The federal government said the Kickstart program would initially focus on the construction industry, particularly in trades experiencing a decline in start-ups.

Up to 21,000 plumbers, electricians, carpenters and other construction tradespeople would be recruited under the reforms, it said.

Minister for Skills Chris Evans said the scheme increased the support to an apprentice in these traditional trades from $9500 to $12,850.

He said with conditions in the housing sector set to improve into 2014 and 2015, the demand for construction skills would grow "and it is important that we start training Australians in those skills now".

Meanwhile, support for employers of apprentices aged 25 years and over has been restructured.

The existing structure of weekly payments of $150 to employers in the first year of an adult apprenticeship and $100 in the second year will be replaced with a one-off bonus payment of $4000.

Employees aged 25 years and over paid under the national minimum wage will continue to receive $13,000 in additional direct support over two years.