VET

SECTOR
The Official Magazine from
COMPLIANCE AND QUALITY ASSURANCE (CAQA)

30th Edition
THE VET SECTOR | CAQA - Compliance & Quality Assurance

ANNA’S
MESSAGE
W ith this edition of our monthly newsletter THE VET Sector, we will discuss the
most recent changes to the Financial Viability and Risk Assessment (FVRA) and its
impact on training organisations, the best strategies for remaining financially viable,
and other important news and updates related to vocational education and training,
among other topics.

We’re very interested in hearing how you’ve been getting along during this lockdown
period.

What strategies did you put in place to ensure your financial viability?
What are your thoughts on the most recent developments in the Vocational
Education and Training Sector?
In order to discuss anything relevant to the VET Sector with us or to request that we include
a particular issue in one of our future newsletters, please send us your comments and
feedback through email to info@caqa.com.au.

Regards,

General Manager
Career Calling International

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 30TH EDITION

COVID-19 and changes in the

FINANCIAL
VIABILITY AND
RISK ASSESSMENT
(FVRA)

I t poses significant challenges for RTOs to continue to provide high-quality training

and ensure that students complete their courses during periods of lockdown and
restrictions. The commercial prospects of many RTOs have been adversely harmed by
the quarantine at home and travel restrictions implemented here and overseas. Under
these circumstances, RTOs are under a great deal
of pressure to meet the standards of the financial
viability risk assessment (FVRA).

The market research for any courses you may be

considering to offer will need to be conducted in a
different manner than it has previously been done.
Furthermore, a COVID-like scenario will have to be
taken into consideration as part of your plan.

The Financial Viability and Risk Assessment (FVRA) is a method used by ASQA to
determine if an applicant who wants to register an RTO or an existing RTO has the
financial capability to provide quality training and outcomes for learners.

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According to the FVRA, the following circumstances for an RTO would be regarded as
“viable” if they occur:
• There is sufficient financial capacity for the business to acquire the necessary assets
and physical resources to meet all of its registration requirements during the RTO
registration period.
• The organisation has the financial resources to engage qualified staff to handle both
the administration and the teaching of the courses where the students have been
enrolled.
• Students can still benefit from the services offered by the organisation.
• The organisation can run on a continual basis to ensure that each student completes
the course they enrol in.
• Even in an uncertain climate, the organisation is able to meet the aforementioned
requirements.

The Financial Viability Risk Assessment (FVRA) tool, developed by ASQA, has undergone
a number of updates. Financial Viability Risk Assessment Requirements 2011 is
scheduled to sunset in October 2021. The National Vocational Education and Training
Regulator’s (Financial Viability Risk Assessment Requirements) Instrument 2021 is
now in force. It has been decided to make these adjustments in order to examine
an institution’s financial viability to continue operating in the event of unforeseen
situations.

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 30TH EDITION

THE LATEST COPY OF THE LEGISLATION CAN BE FOUND AT HERE;

In short, the changes are:

PART 3 AUTHORITY
The insertion of ‘Authority’ in order to indicate the parent law. This instrument is made
under subsection 158(1) of the National Vocational Education and Training Regulator
Act 2011.

PART 4
In this section, definitions have been clarified in a detailed manner.

PART 6 INTENT
(1) The National VET Regulator requires an NVR registered training organisation to
demonstrate its financial viability at any point in time, upon request.
(2) The assessment of an organisation’s financial viability risk is directed at evaluating
the likelihood of its business continuity, and its capacity to achieve quality outcomes.
In particular, the assessment informs a judgement about whether the organisation
has the financial resources necessary to:
(a) acquire the requisite assets and physical resources to deliver all qualifications on
its scope of registration
(b) employ sufficient appropriately qualified staff to cover the courses for which it
takes enrolments
(c) provide appropriate levels of student services to students
(d) remain in business to ensure that each student can achieve completion
(e) meet the above requirements, even in an unsure environment.
In essence, the legislation states that an RTO must be able to demonstrate its financial
viability at any moment, independent of what is happening in the real world.

PART 8 OBLIGATION TO SUBMIT TO ASSESSMENT AT ANY TIME

Section 8 of the new legislation includes requirements for auditing, which are
described below.
(1) An NVR registered training organisation must submit to an assessment of financial
viability risk by a qualified independent financial auditor nominated by the National
VET Regulator at other times during the registration period as determined by the
National VET Regulator in accordance with the Risk Assessment Framework.
(2) The obligation to submit to the assessment referred to in (1) also applies to parent
organisations, affiliated companies or organisations that have a vested interest in
the organisation.

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THE VET SECTOR | CAQA - Compliance & Quality Assurance

THE TOP 10 KEY TAKEAWAYS

So, what are the top 10 key takeaways from the most
recent legislative changes?:
1. Concentrate on marketing and establishing your
organisation as a successful venture.
2. Prepare a comprehensive risk management plan, with
particular attention paid to dealing with unforeseen
scenarios (such as COVID-19).
3. Make certain that the figures and estimates you report
are correct.
4. It is recommended that providers who are coming out of
hibernation engage lawyers and RTO consultants such as
CAQA before applying to return to regular status.
5. Concentrate on how your organisation may use digital
learning and offer courses online.
6. Ongoing evaluation of your business plan and financial
viability risk assessment should be a top priority (at least
once on an annual basis)
7. Have detailed policies, plans and processes in place to
handle financial resources in the event of unforeseen
events
8. Include additional “reserve funds” to provide as a
financial buffer in the event of unforeseen scenarios such
as COVID-19.
9. Pay close attention to liquidity and break-even, and
whether or not your RTO can manage the cash flow
necessary to pay outgoings, tax debt, and other fixed
financial obligations especially in the event of unforeseen
scenarios..
10. Note that the FVRA tool must be developed and
approved by a certified accountant before it can be used.

Confused? Need advice?

Email info@caqa.com.au or call us on 1300 266 160

6
 30TH EDITION

RTO SURVEY:
Mandatory Work Requirements for Certificate III in
Individual Support

T he Human Services Skills Organisation is conducting a survey about Mandatory

Work Placement for students completing the Certificate III in Individual Support. RTOs
delivering this qualification are encouraged to share their feedback to address their
experiences in accessing the mandatory work placements.

Read more https://scdata.com.au/submissions?token=uqR

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THE VET SECTOR | CAQA - Compliance & Quality Assurance

SOME ESOS
COURSES
are no longer required to be registered with CRICOS.

I t is now allowed for registered training providers to offer certain supplementary

courses to international students without having those courses listed on the
Commonwealth Register of Institutions and Courses for Overseas Students (CRICOS).

The Education Services for Overseas Students (Exempt Courses) Instrument 2021, which
exempts some supplementary courses from the ESOS Act, took effect on June 29, 2021.
The legislative instrument can be found at https://www.legislation.gov.au/Details/
F2021L00877

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 30TH EDITION

The instrument allows non-CRICOS registered providers to deliver ESOS-exempt

courses to international students, provided that the provider meets all of the domestic
RTO standards and requirements for registration and delivery of the courses.

According to a press release from the Department of Education, Skills and

Employment (DESE), the instrument will make it easier for international students to
enrol in a variety of supplementary courses, such as hobby and recreational courses,
as well as other short courses that may be required for employment while studying
in Australia or working here now. These are low-cost and short in duration, and they
allow international students to obtain pre-requisite industry qualifications to enrich
their Australian experience while also improving their skills, increasing the likelihood
of them finding work in a wider range of fields and reducing the likelihood of them
being exploited at their place of employment (also known as workplace exploitation).
Supplementary courses can be taken by students in addition to their major, CRICOS-
registered course at the training organisation. Students will not be eligible to apply
for a student visa solely on the basis of their enrolment in a course or courses that
are exempted from the requirement. First aid, infection control, construction white
cards, and responsible service of alcoholic beverages are among the courses that are
excluded from the requirement.

Prior to the implementation of these changes to the definition, of course, the additional
administrative and financial investment required to maintain CRICOS registration
meant that only a small number of providers offered these courses to international
students, limiting students’ access to training for employment in industries such as
hospitality, health care, and construction, among others.

These reforms will allow education providers to more easily enter the market and offer
a broader range of supplementary courses to international students, as well as assist
Australian businesses in filling short-term skill shortages in order to deliver critically
important goods and services to the international community.

MySkills.gov.au allows students to search for training providers who provide a specific
course by entering a specific training course code, title, occupations or a specific
delivery location.

The Department of Education,

Skills and Employment (DESE), the
instrument will make it easier for
international students to enrol in a
variety of supplementary courses, such
as hobby and recreational courses, as
well as other short courses that may be
required for employment while studying
in Australia or working here now.

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THE VET SECTOR | CAQA - Compliance & Quality Assurance

LIST OF EXEMPTED UNITS OF COMPETENCY

AND QUALIFICATIONS

UNITS OF COMPETENCY
The following units of competency and any unit identified in the
National Register referred to in section 216 of the National Vocational
and Training Regulator Act 2011 as a later version of, or a superseding
unit of the following units, are specified:

AHCCHM304 Transport and store chemicals

AHCCHM307 Prepare and apply chemicals to control pest, weeds
and diseases
HLTAID009 Provide cardiopulmonary resuscitation
HLTAID010 Provide basic emergency life support
HLTAID011 Provide First Aid
HLTAID012 Provide First Aid in an education and care setting
HLTAID013 Provide First Aid in remote or isolated site
HLTAID014 Provide Advanced First Aid
HLTAID015 Provide advanced resuscitation and oxygen therapy
HLTAID016 Manage first aid services and resources
HLTINFCOV001 Comply with infection prevention and control policies
and procedures
HLTINF001 Comply with infection prevention and control policies and
procedures
BSBWHS332X Apply infection prevention and control procedures to
own work activities
SITHFAB002 Provide responsible service of alcohol
HLTWHS005 Conduct manual tasks safely
SITHGAM001 Provide responsible gambling services
SITXFSA001 Use hygienic practices for food safety
SITXFSA002 Participate in safe food handling practices
CPCCWHS1001 Prepare to work safely in the construction industry
SITHFAB005 Prepare and serve espresso coffee
TLILIC0003 Licence to operate a forklift truck

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VET COURSES
The following VET courses and any courses identified in the National
Register referred to in section 216 of the National Vocational and
Training Regulator Act 2011 as a later version of, or a superseding
course of the following courses, are specified:

22556VIC Course in the Management of Asthma Risks and

Emergencies in the Workplace
22578VIC Course in First Aid Management of Anaphylaxis

Need clarification or advice?

Email info@caqa.com.au or call us on 1300 266 160

11
THE VET SECTOR | CAQA - Compliance & Quality Assurance

The Covid-19
surge in Australia
is threatening plans for student return.

T he state government of New South Wales has placed on hold its proposal to allow
international students to return home after the state government unveiled a trial plan
for a limited-phased return of international students in June.

As a result of the most recent lockdown, there has been a pause in the implementation
of this pilot initiative, which could mean that the much-anticipated arrival of international
students in Australia is pushed back even further. This is unwelcome news for the
thousands of students studying remotely who are eagerly awaiting the possibility of
coming to Australia to continue their education.

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 30TH EDITION

As of the time of this writing, Australia’s borders

had been blocked for 503 days total. Since the
entry bank took place on March 20, 2020, overseas
students have been denied admission and have
503 received little information about their programme
days Australia’s borders is and future.
blocked
In 2021, the total number of international students
enrolling in Australian universities is expected to
drop by a significant margin. Because students are
increasingly looking for alternatives to their home
nations, the country risks losing its competitiveness
in the international education sector if the current
$6 trend continues.
billion loss in country’s In the past financial year alone, the country’s
economy as a result
economy suffered a loss of about $6 billion as
decline in International
students a result of the decline in international student
enrolment, which fell by more than 100,000.
When compared to the previous year, education
exports decreased by 21.4 percent in 2020, while
international student commencements decreased
by over 20 percent in 2021.

80% In addition to the obvious financial loss, the impact

of adult population
needed to get vaccinated
before reopening of
borders
of this collapse can be seen in the widespread
layoffs of university staff across the country’s major
institutions. In Melbourne, for example, La Trobe
University announced 200 layoffs as a result of a
$165 million income drop.

The influence on local communities and businesses is already being seen, as overseas
students make up a significant portion of the workforce for small and medium-sized
enterprises around Australia.

Despite the claims of the federal government, Australia continues to be the most
behind the eight other OECD countries in the administration of Covid-19 vaccines to its
adult populations. The country’s population has been vaccinated to a level of less than
16 per cent as of now, and it may take another seven months until the current national
immunisation goal is met.

According to the prime minister, the country will need to vaccinate 80 percent of its
adult population before it will even consider reopening its border. It has been suggested
that this may only be doable by the end of the year by the Grattan Institute, an Australian
public policy think tank.

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In addition, it is being argued that Australia must change its approach to handling
Covid-19, and that waiting for the number of instances to reach zero is no longer a
feasible option. A proactive approach is preferable, as is taking inspiration from the
methods of other forward-looking democratic countries, such as taking a careful
and measured approach to opening up to the rest of the world, rather than reacting
reactively.

In the future, the Australian federal government may wish to consider a careful and
progressive opening of its borders to international students and other necessary
travellers, as well as studying the possibility of instituting a vaccine-visa regime.

As more of Australia’s population has been vaccinated, the government may also
consider stepping away from the Fortress Australia approach.

Australia must change its approach to

handling Covid-19, and that waiting for
the number of instances to reach zero is
no longer a feasible option.

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 30TH EDITION

VET Sector News

AUSTRALIA IS FACING A SEVERE LABOUR CRUNCH

As the world recuperates from the effect of the Covid-19 pandemic, labour shortage
has crippled many advanced economies. To deal with this, Australia has released a
Priority Migration Skilled Occupation List (PMSOL) – a list of skilled occupations that
the Australian government has assessed will be needed to fill critical skills needed to
support Australia’s economic recovery.
For more information, please click here;

COVID-19 INFORMATION LETTING DOWN INTERNATIONAL STUDENTS,

NON-ENGLISH SPEAKERS
Many international students and temporary visa holders are struggling to grapple with
information about the COVID-19 vaccine situation here in the ACT.
Chinese student Dahlia is a recent graduate from the Australian National University
(ANU) who currently works in a department store while on a student-dependent visa.
She says that many non-English speakers like her are relying on news from China about
what is happening in Australia regarding vaccines.
For more information, please click here;

15
THE VET SECTOR | CAQA - Compliance & Quality Assurance

6 MUST-HAVE WORKPLACE LEARNING STRATEGIES FOR THE HYBRID

WORKPLACE
The workplace of the future is hybrid. It implies a blend of in-office and remote
employees, some of whom may even rotationally work in an office and remotely. This
hybrid model implies that team members are geographically dispersed, even potentially
spanning multiple time zones.
This presents a host of challenges, many of which can be resolved with an effective
hybrid workplace learning strategy and roadmap.
Truly, the hybrid workplace existed before COVID forced most knowledge workers to
engage remotely. The response to the pandemic-triggered remote operations proved
that many organizations were ready to face the inherent technical and operational
challenges. Now that a hybrid workforce is the recognized reality, many organizations
have realized its potential to increase productivity, retain and entice top talent, as well as
enhance workflows.
For more information, please visit here;

AUSTRALIA IN TALKS TO SIMPLIFY VISA PROCESS, WAIVE FEES FOR

STUDENTS
International students in Australia universities could be looking at a future with cheaper
and simpler visa processes, as the country works towards resuscitating its international
education sector. The Australian Financial Review reports that the Morrison government
has been given a roadmap to recovery that includes prioritising students from low-risk
countries, simplifying the visa process and waiving fees, regulatory relief for some
providers and a marketing campaign to reassure international students they are still
welcome to study in Australia.
For more information, please visit here;

International students in Australia

universities could be looking at a
future with cheaper and simpler
visa processes, as the country works
towards resuscitating its international
education sector.

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WHY AUSTRALIAN UNIVERSITIES MUST OFFER STUDENTS A BETTER
DEAL NOW
Governments and Australian universities are planning for the recovery of the
international student market once Australia can start easing border closures that
have had huge impacts on universities and the economy. The situation is becoming
increasingly urgent: a new ANU-commissioned analysis shows an alarming fall in
international student demand for Australian universities. It’s less than two-thirds of what
it was before the pandemic.
For more information, please click here;

TUDGE HANDED RECOVERY ROAD MAP TO REVERSE OVERSEAS

STUDENT CRISIS
The Morrison government has been handed a road map to recovery for the $40 billion
international student sector that includes giving priority to students from low-risk
countries, simplifying the visa process and waiving fees, regulatory relief for some
providers and a marketing campaign to reassure students they are still welcome.
The plan, which has been with Education Minister Alan Tudge for more than a week,
comes as the government faces increasing rancour over the lack of a national plan to
regain dwindling enrolments among international students.
For more information, please visit here;

AUSTRALIA PLOTS INTERNATIONAL EDUCATION RESTART FROM THE

BUNKER
Representative groups put preparatory work in place as latest infections undermine
plans to reboot arrivals.
For more information, please click here;

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THE VET SECTOR | CAQA - Compliance & Quality Assurance

FREE BUILDING AND BUSINESSES COURSES FOR RESKILLING DURING

LOCKDOWN
TAFE NSW will offer 10 new fee-free courses in mental health, digital security, business
administration and construction to help people re-skill during the pandemic.
Minister for Skills and Tertiary Education Geoff Lee said the fee-free training in areas
of employment growth was designed to help support the community through the
lockdown.
“Whether you are in lockdown in Greater Sydney, or in a regional community, I urge
NSW residents to take advantage of the free training options available that will help
build the skills needed to get a head-start in a post-COVID economy,” Mr. Lee said.
Read more, please click here;

SD73’S INSURANCE PROVIDER FOR INTERNATIONAL STUDENTS

SUFFERS CYBERSECURITY BREACH
KAMLOOPS - School District No. 73 (SD73, Kamloops-Thompson) said it was notified
that guard me, the travel and medical insurance provider for its international student
program, experienced a cybersecurity breach incident.
Personal information that may be impacted by this incident includes identity
information, contact information, and other information provided to support submitted
claims.
For more information, please click here;

IMMIGRATION UPDATE: AUSTRALIAN STATES OPEN SKILLED VISA

NOMINATION PROGRAMS FOR 2021-2022
Australian jurisdictions receive quotas from the federal government each year, based on
which the states and territories nominate skilled and business migrants for the Skilled
Nom­inated visa Subclass 190 and the Skilled Work Regional (Provisional) visa Subclass
491.
For more information, please click here;

“Whether you are in lockdown in

Greater Sydney, or in a regional
community, I urge NSW residents
to take advantage of the free
training options available that
will help build the skills needed to
get a head-start in a post-COVID
economy,” Mr. Lee said.

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NEWS CORP AND GOOGLE LAUNCH JOURNALISM ACADEMY IN
AUSTRALIA
News Corp Australia and Google have launched an education program to equip news
professionals with the skills for storytelling based on the “commercial realities” of
today’s media industry.
The academy, which begins in early 2022, will accept 750 local and regional Australian
news professionals over the next three years.
The training will focus on skills such as digital journalism, video and audio production,
data journalism, audience measurement, reader revenue, digital business models and
marketing.
Read more information, please visit here;

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THE VET SECTOR | CAQA - Compliance & Quality Assurance

NSW LEADING THE NATION IN SKILLING AUSTRALIANS

More than 100,000 people in NSW have taken up fee free courses since the joint
Federal-State JobTrainer initiative was first introduced in October last year.
Minister for Skills and Tertiary Education Geoff Lee said NSW was now leading the
nation in equipping people with skills after more than half of Australia’s JobTrainer
enrolments hailed from NSW.
For more information, please click here;

AUSTRALIA PIONEERS ‘STACKING’ OF MICRO-CREDENTIALS INTO

DEGREES
Comparison websites on the way as admissions centres reinvent their services amid
emerging needs and demographic change.
For more information, please click here;

NEARLY 100,000 INTERNATIONAL STUDENTS LEAVE AUSTRALIA AS

BORDERS REMAIN CLOSED
Federal government data indicates Australia has lost more
than 100,000 international students over the past financial
year. Each student lost can cost the economy nearly
$60,000 in terms of tuition fees and overall economic
contribution, as per estimates of the International
Education Association.
Dilpreet Singh, a former student in Sydney, is amongst
hundreds of international students who have resolved to
never return to Australia.
The second-year undergraduate told SBS Punjabi that
his university’s push to online studies coupled with the government’s “dilly-dallying”
towards providing a timeline for the return of overseas students, had compelled him to
look at other education destinations like Canada.
For more information, please visit here;

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ANOTHER PILOT PLAN FOR INTERNATIONAL STUDENT RETURN TO
AUSTRALIA DELAYED
The Greater Sydney lockdown will push back any plans for international student return
to Australia until August 28, at least. This lockdown was extended for four weeks on
July 27 in view of the rising cases brought about by the notorious Delta variant. It will
inevitably pause the New South Wales (NSW) pilot plan, which would enable 250
international students to come to Sydney per fortnight.
The Greater Sydney area includes the Blue Mountains, Central Coast, Wollongong and
Shellharbour. The lockdown has most recently been extended to Newcastle and the
Hunter region after 262 new active cases in NSW on August 5, including five deaths. It
will last for one week, at least.
For more information, please click here;

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THE VET SECTOR | CAQA - Compliance & Quality Assurance

SURVEY DETAILS LEARNER ENGAGEMENT SATISFACTION DROPS IN

AUSTRALIA
The overall quality of education experiences of international students at education
providers in Australia fell in 2020, particularly among Chinese and Malaysian
undergraduates, a survey has revealed.
Surveying more than 87,000 offshore and onshore international students between
July and October 2020, the 2020 International Student Experience Survey showed
overall education experience remained largely stable among respondents in vocational
education and training, with 84% rating positively in both 2019 and 2020.
For more information, please click here;

POST-COVID-19: CONNECTING YOUNG PEOPLE TO JOBS OF THE

FUTURE
The pandemic has brought devastating effects on young people especially on their
livelihood opportunities and employment prospects. Recent ILO data shows that
youth employment fell by 8.7 per cent in 2020 compared with 3.7 per cent for adults.
Meanwhile, the world of work continues to rapidly transform. Nearly 50 per cent of
companies expect that by 2020, automation will lead to some reduction in their full-
time workforce, and more than half of all employees will require significant reskilling
and upskilling.
For more information, please visit here;

THE PANDEMIC HAS CARVED $13.6 BILLION FROM AUSTRALIA’S

EDUCATION SECTOR AS INTERNATIONAL STUDENT NUMBERS FALL
Closed international borders and limited online study options have reportedly carved
$13.6 billion from Australia’s overseas education exports since 2019.
Citing the Australian Bureau of Statistics, The Australian reports the annual value of
tertiary education exports, accounting for tuition, accommodation, and related travel
expenses, fell from $40.3 billion over the 2019 calendar year to $26.7 billion in the 12
months to June 2021.
For more information, please click here;

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JOB TRAINER MOPS UP UNMET DEMAND FOR TRAINING, PUTS
PEOPLE INTO JOBS
She’s a bit ashamed to admit it, but COVID-19 has been good to Patricia Pattison. The
former taxi driver from Townsville, Qld, is among the 200,000 Australians who have
undertaken a training course under the 2020 JobTrainer initiative.
In need of a life change after the death of her husband four years ago, Mrs Pattison
moved to Sydney to be closer to her two sons, took a leap of faith and half way through
last year enrolled in a certificate IV in aged care with TAFE NSW.
Read more, please visit here;

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THE VET SECTOR | CAQA - Compliance & Quality Assurance

OECD Conference
Disrupted futures: International lessons on how
schools can best equip students for their working lives

As countries turn their attention from handling a healthcare

emergency to dealing with its economic consequences, concern
rises over youth unemployment. Even before the pandemic,
young people in many countries were facing difficulties in
their transitions into work. During the pandemic, young people
commonly found themselves disproportionately affected by lay-
offs and recruitment freezes. Now, with the world coming out of
the crisis, young people find themselves particularly vulnerable in
the search for work.
This OECD conference focuses on what schools can do to prepare
young people for their transitions through education into ultimate
employment.
For more information, please click here;

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 Talk To Our Experts Now !

1800 266 160

2/10 Lawn Court, Craigieburn, VIC 3064 Australia

info@caqa.com.au
www.caqa.com.au

© 2013 - 2021 CAQA Resources by Career Calling International. All Rights Reserved.

Disclaimer: The information in this newsletter is for general informational purposes only and it is generalist in its approach. The information
presented in this newsletter is not legal advice or legal opinion, and it is not intended to be tailored to the specific circumstances of any
particular case and should not be relied upon as such. Persons should seek professional legal and compliance advice before acting upon any
of the information in this newsletter.