A new government subsidy will pay employers up to $16,000 for every new apprentice they train.
From August the Apprenticeship Boost will pay businesses a $1000 a month for each apprentice in their first year of training, and $500 a month for apprentices in their second year.
The Education Minister Chris Hipkins says the $390 million Apprenticeship Boost will run for 20 months and is trying to avoid a skills shortage when the economy recovers.