Commonwealth Numbered Regulations - Explanatory Statements

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TRAINING GUARANTEE (ADMINISTRATION) REGULATION (AMENDMENT) 1993 NO. 252

EXPLANATORY STATEMENT

STATUTORY RULES 1993 No. 252

Issued by the authority of the Minister for Schools, Vocational Education and Training

Training Guarantee (Administration) Act 1990

Training Guarantee (Administration) Regulation (Amendment)

Legislative Authority

1.       The Training Guarantee (Administration) Act 1990 (the Act) and the Training Guarantee Act 1990 provide the legislative authority for the Training Guarantee Scheme (the Scheme), under which, as from 1 July 1990, employers with an annual national payroll of $200,000 or more (increased to $226,000 from 1 July 1993) are required to spend a minimum amount on eligible training activities. This amount is the equivalent of 1 per cent of payroll in each of the first two years of the Scheme, rising to 1.5 per cent from 1 July 1992. The annual national payroll threshold is indexed annually in line with full-time adult average weekly earnings.

2.       The Commissioner of Taxation has the general administration of the Act.

3.       Section 102 of the Act provides that the Governor-General may make regulations for the purposes of the Act.

Regulations

4.       Subsection 4A(1) of the Act provides that if, under the regulations, a person is taken to be covered by a recognised alternative training levy scheme, that person is not an employee for Training Guarantee purposes. Employers of such persons have no Training Guarantee obligation based on the salary or wages of those persons.

5.       Subsection 4A(2) of the Act enables regulations to be made empowering the Minister for Employment, Education and Training to recognise alternative training levy schemes and their coverage.

6.       The proposed Regulations specify the coverage of recognised alternative training levy schemes and make provision for the Minister to make decisions about conditions which must be satisfied for a particular scheme to qualify for recognised alternative training levy scheme status, and decisions on the status of particular schemes.

Commencement

7.       The proposed Regulations are taken to have commenced on 1 July 1992.

8.       The proposed Regulations will not affect the rights of any person (other than the Commonwealth) in a manner prejudicial to that person, nor will they impose any liability on such a person. They are, therefore, in accord with subsection 48(2) of the Acts Interpretation Act 1901.


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