Paid to learn: Nurses receive major prac placement support
Published on 7 May 2024
Nursing students have received a major windfall after the Federal Government announced a Commonwealth Prac Payment for students on clinical and professional placements.
The Australian Nursing and Midwifery (ANMF) labelled the payment a “big win”, with teaching and social work students also eligible to receive it.
Key points
- The Commonwealth Prac Payment (CPP) will help students manage costs associated with undertaking a mandatory placement as part of their higher education course in teaching, nursing and midwifery or social work; and nursing in vocational education and training (VET) courses
- Eligible students will be able to access $319.50 per week from July 2025 while they’re undertaking a placement with the rate benchmarked to the single Austudy rate
- It will also be means-tested to support students who need it the most, with program guidelines to be developed over the coming months
ANMF Federal Secretary Annie Butler said the $319.50 weekly payment recognises the financial and social pressures student nurses and midwives face while completing their studies and completing mandatory clinical placements, for those studying to become registered nurses, which includes a minimum of 800 hours in placements.
“The ANMF has long advocated for paid support for students undertaking mandatory clinical placements, which is why this is a big win for our student nurses and midwives,” Ms Butler said.
“Whilst on placement, students not only lose their income from their usual paid work, but are then forced to pay for a range of other out-of-pocket costs, such as travel and tolls, finding an affordable rental property, parking, childcare, uniforms and other accessories needed for their mandatory training.”
“It’s a huge financial and social burden on them to complete their nursing and midwifery course at a time when the cost-of-living pressures continue to grow.”
Ms Butler said there has been an increasing number of students dropping out of courses, coinciding with a rise in demand for Registered Nurses across aged care and healthcare settings.
Her disappointment at losing future nurses and midwives because they could not afford to complete their course was evident.
“This new payment will help alleviate these costs and better support students who need to complete their clinical placements before starting their career. Alleviating financial burdens will also encourage more students into the nursing and midwifery workforce – supporting them through their, often, challenging courses,” she added.
“The ANMF has been making the case for clinical placement reform as a platform to address workforce retention and recruitment and we commend the Albanese Government for helping the nurses and midwives of tomorrow.”
The CPP is the second big win for nursing students – and in fact anyone with a student loan – in two days after the Government said it would alter the indexation arrangements for student loans.
HELP/HECS debts will be reduced after the Government announced the annual indexation rate will be calculated on whichever figure is lower out of the Consumer Price Index (CPI_ and the Wage Price Index (WPI).
The current system is based on the CPI which saw a 30-year-high increase of 7.1% in student loans last year and it was expected to increase again by almost 5% this year.
Instead, almost $3 billion in student debt will be wiped as the change is backdated to last year, benefiting over three million people.
The announcements will give nursing students far more short-term and long-term financial security.
“This will give people who have signed up to do some of the most important jobs in this country a bit of extra help to get the qualifications they need,” Education Minister Jason Clare said.
“Placement poverty is a real thing. I have met students who told me they can afford to go to uni, but they can’t afford to do the prac. Some students say prac means they have to give up their part-time job, and that they don’t have the money to pay the bills.”