Australia’s student nurses and midwives are one step closer to receiving financial support during their mandatory clinical placements, thanks to new legislation introduced this morning.

Education Minister Jason Clare tabled the Universities Accord (Student Support and Other Measures) Bill 2024 into Federal Parliament, paving the way for the ‘Prac Payment’ measure to help alleviate widespread ‘placement poverty’ faced by students.

If passed, undergraduate nursing and midwifery students and diploma of nursing students will be paid $319.50 per week while undertaking their minimum 800 hours of clinical placements. It will be means-tested and available from 1 July 2025, in addition to any income support a student may also receive.

The measure was developed following extensive consultations with key stakeholders including students, unions, and education providers, who consistently highlighted the urgent need to address cost-of-living pressures impacting the pipeline of graduates entering the workforce in critical sectors such as nursing, teaching, and social work.

“It’s been made clear to me by a lot of students that when you do your prac, it can often be very, very hard to pay the bills, to do your part-time job,” Minister Clare said at a press conference in Canberra announcing the plans.

“Sometimes it means you have to move out of home to another place to do that prac. It means that a number of students either have to delay their degree or never finish it at all.”

The ANMF, which has long campaigned for financial support for nursing and midwifery students undertaking mandatory clinical placement training, welcomed the new legislation, saying it will help many struggling with ‘placement poverty’ complete their studies.

“Placement poverty is a real problem for students, who are finding it increasingly difficult to finish their education, in the midst a cost-of-living crisis,” ANMF Federal Secretary Annie Butler said.

“They lose their income from their regular paid jobs, and then need to pay out for a whole range of other costs, such as travel and tolls, finding an affordable rental property close to where they’re training, parking, childcare, uniforms and other clinical tools they need for their practical training.”

“We know it’s a huge financial and social burden on them and it has resulted in increasing numbers of students failing to complete their training and walking-away from the profession. That’s why these new payments will greatly support students who need to complete their clinical placements and also encourage a new generation of students into nursing and midwifery at a time of chronic workforce shortages across the country.”