The Baird Government Budget handed down today will deepen the State's social deficit and fails to use the current infrastructure roll out to generate local jobs and skills, Unions NSW has warned.

The trade union movement is disappointed to see little movement on government procurement or apprentice ratios - potentially key drivers of jobs and skills growth in employment-starved regions.

"Bluescope Steel had a near death experience in the Illawarra just last year. Yet despite new infrastructure spending, there is no requirement to use Australian steel and support local manufacturing. This is a huge missed opportunity,” said Mark Morey, Secretary of Unions NSW.

“It’s deeply disappointing that nothing has been done with apprentices. A ratio of one apprentice to every four tradespeople on major NSW infrastructure projects could create a skills dividend to benefit the State economy for decades.”

The Budget fails to provide any measures to ease the State's housing affordability crisis, a key priority for working people in NSW.

"The Government is happy to rake in the revenue from its stamp duty bonanza but has shown no initiative in encouraging affordable housing in new developments.”

Despite enjoying a temporary windfall from the proceeds of electricity privatisation, investment in two key areas, education and health, fails to keep pace with growth in demand.

The Budget papers reveal that health spending will grow only five percent, despite independent think tanks such as the Grattan Institute making clear that investment should be at least seven per cent to keep pace with demand.

The Budget also fails to make provision for a deep shortfall in federal funding from 2017-18, as cuts of $25 billion take deep effect.

"Education and health are the building blocks of middle class prosperity in NSW. This budget fails to provide the investment needed to give our kids the numeracy, literacy and skills they need in a more competitive world," Mr Morey said.

"Health spending also fails to keep pace with demand. This budget will see longer waits in emergency rooms and lengthier ambulance response times."

Community services also suffer, with limited initiatives that go nowhere near making up for the savagery of federal budget cuts.

"This is a Budget characterised by ideology and favours to big business, with a surplus built on one-off asset sales. NSW deserves much better."

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