Construction employs more apprentices than any other sector in Australia. New data from the Fair Work Ombudsman is a reminder that keeping that pipeline strong starts with getting the basics right.

Ask any builder what they need more of right now and the answer is usually the same.

Skilled workers. Trained tradespeople. People who know what they are doing and want to build a career in the industry.

The apprenticeship pipeline is supposed to be the answer to that. And in many ways it is. Construction employs 35 per cent of Australia’s apprentices and trainees, more than any other sector. Thousands of builders and contractors are investing time and money into training the next generation of tradespeople every single day.

That investment matters. And it deserves to be protected.

New data from the Fair Work Ombudsman (FWO) is a useful prompt for any builder who employs apprentices to take a closer look at how their payroll and entitlements are being managed. Not as an accusation. As a practical checklist.

What the FWO Data Shows

In the 15 months to 31 March 2026, the FWO completed 76 investigations into employers of building and construction apprentices where a determination could be made. Across those investigations, 68 per cent were found to be non-compliant with workplace laws.

The regulator recovered more than $750,000 in back-payments for apprentices and trainees across that period, including $415,943 through formal investigations and $342,119 through dispute resolution.

The most common issues were not complex. They were foundational. Hourly rates not matching the Award. Overtime miscalculated or unpaid. Annual leave entitlements missed. Wages not paid for all time worked. Training costs not reimbursed.

These are the kinds of errors that often come from a payroll setup that was not checked carefully when the apprenticeship started and has not been reviewed since.

The most common issues were not complex. Hourly rates not matching the Award. Overtime miscalculated. Training costs not reimbursed. These are things builders can check and fix before a compliance notice arrives.

Why Apprentices Are Particularly Vulnerable

The FWO has prioritised building and construction apprentices because of where they sit in the employment relationship.

They are typically young and early in their career. They may not know exactly what they are entitled to. They depend on their employer not just for income but for their qualification pathway. Raising a concern about pay can feel like putting that pathway at risk.

That dynamic means problems can go unreported for a long time. And when they do surface, they often involve back-pay that has compounded across months or years.

It is not a situation any builder wants to find themselves in. And for the vast majority who are doing the right thing, a straightforward audit of their apprentice payroll is all it takes to confirm that.

The Consequences When Things Go Wrong

When the FWO does identify non-compliance, the consequences have become more significant.

Between January 2025 and March 2026, the regulator secured more than $101,500 in court-ordered penalties against employers in the sector. One case involving a Canberra electrical contracting business and its director resulted in $73,242 in penalties, plus back-pay, interest, and superannuation for two workers including an 18-year-old apprentice.

The FWO also issued more than $8,000 in fines for record-keeping and payslip breaches in the same period.

In at least one case, the consequences went further. Following FWO court proceedings, the Victorian Registration and Qualifications Authority revoked a builder’s approval to employ apprentices entirely.

That is the outcome no builder wants. Not the fine. Not the back-pay. The loss of the ability to bring apprentices on at all.

A Practical Checklist for Builders

The Building and Construction General On-site Award covers the entitlements of most apprentices in the sector. If you employ apprentices, the following is worth checking now rather than waiting for an issue to arise.

• Hourly rates match the Award for each year of apprenticeship, including any recent rate increases
• Overtime is being calculated and paid correctly when applicable
• Annual leave is accruing at the correct rate and entitlements are being applied properly
• Wages are being paid for all time worked, including any travel or site preparation time that may be covered
• Training costs are being reimbursed where required under the Award
• Pay slips are being issued correctly and records are being kept in line with requirements

If you are unsure about any of these, the FWO offers free tools and advisory services specifically for building and construction employers. The Infoline is 13 13 94. There is also a dedicated section on the FWO website covering building and construction apprentices and their employers, including on-demand webinars.

The Bigger Picture

The builders who invest properly in their apprentices, pay them correctly, give them structured development, and treat the employment relationship seriously, are the ones who benefit most from the pipeline.

They retain people. They build reputation as an employer worth working for. They attract the next intake because word gets around.

In a tight labour market, that is a genuine competitive advantage.

The FWO data is a system-wide signal worth paying attention to. For builders already doing the right thing, it is a prompt to document that properly. For anyone unsure, it is a reason to check now.

The industry needs more apprentices. Protecting the ones already in it is where that starts.

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General information only. This article does not constitute legal or employment advice. Employers should seek independent advice regarding their specific obligations under applicable awards and workplace laws.

Author: TGB Editorial