The manufacturing sector is entering a period of rapid change, and employers are feeling both the pressure and the opportunity that comes with this transition. The Manufacturing Industry Skills Alliance’s Better Manufacturing Apprenticeship Outcomes report was developed to provide a clear, evidence-based picture of how well the apprenticeship system is working for manufacturing and what needs to change to ensure employers can build and keep the skilled workforce they need.
Drawing on NCVER data, ABS analysis and consultations with more than 100 apprentices, employers, training organisations and governments, the report highlights both strengths and persistent challenges in apprentice attraction, retention and completion.
Using a new approach focusing on individuals rather than training contracts, the data shows that manufacturing apprenticeship completion rates are comparatively strong, averaging 60% for apprentices who commenced in 2019. Yet outcomes vary widely across the sector, with completion rates ranging from just 34% in some training packages to nearly 80% in others.
Employers consistently reported that the biggest factor influencing whether an apprentice completes is the quality of their on-the-job experience. Strong supervision, appropriate mentoring, and exposure to a range of work aligned with the training plan are critical. Many apprentices described situations where repetitive tasks, limited supervision or inconsistent mentoring caused disengagement. Employers, particularly smaller businesses, reported that while they are committed to training, they often lack the resources and managerial capacity to provide the level of oversight apprentices need to thrive.
The report also identifies systemic issues that impact retention. Apprentices who lack a clear understanding of what manufacturing work involves are more likely to drop out early, making pre-apprenticeship programs and taster courses valuable tools for improving readiness.
Recommendations emerging from the report include strengthening supervisor capability through better targeted training, improving employer education around training obligations, enhancing wraparound support for priority cohorts, expanding access to pre-apprenticeships, refreshing information about manufacturing career pathways, and exploring dual qualification models to create stronger long-term career outcomes.
You can access a copy of the report via the Manufacturing Industry Skills Alliance website here.
The Centre for Education and Training welcomes your views on the report, especially if you’re in manufacturing, via email CET@australianindustrygroup.com.au
