14th Jul 2014, 8:37 PM – Senate Trade Support Loans Bill 2014, Trade Support Loans (Consequential Amendments) Bill 2014 - Second Reading - Agree to the main idea (with two provisos)

The majority agreed with the bills' main idea (in parliamentary jargon, they wanted to read the bills for a second time) but with two provisos - one introduced by Labor Senator Kim Carr and one introduced by Labor Senator Sue Lines.

Senator Kim Carr's proviso

Senator Carr proposed to add the following proviso, which was agreed to by the Senate:

At the end of the motion [to agree to the main idea of the bills], add:

but the Senate notes that the Government has failed to:

(a) advise apprentices before the election that they would be abolishing the Tools for Your Trade program, thus leaving Trade Support Loans as the only form of assistance for the purchase of tools;

(b) adequately ensure that clear and easily understood explanations of the loan, the indexing and the repayment requirements are provided to all apprentices in a consistent format, in particular for school-based apprentices;

(c) put in place adequate privacy protections for the large volumes of information that will be acquired through the Trade Support Loans Program; and

(d) offer:

(i) fair and reasonable transition arrangements for current apprentices; and

(ii) apprentices the option of lump sum payments in order to purchase expensive items.

Senator Sue Lines' proviso

Senator Lines proposed to add the following proviso, which was also agreed to by the Senate:

At the end of the motion [to agree to the main idea of the bills], add:

but the Senate calls on the government to determine a method for achieving parental/guardian approval for apprentices under 18 years of age, in particular school based apprentices, at the point of signing up for loan amounts.

Main idea of the bills

The bills create the Trade Support Loans Programme that will give apprentices access to a $20,000 loan, like the loans already available for university students under HECS.

Background to the bills

Prime Minister Tony Abbott promised to create this new loan programme during the 2013 election campaign.