But the NSW Teachers Federation say there was little to celebrate from the government offering 100,000 free apprenticeships as part of its new $285 million skills and training package.

NSWTF president Maurie Mulheron said the move assists businesses more than students.

“The announcement by Minister John Barilaro shows this government has little understanding of TAFE NSW,” he said.

“Most apprentices have their TAFE fees paid by the employer, so this is more money going into the hands of businesses, not assistance to students who are struggling to get into the workforce.”

Mr Mulheron said TAFE should be providing more pre-apprenticeship programs to help get young people into the workforce but funding for such programs had been cut by the NSW government in 2015.

NSWTF deputy secretary Maxine Sharkey called on the government to “guarantee a minimum 70 per cent government funding directly to TAFE, restore TAFE funding to at least 2012 levels and reinvest in the TAFE teaching workforce”.

But the Illawarra Business Chamber said the government covering the cost of coursework for apprentices will help address skills shortages being faced by business.

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“This is welcome news to businesses across the Illawarra, who are finding it difficult to find workers with the skills needed for the vacant jobs that they have,” IBC executive director Adam Zarth said.

“In the Illawarra, we have significant skills shortages in hospitality, civil construction, mechanical and building trades; including carpenters, plumbers and electricians.

“Removing the cost and effectively making coursework cost-neutral for apprentices and employers from July this year is a step in the right direction by this government and we trust will contribute to an uptake in apprenticeships across the Illawarra.”