%)
  • Printing and Graphic Arts (54%)
  • Food, Beverage and Pharmaceuticals (45%)
  • Plastics, Rubber and Cablemaking (43%)
  • Sustainability (37%)
  • Manufacturing (MSM) (34%)

The report also makes clear that employment-related reasons drive non-completion, with 70 percent of non-completers citing employment-related factors as their primary reason for withdrawal, compared with only 8 percent citing training-related reasons. The evidence strongly suggests that workplace culture, supervision quality, wages, and job fit outweigh any dissatisfaction with formal off-the-job training as drivers of attrition. Although misalignment between training plans and workplace tasks, including repetitive, narrow work also impacts motivation and skill development

Demographic patterns show significant differences with younger apprentices (15–19 years) having completion rates which are higher (63%), than for apprentices and trainees aged 20 and over (57%). Women represented just 14 percent of commencements — a higher share than in other comparable male-dominated industries, but they had an average completion rate of 54 percent, approximately six percentage points below men.

For other under-represented cohorts the figures are more stark:

  • First Nations apprentices accounted for 6.3 percent of commencements with a completion rate of 52 percent
  • Apprentices with disability comprised 3.9 percent of all commencements and had a completion rate of 56 percent; and
  • Apprentices from culturally and linguistically diverse backgrounds represented 8.9 percent of commencements, with a completion rate of approximately just 50 percent.

Notably, apprentices who changed employer during their apprenticeship had a significantly higher completion rate (73%) than those who did not (57%). This suggests that mobility within the system can improve retention when supported appropriately.

Regionally based apprentices recorded higher completion rates (65% in outer regional and remote areas) than those in major cities (57%), likely reflecting stronger community ties and clearer occupational expectations.

The report makes seven recommendations to improve apprenticeship completions:

  • Improve the on-the-job experience by:
    1. Review and promote existing supervisor training and encourage face-to-face training methods.
    2. Use data to develop/shape education strategies to support employers to understand their role in improving apprenticeship outcomes.
    3. Enhance targeted support eg mentoring for priority cohorts and look at strategies to identify and support ‘at risk’ apprentices.
  • Set clear expectations of manufacturing work:
    1. Promote pre-apprenticeship programs to enhance industry exposure for apprentices.
    2. Review promotional materials on manufacturing careers.
    3. Explore dual and higher degree apprenticeships – to meet evolving industry needs.
  • Financial incentives for apprentices and employers
    1. Reforms to financial incentives to encourage apprenticeship completion, ensure greater consistency in incentives (eg tools for trade), and advertise existing incentives more widely.