$2.4bn economic boost as government cuts red tape for tradies

The federal government has announced it will cut red tape to allow a uniform scheme for automatic mutual recognition (AMR) of state and territory-based occupational licences and registrations.

Under the new reform, builders, electricians, plumbers, architects, and other workers who hold an occupational licence in their home state or territory, and wish to work in another state or territory, will automatically deemed to have the necessary licence. There will be no extra fees.

More than 124,000 currently working across borders will benefit from the reform, as well as another projected 44,000 workers following the reform on July 1.

In a statement, Treasurer Josh Frydenberg said a uniform scheme means businesses can operate more seamlessly across Australia. It is also expected to help create jobs, increase competition and input, and lower prices for consumers.

About 20 per cent of workers required to be licensed. The current mutual recognitions regime for licensed occupations is complex, costly and deemed a regulatory burden for businesses operating across different jurisdictions.

The National Cabinet endorsed a uniform national AMR scheme in November 2020, and an agreement was signed  by the Prime Minister, State Premiers and the Northern Territory Chief Minister at the end of last year to establish and implement the scheme.

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