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Shared vision, equal pathways

Inquiry into the perceptions and status of vocational


education and training

House of Representatives

Standing Committee on Employment, Education and Training

February 2024

CANBERRA
© Commonwealth of Australia 2024

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Contents
Foreword ........................................................................................................vii

Members..........................................................................................................xi

Terms of reference .......................................................................................xiii

Abbreviations ................................................................................................xv

List of recommendations.............................................................................xxi

Executive Summary .................................................................................xxxiii

Report

1. Introduction .................................................................................................1
Conduct of the inquiry..................................................................................................1
Reviews and policy context .........................................................................................2
National Skills Agreement ...................................................................................................3
Australian Universities Accord.............................................................................................3
Structure of the report..................................................................................................4
Notes on terminology and references..........................................................................4
Acknowledgements......................................................................................................5

2. Overview of VET sector ..............................................................................7


System governance .....................................................................................................7
Funding................................................................................................................................8
Regulation .........................................................................................................................10
Provider self-assurance ................................................................................................11
Students.....................................................................................................................11
Participation and enrolments by gender ............................................................................12
Qualifications and courses.........................................................................................13
Nationally recognised training ...........................................................................................14
Apprenticeships and traineeships......................................................................................15
The Australian Qualifications Framework..........................................................................16

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Completion rates and student outcomes ...........................................................................16
Providers....................................................................................................................18
Fees ..................................................................................................................................19
VET delivered to secondary school students.............................................................20
VET and the labour market........................................................................................21
The VET sector: perceptions and reality....................................................................23
Employer and industry views.............................................................................................26
Committee comment..................................................................................................27

3. Information and promotion ......................................................................29


VET sector and pathways..........................................................................................29
Access to information ........................................................................................................31
Training providers and courses .........................................................................................31
System navigators .............................................................................................................33
Simplifying information...............................................................................................34
National Careers Institute ..........................................................................................36
Awareness and visibility ....................................................................................................38
Quality of information and resources.................................................................................38
Promotional and marketing initiatives ........................................................................40
National campaigns ...........................................................................................................41
Promoting apprenticeships ................................................................................................43
Ambassadors and role models ..........................................................................................44
Related sectors and industries ..........................................................................................45
Committee comment..................................................................................................47

4. Secondary schools ...................................................................................53


Student perceptions of VET.......................................................................................53
Academic culture in secondary schools.....................................................................55
Classroom teachers...........................................................................................................58
Australian Tertiary Admissions Ranking ....................................................................59
Parents’ views of VET pathways ...............................................................................63
Careers education and advice ...................................................................................66
Nature and quality of careers advice .................................................................................67
Expanding the reach of career education .........................................................................69

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Career education strategies ..............................................................................................70
Supporting industry exposure ....................................................................................72
Exposure to VET pathways ..............................................................................................73
VET delivered to secondary school students.............................................................75
Barriers to high-quality VETDSSS.....................................................................................76
Partnerships with employers and industry.........................................................................79
Partnerships with RTOs.....................................................................................................81
Teachers and educators....................................................................................................83
VETDSSS and the ATAR ..................................................................................................84
Committee comment..................................................................................................85

5. Training and qualification pathways .......................................................97


Nationally recognised training....................................................................................97
Training Package development .........................................................................................99
Ensuring industry and sector engagement ......................................................................102
Assessment processes............................................................................................104
Supporting apprenticeships and traineeships..........................................................106
Workplace culture............................................................................................................106
Women in apprenticeship pathways................................................................................108
Wages and economic security.........................................................................................110
Pre-apprenticeship programs ..........................................................................................112
Expanding apprenticeship pathways ...............................................................................113
Australian Apprenticeship Support Network ....................................................................114
Micro-credentials .....................................................................................................117
‘Stackable’ credentials.....................................................................................................120
Funding............................................................................................................................121
Enhancing the educator workforce ..........................................................................122
Pay and conditions ..........................................................................................................122
Qualification requirements...............................................................................................124
Teaching quality .............................................................................................................126
Committee comment................................................................................................127

6. Operation and funding of VET ...............................................................139


Purpose and functions .............................................................................................139

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Provider market ......................................................................................................140
TAFEs and public sector providers..................................................................................142
Private sector providers...................................................................................................144
Sector regulation .............................................................................................................145
Enhancing the VET experience ...............................................................................148
Student support and representation ................................................................................148
On-campus facilities ........................................................................................................150
Access to VET .........................................................................................................151
Funding....................................................................................................................154
Inconsistency in fees and subsidies ................................................................................155
VET Student Loans .........................................................................................................156
Fee-Free TAFE................................................................................................................157
Aligning VET and higher education ........................................................................158
Pathways between tertiary sectors..................................................................................161
Dual providers and combined qualifications ...................................................................164
Institute of Applied Technology model ........................................................................165
Reforming the Australian Qualifications Framework .......................................................166
Supporting industry and employer partnerships ......................................................167
Role of government .........................................................................................................170
Supporting changes to work practices.............................................................................172
Committee comment................................................................................................173

Appendixes

Appendix A. Submissions ..........................................................................183

Appendix B. Public Hearings .....................................................................189

Appendix C. Reviews and policy context .................................................195

—Additional comments from Coalition members....................................211

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Foreword
Australia’s vocational education and training (VET) sector will continue to be an important
contributor to ensuring our workforce has the necessary skills to meet current and future
social, economic, and environmental challenges and opportunities.

However, many people still hold negative perceptions of VET. These perceptions are often
driven by poor understanding of VET and by policy decisions and media representations that
reinforce the belief that university is necessary for personal and professional success.

During this inquiry, it became apparent that learners, employers, and other stakeholders lack
reliable information on VET, and often rely on individual RTOs and government websites.
Information is often inconsistent across sources and is not always current or relevant. For
example, while the National Careers Institute (NCI) was created as a ‘one stop shop’ for
information on courses, qualifications, and careers, the Committee heard is not functioning as
it should, and requires significant enhancements if it is to deliver for users.

In addition to ensuring reliable information on the VET sector, marketing VET and the careers
to which it leads to learners, employers and other stakeholders will be critical to dispelling
negative perceptions. However, information and marketing efforts are insufficient. Tangible
improvements to the VET system must also be made.

Secondary schools must do much more to promote VET to their students, including providing
relevant, accessible information on VET and associated industries and careers and promoting
VET and university as equally valid. This must be supported by quality, structured careers
education for all students. The quality of VET delivered in secondary schools is also variable
across Australia, and is undermined by lack of qualified educators, inadequate school funding,
and a lack of meaningful engagement between schools, VET providers, and employers.

It is crucial that VET keeps pace with technological advances and an increasingly dynamic
labour market. This requires careful consideration of approaches to developing and
accrediting qualifications and units of competency, including Training Packages (historically
the building blocks of VET) and the emerging micro-credentials ecosystem. Enhancing training
also requires addressing the shortage of VET educators, including exploring alternative
pathways into teaching to leverage industry experience and diverse pedagogical approaches.

Apprenticeships are, and should remain, a cornerstone of the VET sector. However, the
inquiry found that apprentices are not receiving the support they need to complete their
qualifications and are discouraged from remaining in the apprenticeship by low wages and
poor conditions.

Without doubt, measures must be implemented to increase women’s participation in VET,


including better responses to gendered violence and discrimination, real efforts to address

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harmful stereotypes about women’s aspirations and capabilities, and greater support for
women in VET pathways.

Lifting perceptions of VET and ensuring the sector can respond to current and emerging skills
needs will require fit-for-purpose regulatory, funding, and governance arrangements, and
measures to ensure the sector has a robust public core. Strategic partnerships between
providers, employers, and other key stakeholders should be supported, as should cooperative
arrangements with other sectors such as the employment services system.

Enhancing the experience of VET students is critical to lifting perceptions of the sector. At
present, many campuses lack adequate student representation, up-to-date facilities, and
meaningful advisory services. This must be addressed as a matter of urgency.

Meeting future skills needs will require a whole-of-tertiary-system approach, with far greater
integration between VET and higher education. There would be value in separating the VET
sector into ‘education’ and ‘training’, with longer qualifications focused on holistic student
development and shorter courses focused on discrete or industry-specific competencies.

The Committee has made 34 recommendations in this report which aim to address negative
perceptions of the VET sector and enhance the quality of and access to VET. These include:
• Significantly overhaul the functions of the NCI.
• Campaigns to promote VET and VET careers via a variety of channels to diverse
audiences.
• Promoting VET in secondary schools and reducing reliance on the Australian
Tertiary Admissions Ranking (ATAR) as the primary measure of success in
secondary education.
• Developing a national careers education strategy for secondary schools.
• Improving VETDSSS via cooperative partnerships and employers and increased
school funding.
• Rationalising development and implementation of VET qualifications and units of
competency.
• Addressing systemic barriers to women’s participation in VET, with a focus on
eliminating gender-based violence and workplace discrimination and challenging
gender stereotypes.
• Enhancing apprenticeships, including by piloting a network of industry-led
apprenticeship support providers, lifting pay and conditions for apprentices, and
exploring new apprenticeship pathways.
• Creating a robust framework for developing, implementing, and funding micro-
credentials.
• Ensuring that the VET Workforce Blueprint contains measures to attract and
retain qualified VET educators with industry expertise and a greater range of
pedagogical competencies.

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• Improving the quality of and access to facilities and supports available to VET
students and staff.
• Defining a clear roadmap to a genuinely integrated tertiary education system.

The Committee’s report was informed by and intersects with the findings, recommendations,
and measures pursued through other inquiry and reform processes, including the Employment
White Paper, National Skills Agreement, and Australian Universities Accord. The Committee’s
findings and recommendations should be considered alongside those processes.

I would like to thank each of my parliamentary colleagues on the Standing Committee on


Employment, Education, and Training for their engagement over the course of this inquiry.

I also thank the individuals and organisations who contributed to this inquiry, including current
and former students who shared experiences and suggested improvements.

Ms Lisa Chesters MP
Chair

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Members
Chair
Ms Lisa Chesters MP Bendigo, VIC

Deputy Chair
Mr Terry Young MP Longman, QLD

Members
Ms Zoe Daniel MP Goldstein, VIC
Ms Cassandra Fernando MP Holt, VIC
Dr Carina Garland MP Chisholm, VIC
Ms Zoe McKenzie MP Flinders, VIC
Mr Gavin Pearce MP Braddon, TAS
Ms Joanne Ryan MP Lalor, VIC
Ms Sally Sitou MP Reid, NSW
Ms Anne Stanley MP Werriwa, NSW

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Terms of reference
The House of Representatives Standing Committee on Employment, Education and Training
will inquire into and report on the perceptions and status of the vocational education and
training (VET), and Commonwealth supported information on VET available to students, and
how they impact:
• education and training choices of students, particularly those who lack the
necessary foundation skills, or experience other disadvantages; and
• employer views and practices in relation to engagement with VET.

The inquiry will focus on the Commonwealth Skills and Training portfolio and include
consideration of:
• information available to students about VET qualifications and related career
pathways along a student's journey through secondary schools, vocational
education, higher education, and work transitions, with a focus on how this
combines with other sources of advice, including informal advice, to influence
student choices, and how Commonwealth funded information for students about
VET may be improved;
• perceptions and status of the VET sector and how this may be impacting student
enrolment choices, employer engagement, and recruitment and retention of the
VET educator workforce, and how perceptions and status of the VET sector can
be improved. International best practices in relation to VET perception and
qualifications status should be examined;
• successful partnerships between VET providers and employers that have
demonstrably created career pathways and secure employment opportunities for
students, considering the best practice elements of these successful partnerships,
and how more partnering may be encouraged among VET providers and
employers; and
• Commonwealth programs which could influence the above, and intersections with
state and territory, industry, and philanthropic efforts, including any structural
barriers to improvement.

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Abbreviations

AAN Apprenticeship Ambassador Network

AASN Australian Apprenticeship Support Network

AATSE Australian Academy of Technological Sciences and Engineering

ABS Australian Bureau of Statistics

ACCE Australian Centre for Career Education

ACCI Australian Chamber of Commerce and Industry

ACT Australian Capital Territory

ACTU Australian Council of Trade Unions

ADITA Australian Digital & Telecommunications Industry Association

AEU Australian Education Union

AI Artificial Intelligence

AISC Australian Industry and Skills Committee

AMES AMES Australia

AQF Australian Qualifications Framework

ARA Australian Retailers Association

ASQA Australian Skills Quality Authority

ATAR Australian Tertiary Admission Ranking

AUA Australian Universities Accord

AUC Alphacrucis University College

AVETRA Australasian Vocational Education and Training Research Association

CALD Culturally and Linguistically Diverse

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CCYP Commissioner for Children and Young People

CEWA Catholic Education Western Australia

CFA Claire Field and Associates

CGS Commonwealth Grant Scheme

CICA Career Industry Council of Australia

CIS Centre for Independent Studies

CMTO Community Media Training Organisation

COAG Council of Australian Government

COSBOA Council of Small Business Organisations Australia

CRICOS Commonwealth Register of Institutions and Courses for Overseas Students

CTEC Commonwealth Tertiary Education Commission

DEWR Department of Employment and Workplace Relations

DTWD WA Department of Training and Workforce Development

ELICOS English Language Intensive Courses for Overseas Students

EOC-WA Equal Opportunity Commission of Western Australia

ETUA Electrical Trade Union of Australia

HR Human Resources

IAT Institute of Applied Technology

ICPAWA The Isolated Children’s Parents Association of Western Australia

ICSEA Index of Community Socio-educational Advantage

IEU-QNT Independent Education Union—Queensland and Northern Territory

IHEA Independent Higher Education Australia

IIS Integrated Information Service

IRCs Industry Reference Committees

IST Independent Schools of Tasmania

IT Information Technology

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ITE Initial Teacher Education

ITE Institute of Technology Education

ITECA Independent Tertiary Education Council Australia

JSA Jobs and Skills Australia

MBA Master of Business Administration

MBA Master Builders Association

MCA Minerals Council of Australia

MEA Master Electricians Australia

MP Member of Parliament

MTAA Motor Trades Association of Australia

MTAQ Motor Trades Association of Queensland

MTASANT Motor Trades Association of South Australia and Northern Territory

NAAA National Australian Apprenticeships Association

NAEM National Apprentice Employment Network

NASWD National Agreement for Skills and Workforce Development

NCI National Careers Institute

NCVER National Centre for Vocational Education Research

NECA National Electrical and Communications Association

NESA NSW Education Standards Authority

NETM New Education and Training Model

NFIA National Fire Industry Association

Newberry Newberry Consulting

NIET Nepean Industry Edge Training

NPILF National Priorities and Industry Linkage Fund

NRL National Rugby League

NRLW National Women’s Rugby League

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NSA National Skills Agreement

NSC National Skills Commission

NSW New South Wales

NUS National Union of Students

NVR National Vocational Education and Training Regulator

NYCA National Youth Commission Australia

OECD Organisation for economic Cooperation and Development

PGA Pharmacy Guild of Australia

PSD Program for Students with Disability

QAMH Queensland Association for Mental Health

QLD Queensland

QNMU Queensland Nurses and Midwives Union

RCC Recognition of Current Competency

RLSSA Royal Life Saving Society Australia

RoGS Review of Government Services

RPL Recognition of Prior Learning

RSA Responsible Service of Alcohol

RTO Registered Training Organisation

SA South Australia

SBAT School-based Apprenticeships and Traineeships

SDA Shop Distributive and Allied Employees Association

SES Socio Economic Status

SSCE Senior Secondary Certificate of Education

SSOs Skills Services Organisations

STEM Science, Technology, Engineering and Mathematics

SWMC Skills and Workforce Ministerial Council

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TAC Training and Accreditation Council

TAE Training and Education

TAFE Technical and Further Education

TAS Tasmania

TESQA Tertiary Education Quality and Standards Agency

TPOF Training Package Organising Framework

UK United Kingdom

VCCI Victorian Chamber of Commerce and Industry

VET Vocational Education and Training

VETDSSS Vocational Education and Training Delivered to Secondary School Students

VIC Victoria

Vic SRC Victorian Student Representative Council

VNDA VET National Data Asset

VRQA Victorian Registration and Qualifications Authority

VSL VET Student Loan

WA Western Australia

WAVE Women in Adult and Vocational Education

WNTT Women in Non-Traditional Trades

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List of recommendations
Recommendation 1

2.96 The Committee recommends the Australian Government work with State and
Territory Governments and key stakeholders such as the National Centre for
Vocational Education Research to improve data collection and reporting
mechanisms in the vocational education and training sector. This should
include a focus on the diversity of pathways within the sector and on better
understanding the complex barriers faced by students.

Recommendation 2

3.117 The Committee recommends that the Australian Government enhance the
functions of the National Careers Institute (NCI) to ensure the NCI is able to
operate as a single, trusted source of information on education, training, and
careers. The primary focus of the NCI should be supporting key influencers
such as teachers, employment service providers, and career educators. This
should include but should not be limited to the following measures:
• Overhaul the Your Career website and replace it with a new online portal
which provides accurate, relevant, and current information on courses,
qualifications, and career pathways. This should include measures to:
o enable the NCI to offer additional information on individual training
providers and courses;
o ensure that information provided to users is based on the user’s needs
and aspirations and does not indicate a ‘default’ preference for courses
or qualifications in a specific tertiary sector; and
o ensure that users can easily navigate online resources.
• In collaboration with Jobs and Skills Australia, the National Centre for
Vocational Education Research, and the Jobs and Skills Councils,
identifying and addressing future skills needs and actively promoting
careers which respond to those needs.
• Ensuring that career educators in schools, Technical and Further Education
(TAFE), and employment service providers are aware of the NCI and can use
it as a resource in performing their functions.
• Identifying and addressing duplication in sources of information on careers
and vocational education and training at the national, state, and local levels.

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• Explore creating a grants funding program to support and enable the
expansion of proven, evidence-based local career education programs.

Recommendation 3

3.118 The Committee recommends that the Australian Government, via the National
Careers Institute, work with State and Territory Governments to boost the
capacity of vocational education and training alumni programs, including to
develop work plans to underpin proactive outreach to schools, business
associations, and employment bodies.

Recommendation 4

3.124 The Committee recommends that the Australian Government work with State
and Territory Governments, the Jobs and Skills Councils, and other key
stakeholders to design and deliver national campaigns to promote vocational
education and training (VET) pathways and the careers they serve. Campaigns
should be promoted at the national, state, and local levels, and should include
material that:
• Is diffused through a variety of media sources, including social media,
government websites, and television.
• Is accessible to all audiences.
• Is adapted—insofar as possible—to local areas and labour markets, with a
view to highlighting the value of VET to local communities.
• Targets different entry pathways to VET, including post-secondary
pathways and pathways for adult learners.
• Showcases the benefits of the apprenticeship and traineeship pathways.
• Targets diverse cohorts, with a focus on improving perceptions for women,
First Nations peoples, and people from culturally and linguistically diverse
backgrounds.
• Showcases positive experiences with VET and examples of success among
VET graduates.
• Showcases a variety of career opportunities enabled by the VET sector, with
a focus on in-demand industries and potential areas of skills shortage.

Campaigns should be underpinned by robust monitoring and evaluation


processes to ensure their impact can be measured and to inform and refine
future marketing initiatives.

Recommendation 5

4.156 The Committee recommends that the Australian Government, via the National
Careers Institute, work with State and Territory Governments to support and

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incentivise schools to promote vocational education and training (VET) to
students and parents, including promoting VET and university as equally
legitimate and valuable post-secondary pathways. This should include:
• Actively championing VET in promotional material and information relating
to education and training.
• Developing clear, accessible, nationally consistent information resources
for use by students, parents, teachers, and other influencers.
• Developing best-practice guidelines for schools to promote VET pathways,
informed by consultation with education experts.
• Establishing and raising the profile of student advisory groups and steering
committees, including by ensuring that there is a mechanism to capture
student views in the development of state and national education policy.

Recommendation 6

4.164 The Committee recommends that the Australian Government work with State
and Territory Governments to examine the impact of the Australian Tertiary
Admissions Ranking (ATAR) framework on the quality and uptake of vocational
education and training (VET) pathways in secondary schools, including:
• The extent to which the ATAR and university entrance are used to
determine resourcing for schools, with a view to introducing new metrics
which value both VET and university pathways.
• How VET and non-VET subjects contribute to ATAR scores, with a view to
removing disincentives in the ATAR framework to students pursuing VET
pathways during secondary school and promoting national consistency in
how VET subjects are treated within that framework.

Recommendation 7

4.165 The Committee recommends that the Australian Government work with State
and Territory Governments to champion examples of education and career
success which are not linked to the Australian Tertiary Admissions Ranking or
to a university pathway.

Recommendation 8

4.166 The Committee recommends that the Australian Government review entry
pathways into vocational education and training (VET) and university, with a
view to developing a measure of success which can be used to support entry
into both sectors. This should include the examination of learner profiles as a
potential entry mechanism.

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Recommendation 9

4.176 The Committee recommends that the Australian Government work with State
and Territory Governments to develop and implement a national strategy for
career education in schools, including the following measures:
• Career education starting in primary school and continuing to the end of
secondary school. Career education should vary by year level, and there
should be a minimum number of contact hours for each student.
• Australian secondary schools have at least one accredited career
practitioner.
• Improved professional development for career educators and teachers,
including courses which build capacity to work with students from diverse
cohorts.
• Nationally consistent and up-to-date career information and resources,
including on VET and university study options.
• A career education framework at the school level, including plans to:
o appoint a school career leader with the function of coordinating careers
education—including to ensure that all teachers are equipped to provide
career advice if needed; and
o engage with students and parents on career planning, including to
inform parents about potential VET and university pathways; and
• Measures to build closer connections with and increase students’ exposure
to VET-related industries.

The National Career Institute, Jobs and Skills Australia, and the Jobs and Skills
Councils should be actively involved in the development and implementation
of the strategy. The strategy should be developed in close consultation with
professional bodies such as the Career Industry Council of Australia,
academic, policy, and education experts, teachers and students, sector
regulators, and other key stakeholders.

Recommendation 10

4.192 The Committee recommends that the Australian Government work with State
and Territory Governments to enhance the quality and consistency of
vocational education and training delivered to secondary school students
(VETDSSS). This should include the following key measures:
• Establish cooperative arrangements between secondary schools, technical
and further education (TAFE) institutes, and industry to underpin the design
and delivery of VETDSSS. Key priorities for these partnerships should
include:
o overcoming barriers to the delivery of VETDSSS through TAFEs;

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o better integrating VET courses with the broader school curriculum,
underpinned by an understanding that VETDSSS should not, in
principle, be different to ‘mainstream’ VET;
o encouraging and enabling industry to offer meaningful work experience
to VETDSSS students, where appropriate; and
o ensuring that VETDSSS courses are responsive to industry needs.
• Provide targeted investment for schools to deliver VETDSSS, with funding
conditional on schools delivering VETDSSS in partnership with TAFEs.
• Ensure that all VETDSSS courses can lead to or be counted towards a
nationally recognised qualification.

Recommendation 11

4.197 The Committee recommends that the Australian Government work with State
and Territory Governments, education experts and the vocational education
and training (VET) and university sectors to implement the following measures:
• Additional initial teacher education (ITE) programs with a VET speciality.
• Additional ITE programs which focus on enabling industry experts to
become qualified VET delivered to secondary school students (VETDSSS)
educators, including ‘fast track’ programs where appropriate.
• Adding units on VET into all ITE courses, to ensure all teachers are able to
provide reliable, accurate information on VET to their students.

Recommendation 12

4.201 The Committee recommends that the Australian Government work with State
and Territory Governments to ensure that all Australian schools are funded to
100 per cent of the Schooling Resourcing Standard.

Recommendation 13

5.148 The Committee recommends that the Australian Government work with State
and Territory Governments, education experts, and other stakeholders to
streamline the process of developing and accrediting vocational education and
training qualifications. This should include:
• Setting a pathway for technical and further education (TAFE) institutes to
self-accredit courses and qualifications, supported by robust safeguards.
• Allowing minor amendments to training packages to take place at the Jobs
and Skills Council level, subject to industry consultation.

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Recommendation 14

5.149 The Committee recommends that as part of the ongoing process of


qualification and skills reform, the Australian Government review existing
training packages to simplify the training ecosystem and reduce unused,
duplicative, or clearly unnecessary products. This should include
consideration of occupational profiles as a means of identifying where full
training packages are and are not required, and as a means of enhancing the
development of training packages which respond to industry need.

Recommendation 15

5.150 The Committee recommends that the Australian Government ensure the
ongoing process of qualification and skills reform support a collaborative
approach to the development of qualifications and units of competency,
involving industry, employers, workers, and unions.

Recommendation 16

5.153 The Committee recommends that the Australian Skills Quality Authority
(ASQA) work with Jobs and Skills Australia, the Jobs and Skills Councils and
other key stakeholders to develop and implement robust assessment
guidelines for use in the vocational education and training sector.

Recommendation 17

5.154 The Committee recommends that the Australian Government work with State
and Territory Governments, education experts and other key stakeholders to
explore introducing proficiency-based assessment into the vocational
education and training sector.

Recommendation 18

5.160 The Committee recommends the Australian Government expressly recognise


and address systemic barriers that hinder participation by women and by
gender diverse people in vocational education and training (VET), with a
specific focus on lifting women’s participation in male-dominated industries.
This should include but not be limited to:
• Investing in strategies delivered through the VET sector that support
women in acquiring skills and entering male-dominated industries.
• Addressing workplace discrimination and gender-based violence and
ensuring equitable employment conditions.
• Introducing additional apprenticeship pathways which specifically target
women and gender-diverse people.

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• Implementing promotional and educational campaigns which challenge
gender stereotypes and negative attitudes that perpetuate barriers for both
women and men in non-traditional VET pathways.

Recommendation 19

5.161 The Committee recommends that the Australian Government work with State
and Territory Governments, Jobs and Skills Australia, industry participants,
and other key stakeholders to lift and incentivise participation in traditionally
female-dominated vocational education and training (VET) areas including
fashion and textiles.

Recommendation 20

5.176 The Committee recommends that the Australian Government develop and
implement a pilot program for a new, specialised, industry-led network of
apprenticeship support providers to deliver industry-appropriate mentoring
and support to apprentices and trainees. This should include tailored
assistance for apprentices and trainees from disadvantaged and under-
represented backgrounds, including women, First Nations peoples, people
with disability, and people from culturally and linguistically diverse
backgrounds.

The learnings from this pilot program should be adapted to future design and
tender processes for apprenticeship support providers, including the current
Australian Apprenticeship Support Network and Australian Apprenticeship
Support Services.

Recommendation 21

5.177 The Committee recommends that as part of the ongoing process of skills
reform, the Australian Government explore measures to increase take-home
wages for apprentices and trainees. This should include consideration of
measures to ensure gender pay equity in apprenticeships and traineeships so
far as this is possible.

Recommendation 22

5.178 The Committee recommends that the Australian Government work with State
and Territory Governments to explore measures to increase consistency
across jurisdictions as to the qualifications that are offered as apprenticeships.
This should include consideration of expanding apprenticeships to new
sectors and industries where this is warranted.

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Recommendation 23

5.187 The Committee recommends that the Australian Government work with State
and Territory Governments, Jobs and Skills Australia, academic and policy
experts, and the vocational education and training (VET) and university sectors
to design and implement a national policy framework for micro-credentials,
including the following key elements:
• A clear definition of a ‘micro-credential’ to inform policy decisions.
• A clear default principle that micro-credentials cannot be undertaken in lieu
of full qualifications and cannot, on their own, ‘stack’ into full qualifications.
• Clear guidance on the circumstances in which micro-credentials can be
recognised as credit towards full qualifications—for example where a
person is seeking to transition to another industry or return to the
workforce.
• Clear guidance on the circumstances in which government funding will be
available in relation to micro-credentials, including that:
o as a default principle, micro-credentials only receive Commonwealth
funding where they are portable and targeted to identified areas of skills
shortage, and where the student already possesses a full VET or
university qualification; and
o micro-credentials which relate to occupational licensing or other job-
specific requirements should typically be funded by the employer or the
individual, with exceptions made for people in financial hardship.

Recommendation 24

5.197 The Committee recommends that the Australian Government expedite the
development and implementation of the vocational education and training
(VET) Workforce Blueprint, and ensure the Blueprint considers measures to:
• Lift pay and conditions for VET educators, including measures to reduce
short-term and casual contracts and make the sector attractive to trainers of
all genders and backgrounds. This should include consideration of ring-
fenced funding for Technical and Further Education (TAFE) to underpin
more competitive pay and conditions.
• Enable various entry pathways to the teaching workforce, including
pathways which encourage entrants with significant experience in industry
and with advanced qualifications. This should include exploring measures
to allow people who do not hold a specialised VET teaching qualification
such as the Certificate IV in Training and Assessment (TAE) enter the
teaching workforce.
• Reduce cost and red tape associated with completing the TAE. This should
include consideration of fully subsidising the TAE and of expanding fast-
track pathways such as the ‘Pay to Learn’ program.

xxviii
• Ensure educators are able to provide a supportive learning environment for
students. This should include consideration of including units on culturally
competent and trauma-informed pedagogy in qualifications for VET
educators; and ensure that reliable, accurate data on the teaching
workforce is gathered to enable continuous improvement.
• Enhance the capacity and expertise of the VET workforce to apply an
intersectional lens and analysis across VET policies, programs, and
initiatives, with particular reference to barriers facing women.

Recommendation 25

6.168 The Committee recommends that the Australian Government ensure that the
ongoing process of skills reform include measures to encourage and support
partnerships between technical and further education (TAFE) institutes and
high-performing not-for-profit and industry-led providers.

Recommendation 26

6.169 The Committee recommends that the Australian Government work with State
and Territory Governments to explore options to separate vocational education
and training (VET) into ‘education’ and ‘training’, including funding and
governance arrangements to support high-performing independent providers
to deliver shorter and industry-specific courses and to prioritise the delivery of
longer courses and qualifications through technical and further education
(TAFE) institutes.

Recommendation 27

6.170 The Committee recommends that the Australian Government work with State
and Territory Governments and with the Australian Skills Quality Authority
(ASQA) to rationalise and improve regulation in the vocational education and
training (VET) sector, including by better targeting regulatory and compliance
action to deliberately or persistently noncompliant providers. This should
include the following key measures:
• The removal of duplicative administrative and reporting requirements.
• Giving ASQA greater flexibility in terms of how it prioritises, considers, and
makes decisions in relation to applications for regulation.
• Strengthening registration requirements to prevent providers from
changing the scope of their registration whether they have been operating
for less than two years.
• Providing that a provider’s registration automatically lapses when that
provider has not delivered training or assessment for a period of 12 months.

xxix
• Resourcing and supporting ASQA to focus its regulatory approach on lifting
the quality of training in the sector, enhancing VET student outcomes, and
building and maintaining a culture of continuous learning and improvement.

Recommendation 28

6.179 The Committee recommends that as part of the ongoing process of skills
reform, the Australian Government work with State and Territory Governments
and with the vocational education and training (VET) sector to:
• Explore aligning fees and subsidy amounts for VET qualifications insofar as
this is possible.
• Review the VET Student Loans (VSL) scheme and investigate its
relationship with Fee-Free TAFE.

Recommendation 29

6.187 The Committee recommends that the Australian Government work with State
and Territory Governments to ensure that the lived experiences of individuals
involved with or impacted by the vocational education and training (VET)
sector are prioritised in advisory and governance mechanisms.

Recommendation 30

6.188 The Committee recommends that the Australian Government work with State
and Territory Governments to:
• Continue to upgrade and modernise facilities on technical and further
education (TAFE) institute campuses, including to ensure that physical and
digital spaces are accessible for students with disability.
• Improve key support services on TAFE campuses, and ensure that students
have access to counselling, career advice, legal services, health services,
and disability support.
• Establish robust mechanisms for student and staff representation.

Recommendation 31

6.189 The Committee recommends that the Australian Government work with State
and Territory Governments and the sector to increase engagement by
technical and further education (TAFE) institutes with students early in their
training pathway, to ensure students fully understand the demands of the
qualification and can make informed decisions about their training and career
pathway. This should involve the development of tools to assess students’
aptitude for the units and qualifications they are looking to pursue and
supporting tailored advice.

xxx
Recommendation 32

6.192 The Committee recommends that the Australian Government ensure that the
skills reform agenda includes specific measures to boost access to vocational
education and training for people in regional, rural, and remote areas, informed
by local skills need.

Recommendation 33

6.200 The Committee recommends that the Australian Government implement the
recommendations of the Australian Universities Accord Final Report, and work
with State and Territory Governments and other key stakeholders to define a
roadmap to a genuinely integrated tertiary education system. This roadmap
should include the following key elements:
• Integrated funding arrangements which support lifelong learning.
• Clearly defined guidelines for the qualifications that can be offered by
vocational education and training (VET) providers and by universities.
• Clearly defined guidelines and targeted funding for dual qualifications
which align with current and emerging skills needs, including advanced
apprenticeships.
• Clear pathways between VET and university courses and qualifications,
with defined entry points and processes for credit transfer.
• An adaptive, user-friendly framework for the recognition of prior learning.
• Service-level agreements between the regulators responsible for the VET
and university sectors to reduce duplication and streamline process.

The development of the roadmap should be led by a coordinating council, with


representatives from Commonwealth and State Government, and from both the
VET and university sectors.

Recommendation 34

6.208 The Committee recommends that the Australian Government, through the Jobs
and Skills Councils, work with State and Territory Governments, peak bodies,
experts, employers, employment service providers, and other key stakeholders
to develop sector-level guidance on the skills requirements of individual roles.
This guidance should support better-targeted recruitment focused on skills
requirements over qualifications.

xxxi
Ms Lisa Chesters MP

Committee Chair

29 February 2024

xxxii
Executive Summary
Australia’s labour market is undergoing significant, rapid change. As outlined in the recent
Employment White Paper, in the coming decades our economy and labour market will be
shaped by an ageing population demanding quality care and support; digital and technological
advancement; climate change and the ‘net zero’ transformation; and geopolitical risk and
fragmentation.

The vocational education and training (VET) sector is and will continue to be a significant
contributor to ensuring our workforce is sufficiently skilled and adaptable to respond to the
challenges and opportunities of an increasingly dynamic labour market. Evidence indicates
that approximately 51 per cent of all current jobs require a VET qualification. Over the next 10
years, around 44 per cent of all new jobs will require a VET qualification, and 48 per cent will
require a bachelor’s degree or higher.

Despite the critical importance of VET to Australia’s economic security, many people hold
negative perceptions of VET and the careers to which it leads. VET is often perceived as less
intellectually demanding and inferior to university, and as leading to lower-paid, more
physically demanding, and less stimulating employment. These negative perceptions are often
driven by low levels of understanding of VET and VET-enabled careers, as well as by policy
decisions and media representations which reinforce the belief that university education is
necessary for personal and professional success.

This inquiry has examined the reasons for negative perceptions of the VET sector, as well as
measures to ensure current and prospective VET students—as well as other stakeholders—
have sufficient information about the sector and are actively encouraged to consider a VET
pathway. The Committee recognises that information and marketing measures are not
sufficient. Real changes must be made to ensure that the sector delivers the high-quality
education and training needed to respond to current and emerging skills needs.

The Committee’s report makes 34 recommendations, informed by 100 submissions, over 30


hours of public hearings, and engagement with students and educators. The Committee
recognises that significant work is ongoing to reform the VET sector, including the Employment
White Paper and the National Skills Agreement. The Committee’s recommendations are
designed to complement and build upon this work.

Information and promotion

Current and prospective VET students (and other key stakeholders) require clear, accurate,
reliable information on the VET sector to inform decision-making. While information on the
VET sector is available (for example via government websites and from individual providers),
it is fragmented across jurisdictions, often inconsistent, and sometimes neither current nor
relevant. Evidence indicates that making additional information available on student and
employer satisfaction, completion rates, and salary outcomes—would be of significant value.

xxxiii
There is also compelling evidence that additional granular data should be collected to enable
government and other stakeholders to identify, understand and respond appropriately to key
issues facing the sector. This should include addressing key gaps in existing data collection
mechanisms.

The National Careers Institute (NCI) was created with the intent of ensuring that current and
prospective VET students can access reliable information on career pathways and training
options. The NCI should be operating as a ‘one stop shop’ for information on VET courses,
qualifications, and career pathways. However, it appears the NCI is not functioning optimally.
Evidence suggests that information on NCI websites is insufficient, out of date or irrelevant,
websites are not accessible or user-friendly, and information and guidance have a strong bias
in favour of higher education.

The Committee has recommended significant enhancements to the NCI, including a complete
overhaul of the Your Career website. An enhanced NCI should also have a key role in boosting
the capacity of VET alumni programs, noting that these programs have often proven effective
in helping secondary students and members of the public to imagine a VET-enabled future.

Marketing the VET sector to current and prospective students will also be critical to dispelling
negative perceptions about the sector and responding to current and future workforce and
skills needs. The Commonwealth, States, and Territories should collaborate on large-scale
promotional campaigns, diffused through multiple channels at national, state, and local levels.
These should highlight the value of VET careers and the different pathways into the sector
and target various cohorts.

VET and secondary schools

There is compelling evidence that schools must do more to promote VET to students. This
includes providing relevant, accessible, consistent information on VET and associated careers
and promoting VET and university as equally valid post-school options. Ensuring that VET and
university are perceived as equally valid will require reducing the reliance on the Australian
Tertiary Admissions Ranking as a primary measure of success in secondary education, for
example by fostering alternative measures of success in schools, celebrating success by
students who pursued VET-enabled career pathways, and examining different pathways into
VET and university as part of broader efforts to integrate and streamline tertiary education.

There is broad recognition that quality, structured careers education is crucial to informed
decision-making about post-school pathways. However, the extent and quality of careers
education appears to vary considerably between schools, with some students receiving just
45 minutes of career education each year. There is a clear need for a careers education
strategy to lift the quality and consistency of careers education. Key elements of a strategy
would include a minimum number of career education contact hours, support for career
practitioners in schools, professional development opportunities for practitioners and other
educators, and supported engagement with VET providers and industry.

The quality of VET delivered to secondary school students (VETDSSS) is critical to


perceptions of VET in the school system and to shaping students’ decisions about post-school
pathways. It is very concerning that the nature and quality of VETDSSS varies between
schools, as does the extent to which VETDSSS is valued. Going forward, VETDSSS should

xxxiv
be underpinned by cooperative arrangements between schools, VET providers, and industry.
At least in the short to medium term, TAFEs must be prioritised as VET providers of choice,
consistent with efforts to rebuild a public core to the VET sector.

VETDSSS is also undermined by a shortage of qualified VET educators stemming from a


shortage of educators in the VET sector, limited school resources, and failures to adapt
teaching qualifications to vocational education. A greater range of initial teacher education
(ITE) programs with a VET speciality should be offered, with ‘general’ ITE courses enhanced
to include units on VET to ensure classroom teachers can provide reliable information on VET
pathways to their students.

Training and qualifications

There is a prevailing view that the VET sector often fails to equip graduates with relevant skills
and does not keep pace with rapid developments in technology. This is a particular concern
for the development of Training Packages, which typically require multiple approvals by
separate government entities. While it appears that the ongoing process of skills reform is
likely to address at least some of the concerns in this area, additional measures should be
implemented to enhance the speed at which training can be delivered to market and improve
its relevance. These should include enabling Jobs and Skills Councils (JSCs) to make minor
amendments to packages, as well as setting a path to self-accreditation for TAFEs. Efforts
should also be made to ensure a collaborative process in the development and implementation
of VET training offers, involving industry, employers, workers, and unions.

There is compelling evidence that measures must be implemented as a matter of urgency to


address gender discrimination in VET pathways and significantly lift women’s participation in
the sector—including in specific pathways such as apprenticeships and in traditionally male-
dominated industries. The Committee considers that government should also give special
consideration to supporting and increasing participation in overlooked and often heavily
feminised sectors.

Apprenticeships are a cornerstone of the VET sector, and a high-quality apprenticeship


pathway will continue to be critical to ensuring that Australia is able to respond to emerging
skills needs and increasingly dynamic labour markets. It is very concerning that just over half
of all apprentices complete their qualifications, with lower completion rates variously driven by
low wages, negative workplace experiences, and a ‘fundamentally broken’ Australian
Apprenticeship Support Network (AASN). It is proposed that a pilot program be created
involving specialised, industry-led support providers, with lessons from the pilot used to inform
the development of a more permanent solution. Measures to enhance wages and conditions
for apprentices should also be considered, as should measures to increase access to
apprenticeships for historically (and currently) under-represented cohorts.

Micro-credentials play a valuable role in the skills ecosystem—particularly as a means of


responding to rapid changes in technology and of upskilling and re-skilling workers for industry
transitions. It is therefore concerning that there appears to be disagreement and confusion as
to the definition of a micro-credential and the circumstances in which micro-credentials should
attract public funding. As such, there would be value in developing a national policy framework
for micro-credentials. This could build on the existing micro-credentials framework published

xxxv
by the Department of Education and leverage other work to recognise a broader suite of skills
and qualifications.

Another critical concern is that the VET sector—particularly TAFE—is experiencing challenges
attracting and retaining sufficient qualified staff. Measures to improve attraction and retention
of VET educators and to lift the overall quality of education should be implemented as a matter
of urgency. These should include improving pay and conditions, exploring alternative entry
pathways into teaching, and reducing financial and administrative burdens associated with
‘default’ entry pathways.

Operation, governance, and funding

The significant number of providers in the VET sector and the adoption of a contestable market
have created challenges for many stakeholders. Many prospective students struggle to make
informed choices about their career pathways, employers have difficulty accessing relevant
training, and government and regulators may not be able to address poor behaviour.
Challenges associated with marketisation must be addressed in the process of skills reform if
the sector is to be effective in delivering high-quality training and education that keeps pace
with a dynamic and evolving labour market.

While it is acknowledged that private and industry-led RTOs all have a role to play in the VET
sector, it is critical that there be a focus on ensuing the sector has a strong public core. The
focus in the new NSA on putting TAFE at the heart of VET and on building the quality and
flexibility of TAFEs is welcomed. However, while the new NSA refers directly to partnerships
between TAFEs, employers, universities, and other stakeholders, it is unclear if this includes
partnerships between TAFEs and other RTOs in the design and delivery of training. There
would be value in ensuring that partnerships—at least between TAFEs and non-profit and
industry-led providers—are supported.

The Committee supports exploring measures to separate the VET sector into ‘education’ and
‘training’, with funding for smaller and private sector RTOs to deliver short-form, industry-
specific training and for TAFEs to deliver longer qualifications with a focus on holistic student
development. This should form part of broader efforts to integrate VET with higher education.

The process of skill reform must involve enhancing and streamlining regulatory arrangements,
as well as refocusing regulation on lifting the quality of training. This should include giving the
national regulator greater flexibility in terms of how it prioritises and makes both enforcement
decisions and decisions in relation to provider registration.

The focus on the ongoing process of skills reform on lifting investment in the public VET sector
and improving the coordination of investment in skills is a welcome addition to the education
and training policy environment. However, it is unclear whether this process has focussed
sufficiently on improving the consistency of fees and subsidies for VET courses across
jurisdictions. There would be merit in exploring options to align subsidies and fees insofar as
possible. There would also be value in reviewing the VET Student Loans (VSL) scheme and
investigating its relationship with Fee-Free TAFE.

Enhancing the experience of VET students should be a key element of the skills reform
agenda. Measures should be committed to improve student support on campuses, including

xxxvi
by supporting representative bodies and complaints mechanisms and providing access to
programs and facilities typically found on university campuses such as counselling, health,
and legal services. Measures to enhance the VET experience for students should form part of
a broader effort to ensure that the lived experiences of all individuals involved in or affected
by VET are at the centre of advisory and governance mechanisms.

As outlined in the Employment White Paper, meeting future skills needs will require a whole-
of-tertiary-system approach, with greater integration between VET and higher education.
Measures to integrate the tertiary sectors are being explored through the government’s
ongoing process of skills reform. However, these processes do not appear to have resulted in
a comprehensive roadmap to a genuinely integrated tertiary sector. A roadmap should be
developed, including integrated funding arrangements, a clear framework for qualifications
and training pathways, and streamlined regulatory and governance arrangements.

Government also has a key role in enabling provider-employer partnerships, including by


providing sustainable funding and appropriate policy settings. Initiatives supported by the new
NSA should enable meaningful partnerships between providers and employers, and these
should be monitored to ensure their ongoing efficacy. To further promote VET to employers
and to improve outcomes for graduates, there would be value in government working with key
stakeholders to define skills requirements for individual roles, and to focus recruitment on
specific skills and work requirements.

xxxvii
1. Introduction
1.1 In 2022, there were 4.5 million students enrolled in nationally recognised vocational
education and training (VET). This represents around 25 per cent of the population
aged between 15 and 64 years, and a five per cent increase in student numbers
compared to the previous year.1

1.2 The VET sector is central to ensuring access to secure work, enabling employers to
obtain the skills they need to run and expand their businesses, and to building
Australia’s skilled workforce. For students in the sector, VET provides a viable
pathway to employment, a fulfilling career, and economic security.

1.3 Despite the growth in numbers of VET students over time and increasing recognition
that VET is a key contributor to skills and workforce development, research suggests
that negative perceptions of VET sector persist. The sector is often considered less
valuable than higher education and is not a pathway of choice for secondary school
students considering their post-school options. These perceptions are driven by a
poor understanding of VET and the opportunities it offers, the attitudes and beliefs of
key influencers such as parents and friends, and a society which values and
prioritises higher education.

1.4 As Australia faces a significant skills and labour shortage across many sectors of the
economy, it is imperative that more students pursue VET to fill these emerging gaps.

Conduct of the inquiry


1.5 The Committee commenced its inquiry following a referral from the Minister for Skills
and Training, the Hon Brendan O’Connor MP, on 30 November 2023.

1.6 Terms of Reference for the inquiry are set out in the front pages of this report.

1.7 The inquiry was advertised on the Committee’s website on 1 December 2022.
Submissions were invited from a range of stakeholders, including potential students,
employers, parents, career advisors, educators, industry bodies, and unions.

1.8 The Committee received 100 submissions, which are listed in Appendix A and are
available on the Committee’s website.

1 National Centre for Vocational Education Research (NCVER), Total VET Students and Courses 2022,
17 August 2023, https://www.ncver.edu.au/research-and-statistics/publications/all-publications/total-vet-
students-and-courses-2022, viewed 29 January 2024.

1
1.9 The Committee held fifteen public hearings in Canberra, Victoria, Queensland, and
New South Wales (NSW). In addition, the Committee conducted four site visits:
• Cranbourne Secondary College, Cranbourne, Victoria.
• St Columban’s College, Caboolture, Queensland.
• the Chisolm Institute, Frankston Campus, Victoria.
• the Institute of Applied Technology (IAT), Meadowbank, NSW.

1.10 Witnesses who appeared at the Committee’s hearings are listed in Appendix B.
Hansard transcripts and additional information provided to the Committee are
available on the Committee’s website.

Reviews and policy context


1.11 Several reviews and inquiries relating to the VET sector are either ongoing or have
been recently completed. These include:
• the new National Skills Agreement (NSA).
• the Australian Universities Accord (AUA).
• the Employment White Paper.
• the Review of the Australian Qualifications Framework.
• the Independent review of Australia’s VET system.
• inquiries undertaken by the Queensland, NSW, and Australian Capital Territory
Parliaments.

1.12 Outcomes of these reviews—particularly the NSA, Employment White Paper, and
AUA—are directly relevant to findings and recommendations of this report. Further
information on review processes and the broader policy context for this inquiry is
included in Appendix C, with reviews also referred to throughout the report.

1.13 Stakeholders emphasised that reviews of the sector should not be considered in
isolation. There must be holistic consideration of all contributions and input, as well
as efforts to ensure that implementing the recommendations of one review do not
adversely impact on implementing the recommendations of another.2

1.14 Stakeholders also noted that there have been many reforms to the VET system, and
raised concern that students, providers, employers, and others often have little time
to adjust to reforms and implement meaningful, lasting change.3

2 See, for example, Australian Chamber of Commerce and Industry, Submission 43, p. 1; Australian Academy
of Technical Sciences and Engineering, Submission 49, p. 3; Integrated Information Service, Submission 53,
p. 1; Minerals Council of Australia, Submission 92, pages 12–13.
3 See, for example, Western Australian Government, Submission 97, p. 6; Ms Yasmin King, CEO, SkillsIQ,
Committee Hansard, 16 May 2023, p. 8.

2
3

National Skills Agreement


1.15 National Cabinet endorsed a new NSA on 16 October 2023. The NSA provides
states and territories with access to Commonwealth funds of up to $3 billion over five
years, taking total Commonwealth investment in state and territory training systems
to $12 billion over five years. An additional $1.3 billion in Commonwealth funding has
also been committed for priority reforms, including measures to raise the profile of
the technical and further education (TAFE) sector, grow and enhance the quality of
the VET workforce; and raise completion rates for target cohorts including women
and First Nations peoples.4

1.16 Some of the Committee’s findings and recommendations will reflect or be pre-empted
by measures in the NSA. Where possible, the Committee has endeavoured not to
recommend measures that duplicate initiatives being pursued through the NSA.
Rather, it has made recommendations that complement or add to those initiatives.

Australian Universities Accord


1.17 On 16 November 2022, the Minister for Education announced the appointment of an
Expert Panel to conduct a comprehensive review of Australia’s higher education
system: the Australian Universities Accord (AUA).5 The AUA Final Report, which
contains 47 recommendations, was presented to Government in December 2023.

1.18 The AUA Final Report found that meeting current and emerging social, economic,
and environmental challenges and responding to the growing demand for skills will
require significant and system-level changes to tertiary education—including to both
the university and VET sectors.6

1.19 The Committee agrees with the findings and recommendations of the Expert Panel,
noting there is substantial overlap with this inquiry. In particular, the Committee
supports the recommendations relating to an integrated tertiary education sector;
seamless pathways between VET and university; enabling access to tertiary
education in regional areas; and facilitating the acquisition of modular, stackable, and
transferrable skills and qualifications. The Committee draws particular attention to the
following key recommendations:
• Creating an Australian Tertiary Education Commission to address the appropriate
diversity of tertiary education providers—including enabling more cross-delivery of
VET by higher education providers and vice versa (Recommendations 30 and 37).
• Better alignment between higher education and VET and allowing TAFEs to be
more responsive to student and industry needs (Recommendation 38).

4 Department of Employment and Workplace Relations (DEWR), National Skills Agreement Overview,
17 October 2023, pages. [1–2], https://www.dewr.gov.au/skills-reform/resources/national-skills-agreement-
overview, viewed 29 January 2024.
5 Department of Education, Australian Universities Accord, https://www.education.gov.au/australian-
universities-accord, viewed 6 February 2024.
6 Department of Education, Australian Universities Accord—Final Report, p. 1.
https://www.education.gov.au/australian-universities-accord/resources/final-report, viewed 28 February 2024.

3
• Strengthening regional tertiary education, including via the creation of a more
integrated tertiary education system in regional communities and expanding the
Regional University Study Hubs program to capture VET (Recommendation 39).7

1.20 The Committee also strongly supports measures to enable access to education for all
Australians and to facilitate and encourage lifelong learning. These measures will be
critical to ensuring Australia is able to respond effectively to an increasingly dynamic
global economy and labour market.

1.21 The recommendations of the AUA Expert Panel will go a long way to addressing
those perceptions of VET that discourage people from engaging with the sector.

Structure of the report


1.22 This report is divided into six chapters, including this introductory chapter.
• Chapter 2 provides an overview of the VET sector, including governance structure
and how courses are delivered. It also considers perceptions of the sector among
members of the public, employers, and target cohorts.
• Chapter 3 explores measures to increase awareness and understanding of VET
and to promote VET as a sector of choice to prospective students and other key
stakeholders.
• Chapter 4 examines perceptions of VET in secondary schools and ways to
address these perceptions. It also discusses measures to improve VET delivered
to secondary school students (VETDSSS).
• Chapter 5 examines the nature and quality of training in the VET sector. This
includes national training packages, assessment processes and the role of micro-
credentials. It also explores measures to attract, retain and develop the VET
teaching workforce, and measures to improve the apprenticeship and traineeship
pathways and enhance completion rates.
• Chapter 6 examines the structure and governance of the sector, including the mix
of providers, regulation, the student experience, access to VET, and funding. It
also considers measures to better align the VET and higher education sectors.

Notes on terminology and references


1.23 All references to Committee Hansard are to official transcripts unless otherwise
indicated. Page numbers may vary between proof and official transcripts.

7 See Department of Education, Australian Universities Accord—Final Report, pages 32–33, 36–37.

4
5

1.24 The Committee acknowledges that there are a variety of terms used to reflect the
diversity of Aboriginal and Torres Strait Islander cultures and identities.8 In this report,
the term ‘First Nations peoples’ is used.

Acknowledgements
1.25 The Committee thanks the organisations and individuals who contributed to the
inquiry via submissions and oral testimony, including current and former VET and
secondary school students who shared experiences and suggested improvements.

8 See Reconciliation Australia, Demonstrating inclusive and respectful language, 2021,


www.reconciliation.org.au/wp-content/uploads/2021/10/inclusive-and-respectful-language.pdf, viewed
29 January 2024.

5
2. Overview of VET sector
2.1 Vocational Education and Training (VET) is a tertiary education pathway that enables
people to gain tertiary qualifications, workplace-specific skills, and knowledge-based
competencies in a wide range of occupations and industries.1

2.2 This chapter provides an overview of the VET sector, including its governance
structure and how courses are delivered. It also considers general perceptions of the
sector among employers and target cohorts.

System governance
2.3 Governance of the VET sector is the joint responsibility of the Commonwealth and
the states and territories. At the national level, the Department of Employment and
Workplace Relations (DEWR) is primarily responsible for governance, financing, and
overarching policy development for the VET system. DEWR works cooperatively with
state and territory skills departments.2

2.4 State and territory training authorities are responsible for the operation of the VET
sector within their jurisdictions. Training authorities participate in the formulation of
national policy, planning, and objectives, and promote and implement agreed policy
within their jurisdictions—supported by statutory advisory and regulatory bodies.3

2.5 The Skills and Workforce Ministerial Council (SWMC)—established by the National
Cabinet—provides a forum for national cooperation on the intersection of skills and
training policy with workforce matters. The SWMC progresses items of national
importance in the portfolio to achieve agreed objectives and priorities. It is made up
of Commonwealth, state and territory ministers responsible for the skills portfolio in
their respective jurisdictions.4

2.6 An overview of roles and responsibilities in the VET sector is included in Figure 2.1.

1 National Centre for Vocational Education Research (NCVER), Submission 36, p. 1.


2 NCVER, Governance and regulation, 2023, https://www.voced.edu.au/vet-knowledge-bank-governance,
viewed 29 January 2024.
3 NCVER, Governance and regulation, 2023.
4 NCVER, Governance and regulation, 2023.

7
Figure 2.1 VET sector: roles and responsibilities

Source: Productivity Commission, Report on Government Services 2024, https://www.pc.gov.au/ongoing/report-on-


government-services/2024/child-care-education-and-training/vocational-education-and-training.

Funding
2.7 Funding for the VET sector is the joint responsibility of the Commonwealth and the
states and territories. Funding is allocated via government grants and appropriations,
as well as via competitive tender and user choice mechanisms. Funding is provided
to a mixture of registered training organisations (RTOs), including technical and
further education (TAFE) institutes and other public providers, independent and
industry-led RTOs, and community education providers.5

2.8 An overview of funding arrangements for the VET sector is included in Figure 2.2.

5 Productivity Commission, Report on Government Services 2024, 5 February 2024 https://www.pc.gov.au/


ongoing/report-on-government-services/2024/child-care-education-and-training/vocational-education-and-
training, viewed 15 February 2024.

8
Figure 2.2 Major funding flows within the VET system

Source: Productivity Commission, Report on Government Services 2024,

2.9 In 2022, funding provided through VET appropriations and intergovernmental funding
arrangements totalled $10.7 billion—an increase in nominal terms of $274.1 million
(2.6 per cent) from 2021. This funding included $6.8 billion from the Commonwealth
and $4.0 billion from the states and territories. Expenditure on VET activities in 2022
comprised:
• $5.5 billion for direct VET delivery.
• $4.0 billion for employer assistance to engage in VET.
• $145.1 million for student assistance for equipment, travel, and other costs.
• $448.3 million for capital investment.
• $743 million for system administration and governance.6

2.10 A significant portion of VET is delivered by non-government providers on a fee-for-


service basis with costs borne by students or employers. Of the 4.5 million students
enrolled in VET in 2022, 1.96 million (43.5 per cent) were enrolled in government-
funded courses.7

6 NCVER, Government funding of VET 2022, 26 October 2023, https://www.ncver.edu.au/research-and-


statistics/publications/all-publications/government-funding-of-vet-2022, viewed 15 February 2024.
7 Parliamentary Library, The Vocational Education and Training Sector: A Quick Guide, 24 June 2021,
https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/rp/rp202

9
Regulation
2.11 The Australian Skills Quality Authority (ASQA) is the national regulator for the VET
sector. The organisation is responsible for regulating RTOs that deliver VET courses
and qualifications to students in Australia or offer Australian qualifications overseas.
ASQA is also responsible for regulating providers that deliver VET courses to people
in Australia on student visas, as well as certain providers that deliver the English
Language Intensive Courses for Overseas Students program.8

2.12 ASQA’s functions are specified under the National Vocational Education and Training
Regulator Act 20211 (NVR Act). These functions include but are not limited to:
• Registering providers as RTOs.
• Accrediting courses that may be offered or provided by RTOs.
• Carrying out compliance audit activities of RTOs against quality standards.
• Promoting and encouraging continuous improvement in RTOs’ capacity to provide
a VET course or part of a VET course.
• Advising and making recommendations to Commonwealth, state and territory
minsters and the SWMC on matters relating to VET.
• Collecting, analysing, interpreting, and disseminating information about VET.9

2.13 ASQA takes a risk-based approach to regulation, and typically focuses on improving
performance over applying sanctions. If a provider is identified as non-compliant—for
example if ASQA receives a complaint or identifies an issue via routine monitoring—
ASQA may undertake a performance audit. If the provider is then assessed as non-
compliant, ASQA will raise the issue with the provider in the expectation that the
issue will be addressed voluntarily. Serious or persistent noncompliance may attract
sanctions under the NVR Act, including the cancellation of a provider’s registration.10

2.14 ASQA also works to identify systemic risks to the integrity of the VET sector and to
address them in accordance with its regulatory functions. Risk priorities in 2023–
2024 include student work placements; academic integrity; online delivery; shortened
course duration; recognition of prior learning; workforce capability; international
delivery; and governance through change.11

1/Quick_Guides/VocationalTraining, viewed 29 January 2024. See also NCVER, Government-funded


students and courses 2022, 18 July 2023, https://www.ncver.edu.au/research-and-statistics/publications/all-
publications/government-funded-students-and-courses-2022, viewed 29 January 2024.
8 Australian Skills Quality Authority (ASQA), ASQA overview, https://www.asqa.gov.au/about-us/asqa-
overview, viewed 29 January 2024.
9 National Vocational Education and Training Regulator Act 2011 (NVR Act), s 157.
10 ASQA, ‘Regulatory Risk Framework: Effective and integrated management of risk’, April 2021,
https://www.asqa.gov.au/resources/publications/regulatory-risk-framework, pages 13–16.
11 ASQA, Risk Priorities, https://www.asqa.gov.au/how-we-regulate/risk-priorities, viewed 29 January 2024.

10
2.15 The Victorian Registration and Qualifications Authority and the Western Australian
(WA) Training and Accreditation Council are responsible for regulating RTOs and for
accrediting courses within Victoria and WA.12

2.16 The Tertiary Education Quality and Standards Agency (TEQSA) is responsible for the
regulation of providers and quality assurance of training and education in the higher
education sector.13 ASQA and TEQSA often work collaboratively, particularly in
relation to the regulation and accreditation of dual-sector providers and courses.14

Provider self-assurance

2.17 ASQA is transitioning to a regulatory approach focused on provider self-assurance,


which will see providers having in place their own systems and practices to monitor,
evaluate, and continually improve training outcomes and performance. This will also
see ASQA taking on a more collaborative, capacity-building role as opposed to
having a focus on monitoring and compliance.15

2.18 Some issues raised with the self-assurance model include the potential for poor
performance to go unnoticed, reductions in independent feedback to providers, and
concerns that where a provider self-reports an issue this will be treated punitively. By
contrast, potential benefits of the model include increased autonomy and flexibility,
greater potential for innovation, and greater responsiveness to industry needs.16

2.19 ASQA co-designed a model for self-assurance with the sector in 2021 and 2022 and
is continuing to monitor the effectiveness of the new approach.17

Students
2.20 In 2022, there were 4.5 million students enrolled in nationally recognised VET. This
represented around 25 per cent of the population aged 15 to 64 years. Students
enrolled in VET increased by 5.1 per cent from 2021 to 2022.18 Of those students:
• 50.1 per cent were male, and 46.7 per cent were female.
• 3.9 per cent identified as people with disability.
• 3.6 per cent identified as First Nations peoples.

12 ASQA, VET sector overview, https://www.asqa.gov.au/about/vet-sector, viewed 29 January 2024.


13 Tertiary Education Quality and Standards Agency (TEQSA), TEQSA overview, https://www.teqsa.gov.au/
about-us/teqsa-overview, viewed 29 January 2024.
14 AQSA, How are multi-sector providers regulated?, https://www.asqa.gov.au/faqs/how-are-multi-sector-
providers-regulated, viewed 29 January 2024.
15 ASQA, Self-assurance, https://www.asqa.gov.au/how-we-regulate/self-assurance, viewed 29 January 2024.
16 ASQA, Self-assurance.
17 ASQA, Self-assurance.
18 NCVER, Total VET students and courses 2022, 17 August 2023, https://www.ncver.edu.au/research-and-
statistics/publications/all-publications/total-vet-students-and-courses-2022, viewed 20 September 2023.

11
• 59 per cent lived in a major city, 26.1 per cent lived in a regional area, and 2.1 per
cent lived in a remote or very remote area.19

2.21 By comparison, in 2022 there were approximately 1.55 million students enrolled in
university20 and around 1.79 million students enrolled in secondary schools.21

2.22 The National Union of Students (NUS) observed that over the five years between
2016 and 2021, VET enrolments increased by 177,000 while university enrolments
increased by 25,000. The NUS stated that this demonstrates that VET remains
‘extremely relevant’ to people wanting to increase their skills to enter the workforce.22

2.23 Professor Robin Shreeve noted that a typical university student is undertaking a
three-year bachelor’s degree, while a typical VET student is an apprentice, a trainee,
or a student undertaking a short course such as a First Aid Certificate.23

Participation and enrolments by gender


2.24 Women and men are relatively evenly represented in the VET sector. However, there
is a clear gender-based distinction in the choice of training among VET students.

2.25 For example, women are more likely than men to undertake qualifications directed to
caring roles. In 2022, women accounted for more than 90 per cent of enrolments in
Early Childhood Education and Care qualifications, over 80 per cent of enrolments in
the Diploma of Nursing, and over 70 per cent of enrolments in the Certificate III in
Individual Support.24 In 2022, men made up 88 per cent of enrolments in engineering
and related technologies, 90 per cent of enrolments in architecture and building, and
77 per cent of enrolments in information technology (IT).25

2.26 Gender differences by occupation are stark across apprenticeships and traineeships.
Women make up 30.9 per cent of all apprentices and trainees, and a very small
percentage of apprentices in plumbing (1.6 per cent); bricklaying, carpentry, and
joining (2.5 per cent); and electrical (5.2 per cent). By contrast, women are over-
represented in hairdressing (85.2 per cent), food trades (32.9 per cent), and in the
sectors classes as miscellaneous technicians and trades workers (39.9 per cent).26

19 Data generated using NCVER’s ‘DataBuilder’ online tool. See https://www.ncver.edu.au/research-and-


statistics/data/databuilder.
20 Department of Education, Selected Higher Education Statistics – 2022 Student data Key Findings, p. 2,
https://www.education.gov.au/higher-education-statistics/resources/selected-higher-education-statistics-
2022-student-data-key-findings, viewed 15 February 2024.
21 Australian Curriculum Assessment and Reporting Authority, Student numbers, https://www.acara.edu.au/
reporting/national-report-on-schooling-in-australia/student-numbers, viewed 31 January 2024.
22 National Union of Students, Submission 91, p. [2].
23 Adjunct Professor Robin Shreeve, Submission 1, p. [2].
24 Department of Employment and Workplace Relations (DEWR), Submission 76, p. 9.
25 Data generate using NCVER’s ‘DataBuilder’ online tool.
26 DEWR, Submission 76, p. 10.

12
2.27 The Committee heard that perceptions of VET and associated biases drive women
away from higher-paid trades towards lower-paid VET pathways.27 The National
Apprenticeships Association Australia (NAAA) noted that men often do not choose
female-dominated occupations due to lower pay, while women do not choose male-
dominated occupations precisely because the culture is male dominated.28

Qualifications and courses


2.28 VET covers a wide range of activities, including part-day, employer-specific training,
general use short courses such as first aid training, employment-related certificates,
apprenticeships and traineeships, and longer-term qualifications.

2.29 VET qualifications often relate directly to specific industries or occupations, which
means that students can gain the skills and knowledge needed to start working in
their desired field right away. VET qualifications are also shorter than traditional
degree programs, enabling students to begin working and earning within a shorter
period of time. In addition, VET provides access to hands-on learning and real-world
experience that enable tactile and applied skills to be developed.29

2.30 In 2022, there were 2.1 million students enrolled in nationally recognised training
(NRT).30 Of these, 91.3 per cent were in full qualifications, including 84.9 per cent in
training package-based qualifications and 6.4 per cent in accredited qualifications.
The remainder of the enrolments were in training package and accredited skillsets.31

2.31 VET qualifications are typically offered at the Certificate I to Advanced Diploma
levels. In 2022, the majority of students (41.5 per cent) enrolled in qualifications were
undertaking courses at the Certificate III level. This was followed by Certificate IV
courses (20.2 per cent) and Certificate II courses (17.9 per cent).32 By contrast,
universities typically offer Bachelor- to Doctoral-level degrees. Some dual-sector
institutions offer both VET and university qualifications.33

2.32 In 2022, the fields of VET study with the highest enrolments were management and
commerce (20.5 per cent), society and culture (18.3 per cent), and engineering and
related technologies (17.5 per cent).34

2.33 In 2022, there were 3 million students enrolled in courses not delivered as part of a
nationally recognised program. These included product- or industry-specific training
and short courses such as first aid. The majority of enrolments (67.6 per cent) were

27 DEWR, Submission 76, p. 9.


28 Mr Ben Bardon, CEO, National Apprenticeships Association Australia (NAAA), Committee Hansard,
19 April 2023, p. 16.
29 Australian Chamber of Commerce and Industry (ACCI), Submission 43, p. 4.
30 NCVER, Total VET Students and Courses 2022, 17 August 2023.
31 NCVER, Total VET Students and Courses 2022, 17 August 2023.
32 NCVER, Total VET Students and Courses 2022, 17 August 2023.
33 Department of Education, Submission 89, pages 3–4.
34 NCVER, Total VET Students and Courses 2022, 17 August 2023..

13
in health, followed by engineering and related technologies (11.9 per cent) and
management and commerce (67.6 per cent).35

Nationally recognised training


2.34 Nationally recognised training covers qualifications and units of competency based
on Training Packages, and individual qualifications and units endorsed by ASQA.

2.35 Training Packages are the basis for most programs delivered in the VET system.36
Packages specify the knowledge and skills required by individuals to perform
effectively in the workplace and set out how units of competency are packaged into
skillsets and qualifications. Training Packages are mostly used by RTOs to design
curricula and by employers to assist with workforce planning and development.37

2.36 Training Packages contain the following products:


• Units of competency, which specify workplace performance standards.
• Assessment requirements for each unit of competency.
• Qualifications aligned to the Australian Qualifications Framework (AQF).
• Credit arrangements specifying arrangements between Training package
qualifications and higher education qualifications in accordance with the AQF.38

2.37 Packages are developed and implemented in accordance with the Training Package
Organising Framework (TPOF), which came into effect in January 2023. The TPOF
was designed to place industry and learners at the centre of the VET system, and
ensure that training product development is faster, less bureaucratic, and more
responsive to national and local skills need.39 New arrangements for the development
of Training Packages followed a review conducted in 2018. This found that the
process was overly complex and bureaucratic, lacked transparency, and limited
engagement.40 The development of Training Packages is discussed in Chapter 5.

2.38 Accredited courses are typically developed by RTOs and other organisations when a
training need is not covered by a Training Package and a course needs to be
nationally recognised. A course cannot be accredited to address an outcome that can
be achieved via a Training Package. ASQA accredits courses against Standards for
VET Accredited Courses and the AQF. Only RTOs may deliver accredited training.41

35 NCVER, Total VET Students and Courses 2022, 17 August 2023.


36 DEWR, Training packages, https://www.dewr.gov.au/nci/training-packages, viewed 31 January 2024.
37 DEWR, Training Package Products Development and Endorsement Process Policy, November 2022, p. 5,
https://www.dewr.gov.au/skills-support-individuals/resources/training-package-products-development-and-
endorsement-process-policy, viewed 31 January 2024
38 DEWR, Training Package Products Development and Endorsement Process Policy, November 2022, p. 6.
39 DEWR, Training Package Products Development and Endorsement Process Policy, November 2022, p. 4.
40 See Department of Prime Minister and Cabinet, Strengthening Skills: Expert Review of Australia’s Vocational
Education and Training System, p. 53, https://www.pmc.gov.au/publications/strengthening-skills-expert-
review-australias-vocational-education-and-training-system, viewed 31 January 2024.
41 ASQA, Course accreditation, https://www.asqa.gov.au/course-accreditation, viewed 31 January 2024. See
also Standards for VET Accredited Courses 2021 [F2021L00269].

14
Apprenticeships and traineeships
2.39 Some VET students complete their qualification as an apprenticeship or traineeship.
This is a learning pathway which combines paid in-work training with formal study.42
Apprenticeships and traineeships (covered by the term ‘Australian apprenticeships’)
are available in a variety of VET qualification levels and can be full-time, part-time, or
school-based.43

2.40 Typically, an apprenticeship is a structured arrangement of 3.5 to four years. It is


often undertaken in trade sectors such as plumbing or electrical. A traineeship is of
shorter duration and is undertaken in a wider variety of areas including health, IT,
and hospitality. A comparison of the two pathways is set out in Table 2.1.

Table 2.1 Comparison: apprenticeships and traineeships


Apprenticeship Traineeship
Industry Focused on trades in areas such as Various areas including health, care, support
automotive, electrical, mechanical, work, infrastructure, engineering, business,
bricklaying, plumbing, and carpentry IT, marketing, and hospitality..
Length Three to four years, full or part-time 12 months to two years, full or part-time
Entry No qualification needed to start. Can No qualification needed to start. Can be
be completed by Years 10, 11, and completed by Years 10, 11, and 12 students,
12 students, and school leavers. and school leavers.
Pay Set base rates, including full Set base rates, including full allowances and
allowances and entitlements entitlements
Qualification Certificate II to Advanced Diploma Certificate II to Advanced Diploma

Source: Apprenticeship Careers Australia, Difference between an apprenticeship and a traineeship,


https://www.apprenticeshipcareers.com.au/job-seekers/fact-finding/difference-between-apprenticeship-and-traineeships

2.41 As of December 2022, there were 377,655 individuals completing an apprenticeship


or traineeship, representing around 14 per cent of all VET program enrolments. The
majority of apprenticeship enrolments (60.3 per cent) were in trade occupations. The
most common areas of study by enrolment were engineering and related
technologies (37.2 per cent), management and commerce (19.3 per cent), and
architecture and building (18.7 per cent).44

42 Australian Apprenticeship Support, What is an Apprenticeship, https://www.apprenticeshipsupport.com.au/


Apprentices/What-is-an-apprenticeship, viewed 31 January 2024.
43 DEWR, Submission 76, pages 5–6.
44 Data generated using NCVER’s ‘DataBuilder’ online tool. See also NCVER, Apprentices and trainees: 2022
December quarter, 1 August 2023, https://www.ncver.edu.au/research-and-statistics/publications/all-
publications/apprentices-and-trainees-2022-december-quarter, viewed 31 January 2024.

15
The Australian Qualifications Framework
2.42 The AQF is the national policy for regulated qualifications in Australian education and
training. It comprises:
• Learning outcomes for each level and qualification type.
• Specifications for the application of the AQF in the accreditation and development
of qualifications.
• Policy requirements for:
o issuing AQF qualifications;
o qualification linkages and student pathways; and
o registers of organisations authorised to accredit and issue AQF qualifications, and
of AQF qualifications and related pathways.
• Definitions of the terminology used in the policy.45

2.43 There are 10 levels in the AQF. Level 1 has the lowest complexity, and Level 10 the
highest. Learning outcomes are constructed around what graduates are expected to
know, understand and be able to do as a result of their learning, expressed in terms
of knowledge, skills, and application. The VET sector typically offers qualifications at
AQF Levels 1 to 6: Certificate I to Advanced Diploma. Universities offer qualifications
at the AQF Levels 7 to Level 10: Bachelor to Doctoral Degree.46

Completion rates and student outcomes


2.44 For nationally recognised qualifications commencing in 2018 (the latest year actual
completion rates are available), the completion rate was 47.6 per cent. Training
Package qualifications saw a higher completion rate (48.7 per cent), while completion
rates for accredited qualifications were lower (36.4 per cent). Completion rates were
higher for women (50.1 per cent) than for men (44.9 per cent).47

2.45 Completion rates rose by AQF level, from 36 per cent at the Certificate I level to 56.7
per cent for qualifications at the Diploma level or higher. Completion rates were
highest among enterprise providers (58 per cent) and schools (50.4 per cent), and
lowest among TAFEs (44.1 per cent) and community providers (44.4 per cent).48

2.46 Completion rates for apprentices and trainees were higher than average for the VET
cohort. In 2022, the completion rate for apprentices across all occupations was 55.8
per cent, falling to 53.4 per cent for trade occupations. Contract completion rates—
that is, the proportion of contracts for training which commenced and were completed

45 Australian Qualifications Framework Council, Australian Qualifications Framework, January 2013, p. 9,


https://www.aqf.edu.au/framework/australian-qualifications-framework, viewed 29 January 2024.
46 Department of Education, Submission 89, pages 3–4.
47 NCVER, VET qualification completion rates 2022, 30 August 2023, https://www.ncver.edu.au/research-and-
statistics/publications/all-publications/vet-qualification-completion-rates-2022, viewed 29 January 2024.
48 NCVER, VET qualification completion rates 2022, 30 August 2023.

16
with the same employer—were 48.7 per cent for all occupations, falling to 42.2 per
cent for trades. Contract recommencements and movements between employers is
higher for trades than for non-trade apprenticeships and traineeships.49

2.47 Analysis of ABS population statistics and VET completions indicates that completions
as a share of the working age population have increased between 2016 to 2021. This
indicates that holding at least one VET qualification is becoming more common in the
labour force. Moreover, more VET completions are in occupations with higher VET
shares of employment (where there is demand for a VET-qualified workforce), and in
occupations with strong employment growth.50

2.48 In 2023, the key reason cited for not completing training among students undertaking
VET qualifications were change in employment, followed by ‘personal reasons’ and
finding training to be ‘not as expected’. Both students who completed a qualification
and those who did not complete reported high levels of satisfaction with the training
(88.1 per cent and 76.6 per cent of the cohorts, respectively), including the quality of
teaching and assessment processes. 67.6 per cent of students who completed a
qualification, and 58.9 per cent of those did not, also reported improved employment
outcomes—including employment at a higher skill level or in a better job.51

2.49 Apprentices and trainees reported relatively high levels of satisfaction with training
and skills development—particularly in trade areas. For example, 89.4 per cent of
those who had completed a trade apprenticeship and 89.5 per cent of those who had
completed a qualification in a non-trade field were satisfied with learning outcomes.
This fell to 78.9 and 69.1 per cent (for trade and non-trade fields, respectively) for
those who did not complete. Rates of employment after training were high for all
cohorts (both ‘completers’ and ‘non-completers’, in both trade and non-trade areas).52

2.50 The main reasons for non-completion for apprentices and trainees were employment-
related (65.4 per cent), followed by personal reasons (13.9 per cent), and reasons
relating to the training (12.5 per cent).53 This reflects evidence from stakeholders that
apprentices are typically happy with the training offer, with non-completion often due
to issues with workplace culture, low wages, delays commencing training with their
VET provider, inability to secure a female trainer or mentor (for female apprentices);
and language, literacy, and numeracy barriers.54

49 NCVER, Completion and attrition rates for apprentices and trainees 2022, 4 September 2023,
https://www.ncver.edu.au/research-and-statistics/publications/all-publications/completion-and-attrition-rates-
for-apprentices-and-trainees-2022, viewed 29 January 2024.
50 JSA, Submission 81, pages 4–6.
51 NCVER, VET student outcomes 2023, 14 December 2023, https://www.ncver.edu.au/research-and-
statistics/publications/all-publications/vet-student-outcomes-2023, viewed 29 January 2024.
52 NCVER, Apprentice and trainee outcomes 2022, 23 March 2023. https://www.ncver.edu.au/research-and-
statistics/publications/all-publications/apprentice-and-trainee-outcomes-2022, viewed 29 January 2024.
See also Master Builders Australia (MBA), Submission 71, p. 10.
53 NCVER, Apprentice and trainee outcomes 2022, 23 March 2023.
54 See, eg, NAAA, Submission 60, p. 4; Mr Bardon, NAAA, Committee Hansard, 19 April 2023, p. 14.

17
2.51 Evidence indicated that additional data should be collected to enable a true picture of
commencement and completion rates across VET offerings including apprenticeships
and traineeships.55 Stakeholders noted the following issues:
• Completion of individual or grouped units of competency may not be counted as
‘success’ in training statistics, despite learners deliberately enrolling in individual
units to meet their training needs.56
• Some apprentices leave their apprenticeship after identifying that it is not suited to
their needs or aspirations. This should not be considered a system failure.57

2.52 The Australian Industry Trade College (AITC) recommended a longitudinal study on
completion of apprenticeships be conducted, stating that it is crucial to examine long-
term outcomes of young people after completing school while identifying gaps in
career decision-making processes.58

Providers
2.53 To deliver nationally recognised courses and accredited qualifications, a provider
must be registered with ASQA. Non-registered providers are not permitted to deliver
accredited training but may deliver non-award courses. In 2022, there were 3,589
RTOs in Australia. Of these, the vast majority (2,884) were private training providers.
Other provider types included enterprise providers (125), community education
providers (192), schools (349), and TAFEs (24).59

2.54 By comparison, there are 170 higher education institutions, including 42 universities.
The majority of these institutions are accredited providers which deliver accredited
courses and qualifications for specific sectors—typically at the AQF levels 7 to 10.60

2.55 RTOs vary in size from small organisations which may deliver bespoke courses and
qualifications (often specific to an industry or sector) to larger—often public—entities
which may deliver a significant proportion of VET within a jurisdiction.61 In 2022, of
the students enrolled in nationally recognised training:
• 76.2 per cent were enrolled with private training providers.

55 See, eg, Ms Annie Butler, Federal Secretary, Australian Nursing and Midwifery Federation (ANMF),
Committee Hansard, 26 April 2023, p. 9.
56 NSW Department of Education, TAFE NSW, and NSW Education Standards Authority (NSW Department of
Education et al), Submission 77, p. 8.
57 MBA, Submission 71, pages 11–13.
58 Australian Industry Trade College (AITC), Submission 31, p. [13].
59 NCVER, Total VET students and courses 2022, 17 August 2023.
60 See Universities Australia, Australian Higher Education, https://universitiesaustralia.edu.au/policy-
submissions/teaching-learning-funding/australian-higher-education, viewed 31 January 2024. See also
Department of Education, 2020 List of higher education institutions,14 February 2022,
https://www.education.gov.au/higher-education-statistics/resources/2020-list-higher-education-institutions,
viewed 31 January 2024.
61 AQSA, What is an RTO, https://www.asqa.gov.au/rtos/what-is-an-rto, viewed 31 January 2024. See also
Ms Sharp, DEWR, Committee Hansard, 22 March 2023, p. 1. NCVER, Submission 36, p. 1; Ms Jenny Dodd,
CEO, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 1.

18
• 15.9 per cent were enrolled with TAFEs.
• 10.9 per cent were enrolled with community education providers.
• 2.3 per cent were enrolled with enterprise providers.
• 2.3 per cent were enrolled with schools.
• 1.5 per cent were enrolled with universities.62

Fees
2.56 Typically, providers set their own fees for courses and units offered, with fees varying
from less than $100 for a short, part-day course or unit, to many thousands of dollars
for multi-year, specialised qualifications. Course costs may reflect a range of factors,
including class sizes, contact hours, and teaching salaries, as well as policy settings
across jurisdictions.63

2.57 Government subsidies are available for many courses and qualifications. There is
substantial variation in fees and government subsidies across Australia, including for
the same qualification and in the same jurisdiction. While there is little systemic
national data on the differences in prices across the VET sector, recent analysis by
the National Skills Commission (NSC—now Jobs and Skills Australia (JSA)),
indicates that in 2021–2022:
• The average VET student could expect to pay around $1,100. Fees varied by the
level of qualification. Certificate I fees may be as low as $100, while the average
fee for an Advanced Diploma is $3,400.
• For apprenticeships and traineeships, around 87 per cent of the course fee is
covered by subsidies. This falls to 76 per cent for other training. Students are
required to pay the difference between the course fee and the subsidy.
• The average price variation between jurisdictions for the same qualification was
around $3,000, rising to more than $10,000 in some cases. There was especially
large variation for some trade-related Certificate III qualifications.64

2.58 Variations in prices for select qualifications are included in Table 2.2.65

Table 2.2 Fees and subsidies for selected VET qualifications, 2021
Qualification Subsidy Fee Average Minimum Maximum
(%) (%) price price price

62 NCVER, Total VET students and courses 2022, 17 August 2023.


63 Parliamentary Library, ‘The Vocational Education and Training Sector: A Quick Guide, 24 June 2021.
64 National Skills Commission, VET average price benchmarks: findings from the national VET average price
benchmark database, 26 March 2021, p. 2, https://www.voced.edu.au/content/ngv%3A90161, viewed
29 January 2024.
65 The table includes a mix of accredited and non-accredited training, selected based on the significance of the
price and subsidy variation across jurisdictions.

19
Certificate III in Hairdressing 92% 8% $9,900 $9,600 $18,100
(non-accredited training)
Diploma of Nursing 65% 35% $19,200 $14,700 $28,700
(non-accredited training)
Certificate III in Plumbing 95% 5% $21,800 $13,200 $29,700
(accredited training)
Certificate IV in Community Services 81% 19% $8,500 $3,100 $14,300
(non-accredited training)
Certificate IV in Training and Assessment 65% 35% $4,100 $2,700 $4,900
(non-accredited training)
Source: National Skills Commission, VET average price benchmarks, pages 18–22
https://www.nationalskillscommission.gov.au/publications/average-price-benchmarking-report.

VET delivered to secondary school students


2.59 VET delivered to secondary school students (VETDSSS) is undertaken by senior
secondary school students and can contribute to the Senior Secondary Certificate of
Education (SSCE).66 In 2022, there were 242,945 people participating in VETDSSS.
This accounted for around 26.8 per cent of the Australian population who were at
school and aged 15 to 19 years.67

2.60 VETDSSS is typically delivered by a school that is registered as a provider or in


partnership with an RTO. Some schools also deliver VET on behalf of an RTO under
third-party arrangements. A common misconception is that VETDSSS is separate
from other VET offerings. This is notwithstanding that VETDSSS uses the same set
of competency standards and is delivered, assessed, and certified under the same
conditions as VET undertaken by non-secondary students.68

2.61 In 2022, most VETDSSS students were enrolled in Training Package courses, with a
smaller proportion in accredited qualifications. Most enrolments were at the
Certificate II and III levels (57.3 per cent and 32.6 per cent, respectively). The most
common fields of study were tourism; hospitality; sport and recreation; business
services; and construction, plumbing, and integrated services. VETDSSS was most
commonly delivered by private providers (38.6 per cent), followed by onsite delivery
at schools (28.8 per cent). Approximately 15 per cent of participants were enrolled
with a TAFE institute, and a similar number attended more than one provider type.69

66 ASQA, VET delivered to secondary school students scoping study, 1 July 2021, p. 1,
https://www.asqa.gov.au/how-we-regulate/strategic-reviews/past/vet-schools, viewed 29 January 2024. See
also National Catholic Education Commission (NCEC), Submission 33, p. 4; Catholic Education Commission
of Victoria (CECV), Submission 48, p. 4. ‘VETDSSS’ is used in place of ‘VET in Schools (VETiS)’ to reinforce
that VET delivered in schools is the same as VET delivered in the broader education and training ecosystem.
67 NCVER, VET in Schools 2022, 27 July 2023, p. 1, https://www.ncver.edu.au/research-and-
statistics/publications/all-publications/vet-in-schools-2022, viewed 29 January 2024.
68 ASQA, VET delivered to secondary school students scoping study, 1 July 2021, pages 10–11.
69 NCVER, VET in Schools 2022, 27 July 2023.

20
2.62 In 2022, most students participating in VETDSSS were enrolled at public schools
(60.5 per cent), followed by catholic schools (18.2 per cent). Approximately 15 per
cent of VETDSSS students were enrolled with independent schools.70

2.63 The majority of VETDSSS participants were in Queensland, followed by Victoria and
NSW.71 DEWR observed that the higher number of enrolments in Queensland may
be driven by a delivery model that makes extensive use of on-site and external
RTOs. Around 70 per cent of all school-based RTOs had their headquarters in
Queensland in 2021. School-based RTOs in Queensland tend to focus on the
delivery of non-trade Training Packages. Foundation skills also represent a much
larger percentage of Training Package courses and qualifications delivered in
Queensland than the national average (39.6 per cent of training in Queensland
compared to a national average of six per cent).72

2.64 A core component of VETDSSS are school-based apprenticeships and traineeships


(SBATs). These allow secondary school students—typically in Years 10, 11 or 12—
to work for an employer and obtain a recognised qualification while completing their
SSCE.73 In 2022, there were 20,765 students undertaking SBATs, representing 8.5
per cent of VETDSSS participants.74

2.65 ASQA is responsible for ensuring that VETDSSS is consistent with the VET Quality
Framework. This responsibility is shared with state-based regulators where training is
delivered by providers operating solely in those states. Where VET is delivered by a
secondary school, there is a division of oversight, responsibility and authority with
state and territory governments as the regulators of secondary schooling throughout
Australia. This can create challenges in ensuring that VETDSSS is delivered at a
level consistent with the Quality Framework.75

VET and the labour market


2.66 Several stakeholders emphasised that VET is and will be a significant contributor to
meeting current and future skills needs, including in emerging industries76

2.67 JSA observed that in the year to February 2023, 36 per cent of total employment
growth has been in occupations where university qualifications are a primary
pathway, while over 60 per cent of total employment growth has been in VET-related

70 NCVER, VET in Schools 2022, 27 July 2023.


71 NCVER, VET in Schools 2022, 27 July 2023.
72 DEWR, Submission 76.1, p. [5].
73 ASQA, VET delivered to secondary school students scoping study, 1 July 2021, p 1.
74 NCVER, VET in Schools 2022, 27 July 2023. See also Ms Laura Angus, First Assistant Secretary, Careers
and International Division, DEWR, Committee Hansard, 22 March 2023, p. 4.
75 ASQA, VET delivered to secondary school students scoping study, 1 July 2021, p. 1.
76 See eg Ms Clare Sharp, Acting Deputy Secretary, Skills, and Training Group, DEWR, Committee Hansard,
22 March 2023, p. 1, p. 9; NCVER, Submission 36, p. 1; AQSA, What is an RTO.

21
occupations. Growth has been highest in occupations requiring Certificate II- to
Certificate IV-level qualifications.77

2.68 Contrary to popular misconceptions that VET is largely for training trades workers,
VET has a range of roles in the labour market. For example, 34.5 per cent of
employed people across all occupations had a VET qualification as their highest
education level in 2021. VET-qualified workers make up over 30 per cent of people
employed in all broad occupational groups except sales workers and professionals.78

2.69 The Australian Academy of Technological Sciences and Engineering (AATSE) noted
that VET plays a critical role in responding to skills needs in STEM professions.
Moreover, with the construction and manufacturing sectors being the largest
employer of people who hold STEM VET qualifications, the VET sector will be
essential to upcoming nation-building projects.79

2.70 The Committee heard that VET will play a crucial role in ensuring the workforce is
prepared for future opportunities, including in emerging sectors.80 It will also have a
key role in addressing skill gaps, notwithstanding mixed evidence as to whether the
sector is currently responding to current workforce shortages:
The concentration of VET qualified persons in occupations listed as experiencing
a shortage on the Skills Priority List is 39.8 per cent This is higher than the 34.5
per cent VET concentration when considering all occupations. By contrast, the
average VET concentration across occupations not listed as experiencing a
shortage on the Skills Priority List is 33.2 per cent, which is much lower than the
VET concentration for occupations that are experiencing a shortage.81

2.71 The Queensland Nurses and Midwives Union stated that VET has a key role in
addressing skills and workforce gaps in health—particularly in regional and remote
areas. This may include increasing the number of trained staff in rural areas and First
Nations communities and providing a critical first step for skills development and
further training.82

2.72 JSA observed that total employment for occupations requiring a VET qualification is
projected to grow by 7 per cent between 2021 and 2026 and is expected to account
for just over 50 per cent of all jobs. Employment growth in occupations requiring a
university qualification will be higher (around 13.5 per cent). However, the share of all
occupations requiring a VET qualification is expected to remain higher than those
requiring a university qualification for the immediate future.83

77 See JSA, Submission 81, p. 2; Professor Dawkins AO, Director, JSA, Committee Hansard, 22 March 2023,
p. 2.
78 JSA, Submission 81, p. 2.
79 Australian Academy of Technological Sciences and Engineering, Submission 49, p. 1.
80 See, eg, Refraction Media, Submission 9, p. 4; ACCI, Submission 43, p. [4]; MBA, Submission 71, p. 2;
Australian Flexible Pavement Association, Submission 74, p. [1].
81 JSA, Submission 81, p. 7.
82 Queensland Nurses and Midwives Union, Submission 26, p. 4
83 JSA, Submission 81, p. 9. See also Professor Dawkins AO, JSA, Committee Hansard, 22 March 2023, p. 2.

22
2.73 The Shop Distributive and Allied Employees Association (SDA National) noted that
most industries in which its members work do not require fully qualified staff at all
levels but are nonetheless suffering from a lack of a critical mass of formally qualified
staff—particularly at the mid-management levels. SDA National told the Committee
that this manifests as dysfunctional workplaces, undervalued teams, significant levels
of underemployment, and ineffective change management. SDA National indicated
that VET has a growing role in addressing this concern, particularly noting the
changing nature of work and emerging digital-focused roles.84

2.74 DEWR told the Committee that economic forecasts show VET will continue to have a
role in supporting workforce participation and productivity, noting that employment
growth is anticipated in sectors which rely on VET graduates, including aged and
disability support, childcare, and agriculture. DEWR emphasised that the sector must
respond to widespread skills shortages across Australia, stating that this requires:
…cooperation between governments, employer bodies, unions, and training
providers to ensure the VET sector is delivering the right training where people
who need it can get access. It will also mean challenging some traditional
stereotypes about who should do what training or participate in any particular
occupation and ensuring that groups that lack the necessary foundation skills, or
that experience other vulnerabilities are not left behind. 85

2.75 A VET Workforce Blueprint was announced as an outcome of the 2022 Jobs and
Skills Summit in 2022. This will aim to address challenges currently facing the VET
workforce and identify effective strategies for growing the VET workforce, attraction
and retention, capability and career development and succession planning.86

2.76 The Employment White Paper highlighted that the mix of skills required in the labour
force is changing as Australia’s economy evolves. This indicates that an adaptable
and highly skilled and educated workforce will be required to meet the challenges
and opportunities of an uncertain future. The White Paper noted that in the next ten
years, 90 per cent of new jobs will require post-secondary qualifications, with around
44 per cent of those jobs requiring a VET qualification and around 48 per cent
requiring a bachelor’s degree or higher.87

The VET sector: perceptions and reality


2.77 Stakeholders highlighted common views of the VET sector and careers to which a
VET pathway leads. Many of these views were negative and reflected a low level of
understanding of VET among members of the public. This is not to say that there are
no positive views of the sector. For example, Monash University highlighted research
showing that many people that VET prepares students well for further education and

84 Shop Distributive and Allied Employees Association (SDA National) Submission 44, pages [1–2].
85 DEWR, Submission 76, pages 4–5.
86 DEWR, Submission 76, p. 6.
87 Australian Government, Working Future: The Australian Government’s White Paper on Jobs and
Opportunities, 25 September 2023, p. 98.

23
work, provides practical, hands-on learning, and supports achievement of specific
career goals—including obtaining paid work.88

2.78 A common theme in evidence was that VET does not enjoy the same status as
university, with stakeholders noting that VET is often perceived as less intellectually
demanding than higher education and less likely to lead to a fulfilling or lucrative
career.89 For example, the Australian Chamber of Commerce and Industry observed
that there has been systematic encouragement of higher education as the preferred
aspiration. This ignores the fact that higher education is not suited to all members of
the Australian community.90

2.79 SkillsIQ indicated that perceptions of VET as being inferior to university have been
internalised by employers and contribute to an overqualified workforce, noting that:
• There is a general perception that a degree is the entry requirement into many
jobs—including some entry-level positions.
• Employers frequently require—at least in their job advertisements—higher
qualifications than needed for a role.
• Government policies have promoted higher education as a means of building the
nation’s innovation and productivity.91

2.80 Stakeholders observed that negative perceptions of the VET sector are driven by
perceptions of the careers to which VET pathways lead, noting a pervasive view that
VET pathways lead to a narrow range of careers, and that VET-related careers are
low paid and involve manual labour. 92 For example, Professor Erica Smith stated:
[Occupations] that people understand as being respected, archetypal jobs like
doctor, lawyer and so on, are not taught in the VET system … [These]
occupations are understood and valued, whereas jobs in industries that don't
have very clear occupational titles are not understood and valued. I think this is
part of the reason why VET compared with university is undervalued.93

2.81 The Integrated Information Service observed that perceptions of VET-related careers
are particularly significant for apprenticeships and traineeships, as the apprenticeship
pathway often leads directly to employment.94

88 Monash University, Submission 83, p. 5.


89 See, eg, Professor Robin Shreeve, Submission 1, pages [2]-[3]; Dr Phillip Rutherford, Submission 4, p. 14;
ACCI, Submission 43, p. 3; Professor Erica Smith, Submission 72, p. 1; Aphacrucis University College,
Submission 82, p. [6]; Dr Mark Dean, Research and Planning Officer, Australian Manufacturing Workers
Union (AMWU), Committee Hansard, 26 April 2023, p. 5.
90 ACCI, Submission 43, pages 3–4.
91 SkillsIQ, Submission 50, p. 6. See also AVETRA, Submission 52, p. 3.
92 See, eg, Dynamic Learning Services (DLS), Submission 23, pages 4–5; SDA National, Submission 44, p. 2.
93 Professor Erica Smith, private capacity, Committee Hansard, 3 May 2023, p. 11.
94 Integrated Integration Service (IIS), Submission 43, p. [2].

24
2.82 The National Careers Institute reported that in 2020 the median annual full-time
salary was $60,000 for VET graduates and $64,700 for university graduates.95

2.83 There can be large differences in income between university- and VET-related
careers. For example, in 2020, the median starting salary for dentistry was $84,000.
Starting salaries for university graduates also increased by qualification level, with
the salary for holders of postgraduate research degrees specified as $93,000 for that
year.96 For VET, salaries in trades such as plumbing often match those for positions
requiring university degrees, while salaries in (often female-dominated) fields such as
beauty tend to be far lower.97

2.84 Research comparing VET and higher education pathways for the same occupation
indicates that starting salaries are often similar if not identical for the two pathways.
However, over time higher education qualifications tend to lead to higher pay, more
autonomy, and greater career progression. Moreover, when assessing candidates for
positions—including promotions—employers often value experience, skills, and
overall ‘fit’ with the organisation more than the qualification.98

2.85 While employees in fields requiring degrees may earn more over their working life,
VET students often enter the workforce financially better off than their university
counterparts. Research by Empowered Women in Trades estimates that trades
apprentices leave apprenticeships $197,000 to $247,000 ahead of university
graduates.99

2.86 Stakeholders also indicated that perceptions of VET are linked to and influenced by
perceptions of specific sectors, noting that this may lead to lower engagement with
those sectors and exacerbate current skill shortages. Examples include:
• A mistaken belief that manufacturing is ‘dirty [and] Dickensian’, notwithstanding
that manufacturing is increasingly a very scientific industry.100
• Stigma and discrimination surrounding the community mental health sector, with
the sector often seen as less prestigious and poorly remunerated.101

2.87 Professor Shreeve noted that negative perceptions of VET-related occupations may
be driven less by views on earning potential than by community views on certain
professions, stating that ‘even if plumbers earned more than medical practitioners,
many in the general public would consider plumbers to be of lower status’.102

95 National Careers Institute (NCI), Australian Jobs 2021: Education Employment Outcomes, p. 46,
https://www.yourcareer.gov.au/resources/australian-jobs-2021-pathways-to-workviewed 17 August 2023.
96 NCI, Australian Jobs 2021: Education Employment Outcomes, p. 46, viewed 17 August 2023.
97 See, eg, Professor Shreeve, Submission 1, p. [1]; MBA, Submission 71, p. 10.
98 NCVER, VET and higher education pathways – do outcomes differ for the same occupation, p. 3,
https://www.ncver.edu.au/research-and-statistics/publications/all-publications/vet-and-higher-education-
pathways-do-outcomes-differ-for-the-same-occupation, viewed 17 August 2023. See also Professor
Shreeve, Submission 1, p. [1].
99 See MBA, Submission 71, p. 9.
100 Dr Dean, AMWU, Committee Hansard, 26 April 2023, pages 4–5.
101 Queensland Alliance for Mental Health, Submission 35, p. 7.
102 Professor Shreeve, Submission 1, p. [1].

25
2.88 A critical factor in negative perceptions of VET is lack of awareness. Research by the
Career Industry Council of Australia (CICA) identified poor awareness of the role of
VET and its contribution to skills and workforce development.103 Monash University
observed that VET is not as well understood as secondary school or university.104

2.89 Perceptions of VET often vary according to geographic location and demographic
characteristics.105 AMES Australia noted that for many migrants there is a perception
that VET offers lower value qualifications relative to university and is associated with
trades. This can lead migrants to choose a university (graduate) qualification as a
means of returning to employment, despite VET being the better pathway.106

2.90 Work is ongoing to provide more reliable, consistent data on VET outcomes. JSA
noted that it is in the process of developing a VET National Data Asset to help inform
discussions on career pathways and training outcomes. This will bring together VET
data with a range of outcomes data—including on employee income, employment
status, progression to further study, and receipt of government assistance.107

Employer and industry views


2.91 Employers and industry often hold positive views of the VET sector compared to the
general public.108 Newbery Consulting stated that employers recognise VET as a
primary pathway to grow their workforce—particularly when there is a scarcity of
people with relevant skills—and consider that the VET sector offers:
• The ability to adapt quickly to changes in the industry and to changing employer
needs, and to provide customised learning packages.
• Local knowledge, with many VET providers embedded in their local communities
and able to provide targeted training programs tailored to their needs.
• Specialisation in industry sectors, enabling more targeted training programs.
• Better customer service and ongoing consultation.109

2.92 This notwithstanding, employer satisfaction with VET has fallen over time, from a
high of 85 per cent in 2011 to 73 per cent in 2019. This is reflected in Figure 2.3.

103 Pharmacy Guild of Australia, Submission 24, p. 4


104 Monash University, Submission 83, p. 4.
105 Tasmanian Government, Submission 11, p. [1].
106 AMES Australia, Submission 25, p. 3.
107 JSA, Submission 81, p. 12.
108 See, eg, Australian Industry Group Centre for Education and Training, Submission 47, p. 2; Monash
University, Submission 83, pages 5–6.
109 Newbery Consulting, Submission 16, p. 23.

26
Figure 2.3 Employer satisfaction with VET, 2005-2021

Source: Business Council of Australia, Submission 93, p. 3

2.93 Stakeholders attributed this decline to a perception that relevant skills are not taught,
a lack of recruitment and HR support for employers looking to engage VET-qualified
candidates, and structural issues in the sector, including funding inconsistencies
between jurisdictions. The Committee heard that the sector must urgently prioritise
industry partnerships as a means of ensuring industry can access a competent and
efficient workforce that responds to skills needs—including at the local level.110

Committee comment
2.94 Lifting perceptions of the VET sector will require implementing measures to improve
sector governance and regulation, lift the quality and relevance of training, and
enhance the student experience. This will necessarily require reliable, accurate data.

2.95 There is compelling evidence that additional, more granular data should be collected
to enable government and other stakeholders to identify, understand and respond
appropriately to key issues facing the sector, including completion rates and key
barriers faced by a diverse student cohort. This should include addressing key gaps
in existing data collection mechanisms.

110 See, eg, Skills Impact, Submission 13, p. [5]; MCA, Submission 92, p. 8; Business Council of Australia,
Submission 93, p. 3.

27
Recommendation 1

2.96 The Committee recommends the Australian Government work with State and
Territory Governments and key stakeholders such as the National Centre for
Vocational Education Research to improve data collection and reporting
mechanisms in the vocational education and training sector. This should
include a focus on the diversity of pathways within the sector and on better
understanding the complex barriers faced by students.

28
3. Information and promotion
3.1 This chapter sets out measures to increase awareness and understanding of the
vocational education and training (VET) sector and promote VET as a sector of
choice to prospective students and other key stakeholders.

3.2 The chapter also emphasises that improving perceptions of VET cannot rely solely
on providing information and promoting the sector to students, employers, and other
stakeholders. Improvements must also be made to ensure the sector delivers the
quality education and training required to respond to current and emerging skills
need. Specific measures to improve the sector are outlined in subsequent chapters.

VET sector and pathways


3.1 Reliable, accurate information is critical to ensuring that prospective students can
make informed decisions about training and career pathways. This in turn helps to
reduce rates of student attrition and lift perceptions of the sector. Stakeholders
indicated that information on the VET sector should capture courses, qualifications,
and individual registered training organisations (RTOs), and provide clear guidance
on VET pathways and career—differentiated by categories of learner.1

3.2 Independent Schools Australia (ISA) asserted that information on the sector must be
clear, concise, and promote a good understanding of VET and VET outcomes, with
consistent information between jurisdictions. Information should also be tailored to
groups of stakeholders, including students, parents and carers, career practitioners,
VET educators, and school leaders. ISA also observed that providing information on
how VET and university offerings intersect will help address an unhelpful dichotomy
between the sectors.2

3.3 TAFE Directors Australia recommended that Commonwealth-funded information on


VET take into consideration the different profiles of people using the VET system and
be targeted appropriately to each demographic. It also emphasised that people
enrolling in technical and further education (TAFE) are extremely diverse. Some have
been in the workforce but are looking for a start in a clearly defined career pathway,
others are looking to re-skill or upskill, and others are returning to work after a
prolonged absence. Students also come from a range of cultural backgrounds and
have varying levels of education.3

1 See, eg, AMES Australia (AMES), Submission 25, p. 3; Queensland Nurses and Midwives Union (QNMU),
Submission 26, p. 7; Integrated Information Service (IIS), Submission 53, pages. 3–4; Professor Erica Smith,
Submission 72, pages 2–3; Western Australian (WA) Government, Submission 97, pages 2–3.
2 Independent Schools Australia (ISA), Submission 84, p. 7.
3 TAFE Directors Australia, Submission 59, p. 3.

29
3.4 Newbery Consulting (Newbery) recommended that government implement a strategy
to communicate key information on available VET-related career pathways in a way
that engages users and is easy to navigate and share. The information should cover:
• Education and training pathways, differentiated by life stage (for example, school
leaver or career advancement).
• VET-enabled roles by industry sector, including entry-level and senior roles.
• The skills and tasks to be performed in identified positions and an explanation of
how these skills and tasks will change over time.
• Careers information and support with goal setting, tailored to individual needs.
• Remuneration for various roles within the sector.
• Certifications or licences required for different roles within the sector.
• How various roles impact on work-life balance.
• Work health and safety hazards, informed by recent and historic trends.4

3.5 The Isolated Children’s Parents Association of Western Australia (ICPAWA) called
for the establishment of a ‘one-stop-shop’ comparison website, including information
on RTOs, job availability, non-financial and financial support offered by government,
and tools to assist with career decision-making.5

3.6 The Tasmanian Government called for more information on pay and conditions and
the linkages between VET and universities, as well as for material highlighting those
employers which learners may find inspiring as they move from VET to employment.6

3.7 The Minerals Council of Australia (MCA) stated that evidence-based resources on
immediate and expected skills needs would be an asset for parents, teachers, and
career advisors in terms of supporting students’ decision-making and asserted that
Jobs and Skills Australia (JSA) has a vital role in delivering these resources. The
MCA recommended the following measures:
• The workforce analysis and planning functions of JSA be accelerated to develop a
comprehensive workforce plan that:
o captures skills in immediate and growing demand and where job opportunities
lie (inclusive of existing and emerging sectors); and
o enables linkages and connections by career pathways platforms to promote
national consistency.
• Government, industry, and training providers work collaboratively to provide key
influencers with the relevant information, resources, and tools to confidently
support students’ decision-making about career pathways.7

4 Newbery Consulting (Newbery), Submission 16, pages 15–16.


5 Isolated Children’s Parents Association of Western Australia (ICPAWA), Submission 61, p. 2.
6 Tasmanian Government, Submission 11, p. 2.
7 Minerals Council of Australia (MCA), Submission 92, pages. 6–7.

30
Access to information
3.8 Stakeholders highlighted ways in which current and prospective VET students
access information, indicating that these must be considered in the development of
information resources and promotional material.

3.9 The National Centre for Vocational Education Research (NCVER) drew attention to
interviews with students in Victoria which suggested that students’ choices regarding
VET study involve weighing up various factors and accessing information from a
range of sources. Factors impacting the perceived value of information to students
broadly fall into the following categories:
• Content: the relevance, influence, and informative qualities of the information.
The main types of information students use to select VET courses are location,
cost, and quality of training. Students frequently seek actual and total costs—
rather than estimates or partial costs—and value firm start and completion dates.
• Source: the preferred ‘messenger’ for accessing information and the channels
used to communicate with students. Google was identified as the default search
strategy, followed by information on providers’ websites, course guides, and to a
lesser extent government websites. Word of mouth and local intelligence also
played a vital role in decision-making.
• Customisation: ensuring that relevant and accessible information is not generic,
jargonistic or beyond the comprehension of users. Students must be able to
navigate, access, and interpret information at the course and provider levels.8

3.10 Newbery noted that web searches are a common means of finding information on
VET and raised concern that most paid and organic results on search engines such
as Google promote university pathways. Newbery suggested that government work
with experts to identify the most common keywords related to job opportunities and
VET qualifications and incorporate those keywords into online job postings and
career websites.9

Training providers and courses


3.11 A key theme in evidence was that more information on individual RTOs and courses
should be available to ensure students are able to make informed decisions about
VET pathways. Stakeholders suggested that publishing this information would also
help lift overall perceptions of the VET sector.10

3.12 Master Builders Australia (MBA) noted that information on individual RTOs and their
courses is limited to a small number of indicators including cost, duration, location,
delivery model, and whether the RTO has been subject to a regulatory decision. No
information is provided on the quality of trainers or facilities, student satisfaction, or

8 National Centre for Vocational Education Research (NCVER), Submission 36, pages 2–3.
9 Newbery, Submission 16, pages 12–13.
10 See, eg, Government of South Australia (SA Government), Submission 12, p. 4

31
student employment or salary outcomes. By contrast, information relating to higher
education is available via the CompareED website. MBA stated that information on
training quality and employment outcomes at the RTO and course level should be
made publicly available, noting that the NVCER collects but does not publish this
information.11

3.13 The Queensland Nurses and Midwives’ Union (QNMU) noted that a key source of
information on the direction and future effectiveness of the sector is engagement in
and outcomes from courses. The QNMU observed that while the NCVER provides
some information on these matters, the data is highly aggregated. Data on course
completion at the individual provider or jurisdiction level would support enhanced
decision-making for students and assist employers with workforce planning.12

3.14 Ms Claire Field emphasised that information relating to the quality of individual VET
providers is critical, and proposed:
• Provider-level student and employer satisfaction data be published, given this
data is published in the higher education sector on an annual basis.
• The Australian Skills Quality Authority (ASQA) publish key summary information
on its most recent audits of VET providers.
• Audit reports by ASQA or state regulators be published on regulators’ websites or
made available via training.gov.au. Measures should be implemented to make this
information more accessible to students.
• ASQA ensure data in its annual reports is consistent with data published by the
Productivity Commission in its annual Review of Government Services (RoGS).13

3.15 Information provided by RTOs and private organisations is of varying quality and is
often designed to market rather than to inform. Stakeholders raised concern that this
creates challenges for prospective VET students who often rely on this information
when making decisions about future pathways.14 For example, the Integrated
Information Service (IIS) stated that users want general information—not sales
material—particularly when starting to make decisions in relation to their careers.15

3.16 The National Union of Students (NUS) stated that information on individual providers’
websites is limited and rarely updated. The NUS indicated that providers should take
steps to improve the information they publish on their own websites and advertise the
My Skills website (now Your Career) to users.16

3.17 Mr Robert Heron noted that many websites which aim to attract talent into industry
sectors are professionally written by university graduates and do not provide a clear

11 Master Builders Australia (MBA), Submission 71, pages 6–7


12 QNMU, Submission 26, pages 9–10.
13 Ms Claire Field, Submission 58, pages 2–3.
14 See, eg, Newbery, Submission 16, p. 13; National Youth Commission Australia (NYCA), Submission 19,
p. [4]; Queensland Government, Submission 95, p. [3]; Mr David Carney, CEO, Career Industry Council of
Australia (CICA), Committee Hansard, 16 May 2023, p. 11.
15 IIS, Submission 53, p. 5.
16 National Union of Students (NUS), Submission 91, p. [2].

32
picture of VET-related jobs. Mr Heron noted that while plumbing covers a range of
occupations, including maintaining medical gas systems, recruitment websites often
focus heavily on sanitation. Mr Heron also identified an over-emphasis on work
safety in TAFE brochures, noting that this may not attract students to TAFE.17

System navigators
3.18 The Committee heard that simply providing information on VET courses can be
insufficient to enable users to make informed decisions about training and career
pathways. There may be a role for system navigators and other support services—
particularly for individuals in situations of disadvantage.

3.19 The NSW Department of Education, TAFE NSW, and NSW Education Standards
Authority (NSW Department of Education et al) noted that although disadvantaged
learners often obtain information about VET via similar sources to other community
members, they may find those sources challenging to navigate. This is particularly
the case for people with limited language, literacy, or digital skills who may require
support to process information and navigate enrolment processes.18

3.20 The Tasmanian Government stated that easy navigation of training options is critical
to raising the profile of VET, noting that with over 150 RTOs in Tasmania it can be
daunting for learners and employers to identify the RTOs and qualifications that meet
their skills needs. Further, information on VET at the national level is often pitched at
learners and could be enhanced to provide targeted advice for employers.19

3.21 The Queensland Government noted that the Training Ombudsman in that jurisdiction
assists stakeholders to navigate the VET system and provides in-depth guidance on
students’ rights and responsibilities. The Queensland Department of Youth Justice,
Employment, Small Business and Training has established regional networks to
support place-based employment solutions that link individuals with jobs, promote
VET pathways, and educate schools regarding VET opportunities to support school-
to-work transitions.20

3.22 Some organisations that may be considered system navigators may not be providing
effective support. For example, the National Youth Commission Australia (NYCA)
stated that while young people in receipt of income support may obtain assistance
from employment service providers, those providers focus heavily on compliance and
participation rather than connecting younger people to training opportunities.21

17 Mr Robert Heron, Submission 2, p. [2].


18 NSW Department of Education, TAFE NSW, and NSW Education Standards Authority (NSW Department of
Education et al), Submission 77, p. 16.
19 Tasmanian Government, Submission 11, p. 2.
20 Queensland Government, Submission 95, p. 3.
21 NYCA, Submission 19, p. [4]. Measures to improve the employment services system were also considered in
detail by inquiry into Workforce Australia Employment Services. See Select Committee on Workforce
Australia Employment Services, Rebuilding Employment Services: Final Report on Workforce Australia
Employment Services, November 2023.

33
Simplifying information
3.23 There are multiple sources of information on VET dispersed across jurisdictions and
individual entities. Information may be outdated and is often inconsistent across
sources. Stakeholders called for measures to consolidate information on the VET
sector and ensure its ongoing reliability, with the ultimate aim of providing a single,
trusted source of information.22

3.24 Professor Erica Smith noted that the lack of consistent, trusted sources of information
on the VET sector leads potential students and other stakeholders to form ideas and
make decisions about VET pathways based on personal experiences and advice
from others. This issue is compounded by the fact that VET receives little attention in
the media. By contrast, there are a variety of films and television series relating to the
experience of attending university.23

3.25 The Tasmanian Government noted that the national VET system is complicated and
poorly understood by participants, and particularly by learners and employers trying
to navigate training options. The Tasmanian Government stated that there is a clear
need to clarify the roles of VET participants—including Commonwealth, State, and
Territory governments, individual RTOs, and the Australian Apprenticeship Support
Network (AASN)—in providing information on the VET sector.24

3.26 The MCA stated that challenges for students, parents, and other stakeholders in
navigating the variety of sources of information at the national, state, and industry
levels include:
• Confidence in the quality, consistency, and currency of information.
• Functionality and accessibility of the tools, including the level of prior knowledge
required to explore different options and pathways.
• Awareness of the tools, and the extent to which they are promoted to users; and
• Alignment with current and anticipated skills needs and direct links to tangible job
opportunities.25

3.27 The Motor Trades Association of Australia (MTAA) asserted that there is a need for a
consistent, co-ordinated information strategy led by the Australian Government with a
focus on enhancing the perception and status of VET as an attractive career option.
The MTAA noted that while the National Careers Institute (NCI) provides access to
career information, resources, and support for those interested in a VET qualification,

22 See, eg, Australian Industry Trade College (AITC), Submission 31, p. [7]; Australian Chamber of Commerce
and Industry (ACCI), Submission 43, p. 2; MBA, Submission 71, p. 14; Council of Small Business
Organisations of Australia (COSBOA), Submission 86, p. 6; Department of Education, Submission 89, p. 6.
23 Professor Erica Smith, Submission 72, p. 3.
24 Tasmanian Government, Submission 11, pages 1–2. See also Ms Claire Field, Submission 58, p. 2.
25 MCA, Submission 92, p. 5. See also SA Government, Submission 12, p. 2.

34
it is often difficult to find this resource on the internet. Moreover, the information on
the NCI website is not always up to date.26

3.28 Ms Claire Field noted that government website addresses are often altered owing to
machinery of government changes and/or name changes to public entities. Ms Field
stated that if prospective students, parents, career advisors and others are unable to
find relevant information on VET, it is easier to recommend university study.27

3.29 Independent Schools Tasmania (IST) stated that although there is an abundance of
information on VET, it is often fragmented and duplicated across jurisdictions. IST
suggested there may be value in a single organisation taking the lead in producing
and disseminating information on VET, suggesting that this should be the NCI.28

3.30 The Independent Education Union—Queensland and Northern Territory (IEU-QNT)


observed that the mere provision of government advice is unlikely to have a
substantial impact on student career choices. It also stated that establishing a single
point of information should not be used to justify a reduction in the quantum and
quality of career guidance provided by school-based counsellors.29

3.31 Some stakeholders indicated that one means of simplifying access to information on
the VET sector would be to consolidate government websites relating to the VET and
university, noting that this would also help promote integration between the sectors.30

3.32 The Council of Small Business Organisations Australia (COSBOA) stated that there
is an opportunity to create a new process for learners to access information on VET
qualifications, careers, RTOs, and other key matters via an organisation such as
JSA. According to COSBOA, this would enable a greater range of stakeholders to
have input into the information that is available and how it is disseminated.31

3.33 The NUS called for the My Skills website (now Your Career) to be made a ‘one-stop-
shop’ for information on tertiary education, including in relation to matters such as
scholarships and loans. According to the NUS, providing access to resources via a
single portal or entity could also be used to promote interoperability between the VET
and university sectors.32

3.34 The Government of South Australia (SA Government) recommended establishing a


digital portal owned jointly by all jurisdictions. This would be designed for students
and their families accessible to business and industry and would contain information
pitched to diverse audiences across the VET sector. The portal should include

26 Motor Trades Association of Australia (MTAA), Submission 38, p. 5. The role of the National Careers Institute
(NCI) is discussed later in this chapter.
27 Ms Claire Field, Submission 58, p. 2.
28 Independent Schools Tasmania (IST), Submission 6, p. 3.
29 Independent Education Union—Queensland and Northern Territory Branch (IEU-QNT), Submission 21, p. 2.
30 See, e.g., Professor Erica Smith, Submission 72, p. 2; NSW Department of Education et al, Submission 77,
p. 4.
31 COSBOA, Submission 86, p. 5.
32 NUS, Submission 91, pages [2–3]. My Skills has been incorporated into Your Career.

35
information, job openings, skills demand, profiles of key sectors, interactive mapping,
career and training options, and information on subsidies and supports.33

3.35 In its 2020 Review of the National Agreement for Skills and Workforce Development
(NASWD), the Productivity Commission envisaged an enhanced role for the NCI,
with the institute responsible for publishing much of the information outlined above—
including information on individual RTOs and courses. The Commission asserted that
the NCI should publish information on fees; learning and teaching quality; student
and employer satisfaction; expected employment outcomes; and credit pathways.
The information should be reliable and easily understood.34

3.36 The Commission also asserted that governments at all levels should work together to
establish the NCI as a central information hub, require all RTOs to provide up-to-date
student fee information; and task the NCVER to develop a set of summary indicators
on RTO quality and student outcomes—to be published by the NCI.35

National Careers Institute


3.37 The NCI is a non-statutory entity in the Department of Employment and Workplace
Relations (DEWR). It was created in 2019 with the aim of providing school leavers,
people returning to the workforce, people wishing to change careers, and people
wishing to update their skills with advice and information on education and training.36

3.38 According to DEWR, the NCI meets its objectives by:


• Conducting research and sharing best practice.
• Providing career information.
• Maintaining a national register relied upon by stakeholders and IT systems in the
VET sector as the central source of data on training and providers.
• Supporting Australia’s training market by collating information to support students
and employers to find courses and providers that best suit their needs.
• Developing targeted and tailored resources supported by research to understand
how, when, and why people make career-related decisions.
• Collaborating and engaging in partnerships and outreach across industry and
jurisdictions to improve the status and appeal of VET.
• Showcasing excellence through the Australian Training Awards, VET Alumni
Network and WorldSkills Australia.37

33 SA Government, Submission 12, p. 3.


34 Productivity Commission (2020), National Agreement for Skills and Workforce Development Review, p. 43,
https://www.pc.gov.au/inquiries/completed/skills-workforce-agreement/report, viewed 20 September 2023.
35 Productivity Commission, National Agreement for Skills and Workforce Development Review – Study report,
December 2020, p. 43.
36 See Department of Employment and Workplace Relations (DEWR), The National Careers Institute and its
Work, https://www.dewr.gov.au/nci/national-careers-institute-and-its-work, viewed 1 February 2024.
37 DEWR, Submission 76, pages 12–13.

36
3.39 The NCI’s work is supported by market intelligence from JSA and research and data
held by the NCVER. This is translated into practical information and tools for users.38

3.40 A core offering of the NCI is the Your Career website. This enables access to advice
and information on career pathways and a database of tertiary courses and programs
across the country. Previously, the NCI administered the My Skills website. This has
been rolled into Your Career.39 The NCI also administers training.gov.au, the national
register of VET courses and providers.40 DEWR indicated that Your Career is widely
used, with 2.3 million individuals viewing the website since launch in October 2022.
Users were likely to be 18 to 34 years of age and more likely to be female.41

3.41 The strategic direction of the NCI is set by an advisory board. The board has diverse
representation, including members from culturally and linguistically diverse (CALD)
and First Nations communities, and often works closely with industry and with state
and territory governments.42

3.42 DEWR explained that the NCI was nearing the end of its ‘establishment’ phase,
having been in place since 2019.43 DEWR also observed that measures were being
implemented to enhance the NCI’s offerings, including integrating My Skills into the
Your Career website to create a more seamless, personalised experience for users.44
In the 2023-24 Budget, the Government committed an additional $5.1 million to the
NCI to provide Australians with an authoritative source of information on education,
training, and careers pathways.45

3.43 Some stakeholders expressed support for the policy intent of the NCI as a trusted
source of information on to tertiary pathways, noting wide variety of often conflicting
information relating to VET on private and public sector websites and the fact that
many place a high value on government websites as an unbiased source of advice.46

3.44 However, the also Committee heard that the NCI is not operating effectively and
more could be done to raise awareness of the NCI and improve its services. It was
also suggested that the NCI would benefit from a strategic review to assess whether
it is delivering on its objectives.47

38 DEWR, Submission 76, p. 12.


39 NCI, Your Career’, https://www.yourcareer.gov.au/, viewed 1 February 2024. See also Ms Angus, DEWR,
Committee Hansard, 22 March 2023, p. 3
40 NCI, ‘Training.gov.au’, https://training.gov.au/, viewed 1 February 2024.
41 DEWR, Submission 76.1, p. [2].
42 DEWR, The National Careers Institute and its Work, https://www.dewr.gov.au/nci/national-careers-institute-
and-its-work, viewed 1 February 2024. See also Ms Angus, DEWR, Committee Hansard, 22 March 2023,
p. 4.
43 Ms Angus, DEWR, Committee Hansard, 22 March 2023, p. 3.
44 DEWR, Submission 76, p. 14.
45 Australian Government, Portfolio Budget Statements 2023-24, Budget Related Paper No. 1.6: Employment
and Workplace Relations Portfolio, 9 May 2023, pages 15, 27.
46 See, eg, Mr Carney, CICA, Committee Hansard, 16 May 2023, p. 12; Ms Karolina Szukalska, General
Manager, Workforce and Innovation, MCA, Committee Hansard, 19 April 2023, pages 22–23.
47 See, eg, Australian Manufacturing Workers Union (AMWU), Submission 22.1, p. [2]; Mr Christopher Watts,
Senior Policy Advisor, Australian Council of Trade Unions (ACTU), Committee Hansard, 29 March 2023,
p. 12.

37
Awareness and visibility
3.45 Some stakeholders advised that despite having worked in or engaged with the VET
sector for some time, they were not aware of the NCI or its work.48

3.46 The Australian Centre for Career Education (ACCE) observed that the NCI does not
have a prominent role in schools—including in supporting careers advice. The ACCE
proposed expanding the scope of the NCI’s work to enhance its value as a resource
for career educators, students, and parents.49

3.47 The Western Australian (WA) Government indicated that employers often face
difficulty in identifying training opportunities via My Skills (now Your Career) and
training.gov.au. Suggested solutions included improving the visibility and accessibility
of the websites via an awareness campaign and providing online resources for
employers and industry on how to search for qualifications.50

3.48 Dr Stephen Billett shared feedback from young people that while the NCI provides
‘mountains’ of information, there is limited knowledge as to how that information
should be used. Dr Billett indicated that the NCI could do more proactive outreach to
local communities to enable engagement at the local level.51

3.49 The Australian Industry Group Centre for Education and Training (AiGroup)
highlighted the need to review the NCI’s activities to assess whether information is
reaching its target audience. The AiGroup indicated that that career-related initiatives
in individual states and territories (for example, Careers NSW) could be examined to
determine if their activities have greater penetration of the market.52

Quality of information and resources


3.50 Evidence suggested that the Your Career and (former) My Skills websites do not
provide sufficient, relevant information on career pathways and available courses.

3.51 Newbery noted that My Skills does not include information on career pathways, while
Your Career only provides a ‘snapshot’ of certain occupations (for example, key
information on day-to-day duties and available courses). By contrast, the Course
Seeker website provides information and advice on a variety of university pathways.53

3.52 Newbery raised concern that information on the Your Career website is confusing,
noting that searching for certificate-level qualifications in individual, aged or disability

48 See, eg, NUS, Submission 91.1, p. [1]; Ms Julia Baron, CEO, Victorian Student Representative Council (Vic
SRC), Committee Hansard, 26 April 2023, p. 20.
49 Ms Penne Dawe, CEO, Australian Council for Career Education (ACCE), Committee Hansard, 16 May 2023,
p. 16.
50 Western Australian (WA) Government, Submission 97, p. 3.
51 Dr Stephen Billet, Professor, School of Education and Professional Studies, Griffith University, Committee
Hansard, 3 May 2023, p. 17.
52 Australian Industry Group Centre for Education and Training (AiGroup), Submission 47, p. 10.
53 Newbery, Submission 16, pages 14–15. Newbery acknowledged that results may be better for fields such as
aged care where pathways are uniquely VET-based.

38
care led to listings for First Nations primary care, early childhood education, and
animal care. Newbery asserted that Your Career and My Skills link to information that
is neither relevant nor accurate.54

3.53 The Australian Chamber of Commerce and Industry (ACCI) similarly noted that while
information and advice on VET pathways is available via the NCI, users must know
what they are looking for—up to and including the name of specific qualifications.
The (former) My Skills website also relied on information contributed by RTOs and
was frequently out of date. According to the ACCI, the reputation of the NCI could be
enhanced via an awareness campaign, and the NCI’s websites need a ‘visual
makeover’ and better course information.55

3.54 These views were echoed by SkillsIQ, who drew attention to its GetABOVE system
as a means of enhancing the information and advice available to prospective VET
students. SkillsIQ explained that:
GetABOVE provides an accessible platform for individuals to get informed and
identify where to get the best skills training. The information available is based
directly on student and employer feedback. Students rate key elements of their
learning experience, including course content, quality and relevance of work
experience and employment outcomes. Employers are asked instead to rate the
qualifications’ relevance to job roles, the value of work-based training, and the
outcomes of the training for their businesses.56

3.55 SkillsIQ noted that it offered the NCI a prototype of GetABOVE,but was advised that
the system was unnecessary.57

3.56 Your Career also appears to have an inbuilt bias in favour of university. For example,
the National Australian Apprenticeships Association (NAAA) stated:
[If] you use the tools on 'Your Career’ … [and enter] 'I would like to work with my
hands in construction,' you don't get a recommendation for a trade pathway until
about the 40th option. It starts with, 'Oh, if you'd like to work with your hands in
construction, perhaps you'd like to become an architect or perhaps you'd like to
become a project supervisor.'58

3.57 The NAAA stated that, as a result, it does not rely on Your Career for information on
VET- or apprenticeship-related careers, preferring to use the website administered by
the Australian Apprenticeships and Traineeships Information Service (AATIS).59

54 Newbery, Submission 16, pages 14–15.


55 ACCI, Submission 43, p. 2. See also SkillsIQ, Submission 50, p. 5; WA Government, Submission 97, p. 3.
56 SkillsIQ, Submission 50, p. 5.
57 Ms Yasmin King, CEO, SkillsIQ, Committee Hansard, 16 May 2023, p. 8.
58 Mr Ben Bardon, CEO, National Australian Apprenticeships Association (NAAA), Committee Hansard,
19 April 2023, pages 15–16.
59 Mr Bardon, NAAA, Committee Hansard, 19 April 2023, p. 16. The AATIS ceased operating on
31 December 2023.

39
3.58 This view was echoed by the IIS, who raised concern that the apparent bias in favour
of university appears even when a person is expressly searching for VET pathways:
When selecting the two interests of ‘working outdoors’ and ‘working with my
hands’ and sorting by the default of ‘relevance’, the first eight results are for
professional engineers (which includes ‘naval architect’), and the first page of
results does not include any traditional trade apprenticeships including those
listed on the Australian Apprenticeships Priority List.60

3.59 Newbery observed that while Your Career states that training in cybersecurity may
be available via VET providers and industry bodies, it indicates that a career in the
industry will generally require a university education. Newbery indicated that this is
because government has failed to update the website with current cybersecurity
qualifications.61

3.60 TAFE Directors Australia asserted that the NCI has too broad a remit—that is, a remit
covering both VET and higher education and pathways for both school students and
adult learners. As such, more work is needed to clarify the information requirements
for different cohorts, and whether the NCI is providing—and indeed can provide—a
tailored service.62

3.61 Some stakeholders indicated that the information provided via the NCI does not
include certain skills and qualifications. For example, the NUS stated that the NCI
focuses on ‘in demand’ skills and qualifications, noting that this may limit the options
available to students and jobseekers and may not represent the diverse range of
careers available.63 The Royal Life Saving Society of Australia (RLSSA) echoed this
view, stating that Your Career lists no short-term study options for pool lifeguards or
key roles for aquatic facilitators.64

3.62 The WA Government suggested enhancing My Skills to include a dedicated section


for employers that uses the latest technology to curate support and assistance for
employers to navigate the VET system and engage with RTOs and job applicants.65

Promotional and marketing initiatives


3.63 In addition to enhancing the quality and consistency of information on VET, more
must be done to market the sector. This will be critical to dispelling negative
perceptions of VET, enhancing the status of the sector relative to higher education,
and responding effectively to skills shortages.66

60 IIS, Submission 53, p. 3.


61 Newbery, Submission 16, p. 12.
62 Ms Jenny Dodd, CEO, TAFE Directors Australia, Committee Hansard, 29 March 2023, pages 4–5.
63 NUS, Submission 91.1, pages [1–2]
64 Royal Life Saving Society Australia (RLSSA), Submission 28, p. [2].
65 WA Government, Submission 97, p. 3.
66 See, for example, CICA, Submission 39, p. [4].

40
3.64 Stakeholders noted that—as with the provision of information generally—promotional
material should:
• Use clear, consistent messaging, and be delivered by a trusted source.67
• Be diffused through a variety of platforms, including but not limited to digital
platforms which are inaccessible for many users.68
• Be diffused at both the national and local level, with clear linkages between
national- and local-level initiatives;69
• Promote the VET sector to employers and students;70
• Be targeted to different cohorts of current and prospective learners, based on
factors such as demographic characteristics and career and life stage;71 and
• Leverage existing initiatives at the national and local levels and explore innovative
delivery methods.72

3.65 The National Electrical and Communications Association (NECA) emphasised that
promotional material must include diverse voices, to ensure people in historically
disadvantaged cohorts know they can aspire to a VET-assisted future. It asserted
that promotional material should not focus on stories that indicate that VET is only for
people who need to overcome hardship.73

3.66 The University of Newcastle indicated that there may be value in considering ways of
promoting VET through a gendered and cultural lens, such as:
• For people in regional areas, promoting occupations and pathways which would
enable the person to remain in the community.
• Integrating cultural diversity into the promotion of VET to encourage people from
CALD backgrounds to consider a VET pathway, noting that university pathways
are often more valued by CALD communities.
• Promoting a range of options to women and men considering a VET pathway.
This should not attempt to encourage either gender into a particular industry or
career but rather present a broad range of potential futures.74

National campaigns
3.67 Several stakeholders called for national campaigns to promote the VET sector,
including to reduce the stigma attached to VET and promote the sector as an equally

67 IIS, Submission 53, p. 5.


68 Newbery, Submission 16, p. 13.
69 Tasmanian Government, Submission 11, p. [2].
70 WA Government, Submission 97, p. 3.
71 ACCI, Submission 43, p. 3
72 SkillsOne, Submission 56, pages 1–2.
73 National Electrical and Communications Association (NECA), Submission 17, p. 8.
74 Professor Jenny Gore, Director, Teachers and Teaching Research Centre, University of Newcastle,
Committee Hansard, 14 August 2023, pages 11–12.

41
valid pathway to higher education. Stakeholders indicated that such campaigns must
be co-designed and -delivered by government, industry, and training providers.75

3.68 COSBOA called for a targeted marketing campaign; advertising on social media,
print media, radio, and television; and clear, accessible information such as fact
sheets for potential students. Resources must be easy to understand, available in
various languages, and accessible to people with disability.76

3.69 The NSW Department of Education et al suggested a national public awareness


campaign on the benefits of and career choices enabled by VET, highlighting the
campaign delivered by the Building and Construction Industry Training Organisation
in New Zealand which satirises parents’ misconceptions of trade pathways.77

3.70 The Career Industry Council of Australia (CICA) stated that there must be significant
investment in community education, with a long-term, coordinated, multi-pronged
promotion and education effort involving communities, schools, career practitioners,
VET providers and employers as both targets and conduits of change.78

3.71 Newbery asserted that government should consider a campaign that brings together
the positive stories from all different sections of the VET market, including private,
community, public, and enterprise-led providers. The campaign should communicate
the advantages of VET over university qualifications and feature the stories of people
who have had success through VET pathways.79

3.72 The SA Government called for a long-term promotional and marketing strategy for
the sector, noting that previous marketing campaigns have frequently been limited in
scope and duration. Measures should be taken to ensure a nationally consistent
approach, with audits conducted on activities funded by Commonwealth and State
governments—including marketing campaigns on subsidised courses—to better
understand their impact.80

3.73 It was suggested that national campaigns to improve perceptions of VET should be
accompanied by state- and local-level campaigns which highlight training options
within regions. These campaigns should be supported by national funding.81

3.74 The ACCI suggested that existing initiatives such as National Skills Week could be
leveraged to promote awareness of VET, with representatives of the initiatives
proactively engaging with schools and industry stakeholders.82

75 See, eg, SA Government, Submission 12, pages 5–6; MCA, Submission 92, p. 9; Mr Keith Waters, CEO,
NYCA, Committee Hansard, 14 August 2023, p. 2.
76 COSBOA, Submission 86, p. 11. See also ACCI, Submission 43, p. 3.
77 NSW Department of Education et al, Submission 77, p. 7.
78 CICA, Submission 39, p. [5].
79 Newbery, Submission 16, p. 21.
80 SA Government, Submission 12, pages 4–6.
81 See, eg, Tasmanian Government, Submission 11, p. [2]; DEWR, Submission 76, p. 11.
82 ACCI, Submission 43, p. 3.

42
Promoting apprenticeships
3.75 In addition to promoting opportunities offered by the VET sector generally, measures
should be implemented to promote the value of apprenticeships and traineeships.
These measures could emphasise the advantages of apprenticeships such as direct
connections with employers, high employment outcomes, and the potential to ‘earn
while you learn’. Initiatives could also highlight personal stories of success.83

3.76 MBA noted that a key challenge in the current employment environment is attracting
people to apprenticeships, stating that apprenticeships need a ‘rebrand’ to address
misperceptions such as low pay and limited job opportunities. MBA recommended
that the NCI work with industry on a national campaign to dispel myths and promote
apprenticeship pathways to young people, parents, and career advisors.84

3.77 Mr Alan Sparks noted that strategies for recruiting apprentices continue to focus on
school pathways, notwithstanding that the average age of new apprentices is 24.4
years. While messages to candidates for VET must address traditional school
pathways, they must also engage with adults who aspire to be tradespeople.85

3.78 The IIS noted that the status of apprenticeships often depends to a large degree on
the success of individual placements with employers and on word of mouth. The IIS
stated that successful placements should be acknowledged and rewarded at the
local level, noting that this will improve the status of the employer and the training
provider as well as any networks supporting the placement. Communications to a
wider audience can then be delivered via various formats and channels—including
social media—as part of a broader marketing strategy.86

3.79 The ACCI highlighted the UK’s Apprenticeship Ambassador Network (AAN), which
involves apprentice ambassadors working to encourage employers and young
people to engage with apprenticeships. The ACCI explained that while Australia has
a similar initiative—the Australian Apprenticeship Ambassador Program—this takes a
more ‘passive’ approach to promoting apprenticeships. The ACCI asserted that a
proactive approach, including a defined work plan and outreach to local schools, may
enable the program to have a greater impact.87

3.80 DEWR shared initial views in provided in response to its Australian Apprenticeship
Services and Supports discussion paper, which highlighted that:
• Apprenticeships are perceived as a pathway to a single vocation or occupation.
• Apprenticeships are commonly associated with high school students, even though
many employers actively seek mature aged apprentices and that apprenticeships
are often used to support a career change.

83 See, eg, NECA, Submission 17, pages 4–5; National Apprenticeship Employment Network (NAEM),
Submission 68, pages 4–5.
84 MBA, Submission 71, p. 11.
85 Alan Sparks, AM, BEM, Submission 98, p. 6.
86 IIS, Submission 53, p. 4.
87 ACCI, Submission 43, p. 5.

43
• There is a cultural or social barrier to participation of women in male-dominated
trade apprenticeships due to systems and structures in and work environments.88

3.81 DEWR stated that promoting apprenticeships as pathways to high-value employment


opportunities and rewarding careers and making the benefits of a trade more visible
to target cohorts, may assist in addressing these barriers.89

Ambassadors and role models


3.82 Success stories of VET graduates will often have a significant and positive impact on
perceptions of and decisions related to VET pathways. Stakeholders called for these
stories to be highlighted in national- and local-level campaigns and communication
strategies.90

3.83 The SA Government recommended establishing networks of VET ambassadors in


high profile, well-paid, rewarding roles to ensure that career progression and success
can be visualised by prospective students. It noted that the SA Skills Councils had
recommended:
… establish[ing] VET ambassadors from diverse backgrounds (including diversity
in culture, gender, and profession) to act as role models to potential students. An
example of this could be to approach finalists or winners of … training awards, to
take on a promotional role of their industry and the broader skills sector in a bid
to attract youth to these careers. There has also been interest in engaging these
Industry Skills Councils to support career counselling in secondary schools, given
the breadth of knowledge and experience they could bring.91

3.84 The Victorian Chamber of Commerce and Industry (VCCI) observed that the career
and life progression of VET graduates should be followed to enable a data-driven
approach to the promotion of VET training and career pathways. Key data points
might include student debt, income, assets, and life satisfaction. In addition, the VCCI
indicated that VET ambassador programs should be supported and extended:
In the UK, VET government-run mentorship programs adhere to proactive
workplans that must be delivered upon. Currently in Australia, roll out of these
important mentorship opportunities is ad hoc and not delivered deliberately or at
scale. Deliberate, proactive investment in mentorship services will both improve
knowledge sharing about apprenticeships … and increase the likelihood of a
well-informed, high completing apprentice.92

88 DEWR, Submission 76, p. 8.


89 DEWR, Submission 76, p. 8.
90 See, eg, NSW Department of Education et al, Submission 77, p. 4; Ms Angus, DEWR, Committee Hansard,
22 March 2023, p. 8.
91 SA Government, Submission 12, pages 4, 6.
92 Victorian Chamber of Commerce and Industry (VCCI), Submission 80, pages [6–7].

44
3.85 The NYCA told the Committee that early school leavers are the most effective
promoters of the VET system and the pathways it offers.93

3.86 National Rugby League (NRL) explained that its Careerwise program supports NRL
and National Women’s Rugby Leage (NRLW) players in various areas of their life,
including training, education, and employment. All players under 21 years of age are
required to work or study along with their playing commitments and are encouraged
to explore the education pathways—including VET—which suit them.94

3.87 NRL explained that the VET-NRL Pathways program sits within the Careerwise
initiative and is designed to promote the benefits of VET qualifications:
The current program capitalises on the high profile of former and current NRL
and NRLW players who have completed a certificate, diploma, or traditional trade
level Vet qualification. As representatives of the NRL-VET Pathways Program
they share their real-life experiences and stories that connect with the target
audience on a more personal level.95

3.88 NRL stated that the program is largely targeted to students in Years 10 to 12 and
reaches 3,000 to 4,000 students each year. The program is promoted via individual
ambassadors’ social media and the NRL website. In 2022, there were almost
800,000 individual views of the program via the website, and 16,500 direct referrals
(‘clicks’) to My Skills.96 NRL observed that there may also be opportunities to highlight
VET via televised games, noting that the 2022 State of Origin attracted 3.6 million
viewers per game on average.97

Related sectors and industries


3.89 The Committee heard that promoting VET must involve promoting the various
industries to which VET training pathways lead. This may involve working with
chambers of commerce and other employer peak bodies, individual employers, and
trade unions.98

3.90 The NYCA indicated that there is a clear link between perceptions of VET and
perceptions of jobs to which VET leads. It called for government to consider
measures to enhance the pay, conditions, and perceived status of service
occupations—particularly those in the healthcare and social assistance sectors.99

93 Mr Keith Waters, NYCA, Committee Hansard 14 August 2023, p. 2.


94 Ms Tain Drinkwater, Executive General Manager, Performance and Pathways, National Rugby Leage (NRL),
Committee Hansard, 24 May 2023, p. 1.
95 NRL, Submission 63, p. [2].
96 Ms Tiffany Slater, General Manager, Wellbeing, Diversity, and Performance, NRL, Committee Hansard,
24 May 2023, p. 4.
97 Ms Drinkwater, NRL, Committee Hansard, 24 May 2023, p. 3.
98 See, eg, Skills Impact, Submission 13, p. [6]; ACCE, Submission 15, p. 7; Professor Stephen Billett,
Submission 18, p. 12.
99 NYCA, Submission 19, p. [6]. See also Mr Keith Waters, CEO, NYCA, Committee Hansard, 14 August 2023,
p. 1

45
3.91 The WA Government called for a national campaign to promote the diversity of roles
in different sectors, stating that this could include content to address misconceptions
about specific industries. In relation to the mining industry, the WA Government
noted that this may involve highlighting key roles to demonstrate that the industry is
not entirely focused on manual work.100

3.92 Skills Impact suggested that national approaches to promoting VET should focus on
building the reputation of industries as ‘great places’ for jobs, rather than trying to
provide information on a student’s journey. Skills Impact also recommended greater
financial support for state and territory Industry Training Advisory Bodies, to enable
them to play a greater role in providing information to employers and in facilitating
partnerships between employers and RTOs.101

3.93 Professor Smith observed that VET is portrayed as a ‘hard-hat education sector’, with
depictions of VET often focused on male-dominated trades. This is notwithstanding
the equal number of male and female VET participants. Professor Smith noted the
recent focus in the VET sector on encouraging more women into male-dominated
industries, stating that while the underlying intentions are good, it does little to dispel
the notion that the sector is male-oriented.102

3.94 The Shop, Distributive, and Allied Employees’ Association (SDA National) stated that
improving the perception of careers in the retail and hospitality sectors is an objective
of the NCI project, ‘Careers in everyday industries’:
Historically low perception [of those sectors] discourages people from imagining
worthwhile careers … and can contribute to poor self-image for those working in
the industries. Yet the COVID-19 crisis has shown just how vital both of these
sectors are for the Australian public and the national economy. They are
recognised internationally as low-status occupations which have become more
valued during the crisis.103

3.95 CICA noted that the VET sector is not sufficiently focused on making young people
aware of emerging industries such as the green economy and cybersecurity. Rather,
the sector often promotes traditional careers such as boiler making, painting, and
carpentry. This focus on traditional careers may not attract some young people to the
sector—particularly when competing with universities which advertise careers on the
‘cutting edge’ of innovation and technology.104

3.96 Some stakeholders also highlighted industries on which information and marketing
initiatives should focus. For example:

100 WA Government, Submission 93, pages 2–3.


101 Skills Impact, Submission 13, p. [5].
102 Professor Erica Smith, private capacity, Committee Hansard, 3 May 2023, p. 13.
103 SDA National, Submission 44, p. 2. SDA National is a partner in this project.
104 Mr Carney, CICA, Committee Hansard, 16 May 2023, p. 11.

46
• SDA National recommended careers in retail be widely promoted, emphasising
that a qualification is not required to enter the industry and that TAFE can be the
start of a ‘rewarding career like no other’.105
• The RLSSA recommended new information packages highlighting roles in the
aquatic and recreation industry and the lower-cost, shorter training courses for the
relevant skills and qualifications. This should involve video materials to enable
access for those with lower literacy and should be published via platforms such as
TikTok to reach younger people.106
• The Queensland Alliance for Mental Health called for additional funding to
promote the community mental health and wellbeing sector (distinct from the
mental health and health sectors) to school leavers, parents, and teachers. This
could be complemented by measures to reduce stigma surrounding the sector,
including anti-stigma training, contact-based initiatives, public awareness
initiatives, and addressing stigmatising media representations.107

Committee comment
3.97 Current and prospective VET students (and other stakeholders) need clear, accurate,
reliable information on the VET sector to inform their decision-making. This should
include details on available VET courses, specific RTOs, and current and emerging
skills needs. Accessible information and guidance on career pathways and
information tailored to individuals at different life and career stages—including school
leavers and adult learners—is also essential.

3.98 A significant amount of information on VET is available via government websites and
individual RTOs. However, information is often fragmented across jurisdictions, is not
always consistent, and in some cases is neither current nor relevant. Information is
also duplicated across multiple sources. A lack of consistent and reliable information
on VET courses and career pathways was identified in 2019 as part of the Joyce
Review. Evidence presented to this inquiry suggests that the issue persists.

3.99 Prospective students and other stakeholders also require additional information on
individual RTOs and courses to support decision-making. Further information is
needed on:
• Student and employer satisfaction with RTOs, courses, and qualifications.
• The quality of trainers and facilities.
• Course competition rates at the individual RTO and jurisdiction levels.
• ASQA audits of individual RTOs.
• Student employment and salary outcomes for courses and qualifications.

105 SDA National, Submission 44, p. [3].


106 RLSSA, Submission 28, p. [3].
107 Queensland Alliance for Mental Health, Submission 35, pages 15–16.

47
3.100 Information on student satisfaction and employment outcomes is publicly available in
relation to higher education (via ComparED). Moreover, data on many if not most of
the indicators listed above is held—though not always published—by the NCVER.
Data on ASQA audits would be held by the regulator.

3.101 The Committee supports the idea of a digital portal which operates as a ‘one stop
shop’ for information on VET courses, qualifications, and career pathways. Such a
portal should include information on university pathways and—where appropriate—
how they intersect with VET, as part of broader efforts to increase interoperability
between sectors.

3.102 The NCI operates a portal of this kind via the Your Career website. Information on
VET, university, and career pathways is also available through other websites for
which the NCI is responsible. The NCI was created with the intent of ensuring that
current and prospective VET students—as well as members of the public—can
access reliable information on career pathways and education and training options.
The Committee strongly supports this objective.

3.103 However, evidence suggests that the NCI—and Your Career in particular—is not
functioning optimally. Stakeholders raised the following issues:
• The information on Your Career is insufficient, with individual RTO data missing
for many providers and information being out of date.
• Your Career does not enable a holistic view of career pathways.
• Your Career is not accessible or user-friendly and uses terms that are not relevant
to Australia – for example ‘middle school teacher’.
• Your Career does not offer localised career pathway advice. Information is often
too generalised and is of little value to users.
• Information through Your Career is biased towards higher education, with
university courses presented to the user ahead of VET courses even if search
terms are clearly intended to generate results focussed on VET-based pathways.
This is a perverse outcome as the NCI was originally envisaged as having a focus
on promoting VET-related careers.

3.104 These issues are of particular concern to the Committee as many users of the Your
Career website are likely to be younger people who, while aware of their interests
and aspirations, are less likely to have mapped a career pathway and are seeking
guidance to do so.

3.105 In addition, the NCI is not widely known to many people who may derive a benefit
from the information and advice that it offers. For example, despite the NCI being
nominally a key resource for careers advice, it does not appear to have a strong role
at the individual school level.

3.106 Noting that the NCI is past its establishment phase, it would be timely to conduct a
review of the institute’s role and functions to identify the key enhancements needed
to ensure the NCI is able to operate as a nationally consistent and trusted source of

48
information and advice on education, training, and careers pathways. Part of the
review should include the identification of duplicative sources of information on VET.

3.107 The NCI must provide clear, accurate, non-biased information on individual RTOs
and their courses, qualifications, and career pathways—focused on the needs of the
learner. This should include the additional matters outlined above. Information and
advice should be tailored to the needs of users at various career and life stages,
including younger school leavers and adults seeking to upskill, reskill or transition
between careers. The NCI should also support people with less defined education
and career goals to map a pathway based on their aspirations and interests.

3.108 Noting the various concerns associated with Your Career, the Committee is of the
view that the website should be overhauled, to ensure that users have access to
reliable, accurate information on education, training, and career pathways.

3.109 The Committee sees a strong role for JSA and the Jobs and Skills Councils (JSCs) in
enhancing the functions of the NCI. This role should include providing the NCI with
additional information on labour market changes and future skill shortages to assist
the NCI to offer tailored careers advice based on jobs in demand in the future.

3.110 Equipping the NCI with the capacity to offer additional information on individual RTOs
and courses may require that information to be obtained directly from the providers.
The Committee supports the proposal in the Braithwaite Review that providers be
required to provide public course information to the NCI to enable a richer data set
and complete end-to-end information.108 This information should be augmented by
data from the NCVER on matters such as student and employer satisfaction and
completion rates. Over time, the Committee considers that there would be value in
integrating the information on university study offered through CompareED and other
sources, as part of a broader effort to build an integrated tertiary education sector.

3.111 The Committee notes that the NCI previously administered a Partnership Grants
program. This provided funding for employers, training providers, schools, and
community organisations to work collaboratively to improve career outcomes and
create education and training programs. The program concluded in June 2023.

3.112 While it is not proposed that the Partnership Grants program be re-established, the
Committee recommends exploring a grants program designed to support and help
expand proven, evidence-based local career education programs. Such a program
could use the former Partnership Grants program as a model.

3.113 The Australian Government should also take active steps to promote the NCI to
users, including via campaigns diffused at the local, state, and individual school and
VET institution levels (for example, via career advice and targeted initiatives to
promote VET to students). The Committee considers that promoting the NCI and its
work could be part of the promotional campaigns canvassed in Recommendation 3.

108 See Australian Government, All eyes on quality: Review of the National Vocational Education and Training
Regulator Act 2011 report, 22 June 2018, p. 79.

49
3.114 VET ambassador and role model programs also have significant value in highlighting
examples of education and career success that have been enabled through VET
pathways. The Committee notes in this regard that the AAAP and Australian VET
Alumni have enjoyed success in using role models to promote VET—including at
schools and public events.

3.115 However, it appears that current programs often take a somewhat passive approach
to promoting VET pathways. While VET alumni are featured on the Your Career
website and can be engaged to appear at events and in media on request, it is
unclear if there are strategies to proactively leverage the programs—for example via
outreach to schools, business associations, and employment bodies. There would be
considerable merit in developing and implementing such strategies if they are not
already in place. This work could be led by the NCI.

3.116 Initiatives such as the NRL-VET Pathways Program have enjoyed success in
promoting VET pathways and careers to secondary students, as well as promoting
VET to a national audience through televised NRL matches. The Committee would
encourage the Australian Government to continue supporting these programs, and to
build the capacity of program leaders to conduct proactive outreach.

Recommendation 2

3.117 The Committee recommends that the Australian Government enhance the
functions of the National Careers Institute (NCI) to ensure the NCI is able to
operate as a single, trusted source of information on education, training, and
careers. The primary focus of the NCI should be supporting key influencers
such as teachers, employment service providers, and career educators. This
should include but should not be limited to the following measures:
• Overhaul the Your Career website and replace it with a new online portal
which provides accurate, relevant, and current information on courses,
qualifications, and career pathways. This should include measures to:
o enable the NCI to offer additional information on individual training
providers and courses;
o ensure that information provided to users is based on the user’s needs
and aspirations and does not indicate a ‘default’ preference for courses
or qualifications in a specific tertiary sector; and
o ensure that users can easily navigate online resources.
• In collaboration with Jobs and Skills Australia, the National Centre for
Vocational Education Research, and the Jobs and Skills Councils,
identifying and addressing future skills needs and actively promoting
careers which respond to those needs.
• Ensuring that career educators in schools, Technical and Further Education
(TAFE), and employment service providers are aware of the NCI and can use
it as a resource in performing their functions.

50
• Identifying and addressing duplication in sources of information on careers
and vocational education and training at the national, state, and local levels.
• Explore creating a grants funding program to support and enable the
expansion of proven, evidence-based local career education programs.

Recommendation 3

3.118 The Committee recommends that the Australian Government, via the National
Careers Institute, work with State and Territory Governments to boost the
capacity of vocational education and training alumni programs, including to
develop work plans to underpin proactive outreach to schools, business
associations, and employment bodies.

3.119 There is also compelling evidence that more should be done to actively market the
VET sector to current and prospective students. An active approach to promoting
VET will be critical to dispelling negative perceptions about vocational qualifications
and careers and to responding to current and future workforce and skills needs.

3.120 The Committee supports calls for a national campaign to market the sector and is of
the view that such a campaign should use multiple channels, highlight the different
paths into the VET sector (for example, post-school pathways and access by adult
learners seeking to upskill or reskill), and target a variety of cohorts including women,
First Nations peoples, and people from CALD backgrounds. This will be critical to
promoting VET as a sector of choice for a range of people and skills needs, and to
breaking down gender-based and cultural barriers to access. The Committee is
strongly of the view that promoting VET must enable people of all backgrounds to
imagine a variety of possible futures.

3.121 A national campaign should promote the industries and roles to which VET can lead,
including highlighting new and emerging sectors. The Committee was concerned to
hear that promotional material has in the past focused on more ‘traditional’ careers,
which may lead to the perception that VET is limited to trades and manual work. A
focus on these careers may limit the sector’s ability to compete with university to
attract students, notwithstanding that VET qualifications are entry pathways into
many emerging industries including cyber security and green energy.

3.122 Campaigns to promote the VET sector should include material to highlight the value
of apprenticeships and traineeships, including information on the variety of roles to
which these pathways lead, the ability to ‘earn while you learn’, and opportunities to
make contributions to emerging sectors. Like the promotional material for the sector
more generally, material should reflect that apprenticeships are not only a pathway
for school leavers, but also for those who enter the sector later in life.

3.123 Campaigns should be underpinned by robust monitoring and evaluation measures to


ensure that their impact can be measured to inform and help refine future marketing
initiatives. The Committee envisages that campaigns would ultimately be delivered
separately from—but linked to and informed by—measures to improve perceptions of
VET among school students. Measures to improve perceptions of VET among school

51
students, as well as measures to improve VET offered in secondary schools, is
discussed in Chapter 4.

Recommendation 4

3.124 The Committee recommends that the Australian Government work with State
and Territory Governments, the Jobs and Skills Councils, and other key
stakeholders to design and deliver national campaigns to promote vocational
education and training (VET) pathways and the careers they serve. Campaigns
should be promoted at the national, state, and local levels, and should include
material that:
• Is diffused through a variety of media sources, including social media,
government websites, and television.
• Is accessible to all audiences.
• Is adapted—insofar as possible—to local areas and labour markets, with a
view to highlighting the value of VET to local communities.
• Targets different entry pathways to VET, including post-secondary
pathways and pathways for adult learners.
• Showcases the benefits of the apprenticeship and traineeship pathways.
• Targets diverse cohorts, with a focus on improving perceptions for women,
First Nations peoples, and people from culturally and linguistically diverse
backgrounds.
• Showcases positive experiences with VET and examples of success among
VET graduates.
• Showcases a variety of career opportunities enabled by the VET sector, with
a focus on in-demand industries and potential areas of skills shortage.

Campaigns should be underpinned by robust monitoring and evaluation


processes to ensure their impact can be measured and to inform and refine
future marketing initiatives.

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4. Secondary schools
4.1 This chapter examines perceptions of vocational education and training (VET) in
secondary schools and ways to address these perceptions. It also discusses
measures to improve VET delivered to secondary school students (VETDSSS).

Student perceptions of VET


4.2 The Committee heard that school students often hold negative perceptions of VET
pathways, broadly reflecting general perceptions of the sector. Stakeholders asserted
that school students often believe that VET pathways:
• Are easier and less academically rigorous than higher education.
• Are ‘last resort’ options for students who have not achieved the marks required to
enter university.
• Are only for students who want to pursue trade careers.
• Lead to lower-paid careers with fewer prospects of career advancement, and in
fields which require manual rather than intellectual labour.1

4.3 The University of Newcastle drew attention to a large study of student perceptions of
VET, which found that students with an interest in VET were more likely to:
• Be male, from low-SES backgrounds, be from poorer and low Index of Community
Socio-Educational Advantage (ICSEA) schools and have lower levels of cultural
capital.
• Be from English-speaking backgrounds and live in metropolitan areas—potentially
due to the greater level of access to VET in those areas.
• See themselves as average or below average in terms of their own academic
performance.2

4.4 Survey responses also indicated that students were interested in VET because: it
was something they wanted to pursue; they were interested in a particular field; or

1 See, eg, Government of South Australia (SA Government), Submission 12, p. 3; Independent Education
Union–Queensland and Northern Territory Branch (IEU–QNT), Submission 21, p. 2; Pharmacy Guild of
Australia (PGA), Submission 24, p. 4; Catholic Education Western Australia (CEWA), Submission 27, p. [4];
Australian Industry Trade College (AITC), Submission 31, pages [3], [8]; National Centre for Vocational
Education Research (NCVER), Submission 36, pages 4–5. Motor Trades Association of Australia (MTAA),
Submission 38, p. 7.
2 Professor Jenny Gore, Director, Teachers and Teaching Research Centre, University of Newcastle,
Committee Hansard, 14 August 2023, p. 8; See also Monash University, Submission 83, pages 6–7.

53
they thought it would be enjoyable. Many respondents were aware of the benefits of
VET careers and had prior experiences with VET-enabled jobs.3

4.5 Stakeholders indicated that poor perceptions of VET among students may be driven
by low levels of understanding of the sector and associated careers.4 For example,
the National Centre for Vocational Education Research (NCVER) referred to a 2017
study canvassing over 6,000 students in Years 3 to 12 in New South Wales (NSW)
which found that:
• Students use the terms ‘VET’ and ‘TAFE’ interchangeably.
• Students in all age groups have difficulty articulating their understanding of VET
and technical and further education (TAFE). Understanding increased with age
and year level.
• Many students lack clear, contemporary, accurate information about the VET
sector despite career activities in schools. Students indicated that they aspired to
certain careers but did not know that those careers involved a VET pathway.
• Many students formed strong negative views of the VET sector and had curtailed
their aspirations in ways that limited them to considering university pathways.5

4.6 Evidence suggested that poor perceptions and low understanding of the VET sector
lead to fewer students choosing VET as a post-school option.6 Newbery Consulting
(Newbery) noted that in 2010, VET pathways accounted for 51.7 per cent of all post-
school enrolment, falling to 42.6 per cent in 2020. Newbery stated that this fall in the
take-up of VET as a post-school option may be due to negative perceptions of the
sector, as well as factors such as changes to funding policies, the introduction of
university courses offered on a competitive basis, and changes to labour markets.7

4.7 Students’ perceptions of VET are informed by various influencers, including schools,
teachers, parents, friends, and peers. Stakeholders emphasised the importance of
ensuring that influencers are equipped to provide reliable and accurate information
and advice about VET at key decision points.8

3 Professor Gore, University of Newcastle, Committee Hansard, 14 August 2023, p. 8.


4 See, eg, PGA, Submission 24, p. 4; NSW Department of Education, TAFE NSW, and NSW Education
Standards Authority (NSW Department of Education et al), Submission 77, p. 7
5 NCVER, Submission 36, p. 2. See also Professor Gore, University of Newcastle, Committee Hansard,
14 August 2023, p. 9.
6 See, eg, National Catholic Education Commission (NCEC), Submission 33, p. 3; Central Coast
Apprenticeship and Traineeship Advisory Committee (CCATC), Submission 96, p. [2].
7 Newbery Consulting (Newbery), Submission 16, p. 18.
8 See, eg, AITC, Submission 31, pages [6–8]; MTAA, Submission 38, p. 7; Australian Chamber of Commerce
and Industry (ACCI), Submission 43, p. 2; Ms Laura Angus, First Assistant Secretary, Careers and
International Division, Department of Employment and Workplace Relations (DEWR), Committee Hansard,
22 March 2023, p. 6.

54
Academic culture in secondary schools
4.8 The culture of a school is a key influence on how VET is perceived. Stakeholders
noted that many schools have an academic bias and are institutionally structured to
channel students toward university.9 Independent Schools Tasmania (IST) stated that
schools reinforce perceptions of VET as being of lower status through:
• Limited provision for VET within the school, driven by a lack of knowledge among
teachers, parents, and the broader community of VET pathways.
• A preference by parents for academic rather than vocational achievement.
• Inadequate information about careers in non-traditional and new and emerging
industry areas as well as non-university career pathways.
• Lack of adequately trained career counsellors and educators in schools—and
particularly those with specific industry knowledge and experience.10

4.9 Evidence also indicated clear differences between public and independent schools in
terms of their focus on higher education. The South Australian (SA) Commissioner
for Children and Young People (CCYP-SA)) report High Stakes High School reported
that private school students face significant pressure to attend university, with
teachers amplifying this stress. Students in private schools also report receiving
insufficient if any information about alternative pathways into jobs, industries, or
further education and training—including VET.11

4.10 Students in public schools reported less expectation to enter higher education and
being encouraged to explored other pathways such as apprenticeships. Some
reported being actively discouraged from university pathways despite wishing to
pursue them, including being ushered towards VET in Year 10 as a means of ‘getting
a head start’ on their careers.12

4.11 Master Electricians Australia (MEA) noted that while many schools stream students
into university and VET fields in Years 11 and 12, neither the courses nor the overall
quality of education are consistent. MEA observed that due to a lack of support and
school-based VET options, students allocated to the VET stream simply ‘mark time’
for the final two years of school before commencing an apprenticeship.13

4.12 MEA called for an enhanced VET pathway commencing in Year 8, focused on
Science, Technology, Engineering and Mathematics (STEM) and trade qualifications:

9 See, eg, Master Electricians Australia (MEA), Submission 5, p. 9; Name Withheld, Submission 10, p. [1];
National Youth Commission Australia (NYCA), Submission 19, p. [5]; PGA, Submission 24, p. 4; MTAA,
Submission 38, p. 7; Australian Industry Group Centre for Education and Training (AiGroup), Submission 47,
p. 3; Ms Julia Baron, CEO, Victorian Student Representative Council (Vic SRC), Committee Hansard,
26 April 2023, p. 20
10 See, eg, Independent Schools Tasmania (IST), Submission 6, pages 6–7; Minerals Council of Australia
(MCA), Submission 92, p. 8.
11 South Australian Commissioner for Children and Young People (CCYP-SA), Submission 34, p. [27].
12 CCYP-SA, Submission 34, p. [28].
13 MEA, Submission 5, p. 9.

55
• On completion of Year 8, students would choose a pathway for Years 9 and 10—
either a VET stream or a university stream—and begin selecting subjects leading
towards a specific field. The stream would carry through to Years 11 and 12.
• In the second semester of Year 10, aptitude testing would identify areas of trade
to which the student would be best suited, and—in consultation with students and
parents—a training plan could be drawn up for Years 11 and 12.
• In Year 12, students could complete the first two years of college studies for the
chosen trade, including a work experience component. Studies could be
undertaken with a mixture of school-based classes and third-party providers such
as TAFEs and private colleges and non-profit organisations. Partnerships could
be formed with local businesses and group training organisations (GTOs) to
support employment.14

4.13 When VET is discussed in schools, trades may be promoted to men and other VET
pathways to women. A member of the Electrical Trade Union of Australia (ETUA) told
the Committee that when VET was discussed at her secondary school in Victoria,
she was encouraged to pursue a career in beauty or hairdressing.15

4.14 Stakeholders called for measures to promote VET and university as equally valuable
and legitimate pathways to career success and to ensure that students can access
the information and advice needed to make informed decisions about their futures.
The Victorian Student Representative Council (Vic SRC) recommended that:
• Schools provide relevant and accessible information about VET to students and
their families in equal measure to the information they provide about non-VET
subjects. This must include information on how VET subjects can be undertaken
alongside other subjects and contribute to a student’s Australian Tertiary
Admissions Ranking (ATAR).
• Schools work closely with students to develop resources and information packs
about VET that can be distributed to students and families. The information should
be accurate and detailed, and not prioritise certain subjects or pathways.16

4.15 The Vic SRC also stated there would be merit in providing meaningful opportunities
for students to inform education policy, including by establishing mechanisms such
as steering committees and communities of practice.17

4.16 The Department of Employment and Workplace Relations (DEWR) drew attention to
a 2020 report of the Education Council, Looking to the Future: Review of senior
secondary pathways into work, further education, and training. The report highlighted
the need for improved information sources for secondary school students, including
online sources and information provided directly by schools and VET providers. This

14 MEA, Submission 5, pages 11–12. MEA observed that a similar model has been successful in the hospitality,
retail, commerce, and other sectors using a combination of school resources, TAFE, and private providers.
15 Ms Jessie Caisley, National Policy Officer, Electrical Trades Union of Australia (ETUA), Committee Hansard,
31 May 2023, p. 11.
16 Vic SRC, Submission 90, p. [4].
17 Vic SRC, Submission 90, p. [6]. See also Vic SRC, Submission 90.1, p. [3].

56
information should not only be given to students, but also to teachers who often have
limited career education knowledge—particularly in relation to non-university or
blended pathways.18

4.17 Work is ongoing in some jurisdictions to build understanding of and promote VET
pathways. The NSW Department of Education, TAFE NSW, and NSW Education
Standards Authority (NSW Department of Education et al) highlighted work it recently
completed to strengthen students’ understanding of links between senior secondary
courses and post-school pathways. This has included adding subject-specific skills
statements and industry links to Year 11 and Year 12 course descriptions—including
VET courses—to make these links more explicit. The NSW Department of Education
et al explained that:
• Skills statements highlight the intrinsic skills students develop in the study of a
subject and provide them with a common language they can use for prospective
employment opportunities.
• industry links clearly identify related employment pathways, link Higher School
Certificate (HSC) VET courses to future employment and identify pathways into
related higher level VET study post-school.
• Course overviews and complementary information illustrate how practical learning
in VET can complement general education subjects and provide students with
knowledge to prepare them for transitions to work and further education.19

4.18 Catholic Education Western Australia (CEWA) noted that information available to
school students in WA is often via Career Exhibitions, school excursions, and via
VET coordinators and career advisers. Students are also encouraged to visit
MyFuture and other career websites to spark interest in career opportunities. CEWA
stated that these sources of information should be supported and regularly updated.20

4.19 The Committee also heard that there is value in engaging school leavers who are not
in employment or education and connecting them with work and training. Ms Justine
Gaske drew attention to the Link and Launch program in Queensland, which helps
link younger people to TAFEs, employment opportunities, alternative pathways to
university, and employment service programs such as Transition to Work.21

4.20 Ms Gaske stated that the Link and Launch program fills a gap in supports available to
students who are unsure of what to pursue after finishing school, students who have
identified clear aspirations but are unsure of how to achieve them, and students who
begin their post-school education or employment and find it unsuitable. The program

18 DEWR, Submission 76, p. 7. See also Department of Education, Looking to the Future: Report of the Review
of senior secondary pathways into work, further education and training, pages 17–19, https://www.
education.gov.au/quality-schools-package/resources/looking-future-report-review-senior-secondary-
pathways-work-further-education-and-training, viewed 5 February 2024.
19 NSW Department of Education et al, Submission 77, p. 7. See also DEWR, Submission 76, p. 7.
20 CEWA, Submission 27, p. [3].
21 Ms Justine Gaske, private capacity, Committee Hansard, 17 July 2023, p. 8.

57
is valuable in providing support to young people who are not connected to a school,
an employer, or a training provider.22

4.21 The Isolated Children’s Parents Association of Western Australia (ICPAWA) similarly
stated that greater support for young people who have exited school is needed:
It's a very structured system a lot of the schools offer, with careers information
and pathway advice, but once students no longer have access to those school
platforms, it's really difficult to be able to navigate exactly what is available and
where you can go for support and also to be able to access that support.23

Classroom teachers
4.22 Much of the information students receive in relation to VET and university pathways
comes from classroom teachers. Teachers engage in regular conversations with
students and are typically trusted and considered to be well-informed.24

4.23 Stakeholders raised concern that many classroom teachers lack reliable information
on VET and may be biased (consciously or otherwise) in favour of higher education.
A factor contributing to this bias is that many teachers are university educated and
lack experience with the VET system.25 However, this experience was not universal,
with some students indicating that their teachers had been particularly effective in
keeping them engaged with both VET and secondary school subjects.26

4.24 The Vic SRC provided an example of how a lack of understanding among classroom
teachers can impact student choices and levels of engagement, stating:
Last year, when I was first looking into VET, I asked my homeroom teacher about
how it was being run at our school—whether it was on site or online, if I had to go
to another registered training organisation, whatever—and she wasn't equipped
with that information to tell me … It was very hard to find that information, and I
don't believe teachers have been informed about VET as a whole program, even
in their schools.27

4.25 The Vic SRC indicated that this experience is replicated throughout secondary
school, including at careers events where speakers are typically university educated.
The Vic SRC asserted that schools must diversify the speakers they invite to engage

22 Ms Gaske, private capacity, Committee Hansard, 17 July 2023, p. 9.


23 Mrs Sally Brindal, Immediate Past President, Isolated Children’s Parents Association of Western Australia
(ICPAWA), Committee Hansard, 14 August 2023, p. 4.
24 See, eg, Dr Stephen Billet, Professor, School of Education and Professional Studies, Griffith University,
Committee Hansard, 3 May 2023, p. 17; Mr David Carney, Executive Director, Career Industry Council of
Australia (CICA), Committee Hansard, 16 May 2023, p. 10.
25 See, eg, Mr Robert Heron, Submission 2, p. [1]; Ms Jenny Dodd, CEO, TAFE Directors Australia, Committee
Hansard, 29 March 2023, p. 2
26 See, eg, Casper, private capacity, Committee Hansard, 7 June 2023, p. 7; Eman, private capacity,
Committee Hansard, 7 June 2023, p. 7.
27 Mr Billy Lister, Student Executive Advisory Committee Member, Vic SRC, Committee Hansard,
26 April 2023, p. 18.

58
with students, particularly in terms of speakers’ lived experience and educational
background.28

4.26 DEWR stated that teachers will have an increasingly significant influence as students
enter Years 11 and 12, also noting that this is the time during which many schools
focus on the ATAR and pathways to university.29

4.27 Some stakeholders suggested measures to enhance teachers’ understanding of the


VET sector and appreciation for related pathways. For example:
• The Careers Industry Council of Australia (CICA) called for the inclusion of VET
units in undergraduate teacher education.30
• Dr Stephen Billet, Griffith University, stated that teachers should accompany
students on excursions to VET institutions and to workplaces where VET is the
primary entry pathway.31

Australian Tertiary Admissions Ranking


4.28 The ATAR remains a primary indicator of success for many schools. Alphacrucis
University College (AUC) stated that the ATAR is a key contributor to the decline in
the prestige of the VET sector, and changing the view of the ATAR as the primary
indicator of ‘success’ is likely to be difficult:
Children are taught that nothing really matters in schools – largely in order to
enforce engagement and therefore to deal with the behavioural issues – except
one’s ATAR score. It runs against a school’s operational requirements … to start
telling students that there are in fact many paths up the mountain, particularly
given the program economics required for schools to be able to run a sufficiently
broad number of VET options.32

4.29 AUC further noted that the ‘false market’ created by the ATAR impacts:
• Student enrolment choices: the ATAR creates a false market which is not
focused on actual career opportunities or the needs of employers. It also delays
workforce entry, and ‘creams’ the most academically able students into programs
which may bear no relation to their eventual careers.
• Employers and industry: there is a gap between employers’ skills needs and
what is taught to students during the final years of secondary school—particularly
in relation to digital literacy and problem solving.
• The VET workforce: at present, teacher registration bodies do not count the
Certificate IV in Training and Assessment (TAE) within Initial Teacher Education

28 Vic SRC, Submission 90, p. [6].


29 DEWR, Submission 76, p. 7.
30 Mr Carney, CICA, Committee Hansard, 16 May 2023, pages 10–11.
31 Dr Billet, Griffith University, Committee Hansard, 3 May 2023, p. 17.
32 Alphacrucis University College (AUC), Submission 82, p. [7].

59
(ITE) programs. This means that if VET options are added to HSC curricula, there
will be insufficient capacity within schools to run local programs.33

4.30 High ATAR scores are also used (officially or otherwise) to rank schools. Schools
that have a higher number of students achieving above a certain ATAR are preferred
by students and parents seeking an advantage in obtaining a place at university. By
contrast, schools are rarely if ever ranked by the number of students who achieve
success via VET pathways.34 CICA stated:
[F]or as long as we have league tables and schools are in competition with each
other … principals are going to be saying to people who are responsible in this
area: 'Your focus needs to be on making sure that our graduating class has a
very high average ATAR.' There are lots of examples in schools where staff are
directed in that particular area. It's a significant problem.35

4.31 Professor Saorjni Choy, Griffith University, noted that a key factor influencing
schools’ preferences for university is resourcing and performance metrics. Professor
Choy stated that schools try to increase the number of students who enter university
as this is tied to resourcing and community standing.36 Dr Billett agreed with this view,
indicating that there would be merit in altering performance metrics to increase the
focus on VET and other pathways. Dr Billett observed that performance indicators
may also be a way for the Commonwealth to influence decisions taken at the state
and territory level.37

4.32 ATAR scores were identified as a key factor in schools’ decisions to stream students
considered more academically inclined into university pathways, with students
considered less gifted or motivated encouraged to pursue VET. Students streamed to
VET pathways often feel ignored and unsupported, while students in university-
focused pathways are often under significant pressure to achieve high scores. This
can have negative mental health impacts on students in both cohorts.38

4.33 The focus on the ATAR can also have a significant impact on the quality of teaching
and learning for students in VET-focused pathways, including where resources are
diverted to students and courses geared towards higher education. Moreover,

33 AUC, Submission 82, pages [7–8].


34 See, eg, Mr Robert Heron, Submission 2, p. [1]; Mr Chris Lehmann, National Manager, MEA, Committee
Hansard, 19 April 2023, p. 8. Several websites use the ATAR as an indicator to rank schools for the
information of parents and prospective students. See, eg Better Education, School Rankings,
https://bettereducation.com.au/schoolranking.aspx, viewed 5 February 2024; Matrix Education, 2022 High
School Rankings, https://www.matrix.edu.au/high-school-rankings/2022-high-school-rankings, viewed
5 February 2024.
35 Mr Carney, CICA, Committee Hansard, 16 May 2023, p. 11.
36 Professor Sarojni Choy, Professor, School of Education and Professional Studies, Grifith University,
Committee Hansard, 3 May 2023, p. 19.
37 Dr Billet, Griffith University, Committee Hansard, 3 May 2023, pages 15, 19.
38 CCYP-SA, Submission 34, pages [1–2]. See also Ms Baron, Vic SRC, Committee Hansard, 26 April 2023,
p. 20; National Electrical and Communications Association (NECA), Submission 17, p. 5; NYCA, Submission
19, p. [5].

60
nominally VET-related pathways often have a focus on academic skills which may
not be useful or even relevant to students’ career pathways or aspirations.39

4.34 MEA observed that students who are encouraged or forced to pursue less academic
pathways are not supported to attain the core literacy and numeracy skills required
for the VET sector. These students may not perform well in post-school pathways or
may need additional support.40

4.35 The Committee heard there is a need to change how the ATAR is viewed and used,
to ensure it is not seen as the primary or the sole entry pathway to tertiary education
or to career success.41 Changing the way the ATAR is viewed will be challenging and
will require buy-in from all jurisdictions.42

4.36 The ICPAWA asserted that entry to university should have different entry methods of
equal weighting, including ATAR, VET, and portfolio entry, with the latter two no
longer referred to as ‘alternative’ methods.43 The ICPAWA stated:
There seems to be this perception that, because universities offer alternative
pathways, it implies that [non-ATAR pathways are] … not the best route or the
main route, and therefore some children feel pressured into taking the ATAR
pathway as opposed to the VET pathway because they think it will put them in a
different standing … [I]f you are going to offer a number of pathways, they should
all be considered equal because some of the skills that the VET students have
when they leave school are very good life lesson[s].44

4.37 Stakeholders indicated that tertiary institutions are increasingly considering a range
of measures of student success—including but not limited to the ATAR. Few still rely
solely on the ATAR in deciding whether to admit students. This is notwithstanding a
continuing focus on the ATAR within secondary schools. Moreover, international
students do not use the ATAR as a means of entry to university—indicating that it is
possible to define a pathway into tertiary education without an ATAR score.45

4.38 Some schools have already moved to introduce various pathways to post-secondary
education. The National Union of Students (NUS) noted that in Western Australia
(WA) students are not required to obtain an ATAR and choose between completing
and not completing ATAR units. This has increased the number of students choosing
VET. The NUS also called for greater flexibility in relation to the ATAR, stating:

39 See CCYP-SA, Submission 34, p. [12].


40 MEA, Submission 5, pages 5–6.
41 See, eg, Australian Centre for Career Education (ACCE), Submission 15, pages 5–6; NYCA, Submission 19,
p. [5]; MTAA, Submission 38, p. 7; ACCI, Submission 43, p. 2.
42 See Ms Penne Dawe, CEO, ACCE, Committee Hansard, 16 May 2023, p. 15.
43 ICPAWA, Submission 61, p. 3.
44 Ms Brinda, IPCAWA, Committee Hansard, 14 August 2023, p. 5.
45 See, eg, Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 15; Mr Felix Pirie, Deputy CEO, Policy and
Research, Independent Tertiary Education Council Australia (ITECA), Committee Hansard, 24 May 2023,
p. 10.

61
ATAR should have its own just university section or be transferred into different
TAFE certificates or degrees, or you should be able to use an ATAR course to
move ahead within a TAFE or, instead of doing a Certificate III, move up to a
diploma. It should be able to be transferred like that.46

4.39 The National Youth Commission Australia (NYCA) echoed these views, noting that
the Gold Coast’s All Saints Anglican School and Bendigo Secondary College might
be used as models of schools which support multiple pathways.

4.40 The Australasian Vocational Education and Training Research Association


(AVETRA) noted that significant research has been undertaken to support learner
profiles as an alternative to the ATAR. These profiles describe the achievements,
capabilities, and potential of school leavers to support their entry into both VET and
university. AVETRA stated that learner profiles would benefit from significant
research to develop a methodology that equally values VET and university.47

4.41 Responding to perceptions of the ATAR as the key measure of success may require
highlighting examples of education or career success via VET and other pathways.
This may include publishing:
• The percentage of former students in apprenticeships and traineeships or in full-
time employment through VET pathways.48
• Examples of students with high ATAR scores who have chosen VET pathways.49
• Examples of high-performing students in VET programs—where that information
is available—particularly apprentices in areas with skills shortages.50

4.42 Some evidence suggested that there would be risks in abandoning the ATAR. For
example, the Centre for Independent Studies (CIS) noted that the ATAR remains a
useful predictor of future performance, stating:
Analysis of statistics from the Australian Government’s Department of Education
shows ATAR is clearly predictive of completion rates and attrition rates for school
leavers. Six-year completion rates decrease with each decreasing ATAR band,
from 87 per cent for ATARs 95-100, to 46 per cent for ATARs 30-49. Six-year
attrition rates increase with each decreasing ATAR band, from 4 per cent for
ATARs 95-100, to 39 per cent for ATARs 30-49.51

46 Ms Salwa Kilzi, Vocational Education Officer, National Union of Students (NUS), Committee Hansard,
26 April 2023, p. 15.
47 Australasian Vocational Education and Training Research Association (AVETRA), Submission 52, p. 4.
See also Business Council of Australia (BCA), Submission 93, p. 7.
48 See SkillsIQ, Submission 50, p. 7.
49 See Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 17.
50 See Victorian Chamber of Commerce and Industry (VCCI), Submission 80, p. [6].
51 Centre for Independent Studies (CIS), ATAR’s rising relevance: admission standards and completion rates,
27 February 2023, https://www.cis.org.au/publication/atars-rising-relevance-admission-standards-and-
completion-rates, viewed 5 February 2024.

62
4.43 The CIS also observed that while some universities use a mix of entry pathways, the
ATAR remains the dominant criteria for university entry. From 2018 to 2022, around
60 per cent of school leavers were admitted on the basis of the ATAR alone.52

Parents’ views of VET pathways


4.44 Parents are a key influence on their children’s perceptions of VET. Master Builders
Australia (MBA) highlighted a 2017 study where 56 per cent of respondents identified
parents as the most trusted source of careers information, followed by internet
searches (42 per cent), teachers (42 per cent), and career advisers (40 per cent).53

4.45 The Committee heard that parents often impart negative views about VET to their
children, informed by their own experiences and biases, as well as public perceptions
of the relative value of VET and university. This can lead to students discounting VET
in favour of higher education.54

4.46 DEWR noted that research shows primary school-aged children as young as seven
develop biases and stereotypes about the world of work, and about VET and higher
education. DEWR also observed that parents, carers, and teachers have a key role
in encouraging curiosity in children, with exploration and understanding in childhood
prompting learnings in adolescence and expanding career-related aspirations.55

4.47 AUC noted that while children previously followed their parents into occupations or
took parental advice on skillsets and careers, this has declined due to the changing
nature of occupations, the rise of individualism, disruption to family structures, and
the rise of digital mediators and influencers. Nevertheless, what students see
modelled in family environments and what parents are prepared to fund remains
significant.56 One Year 11 student told the Committee:
Basically the reason why I chose to do VET health was [because] … my dad
works as a delivery driver, but he delivers bloods, so I used to go to all the
different hospitals with him on his run. That kind of gave me an interest in health.
I also really enjoyed being able to help people.57

4.48 The same student told the Committee that they had opted for a VET pathway in order
to obtain ‘basic building blocks’ and prior knowledge before pursuing further health
studies through university.58

52 CIS, ATAR’s rising relevance: admission standards and completion rates, 27 February 2023.
53 Master Builders Australia (MBA), Submission 71, p. 5. See also Year 13, After the ATAR, https://year13.com.
au/business/reports/after-the-atar-i, viewed 2 February 2024.
54 See, eg, Professor Robin Shreeve, Submission 1, p. [5]. Newbery, Submission 16, p. 16; AUC,
Submission 82, p. [7]; Mr Carney, CICA, Committee Hansard, 16 May 2023, p. 9.
55 DEWR, Submission 76, p. 6.
56 AUC, Submission 82, p. [4].
57 Mackenzie, private capacity, Committee Hansard, 7 June 2023, p. 3.
58 Mackenzie, private capacity, Committee Hansard, 7 June 2023, p. 3.

63
4.49 Stakeholders observed that parents’ perceptions of VET are mediated by cultural
backgrounds and community expectations. Professor Shreeve recounted a
discussion with a student during his tenure as a senior TAFE executive:
[The student] … said she felt she was being compared to her siblings, her wider
family and indeed the whole local Chinese community. She was expected to do
well at school and, at weekends, help in the family’s restaurant. She said her
mother … would not allow her to apply to [the University of Technology Sydney]
as it was ‘once a TAFE.’ 59

4.50 This was reflected in oral evidence from current secondary school students. One
student stated that ‘being from an ethnic background, it’s [essentially decided that]
you … go to university. VET is seen as a waste of time’.60 However, another student
indicated that it is possible to address cultural views on the VET sector via careers
education involving parents—provided the right supports are in place:
When I was having that conversation with my teacher, my mother was right next
to me and the teacher was able to … explain to both of us … It can be a little
difficult if your parents have a bit of a language barrier. My parents aren't from
this country, so it can be harder for them to understand. But the school also has
translators, so those conversations can happen. It was definitely very helpful to
have it during course counselling because everything going on was able to be
explained to my mother as well.61

4.51 The WA Government identified a cultural dimension in whether young people value
advice from parents or other influencers such as teachers, noting that in recent focus
groups First Nations girls valued the advice of family members—and particularly
female family members—and placed less value on advice provided by schools.62

4.52 Parents’ biases regarding VET also extend to pathways and careers in certain fields.
The Queensland Alliance for Mental Health (QAMH) noted that careers in mental
health carry additional stigma due to negative community perceptions of mental
illness and distress.63 The National Apprenticeships Association Australian (NAAA)
observed that while many stereotypes about women’s capacity to succeed in male-
dominated fields have been disproven, there is still a perception among parents that
trade pathways are unsuitable work environments for young women.64

4.53 Schools, VET institutions, industry bodies and other stakeholders must engage with
parents to dispel negative perceptions about VET, including engaging parents in

59 Professor Shreeve, Submission 1, p. [5].


60 Eman, private capacity, Committee Hansard, 7 June 2023, p. 5.
61 Ankido, private capacity, Committee Hansard, 7 June 2023, p. 5.
62 Western Australian (WA) Government, Submission 97, p. 2.
63 Queensland Alliance for Mental Health (QAMH), Submission 35, p. 5.
64 Mr Ben Bardon, CEO, National Apprenticeships Association Australia, (NAAA) Committee Hansard,
19 April 2023, p. 16.

64
career education.65 The Integrated Information Service (IIS) stated that parents must
receive messaging on the full range of career pathways from multiple sources. The
IIS noted that innovative partnerships with organisations providing services to
parents and employers would have value.66

4.54 The CICA and Jobs and Skills Australia (JSA) highlighted the ‘Little Ripples’ program
developed with the National Careers Institute (NCI), noting that the initiative engages
parents in the career education process and illustrates how young students (including
primary school-aged students) can be encouraged to reflect on potential career
pathways.67 The CICA explained that:
• Little Ripples was initially targeted to parents and provided free resources for
parents to have meaningful career conversations with their primary school-age
students. This built on recognition that children of this age understand work and
careers and observe and learn from the careers of their parents.
• The second stage of the program focused on primary educators, recognising that
classroom conversations can have a significant impact on future career decisions
and on personal and gender biases. The program provides primary educators with
support and resources to inform those conversations.68

4.55 The ACCE stated that individual counselling with students and parents at specific
touchpoints in a student’s school life—for example when a student is moving into
Year 10 and begins to seriously consider post-school options—can be effective in
improving perceptions of VET for parents and students. However, the ACCE also
emphasised that much depends on the quality of career advisers and the currency of
information they are able to provide.69

4.56 Monash University highlighted the importance of reaching students in their homes
through more portable and life-integrated information and guidance, and of promoting
success stories that parents can access. It stated that the NCI could have a role in
this effort. However, Monash University also observed that reaching parents and
students in their homes can be challenging, not least because of the diversity of
media sources available.70

4.57 The Victorian Chamber of Commerce and Industry (VCCI) suggested that innovative
engagement strategies should be developed to target parents and peers to increase
awareness and provide accurate understanding of careers. It highlighted campaigns
in New Zealand aimed at increasing participation in VET which include parents and
focus on the value of VET on the economy, the experiences of VET students, and

65 See, eg, Refraction Media, Submission 9, p. 5; AiGroup, Submission 47, p. 4; Ms Karolina Szukalska,
General Manager, MCA, Committee Hansard, 19 April 2023, p. 19; Ms Isabelle Holmes, Student Executive
Advisory Committee Member, Vic SRC, Committee Hansard, 26 April 2023, p. 19.
66 Integrated Information Service (IIS), Submission 53, pages 3–4.
67 See CICA, Submission 39, p. [3]; Professor Peter Dawkins AO, Director, Jobs, and Skills Australia (JSA),
Committee Hansard, 22 March 2023, p. 4
68 Mr Carney, CICA, Committee Hansard, 16 May 2023, p. 12.
69 Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 17.
70 Monash University, Submission 83, p. [9]. See also Professor Walsh, Monash University, Committee
Hansard, 31 May 2023, pages 2, 4.

65
lower student debt. Campaigns include online tools for parents and teachers to build
their understanding of the opportunities VET presents to young people.71

Careers education and advice


4.58 Within secondary schools, career education is understood as a structured program of
learning which assists students to make informed decisions about future learning and
work options and enable participation in working life.72 Career education is—at least
nominally—delivered by accredited practitioners who are registered with the CICA.73

4.59 Monash University emphasised the critical importance of career education to school
students, highlighting a survey of Victorian students published in 2022. In the survey,
33.8 per cent of respondents ‘agreed’ or ‘strongly agreed’ they did not know what
careers best suited them, while 40 per cent felt that they had no career direction. In
addition, 32.5 per cent of respondents reported feeling they were studying or taking
on activities without any sense of purpose or career direction, increasing to 64 per
cent when ‘neutral’ or ‘not sure’ responses were included.74

4.60 Monash University highlighted data on 600,000 teenagers’ career aspirations held by
the Organisation for Economic Cooperation and Development. According to Monash
University, the data suggests that young people still focus on 10 narrow occupational
professional fields, rather than emergent fields in digital technology and health
service industries that are seeking more workers.75

4.61 Evidence indicated that while career practitioners are among the most significant
influences on young peoples’ education- and career-related decisions, the quality
and status of career education in schools has diminished over time.76 Stakeholders
expressed concern that a lack of effective careers advice may lead to students
choosing an unsuitable post-school pathway. For example, the Ai Group stated:
Feedback from those who regularly work with apprenticeship applicants is that
there are significant numbers of people in their early twenties who started at
university, often with the encouragement of parents and their careers advisers,
but quickly realised that they would be more suited to an alternative pathway.
Unfortunately, the higher adult wages they attract makes them less competitive
than younger applicants and they can often miss out. Good careers advice at
school would have helped some make better choices earlier in life.77

4.62 While it is assumed that schools deliver formal career education, this is not mandated
in the Australian Curriculum. Stakeholders raised concern that the failure to mandate
or at least invest in career education means the amount and quality of education can

71 VCCI, Submission 80, p. [6].


72 CICA, Submission 39, p. [2].
73 See CICA, Career Practitioners, https://cica.org.au/practitioners, viewed 5 February 2024.
74 Monash University, Submission 83, pages 6–7. See also Name Withheld, Submission 66, pages [1–2].
75 Monash University, Submission 83, p. 8.
76 See, eg, MTAA, Submission 38, p. 6; CICA, Submission 39, p. [2]; ACCI, Submission 43, p. 3.
77 AiGroup, Submission 47, p. 4.

66
vary considerably across schools and jurisdictions—with key decisions typically left to
the school leadership.78

4.63 The CICA drew attention to a Victorian study which found that 10 per cent of schools
spend just 45 minutes on career education on each student, each year, while 10 per
cent spend 12 hours or more.79 MBA cited a CICA report which found that that half of
schools with a student population of over 1,000 spend less than $3 per student on
career education.80

4.64 The WA Government noted that there is ‘wide-ranging evidence’ that at the national
level the socio-economic status (SES) of students has a strong effect on the type of
career information available. Students from high-SES backgrounds are more likely to
access multiple forms of career information, including from career advisers and
universities. Those from low-SES backgrounds are more likely to receive information
via non-professional pathways and workplace visits. Career practitioners in low-SES
schools are often less experienced, have access to fewer resources, and are less
likely to hold formal qualifications than their counterparts in high-SES schools.81

4.65 Ms Gaske observed that career advice can be seen as a form of remedial help or
welfare—particularly in low-SES schools—and that there is stigma attached to
engaging with these supports.82

4.66 The CICA observed that a lack of investment in career education often means that
responsibility for providing career advice falls to unqualified teachers and other staff.
These staff are frequently part time or deliver career education in addition to their
primary teaching load. This can harm students’ ability to make informed education
and career decisions:
If you get yourself into some sort of a legal issue and you need to go and get
legal advice, you would ultimately want to go to someone who has a law degree.
Or if you’re unwell, you would want to go and see someone with a medical
degree. But we’re quite happy to put somebody with absolutely no qualifications
at all in front of young people at their most impressionable age and have that
person undertake these roles. It’s very dangerous.83

Nature and quality of careers advice


4.67 Careers advisers should not merely direct students to relevant courses and training
pathways. Rather, advisers must have knowledge and experience of why people

78 ACCE, Submission 15, p. 4. According to ACCE, the Australian Curriculum, Assessment, and Reporting
Authority has advised that mandatory career education ‘is not coming any time soon’.
79 CICA, Submission 39, p. [3]. See also Groves et al, ‘One student might get one opportunity, and then the
next student won’t get anything like that: Inequities in Australian career education and recommendations for
a fairer future’ (2021), 50 Australian Education Review 519, 521.
80 MBA, Submission 71, p. 6.
81 WA Government, Submission 97, p. 3.
82 Ms Gaske, private capacity, Committee Hansard, 17 July 2023, p. 10.
83 Mr Carney, CICA, Committee Hansard, 16 May 2023, p. 10.

67
make career-related decisions and the ability to work with students to set realistic
goals aligned with their aspirations. Moreover, advisers must understand mental
health and student wellbeing.84 Monash University stated:
When young people are not certain or struggle to make decisions about their
future careers, they can feel anxious or concerned. These types of feelings can
be a common cause of stress in educational settings. One student who
developed anorexia told us: "I just don't feel ready, even capable, of making a
different decision, or picking a different career. I wouldn't know where to start.
And then I will be stuck – out there – with no one to fall back on and no idea
where to turn. I just feel paralysed".85

4.68 While students increasingly approach career practitioners for information on VET,
advisers often lack knowledge about the sector and may hold outdated views on VET
pathways and careers. This constrains their ability to deliver meaningful advice.86
Stakeholders indicated that practitioners must be supported and encouraged to
provide quality advice on all pathways—including VET—and should have access to
information on courses, associated costs, delivery models, location, employment
outcomes, earning potential, and labour markets.87

4.69 Some students also see value in careers aptitude testing as a complement to more
structured careers advice. For example, one student told the Committee:
In Year 9 we also do Morrisby testing [a matched series of timed cognitive
aptitude tests], which I think plays a big part. The results from that basically tell
you what way you learn the best or what workplace you'd be the best in. Then
that really helps you think about whether you want to go into a more hands-on,
applied sort of field or just like a bit more basic theory sort of thing.88

4.70 The WA Government observed that information available on career pathways is often
linked to courses, stating that one way to help students consider their post-school
options would be to create and maintain pathway documents that articulate career
options at industry level. The WA Government called for nationally consistent
information about career pathway options with standard terminology, including both
VET and university study elements.89

4.71 There may be too much emphasis on longer-term career planning in secondary
schools (if careers advice is available). Newbery asserted that students should be

84 See, eg, AiGroup, Submission 47, p. 4; Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 18.
The ACCE asserted that career advisors should possess a CICA-endorsed qualification at the Australian
Qualification Framework level 8 (a graduate-level qualification) and be registered with the NCI.
85 Monash University, Submission 83, p. 8.
86 See, eg, SA Government, Submission 12, p. 3; ACCI, Submission 43, p. 3; Dr Mark Dean, Research and
Planning Officer, Australian Manufacturing Workers Union, Committee Hansard, 26 April 2023, p. 5;
Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 14.
87 See, eg, ACCE, Submission 15, p. 5; NYCA, Submission 19, p. [4]; NCEC, Submission 33, p. [3]; ACCI,
Submission 43, pages 2–3.
88 Eman, private capacity, Committee Hansard, 7 June 2023, p. 4.
89 WA Government, Submission 97, p. 4.

68
encouraged to make education and training choices which align with their next two to
four years—not the next 40—particularly as young people are now expected to have
multiple jobs across several different careers in a lifetime.90 The Australian Digital and
Telecommunications Industry Association ADTIA echoed these views, stating that
government should provide advisers with support and information on industry and
labour market changes almost in real time.91

4.72 Ms Gaske indicated that careers advice may no longer align with the values of young
people, stating:
Traditionally, career practitioners' work has been around, 'What kind of job would
you like to have when you leave school?' Our modern young person does not
think like that. Our modern young person is very much based around values:
'What do I want my life to look like? What's important to me?'92

4.73 Ms Gaske suggested there would be value in careers advice drawing on the Career
Cluster model developed in Victoria. This is based on identifying skillsets which are
‘intrinsic to [the user] as a person’ rather than on considering a specific career or
industry, and then considering the careers that are available in a range of industries
which use that skillset. The model also considers preferences related to working
arrangements.93

4.74 Career practitioners should be able to offer useful, up-to-date resources to students
to assist career planning. DEWR noted there is a current focus on building
engagement between the NCI and state and territory school systems, as well as
expanding resources available via the Your Career website for practitioners.94

4.75 Careers education must consider the needs of students from particular cohorts. A
‘one-size-fits-all’ approach is unlikely to be suitable. The NSW Department of
Education et al noted that TAFE NSW has Disability Teacher Consultants who work
with schools to make environments accessible for students requiring adjustments to
transition to VET.95

Expanding the reach of career education


4.76 Stakeholders noted that career education is typically provided to students nearing the
end of their school career (Years 11 and 12), and indicated that there would be merit
in beginning career education earlier and continuing this education throughout the
student’s school life and beyond. Career education should also be tailored according
to age and year level.96

90 Newbery, Submission 16, p. 17.


91 Australian Digital and Telecommunications Industry Association (ADTIA), Submission 88, pages [5–6].
92 Ms Gaske, private capacity, Committee Hansard, 17 July 2023, p. 11.
93 Ms Gaske, private capacity, Committee Hansard, 17 July 2023, p. 11.
94 DEWR, Submission 76, p. 14.
95 NSW Department of Education et al, Submission 77, pages 5–6.
96 See, eg, IIS, Submission 53, p. 4; Mr Carney, CICA, Committee Hansard, 16 May 2023, pages 11–12;
Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 16.

69
4.77 Both CICA and CEWA called for career education in primary schools, noting that
guidance at this age would help to break down some of the complexities of the VET
sector and help build younger students’ sense of identity. This would also help to
dispel gendered misconceptions about capabilities and possible career pathways.97

4.78 The ETUA indicated that promoting trade pathways should start from kindergarten,
noting that at this stage children are forming views about the intersection between
career pathways and gender roles. The ETUA also indicated that the engagement
could be supported by industry and union partnerships, stating:
One of our women members in [NSW] has a fantastic idea that we're hoping to
bring to life, which is that we should write a children's book about a woman who's
an electrician and how to get the wattage to your cottage.98

4.79 The NAAA similarly observed that addressing gender disparities in VET pathways
requires encouraging young women and girls in school to consider a trade pathway.
It indicated that this should start early, as by the time a person reaches Year 10 they
may have made choices that will determine whether they take up a VET pathway.99

4.80 The MTAA asserted that career education should commence in Years 7 and 8 and
evolve during a student’s time at school, stating:
Career education … must reflect the fact that students’ needs evolve as school
progresses. Years 7 and 8 are a key time for students to learn about themselves,
and Year 9 is a critical time for career planning and decision-making. We need to
build the self-awareness and decision-making skills of students in Years 7 to 9,
so that they can make informed, confident course and career choices in Years 10
to 12 and beyond.100

4.81 MEA echoed these views, noting that early careers education in schools is a valuable
opportunity to encourage school-aged girls to consider a career in ‘non-traditional’
vocations such as electrical. MEA drew attention to the Women in Power initiative.101

Career education strategies


4.82 Improving careers education and advice may require a targeted strategy including
provision for the nature and quality of career support, resources for students, funding
measures, coordination across Federal, State, and local governments, and links to
other measures to improve the VET system.102

4.83 The VCCI stated that the secondary school system would benefit from a coordinated
national approach to training and careers in VET. This would support careers advice

97 CEWA, Submission 27, p. [4]; CICA, Submission 39, p. [3].


98 Mr Trevor Gauld, National Policy Officer, ETUA, Committee Hansard, 31 May 2023, p. 7, p. 10.
99 Mr Bardon, NAAA, Committee Hansard, 19 April 2023, p. 16.
100 MTAA, Submission 38, p. 6.
101 Mr Lehmann, MEA, Committee Hansard, 19 April 2023, p. 9.
102 See, eg, Mr Carney, CICA, Committee Hansard, 16 May 2023, pages 12–13.

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in schools that presents VET and university pathways as equal, as well as education
programs for careers advisers on the benefits of VET—linked to a career education
strategy. According to the VCCI, this would include:
• Establishment of Industry Advisory Panels in schools to assist career advisers
and teachers stay connected to local business and up to date with industry trends.
• Work experience opportunities for students, facilitated through the panels.
• Engagement of Australian Apprenticeship Support Network (AASN) providers to
promote apprenticeships to students and parents.103

4.84 Stakeholders also indicated that strategies to improve career education must include
ongoing professional development for both career practitioners and other teachers.
The University of Newcastle observed that it has developed two courses which are
freely available online, and explained that these courses are of particular value for
enabling an understanding of how aspirations are built:
What our professional development course does is introduce teachers to how
aspirations are shaped. There are concepts, for example, of compromise and
circumscription, with students who want to be a doctor but realise they're not
going to get there so they choose to be a nurse. That's compromise. There are
also students who circumscribe at either end of the career spectrum … There are
students who say: 'I could never get to university. In fact, people in my family
have struggled to even get work. If I can get a job at the local fast-food outlet
that's good for me.' There are other students who circumscribe their career
interests at the other end, saying: 'In my family everybody becomes a doctor or a
lawyer, so I can't possibly entertain other options.104

4.85 MBA recommended that Federal, State, and Territory Governments enter a jointly
funded national partnership on quality careers education, to provide comprehensive,
unbiased, and up-to-date careers education.105

4.86 Noting that students often seek advice from sources other than career practitioners,
some stakeholders suggested that strategies be developed to ensure all school staff
can provide or at least enable access to careers advice. This should include the
appointment of a school careers leader whose functions would include ensuring that
teachers understand VET and can offer meaningful advice to their students.106

4.87 Work is ongoing at the state level to integrate career education into education and
employment strategies. The Queensland Government noted that its Good People,
Good Jobs: Queensland Workforce Strategy 2022-2032 covers career development

103 VCCI, Submission 80, pages [5–8].


104 Professor Gore, University of Newcastle, Committee Hansard, 14 August 2023, p. 9. See also Independent
Schools Australia (ISA), Submission 84, p. 3.
105 MBA, Submission 71, p. 6.
106 See, eg, ACCI, Submission 43, p. 2; Ms Julie Pilioglou, Submission 62, p. 1; Mr Carney, CICA, Committee
Hansard, 16 May 2023, p. 11.

71
for teachers and a career education program for students in Years 7 to 10 to help
them understand their potential career options.107

Supporting industry exposure


4.88 Exposure to VET-led industries and workplaces is critical to improving students’
perceptions of VET and encouraging students to take up VET pathways—including
by enabling students to imagine a pathway from school to work. Stakeholders
indicated that industry exposure should be facilitated via schools and directly linked
to careers advice.108

4.89 The MTAA asserted that career education must equip students with a deeper
understanding of industry. It considered the following initiatives to have merit:
• A strategy to engage individuals from industry to provide careers advice.
• Funding to enable industry bodies to develop resources and information.
• Personal development programs for career advisers, including requirements to
collaborate with industry and enable greater student participation in VET.
• Expanding student access to VET-trade programs in consultation with industry
and relevant peak bodies.109

4.90 The Motor Trades Association of Queensland similarly asserted that the best way to
improve careers engagement is via industry partnerships, noting that various motor
trades associations run school-based programs which enable younger people to
explore careers in automotive industries—including via work experience.110 The Motor
Trades Association of South Australia and the Northern Territory made similar
observations, stating:
You've got mum-and-dad perceptions, you've got career counsellor perceptions
and then you've got student perceptions. The way we break through is the
connection of industry and training facility with those parties. We have mum-and-
dad nights, we have career counsellor nights, and we have student nights. We
say: 'Come along and try. Come along and see the latest in electric vehicles.
Come along and see the latest in repair technology for paint-and-panel vehicles.'
Once it's seen and once they experience what's happening in the automotive
industry, you can actually see the lightbulb moments.111

107 Queensland Government, Submission 95, p. 3.


108 See, eg, CICA, Submission 39, pages [2–3,5]; SA Government, Submission 12, p. 4; Australian Industry
Trade College (IATA), Submission 31, p. [14]; ISA Submission 84, p. 25; CCACT, Submission 96, p. [2].
109 MTAA, Submission 38, p. 6.
110 Mr Rodney Camm, CEO, Motor Trades Association of Queensland, Committee Hansard, 19 April 2023, p. 2.
111 Mr Darrell Jacobs, CEO Motor Trades Association of South Australia and the Northern Territory, Committee
Hansard, 19 April 2023, p. 6.

72
4.91 The Tasmanian Government observed that building connections between schools,
industry, and training providers has been crucial to engaging school leavers, noting
that the following approaches have been successful in Tasmania:
• The VETStream 2022 program, which involved an Industry Training Hub providing
students with local and authentic content on VET in their area.
• The Department for Education, Children and Young People’s Careerify website,
which aims to support evidence-based career education in schools.112

4.92 Professor Choy noted that young people’s perceptions of work can be very different
to the reality and are often driven by marketing material. As a potential solution to this
issue, Professor Choy suggested an independent ‘broker’ who liaised with schools
and with industry and explained the experience of working in the sector to students
and to other people such as parents and career advisers.113

4.93 The AiGroup highlighted the ‘World of Work Challenge’ in SA secondary schools.
The AiGroup explained that this initiative involves students from Years 7 to Year 10
participating in industry and employer engagement activities such as industry visits
and career conversations and hearing from speakers in schools. This leads to a
certificate of achievement. A Personal Learning Plan is required to be completed by
each student in Year 10, and information, tools and resources are provided to
teachers engaged with the initiative.114

4.94 The VCCI observed that in Switzerland, students have careers advisers, education
providers and industry speak to them and their parents in class time about different
education and careers pathways. In the UK, schools are required to provide students
with six encounters with technical education and apprenticeship providers—at a rate
of at least two encounters every two years from Year 8 to Year 13.115 The Australian
Chamber of Commerce and Industry noted these approaches and recommended
mandating Australian secondary schools host one interaction with a VET provider
and student cohort in each of Years 8 to 11.116

Exposure to VET pathways


4.95 There was strong support for introducing school-aged students to VET via practical,
hands-on experience—with the caveat that this will require industry partnerships.117

4.96 CEWA called for funding to enable schools to offer micro-credentials and tasters to
Years 9 and 10 students to enable informed decisions about subject selections and
career pathways. CEWA noted that VET ‘tasters’ are currently funded via Industry

112 Tasmanian Government, Submission 11, p. [2].


113 Professor Choy, Griffith University, Committee Hansard, 3 May 2023, p. 18.
114 AiGroup, Submission 47, pages 4–5.
115 VCCI, Submission 80, p. [10].
116 ACCI, Submission 43, pages 5–6.
117 See, eg, Mr Lehmann, MEA, Committee Hansard, 19 April 2023, p. 11; Dr Billet, Griffith University,
Committee Hansard, 3 May 2023, pages 17–18. Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 17.

73
Training Hubs for Year 11 and 12 students, and the Year 9 ‘Career Taster’ Program
has been successful in offering participants exposure to various industries.118

4.97 The QAMH indicated that early, positive exposure to workplaces can help alleviate
the stigma which attaches to certain industries—including the mental health sector.
According to the QAMH, school-industry partnerships have the potential to offer real
world learning projects, mentoring programs, career-taster days, competitions and
events, and teacher professional development workshops.119

4.98 Several stakeholders drew attention to specific ‘taster’ programs which aim to build
young people’s perceptions of the sector. For example, Save the Children and 54
Reasons highlighted the ‘Hands on Learning’ program for students in Years 4 to 10:
[Hands on Learning] involves students spending one day every week outside the
classroom working collaboratively on practical, creative projects around the
school and in the local community. As part of the program, students participate in
projects like building or repairing infrastructure or running a café to develop a
number of job-ready skills, including building confidence, self-awareness,
collaboration, problem solving and communication abilities.120

4.99 Save the Children and 54 Reasons noted that ‘Hands on Learning’ delivers very
positive outcomes, with nearly all parents reporting that their child had developed
new life and work skills and enjoyed learning by doing real, meaningful projects.
Save the Children and 54 Reasons recommended that consideration be given to:
• Intervening early to provide valuable, curriculum aligned hands-on experiences
outside the traditional classroom.
• Investing in ‘Hands on Learning’ as a proven intervention to provide children with
critical exposure to vocational options as early as possible.121

4.100 AUC noted that it has developed an innovative microcredit framework with a leading
girls’ school that captures learnings in the curriculum and co-curricular programs and
provides pathways to Australian Skills Quality Authority (ASQA) units of competency
and skill sets. AUC stated that this has created a flexible exchange system inside the
school which enables greater program individualisation and innovation school without
sacrificing the emphasis on university-entrance and academic achievement.122

4.101 The Committee also heard that there is value in former students speaking to current
students about their study and career pathways. For example, Mr George Massouris,
Assistant Principal of Cranbourne Secondary College, stated:

118 CEWA, Submission 27, pages [1, 5]. See also NCEC, Submission 33, p. 3.
119 QAMH, Submission 35, p. 8.
120 Save the Children and 54 Reasons, Submission 75, pages [2–4], citing Hon Roger Jaensch, Tasmanian
Minister for Education, Children, and Youth, ‘More Hands-on Learning for Tasmanian students’, Media
Release, 20 December 2022, https://www.premier.tas.gov.au/site_resources_2015/additional_releases/
more-hands-on-learning-for-tasmanian-students, viewed 5 February 2022.
121 Save the Children and 54 Reasons, Submission 75, pages [3–4].
122 AUC, Submission 82, p. [11].

74
[W]e did what we call a speed careering event. We brought in 15 alumni from
different kinds of work situations. The students went to each one asking them
questions about what they do, how they got into it and what they were doing
when they were at the school in the recent past, just to get a bit of information
about what it was for them. That was a really great event for our Year 10s to start
their career journey, heading towards doing the course counselling. Amazingly,
we have so many past students wanting to join our alumni and contribute back.123

VET delivered to secondary school students


4.102 VETDSSS can provide students with opportunities to engage with their interests and
explore alternatives to higher education. It can also equip students with partial or full
qualifications.124 There was recognition that the accommodation of VETDSSS is
inconsistent, with some schools offering a suite of programs and others offering few if
any courses.125

4.103 Evidence suggested that there is inconsistency in the schools which offer VET onsite
and those which require students to access training externally. The Vic SRC noted
that less than 30 per cent of Victorian schools deliver VET onsite. This means that
students must overcome barriers to access, including the time and cost of travel and
the requirement to complete their studies in an unfamiliar environment away from
peers. The Vic SRC asserted that government must provide resources to ensure that
schools have the capabilities to deliver VET onsite.126

4.104 Stakeholders supported school-based apprenticeships and traineeships (SBATs),


noting that these programs are often very effective in supporting school-to-work
transitions, building relationships with industry, and equipping students with in-
demand skills and competencies. SBATs are also seen as cost-effective, as costs to
the school are typically limited to monitoring an apprentice or trainee’s progress and
providing assessment data to government.127 SBATs require students to be released
for longer periods and may be a more valuable qualification from an employability
perspective. Katrina’s School of Hair and Beauty observed:
Diploma of Beauty Therapy only became an apprenticeship last year, and that's
where we have our school based. We couldn't take any school based before that
because our course requires them to come to us three days a week, and the
school won't allow them to leave for three days a week. So we just didn't have
the capacity to do that with them.128

123 Mr George Massouris, Assistant Principal, Cranbourne Secondary College, Committee Hansard,
7 June 2023, p. 10.
124 See, eg, IST, Submission 6, pages 8–10; ADTIA, Submission 88, p. [3].
125 See, eg, MTAA, Submission 38, p. 7.
126 Vic SRC, Submission 90, p. 5. See also Vic SRC, Submission 90.1, p. [2]; Ms Dawe, ACCE, Committee
Hansard, 16 May 2023, p. 15.
127 See, eg, IST, Submission 6, pages 10–11; Australian Automotive Aftermarket Association (AAAA),
Submission 40, p. 6; VCCI, Submission 80, p. [5].
128 Mrs Kira McKenna, Principal, Katrina’s School of Hair and Beauty, Committee Hansard, 17 July 2023, p. 2.

75
4.105 Stakeholders indicated that VETDSSS must be enhanced to ensure it delivers quality
outcomes for participants, employers, and other stakeholders. IST stated that
effective delivery of VETDSSS requires:
• A school commitment to ensuring all students have access to a VET program,
often with all students participating in a VET qualification.
• School leadership that actively promotes VET to students and parents.
• A capacity to engage with local business and industry in effective partnerships
where students are provided access to work placements.
• Properly qualified VET personnel on campus, with capacity to work constructively
with RTOs to coordinate and deliver VET programs.
• Resourcing of VET be treated no differently to that allocated to more traditional
subject areas and not as an ‘exotic add-on’.
• Flexible approaches to innovative VET program delivery.129

4.106 Work is underway to enhance VETDSSS courses. Under the Heads of Agreement for
Skills Reform, parties committed to strengthening VET pathways in secondary school
and improving the quality and vocational relevance of VETDSSS.130 A working group
of education and skills officials is exploring options for reform, including considering
the development of a National VET in Schools Strategy.131

Barriers to high-quality VETDSSS


4.107 Several stakeholders identified financial and geographic barriers to participation. For
example, the NSW Department of Education et al noted a lack of resources to deliver
VET courses—including equipment and tools; the proximity of a school to a provider;
whether a school has a relationship with the provider; and timetabling issues.132
These views were echoed by the Institute of Technology Education (ITE):
If we really want to improve how VET subjects are delivered in schools, it is going
to take a huge injection of funding to upgrade resources to make sure it’s done
properly and then ongoing maintenance of that funding, because technologies
change so rapidly.133

4.108 Concerns about the cost of VETDSSS and a lack of resources were also raised by
secondary school students. These concerns are particularly acute for students from
CALD, migrant, and lower SES backgrounds.134

129 IST, Submission 6, p. 7.


130 See Department of the Prime Minister and Cabinet, Heads of Agreement for Skills Reform, https://www.pmc.
gov.au/resources/heads-agreement-skills-reform, viewed 5 February 2024.
131 See DEWR, Improving VET delivered to secondary students, https://www.dewr.gov.au/skills-reform/
improving-vet-delivered-secondary-students, viewed 5 February 2024.
132 NSW Department of Education et al, Submission 77, p. 5.
133 Mr Grant Byrne, President, Institute of Technology Education (ITE), Committee Hansard, 16 August 2023,
p. 16.
134 See, eg, Ankido, private capacity, Committee Hansard, 7 June 2023, p. 6.

76
4.109 The Catholic Education Commission of Victoria noted that barriers to successful
VETDSSS—especially where courses are delivered externally—include the
increasing costs of delivering VET via external providers; transport; access and
equity barriers for students who require additional support; minimum and maximum
class sizes; and availability of qualified VET trainers.135 Also of concern is how to
integrate VET into other secondary studies in a way that minimises disruption.136
These concerns were illustrated by the experience of one student, who stated:
I wanted to do VET dance because I love dance and it's something that I
constantly do … [U]nfortunately, due to the size of the class and the people that
wanted to do it, I wasn't able to have it at school. But the school did give us
alternative ways to do VET dance. We could have done it at other schools that
hosted it … [b]ut, unfortunately, due to the placement of that school, it is too
difficult to go there by public transport from here.137

4.110 The Committee also heard that whether VET can be properly integrated with other
studies often depends on the school and the effectiveness of its VET coordinator and
other staff, as well as their willingness to engage with students to plan their studies.138

4.111 The Australian Education Union (AEU) indicated that due to a lack of resources, the
vast majority (93 per cent) of VET taught in public schools comprises non-accredited
training package qualifications. Moreover, 73 per cent of programs in public schools
are at the Certificate I and II levels. The AEU highlighted the following additional
barriers to effective VETDSSS, with many linked to entrenched under-resourcing:
• The requirement that students fund their own VET courses with private RTOs
arranged via schools.
• Lack of oversight and coordination of VETDSSS policy and implementation.
• A decline in accredited and higher-level qualifications in VETDSSS offerings.
• A VET system which is structured around the needs of industry.139

4.112 The AEU recommended VETDSSS be underpinned by cooperative arrangements


between schools and TAFE; that VETDSSS be funded from a specific budget
directed to TAFE rather than diverting resources from public schools; and that
VETDSSS class sizes not exceed those for the same course at an ‘external’ TAFE.140

4.113 The ITE indicated that VETDSSS is most effective when there is a dedicated VET
coordinator responsible for activities and industry liaison. However, establishing such
a position can be challenging in practice due to the demands of the role and to
funding and resource constraints. The ITE stated:

135 Catholic Education Commission of Victoria, Submission 48, p. 5. See also IST, Submission 6, p. 10.
136 See, eg, Emily, private capacity, Committee Hansard, 7 June 2023, p. 2; Ankido, private capacity, Committee
Hansard, 7 June 2023, p. 3.
137 Bianca, private capacity, Committee Hansard, 7 June 2023, p. 3.
138 See, eg, Alison, private capacity, Committee Hansard, 7 June 2023, pages 7–8.
139 Australian Education Union (AEU), Submission 37, pages 8–10.
140 AEU, Submission 37, p. 11.

77
[Schools] are in a tough position where they have to find ways to stretch a dollar
as far as they can. If they only have so many resources, they need to find them.
The amount of paperwork and the amount of admin the VET coordinators need to
do is astronomical, on top of their own teaching load.141

4.114 Ms Amanda Ellwood stated that key barriers to effective VETDSSS include funding,
teaching quality, and a shortage of VET educators, also asserting that VET providers
have done little to adapt their courses to school-aged learners. This has worsened as
curricula have been updated. Ms Ellwood asserted that:
• Courses tend to be more theoretical, use language that is not accessible for the
average young person and often do not supply the teaching material needed to
complete the assessments.
• Trainers have limited flexibility in their teaching, making it difficult to adapt for
students with learning needs.
• There is an over-reliance on online learning in place of the hands-on education
that previously characterised the VET sector. This has disadvantaged students
with learning issues and is a poor way of teaching practical skills.
• Trainers often refuse or are unable to answer questions, and often refer students
back to their learning modules.142

4.115 The Vic SRC noted that a barrier to accessing VETDSSS is lack of awareness about
whether VET is offered at the school. The Vic SRC highlighted the testimony of one
student who asked a teacher about VET courses that were available. The teacher
was not able to advise on how to access the courses and seemed not to understand
the concept of vocational education. Ultimately the student established that relevant
VET subjects were available within the school.143

4.116 The CICA observed that many private and catholic schools—and particularly those in
higher socioeconomic areas—do not run VET programs.144 The ACCE made a similar
observation, noting that a lack of VET pathways in private schools may be due to a
focus on the ATAR.145

4.117 IST observed that additional financial support may be required for schools that wish
to provide a broader range of VET offerings, noting that this may include individual
support packages for students undertaking VETDSSS in school—particularly in
relation to in-demand skills areas.146

141 Mr Matthew Stanley, Committee Member, ITE, Committee Hansard, 16 August 2023, p. 15.
142 Ms Amanda Ellwood, Submission 51, pages [3–4]. See also Association of Heads of Independent Schools of
Australia (AHISA), Submission 57, p. 5.
143 Vic SRC, Submission 90, pages [4–5].
144 Mr Carney, CICA, Committee Hansard, 16 May 2023, p. 11
145 Ms Dawe, ACCE, Committee Hansard, 16 May 2023, p. 16.
146 IST, Submission 6, p. 10.

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Partnerships with employers and industry
4.118 Partnerships with industry are often critical to the success of VETDSSS programs.
Such partnerships can enable schools and providers to understand and respond to
industry needs and facilitate work placements which enable students to gain industry
experience and map a pathway to future education and employment.147 One student
reflected on the importance of work experience as follows:
A lot of people are encouraged [to undertake work experience] especially if
you're thinking about VET. It helps to have that. It's kind of like you have the
experience. You definitely know that's what you want to do … We've been told
stories such as that there was this girl who wanted to be a vet, and she went
there and there was a dog who had swallowed a sock. She had to be there in the
operation room while the dog got cut open, and she fainted.148

4.119 Stakeholders indicated that further work is needed to build partnerships between
schools and industry. IST noted that industry support for VETDSSS is a recent
phenomenon, and that some industry participants do not support such programs.
Concerns for industry include that school-delivered VET does not build the repertoire
of skills demanded by employers, does not involve sufficient workplace exposure,
and is not taught by educators with current industry experience. According to some
employers, schools do not understand competency-based training or assessment.149

4.120 According to IST, strong school-industry partnerships display:


• An industry-led approach to schools to engage students in VET programs.
• A willingness by business to recognise the constraints that operate within schools,
including timetabling, extra-curricular activities, and school holidays.
• Recognition of the importance of senior secondary education, rather than a sole
focus on recruiting students into the business.
• Industry actively promoting VETDSSS programs to parents, teachers, and school
communities.
• Industry being willing to work with RTOs and schools to facilitate in-work training
and assessment.
• Industry providing non-exploitative work placements where students can acquire
the skills recognised in a qualification.
• A willingness by schools to engage industry in supporting VETDSSS programs by
encouraging teachers to visit students on work sites.150

4.121 The AEU observed that many industry partnerships for VETDSSS are not consistent
in their application or release of staff resources. The AEU asserted that more

147 See, for example, PGA, Submission 24, p. 5.


148 Emily, private capacity, Committee Hansard, 7 June 2023, p. 6.
149 IST, Submission 6, p. 8.
150 IST, Submission 6, pages 9–10.

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partnerships need to be built between industries and sectors to initiate and continue
a pathway beginning in school, following onto a full-time capacity and a qualification.
The AEU stated that while TAFE providers are committed to industry partnerships,
this commitment often goes unreciprocated.151

4.122 DEWR observed that a barrier to effective workplace learning for secondary students
is employer reluctance to offer work placements—often due to the perception that it
is too burdensome to take on new trainees or that the employer will not benefit
significantly from the traineeship. DEWR asserted that addressing this perception
requires a collaborative effort between education authorities and industry bodies to
build relationships and deeper understanding:
Schools can support the transition of students to the world of work, providing
effective career planning, and access opportunities for employment and training.
One way of potentially improving employer engagement may be by more
effectively leveraging existing successful partnerships and exploring new ways to
facilitate and support school and industry partnerships, including showcasing
those partnerships that work.152

4.123 The Vic SRC stated that industry must be encouraged to bring young people without
a Secondary School Certificate of Education (SSCE) into their businesses, and that
VETDSSS should be supported by evidence that programs lead to placements and
careers.153

4.124 The AiGroup indicated that partnerships between schools, employers, and RTOs
should focus on creating pipelines of future workers, including by sparking interest in
industry and further education. The AiGroup drew attention to the following programs:
• Cantech (producer of equipment and machinery for the food and manufacturing
industries) partnered with the private provider Skills Tech and the Kyabram P-12
College to offer students exposure to advanced manufacturing. Some students go
on to study engineering after they leave school and may consider their hometown
as an option for using their skills.
• White Industries (a local employer) partnered with the Dalby State High School’s
Trade Training Centre by supplying student tool kits and equipment.154

4.125 CEWA stated that Industry Training Hubs may enable career pathways for students.
Although cluster arrangements that link industries, employers, and schools have
proven successful, this model is not always available in some country or metro
regions. CEWA highlighted the value of industry associations in linking schools and
students to training opportunities.155

151 AEU, Submission 37, p. 10.


152 DEWR, Submission 76, p. 8.
153 Ms Baron, Vic SRC, Committee Hansard, 26 March 2023, p. 19.
154 AiGroup, Submission 47, p. 8.
155 CEWA, Submission 27, p. [4].

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Partnerships with RTOs
4.126 Best-practice VETDSSS can involve schools and RTOs working in partnership—
particularly if a school cannot deliver VET onsite. Stronger strategic partnerships with
TAFEs were supported by several stakeholders.156

4.127 Dr Karen O’Reilly-Briggs, Dr Rochelle Fogelgarn and Dr Jacolyn Weller (Dr O’Reilly-
Briggs et al) called for the establishment of a VETDSSS tripartite model based on
existing models in Norway and Finland. This would involve schools working closely
with enterprises, industry, and community representatives across a region to offer
secondary students structured work-integrated learning and meaningful opportunities
to engage in school-based apprenticeships.157

4.128 Financial constraints often limit effective school-provider relationships. TAFE NSW
explained that there has until very recently been a financial disincentive for schools to
send students to TAFE, as the school would lose funding for students who engaged
in training off-campus. This, combined with the impacts of COVID-19, led to the
tendency to try to deliver VETDSSS within schools rather than allowing students to
attend offsite. However, these funding constraints have recently been lifted.158

4.129 The Association of Heads of Independent Schools Australia (AHISA) noted that the
cost of VET provision to schools—and the cost of external courses including TAFE
courses—is an area of concern. AHISA suggested that the cost of students
undertaking courses with external providers be subsidised by government. AHISA
also called for Fee-Free TAFE initiatives to be extended to VETDSSS and SBATs.159

4.130 The ITE indicated that engagement by VETDSSS teachers and counterparts in the
broader VET sector can be critical to effective school-RTO partnerships, as well as to
building the skills of VETDSSS educators. However, teachers often lack the time and
resources to engage with external providers.160

4.131 The AEU advised that there are too many divisions between VETDSSS and ‘external
VET’, stating that VETDSSS should be better linked to the broader VET system to
avoid duplication and wasted resources. The AEU drew attention to a partnership
between a school and external provider in Padstow, NSW, stating:
The students used to go next door to the TAFE college and do commercial
cookery. A high school teacher came into Padstow who had the qualification to
provide that in the school. The school paid a fortune to put a commercial kitchen

156 See, eg, AEU, Submission 37, pages 10–11.


157 Dr Karen O’Reilly-Briggs, Dr Rochelle Fogelgarn and Dr Jacolyn Weller (Dr O’Reilly-Briggs et al),
Submission 20, p. 3. See also K O’Reilly-Briggs, The initial teacher education of vocational education and
training upper secondary teachers in Norway and Finland: lessons for Australia, 2023, p. 78.
158 Mr Stephen Brady, Managing Director, TAFE NSW, Committee Hansard, 16 August 2023, p. 4.
159 AHISA, Submission 57, p. 8.
160 Mr Andrew Brooks, Committee Member, ITE, Committee Hansard, 16 August 2023, p. 15.

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in the school. Why spend money on building a commercial kitchen in the school
when there's one next door in the TAFE college? It's just duplication.161

4.132 The Australian Academy of Technological Sciences and Engineering (AATSE)


asserted that while there have been recent positive movements towards greater
integration and cooperation between schools and VET providers, more work is still
required to align Australia’s education system with international best practice. The
AATSE noted that in Germany the vocational sector is integrated with schooling, with
two-thirds of students enrolled in dual programs. According to the AATSE, a national
integration strategy should be developed to increase uptake of VETDSSS.162

4.133 The Committee heard that some schools prefer to partner with private RTOs rather
than TAFEs due to higher levels of flexibility. One school coordinator stated:
We partner with both [RTOs and TAFEs], but we partner with RTOs in particular
because there's more flexibility around timetabling. There's more flexibility around
them coming onto our campus to deliver, which suits our student cohort better, as
well as the parent community. They prefer students to remain on what they see
as a safe environment and an environment that they're used to. Cost comes into
it too. You can negotiate, generally speaking, with an RTO. TAFEs are fairly
much set.163

4.134 Levels of integration between VETDSSS and the broader VET system vary between
jurisdictions. IST noted that there is no dedicated RTO for independent schools in
Tasmania. Schools find it challenging to negotiate details of VETDSSS arrangements
with RTOs, and there is a tendency to use on-line services with dedicated providers.
The IST indicated that this may be addressed by enabling access to the Tasmanian
Department for Education, Children, and Young People RTO.164

4.135 The WA Government advised that it established a ‘preferred provider’ panel of RTOs
for VETDSSS in public schools, as well as a standard contract for auspicing services.
These measures help ensure quality in the VETDSSS delivered in that jurisdiction.165

4.136 Stakeholders highlighted partnerships between schools and higher education


providers. For example, the University of Technology Sydney (UTS) stated:
UTS has a couple of pathway programs that allow for underrepresented groups
to participate in higher education … [O]ne is the Wanago Program, where we
teach HSC subjects and students that align to our engineering and IT programs.
Graduates of that program are given direct entry into our engineering and IT
courses. Our U@Uni program is a non-ATAR entry pathway for students. We

161 AEU, Committee Hansard, 26 April 2023, p. 26.


162 Australian Academy of Technological Sciences and Engineering, Submission 49, p. 2. See also AUC,
Submission 82, pages [8–9].
163 Alison, private capacity, Committee Hansard, 7 June 2023, p. 8.
164 IST, Submission 6, p. 4.
165 WA Government, Submission 97, pages 5–6.

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work with students from the end of Year 10, through Years 11 and 12, to support
them into a [university] course of their choice.166

Teachers and educators


4.137 Another barrier to successful delivery of VETDSSS is a lack of qualified educators,
with stakeholders noting that this issue may be driven by the more general shortage
of VET educators and by failures to adapt undergraduate teaching qualifications to
the evolving needs of the VET sector.167

4.138 Dr O’Reilly-Briggs observed that due to an inability to engage qualified teachers with
VET specialisations, schools are resorting to inappropriate work-around solutions
that serve to reinforce negative perceptions of VET pathways:
Schools are recruiting VET trainers on a … temporary authorisation that is called
'permission to teach' in Victoria. [This] … is producing a tier of second-class
teacher in schools where trainers given permission to teach are not able to
access initial teacher education programs, meaning that they are not only
pedagogically bereft but they are not entitled to the same pay, conditions or
professional opportunities as general schoolteachers.168

4.139 The IST noted that recruitment and retention of VET educators has been a significant
challenge for private schools due to the smaller size of the VET cohorts within those
schools and a smaller student body more generally. IST observed that some schools
have attempted to address this issue by identifying teachers with industry experience
and supporting them to attain a Certificate IV in Training and Assessment (TAE).
However, teachers must be released to undergo training and acquiring a qualification
can be expensive. Retaining qualified educators can also be challenging as
employers may offer incentives or head-hunt educators to return to industry.169

4.140 AUC indicated that one solution would be to include VET training qualifications in
initial teacher education (ITE), noting that its Alphacrucis Hub incorporates VET
qualifications for new teachers in a clinical teaching school model.170

4.141 Dr O’Reilly-Briggs told the Committee that the majority of ITE programs offering VET
specialisations have closed, with two programs of this kind in Australia as of 2022.
According to Dr O’Reilly-Briggs, this makes it ‘almost impossible’ for tradespeople to
have VET qualifications or experience counted towards an ITE qualification.171

166 Professor Anne Garnder, Associate Dean, Teaching and Learning, University of Technology Sydney (UTS),
Committee Hansard, 16 August 2023, p. 2.
167 See, eg, Dr O’Reilly-Briggs et al, Submission 20, p. 1.
168 Dr O’Reilly-Briggs, Committee Hansard, 3 May 2023, p. 6.
169 IST, Submission 6, pages 4–6, 11. See also Ms Julie Pilioglou, Submission 62, p. [1]; ISA, Submission 84,
p. 25.
170 AUC, Submission 82, p. [14].
171 Dr O’Reilly-Briggs, Committee Hansard, 3 May 2023, p. 6.

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4.142 National solutions are needed to enable tradespeople and industry experts to enter
the teaching profession with minimal. This could involve a shorter, more ‘boutique’
program which values industry experience. Dr O’Reilly Briggs highlighted a study into
ITE programs in Norway and Finland which recommended that:
• Australia adopt ITE programs inspired by Finnish and Norwegian course models
designed to upskill industry experts to become high-quality professional VET
secondary school teachers with equal status, pay, conditions and opportunities as
general secondary school teachers.
• Financial support be offered to support qualified, industry experienced adults
wanting to study a VET ITE so they are supported during their transition to the
VET secondary teaching profession.
• Adopt a ‘no dead ends’ education policy to ensure vocationally qualified industry
experts, including those without a Bachelor-level qualification, can pursue higher
levels of learning and engage in lifelong learning.172

VETDSSS and the ATAR


4.143 In most jurisdictions, students may complete VET courses during secondary school.
These courses are typically counted towards the SSCE for the relevant jurisdiction
and may be used to calculate a student’s ATAR.173 In Victoria, certain VET courses
are counted directly towards the ATAR in the same way as school subjects such as
English or Mathematics. Others (for example, ‘unscored VCET VET studies’ and
‘VE3 Block Credit’) are treated differently but may still count towards the ATAR.174

4.144 Some stakeholders expressed concern at low levels of awareness of the interaction
between VETDSSS and the ATAR, noting this may contribute to poor perceptions of
VETDSSS. The Vic SRC observed that in Victorian schools there is a perception that
VET courses do not contribute to the ATAR and must be completed in addition to an
already heavy student workload.175 The Vic SRC indicated that this concern might be
addressed by providing families, parents, and carers further information on how VET
contributes to the Victorian Certificate of Education (VCE) and the ATAR, stating:
We think it would be great if there could be some resources or if schools could
talk to parents about how VET and VCE can work alongside each other, because

172 See Dr O’Reilly-Briggs et al, Submission 20, p. 3. Dr O’Reilly-Briggs, Committee Hansard, 3 May 2023, p. 9;
K O’Reilly-Briggs, The initial teacher education of vocational education and training upper secondary
teachers in Norway and Finland: lessons for Australia, 2023, p. 78.
173 See, eg, ACT Board of Senior Secondary Studies, VET Information, https://www.bsss.act.edu.au/
act_senior_secondary_system/vet_information, viewed 5 February 2022; Tasmanian Assessment,
Standards, and Certification, Tasmanian Certificate of Education, https://www.tasc.tas.gov.au/students/
qualifications/tasmanian-certificate-of-education-tce, viewed 5 February 2024; School Curriculum and
Standards Authority (WA), How VET Contributes Towards the WACE, https://senior-secondary.
scsa.wa.edu.au/vet/how-vet-contributes-towards-wace, viewed 5 February 2024.
174 Victorian Tertiary Admissions Centre, ATAR and Scaling 2023, https://vtac.edu.au/atar-scaling-guide-2023,
viewed 5 February 2024.
175 Vic SRC, Submission 90, p. [5].

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that's really important. I know from personal experience that it's hard to find that
information and it's especially hard for parents to find that information as well.176

4.145 The NSW Department of Education et al indicated that improving perceptions of VET
among secondary students requires leveraging the ATAR, noting that in 2021, TAFE
NSW worked with the Department of Education and the NSW Education Standards
Authority to review how VET courses contribute towards the ATAR. In 2025, the
Universities Admissions Centre will implement measures to enable students to
undertake more than one VET course which may contribute to their ATAR.177

4.146 The NSW Department of Education et al further advised that STEM HSC subjects
could be packaged with VET qualifications to support current and emerging industry
sectors such as cyber security and robotics. It stated:
[T]hrough the [IAT] model, TAFE NSW’s micro-skills framework enables aspiring
learners to test and trial new skill and discipline areas, provides short sharp skill
development and allows leaners to progress into formal micro-credential study.
This form of learning is best suited to new entrants such as secondary school
students, seeking basic entry level skills and would be a suitable model to be
tested within schools, providing students with ‘tasters’ for vocational pathways.178

4.147 The NSW Department of Education et al asserted that further examination of


nationally accredited assessment processes would be beneficial, as the current
system provides a disincentive for students to pursue VET courses as opposed to
non-VET courses that contribute to their ATAR.179

4.148 The ITE noted that scaling associated with the ATAR contributes to the perception
that undertaking VET subjects will negatively impact a student’s overall result. This is
notwithstanding that many students will continue to take VET subjects in addition to a
full load of subjects related to a university pathway (as they find the VET subject
more personally fulfilling than other courses).180

4.149 By contrast, AVETRA asserted that including more VET offerings in the calculation of
the ATAR only marginalises VET in favour of traditional university subjects.181

Committee comment
4.150 Many school students hold negative perceptions of VET and VETDSSS. These are
often driven by poor understanding of VET and the opportunities a VET-enabled
pathway can offer. Key influencers in a student’s life—including parents, teachers,
peers, and careers advisers—are also central to these perceptions.

176 Ms Baron Vic SRC, Committee Hansard, 26 April 2023, pages 18–20.
177 NSW Department of Education et al, Submission 77, p. 6.
178 NSW Department of Education et al, Submission 77, p. 5.
179 NSW Department of Education et al, Submission 77, p. 6.
180 Mr Matthew Stanley, Committee Member, ITE, Committee Hansard, 16 August 2023, p. 14.
181 AVETRA, Submission 52, p. 4.

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4.151 Schools must do more to promote VET to students and ensure that students fully
understand the opportunities offered by VET pathways. This should include
presenting VET and university as equally valid post-school options and providing
relevant, accessible, and consistent information to students on VET pathways.
Examples of ways in which this can be achieved include linking students and key
influencers to national online sources of information such as the NCI, introducing
immersion days and excursions, and inviting high-profile VET graduates or past
students to speak with current students.

4.152 Parents are key influences on children’s perceptions of VET, and often hold and
impart negative perceptions of the sector due to their experiences, biases, and public
perceptions of VET. There is a need for schools, VET institutions, and other bodies to
engage with parents to dispel negative perceptions of the sector. Existing initiatives
such as ‘Little Ripples’ have been successful in this regard and should continue to be
supported. Dedicated parents’ information nights which promote all tertiary pathways,
and targeted resources for parents which encourage meaningful discussion about the
variety of post-school options, should be considered.

4.153 Measures taken by individual schools to promote VET will necessarily be different,
given the diversity of student populations and the need to tailor content to local areas
and labour markets. The Commonwealth, working with the states and territories, can
play a role in supporting and incentivising schools to promote VET to students and
parents. This may include supporting school- or jurisdiction-specific initiatives,
ensuring access to nationally consistent sources of information to which students and
parents could be linked, and championing the opportunities offered through VET
pathways via national campaigns.

4.154 The Committee considers that this work should be led by the NCI, consistent with the
enhanced role of that organisation set out in Recommendation 1 and recognising the
role of the NCI in developing and sharing resources on tertiary education and career
pathways. The NCVER, JSA, and the Jobs and Skills Councils (JSC) should also be
actively involved, given their roles in collecting, analysing, and disseminating data on
VET and the skills ecosystem. There would also be merit in linking key measures to
promote VET within schools as a tertiary pathway of choice to the development of a
national career educations strategy (as set out in Recommendation 8).

4.155 Measures to give students a greater voice in the development of education policy are
also encouraged, both as a means of encouraging students to engage with the VET
sector and to ensure that policy measures accurately reflect the needs of students.
The Commonwealth should work with the states and territories to support student
advisory bodies at the state and national levels.

Recommendation 5

4.156 The Committee recommends that the Australian Government, via the National
Careers Institute, work with State and Territory Governments to support and
incentivise schools to promote vocational education and training (VET) to

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students and parents, including promoting VET and university as equally
legitimate and valuable post-secondary pathways. This should include:
• Actively championing VET in promotional material and information relating
to education and training.
• Developing clear, accessible, nationally consistent information resources
for use by students, parents, teachers, and other influencers.
• Developing best-practice guidelines for schools to promote VET pathways,
informed by consultation with education experts.
• Establishing and raising the profile of student advisory groups and steering
committees, including by ensuring that there is a mechanism to capture
student views in the development of state and national education policy.

4.157 The over-reliance on the ATAR as a primary indicator of success contributes to the
false perception that VET is inferior to university and to false markets in education
which focus neither on actual career opportunities nor employers’ needs. Moreover,
the focus on the ATAR often leads to schools allocating students perceived as less
academically gifted to under-valued and under-resourced VET streams, while those
perceived as more intelligent or academically inclined are moved into streams
focused on higher education. This is often done with little regard to a student’s
interests, aptitudes, or career aspiration. This can have a variety of potential negative
impacts, including an increase in the number of students who attend university only
to drop out, an increase in the number of university graduates who will have difficulty
finding employment, and fewer qualified VET graduates available to respond to
current and emerging skill and workforce shortages.

4.158 It appears that a reason for ongoing reliance on the ATAR is school resourcing and
performance metrics, with university entrance tied to both a school’s resourcing and
their standing in the community.

4.159 Evidence suggests that a focus on the ATAR in secondary schools is also out of step
with the realities of tertiary education, with many universities no longer relying on the
ATAR as a primary means of entry. This is notwithstanding evidence that the ATAR
may still be predictive of success and rates of attrition within the university pathway.

4.160 The Commonwealth should work with the state and territories to reduce the reliance
on the ATAR as the primary measure of success in secondary education, noting that
this is likely to require buy-in from all jurisdictions. This should include a review of the
extent to which ATAR scores and the number of students entering university is used
to determine school resourcing, with a view to ensuring that resourcing is ultimately
based on a wider range of indicators including entry into and success in VET
pathways. Current and former students who have found education and career
success through VET should also be celebrated.

4.161 Noting evidence that the ATAR is of at least some value as a predictor of success
within the university pathway, the ATAR should not be entirely abandoned at this
stage. However, there would be value in conducting a review of pathways into tertiary
education, and examining options for a new measure of success within secondary

87
school that can—to the extent possible—predict success within VET and university
pathways and be used as a means of entry into both sectors. The development of
such measures would be consistent with broader efforts to integrate the VET and
university sectors and to develop genuinely interoperable tertiary pathways The
Committee is also attracted to the idea of learner profiles and notes the view that
these profiles could benefit from significant additional research.

4.162 The Committee also supports expanding the range of subjects that can be counted
towards the ATAR, with a view to including more VET subjects where appropriate.
Some jurisdictions have already introduced or are developing measures to improve
integration of VET into the ATAR. It is also recommended that a review of how VET
subjects contribute to the ATAR—to promote consistency and remove disincentives
to pursuing VET pathways in secondary schools––be undertaken.

4.163 While acknowledging that such measures are unlikely on their own to reduce the
overall reliance on the ATAR as a measure of success, the Committee considers that
there is value in exploring these measures as a means of enhancing the quality and
consistency of VET delivered in schools.

Recommendation 6

4.164 The Committee recommends that the Australian Government work with State
and Territory Governments to examine the impact of the Australian Tertiary
Admissions Ranking (ATAR) framework on the quality and uptake of vocational
education and training (VET) pathways in secondary schools, including:
• The extent to which the ATAR and university entrance are used to
determine resourcing for schools, with a view to introducing new metrics
which value both VET and university pathways.
• How VET and non-VET subjects contribute to ATAR scores, with a view to
removing disincentives in the ATAR framework to students pursuing VET
pathways during secondary school and promoting national consistency in
how VET subjects are treated within that framework.

Recommendation 7

4.165 The Committee recommends that the Australian Government work with State
and Territory Governments to champion examples of education and career
success which are not linked to the Australian Tertiary Admissions Ranking or
to a university pathway.

Recommendation 8

4.166 The Committee recommends that the Australian Government review entry
pathways into vocational education and training (VET) and university, with a
view to developing a measure of success which can be used to support entry

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into both sectors. This should include the examination of learner profiles as a
potential entry mechanism.

4.167 Quality, structured career education is crucial to building students’ understanding and
perceptions of VET and ensuring they can make informed choices in relation to post-
secondary pathways. Career advisers and practitioners are among the most
significant influences on young-people’s career-related decisions.

4.168 The Committee is concerned that the quality of career education varies considerably
between schools. Among other matters, the Committee heard that:
• Formal career education is not part of the Australian Curriculum.
• Due to a lack of investment in career education, responsibility for providing advice
often falls to teachers who are not qualified in that field. Moreover, those teachers
are often forced to balance careers advice with other teaching responsibilities.
• In some States, a significant proportion of schools spend less than 45 minutes on
career education for each student, each year.
• Students in lower SES schools are less likely to have access to career education,
notwithstanding that in many cases it is exactly those students who would derive
the greatest benefit from quality careers advice.
• Career advisers lack reliable, up-to-date knowledge about VET pathways, and
often do not have sufficient access to professional development opportunities.
• Careers education often commences when the student is nearing the end of their
secondary schooling. However, early engagement helps build a sense of identify
that informs more directed career planning. Engagement with young women and
girls can also be effective in encouraging them to consider a broader range of
opportunities than are offered by traditionally female-dominated sectors.

4.169 There is a need for nationally consistent approaches to careers education, informed
by local labour markets and current and emerging skill needs. The Committee
considers that measures to lift the quality of career education should be delivered
through a national strategy supported by cooperative funding arrangements at the
Commonwealth, state, and territory levels. Key elements of such a strategy include:
• Measures to ensure there is at least one fully qualified and accredited career
practitioner in each secondary school. This may include funding one or more
current teachers to obtain the relevant qualification.
• A minimum number of career education contact hours for each student. Career
education should start in primary school and vary according to year level. For
example, in the early years schooling there could be a focus on building a sense
of identify and exploring interests, the final years of secondary schooling might
focus on equipping students to make informed decisions about their post-school
pathways. Careers education should also focus on encouraging students of all
genders and backgrounds to consider careers in a variety of industries and
ensure that VET and other post-school pathways are presented as equally valid.

89
• Enhanced and ongoing professional development for all career practitioners,
including courses that build practitioners’ ability to work with students from diverse
cohorts and provide careers advisers with regular exposure to industry sectors.
• The provision of up-to-date careers information and resources, including VET and
university study options.
• A careers education framework at the individual school level, including:
o the appointment of a school careers leader (who may be the school’s career
practitioner), with the function of ensuring all teachers can offer meaningful
careers advice on an as-needs basis; and
o strategies to engage with students and parents on career planning, including
to inform parents about potential VET and university pathways.

4.170 Exposure to VET-related industries, careers, and workplaces can also be crucial to
building an understanding of and encouraging students to consider VET pathways.
Students cannot be what they cannot see. Several State Governments and many
individual schools have already implemented programs to increase exposure to
industry and VET. However, exposure to industry and to VET in secondary schools
across Australia remains inconsistent.

4.171 Accordingly, the Committee considers there would be value in including measures to
increase students’ knowledge of and exposure to VET-related industry in a careers
education strategy. The Committee is also attracted to the idea of schools arranging
‘exposure sessions’ for their students. Given the focus on promoting VET pathways
into industry, sessions could be conducted jointly with VET providers.

4.172 The NCI should be closely involved in the development of the career education
strategy and should take the lead in the development and implementation of key
elements, such as the provision of up-to-date careers information and resources.
This is consistent with the core roles of that institution, and with the enhancements to
the NCI as recommended elsewhere in this report.

4.173 Also critical is that the strategy be underpinned by robust data about current and
future skills needs and the tertiary sector. JSA and the NCVER should be actively
engaged in the strategy’s development. The strategy should also be developed in
close consultation with other key stakeholders, including relevant Commonwealth
and State government departments, the regulators for VET and higher education,
students and representatives, employers, and peak bodies.

4.174 Career education strategies have previously been developed at the national level,
including the Future Ready strategy which focuses on the needs of students.
Developing and implementing a national strategy which incorporates the measures
outlined above may involve building on existing offerings.

4.175 Work is also ongoing at the state level to improve the quality of careers education,
including via State-based workforce strategies. The Committee encourages the
Australian Government to work closely with the states and territories to ensure career

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development strategies at the national and state levels complement but do not
duplicate each other, and that the strategies are integrated insofar as possible.

Recommendation 9

4.176 The Committee recommends that the Australian Government work with State
and Territory Governments to develop and implement a national strategy for
career education in schools, including the following measures:
• Career education starting in primary school and continuing to the end of
secondary school. Career education should vary by year level, and there
should be a minimum number of contact hours for each student.
• Australian secondary schools have at least one accredited career
practitioner.
• Improved professional development for career educators and teachers,
including courses which build capacity to work with students from diverse
cohorts.
• Nationally consistent and up-to-date career information and resources,
including on VET and university study options.
• A career education framework at the school level, including plans to:
o appoint a school career leader with the function of coordinating careers
education—including to ensure that all teachers are equipped to provide
career advice if needed; and
o engage with students and parents on career planning, including to
inform parents about potential VET and university pathways; and
• Measures to build closer connections with and increase students’ exposure
to VET-related industries.

The National Career Institute, Jobs and Skills Australia, and the Jobs and Skills
Councils should be actively involved in the development and implementation
of the strategy. The strategy should be developed in close consultation with
professional bodies such as the Career Industry Council of Australia,
academic, policy, and education experts, teachers and students, sector
regulators, and other key stakeholders.

4.177 VETDSSS gives students meaningful opportunities to explore interests, consider


alternatives to university and gain partial or full qualifications while completing the
SSCE. However, while the value of VETDSSS appears to be broadly recognised, the
quality and availability of VETDSSS is inconsistent across Australia. While some
schools offer a comprehensive suite of programs, others—particularly in the
independent and catholic school sectors—have few if any offerings. Even where a
school does offer VETDSSS, it appears that awareness of this option is unknown to
many students.

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4.178 In addition, VETDSSS is often perceived as a means of keeping less academically
inclined students engaged in schooling. This reduces the prestige of VET pathways
and devalues the qualifications to which they lead. This is reflected in evidence
indicating that the majority of VETDSSS comprises non-accredited qualifications, and
that in many cases students receive a statement of attainment rather than a
recognised qualification or part thereof.

4.179 The Committee is also concerned that VETDSSS appears to be undermined by a


lack of consistent engagement and partnership with industry. This exacerbates the
perception (and often the reality) that VETDSSS is not responsive to industry needs
and limits the extent to which businesses are willing to offer the work placements that
are critical to successful VET pathways. Ultimately, lack of industry engagement is
likely to limit the extent to which VETDSSS translates into pathways from school to
further education and to meaningful employment.

4.180 A 2020 review of senior secondary pathways into work and further education
recommended that VET should only be provided in schools where it can be done in a
high-quality way as demonstrated via explicit endorsement by local employers or
industry bodies. The review asserted that if schools are unable to meet these
requirements, they should support students to undertake VET at an external RTO.182
The Committee endorses this recommendation in principle, noting evidence that
many schools do not deliver VET onsite but require students to access training via
external providers.

4.181 However, if students are to access VET off-campus, there are several concerns that
must be addressed. For example, accessing VET off-campus can be costly and
challenging for some students, particularly students in geographically isolated areas
without reliable transport. Students may also be obliged to take courses in unfamiliar
settings away from peers and may face challenges in organising their other classes
around external providers’ timetables. Moreover, courses offered by external
providers vary in quality and may not respond to the unique needs of secondary
school students. For example, the Committee heard that:
• Courses tend to be more theoretical, use language that is not accessible for the
average young person and often do not supply the teaching material needed to
complete the assessments.
• Trainers have limited flexibility in their teaching, making it difficult to adapt for
students with learning needs.
• There is an over-reliance on online learning in place of the hands-on education
that previously characterised the VET sector.
• Trainers often refuse or are unable to answer questions, and often refer students
back to learning modules.

4.182 These issues are compounded by an apparent paucity of effective partnerships


between schools and VET providers—particularly TAFEs—and by a lack of financial

182 See Department of Education, Looking to the Future: Report of the Review of senior secondary pathways
into work, further education and training, p. 21.

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support for students seeking to access VET through an external provider. Further,
while the Committee understands that some of the financial disincentives for schools
to send students to external providers have been removed, evidence suggests that
cost remains a key factor in schools’ decisions to offer VETDSSS, and in the
decisions of students and their parents to participate. There should be no financial
disincentive for schools or students where a student wishes to undertake VET with
an external provider. Decisions about study options should be based on what is in
the best interests of the student.

4.183 Addressing these issues requires the delivery of VETDSSS to be underpinned by


partnerships between schools, employers and industry peak bodies, and VET
providers. Such partnerships would see VET providers and industry working with
schools to adapt courses to the needs of secondary students and industry skills
requirements, VET educators working in schools—often working in partnership with
school-based teachers—and VET providers offering secondary school students
places in external courses.

4.184 Such partnerships should help to address concerns associated with the varying
quality of VETDSSS, align training with industry needs, and ensure that employers
are active participants in the training process. This is consistent with the Committee’s
broader view that employers should not only be destinations for people seeking work,
but active participants in the skills and training ecosystem.

4.185 It also appears that one of the key reasons for poor perceptions of VETDSSS among
employers is that students lack sufficient work experience and in-work training. The
Committee acknowledges that engaging VETDSSS students comes at a cost to the
employer. However, it is also imperative that employers be willing to take on and train
students to respond to an increasingly dynamic labour market.

4.186 The Committee considers that part of establishing cooperative arrangements with
employers and VET providers should be exploring targeted funding initiatives to
minimise actual and perceived risks to employers of engaging VETDSSS students.
This should be part of a broader funding package to lift the quality of VETDSSS, and
to ensure that students’ decisions about their study options are based on their
aspirations and are not unduly limited by financial constraints. There would also be
value in supporting school-industry connections via training hubs, learning and
employment networks or similar models. Such models bear further investigation.

4.187 TAFEs should be the partners of choice for the partnership arrangements outlined
above. This would include TAFEs having active input into delivery of on-site
VETDSSS and being the sole or at least primary external VETDSSS provider. Other
providers should be enabled to provide input to the development of VETDSSS offers,
and over the longer term there may be value in developing a register of RTOs that
deliver training of proven quality which would be willing to partner with schools to
broaden the VETDSSS offer. However, at least in the short to medium term the focus
should be on TAFEs. This is consistent with the Committee’s view that TAFEs should
be supported and funded as primary providers of vocational education (making the
important distinction between education and training), and the government’s ongoing
focus on rebuilding a public core to the sector.

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4.188 The Committee appreciates that there are concerns that TAFEs are less responsive
than their private counterparts to the needs of industry and agrees with the view that
VEDTSSS must align with the skills needs of a modern workforce. However, the
Committee does not consider that this is sufficient reason not to prioritise TAFE in the
design and delivery of VETDSSS. Rather, this means that the education and training
delivered through TAFEs should be enhanced, including via strategic partnerships
with industry. The Committee notes that measures to enhance TAFE are proposed
under the new NSA. Moreover, there are numerous examples of TAFEs partnering
with other tertiary education providers and with industry to deliver tailored training.
Such partnerships indicate that a TAFE system that responds to the needs of
industry is eminently possible, assuming the right financial support and strategic
governance arrangements are in place.

4.189 It is critical for VETDSSS students to obtain nationally recognised qualifications and
units of competency rather than mere statements of attainment. The Committee
appreciates that it may not be possible to offer full qualifications higher than the
Certificate II level via VETDSSS, particularly noting that most VETDSSS students will
be completing VET courses in addition to their other school subjects. Moreover, it is
understood that not all students will want to pursue a full qualification or even a
significant part thereof and may complete a single unit of competency.

4.190 There should be more parity between a VETDSSS course and a ‘mainstream’ VET
course at the same level. Failing to provide students with opportunities to obtain a
recognised qualification or unit of competency may also lead to students being
required to repeat their studies should they decide to pursue a VET pathway post-
secondary school. Such an outcome may further discourage students from pursing
studies in the VET sector and would be an inefficient use of time and resources for
the student, the school, the VET provider, and the government.

4.191 While acknowledging the complexities of integrating VET qualifications and units of
competency into a school curriculum, the Committee considers it important that
measures be implemented to ensure VETDSSS has—and is perceived as having—
intrinsic value.

Recommendation 10

4.192 The Committee recommends that the Australian Government work with State
and Territory Governments to enhance the quality and consistency of
vocational education and training delivered to secondary school students
(VETDSSS). This should include the following key measures:
• Establish cooperative arrangements between secondary schools, technical
and further education (TAFE) institutes, and industry to underpin the design
and delivery of VETDSSS. Key priorities for these partnerships should
include:
o overcoming barriers to the delivery of VETDSSS through TAFEs;

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o better integrating VET courses with the broader school curriculum,
underpinned by an understanding that VETDSSS should not, in
principle, be different to ‘mainstream’ VET;
o encouraging and enabling industry to offer meaningful work experience
to VETDSSS students, where appropriate; and
o ensuring that VETDSSS courses are responsive to industry needs.
• Provide targeted investment for schools to deliver VETDSSS, with funding
conditional on schools delivering VETDSSS in partnership with TAFEs.
• Ensure that all VETDSSS courses can lead to or be counted towards a
nationally recognised qualification.

4.193 Many schools do not have access to qualified VET educators due to workforce
shortages in the VET sector, lack of resources, and a failure to adapt undergraduate
teaching qualifications to the VET sector. Some schools have implemented
workarounds, including providing VET trainers with a temporary permission to teach.
These are not long-term solutions. Some trainers using the temporary permission
lack the pedagogical competency to teach school students, are underpaid, and
under-valued relative to counterparts with formal teaching qualifications.

4.194 This issue could be addressed by offering an additional VET specialist initial teacher
education (ITE) program. There appears to be merit in offering boutique or adaptive
ITE programs that provide a ‘fast track’ into teaching roles for industry professionals.
The Committee envisages that such programs would focus on the key pedagogical
competencies industry professionals require to move into teaching, while recognising
and giving credit for industry experience. The Committee strongly encourages
government to consider the programs offered in Norway and Finland in this regard.

4.195 Evidence indicates that classroom teachers frequently lack up-to-date information on
VET and may consider VET an inferior pathway to university (and are accordingly
unable to offer advice on VET pathways to their students). This is a concern to the
Committee, noting classroom teachers are often a trusted source of advice.

4.196 Implementing a careers advisory strategy and ensuring that teachers are actively
engaged in school-based initiatives related to VET should help to address this
concern, as should measures to promote indicators of success other than the ATAR.
However, there would also be considerable value in adding one or more units on
VET to ‘general’ ITE programs to enhance teachers’ ability to provide reliable and
accurate advice on VET when approached by students. Measures of this kind should
be implemented as part of broader efforts to lift the quality of VETDSSS.

Recommendation 11

4.197 The Committee recommends that the Australian Government work with State
and Territory Governments, education experts and the vocational education
and training (VET) and university sectors to implement the following measures:
• Additional initial teacher education (ITE) programs with a VET speciality.

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• Additional ITE programs which focus on enabling industry experts to
become qualified VET delivered to secondary school students (VETDSSS)
educators, including ‘fast track’ programs where appropriate.
• Adding units on VET into all ITE courses, to ensure all teachers are able to
provide reliable, accurate information on VET to their students.

4.198 The quality of VETDDSSS programs—and secondary education more generally—will


depend heavily on school funding. The Committee is concerned that public schools in
particular are not being funded to the amounts specified in the Schooling Resource
Standard (SRS). Recent Senate Estimates briefings indicated that, in 2023, public
schools in received between 90 and 95 per cent of the funding amounts specified in
the SRC, and that the NT received just 80 per cent of the specified funding.183

4.199 The Committee welcomes the government’s commitment during the 2022 election to
work with the states and territories to increase funding for all schools to 100 per cent
of the SRS,184 as well as the recent joint announcement by the Commonwealth and
WA governments to lift funding for all public schools in WA to 100 per cent of the
SRS by 2026.185

4.200 The Committee considers that measures to lift funding for all schools in Australia to
100 per cent of the SRS must be progressed as a matter of urgency. These
measures should be progressed through the National Schools Reform process.

Recommendation 12

4.201 The Committee recommends that the Australian Government work with State
and Territory Governments to ensure that all Australian schools are funded to
100 per cent of the Schooling Resourcing Standard.

183 See Department of Education, Senate Estimates Briefs, 27 April 2023, p. 200, https://www.education.gov.au/
about-department/resources/senate-estimates-briefs, viewed 27 February 2024.
184 See Parliamentary Library, Briefing Book: School education, https://www.aph.gov.au/About_Parliament/
Parliamentary_departments/Parliamentary_Library/pubs/BriefingBook47p/SchoolEducation, viewed
27 February 2024.
185 See Hon Jason Clare MP, Hon Roger Cook MLA, and Hon Dr Tony Buti MLA, ‘Australian and WA
Governments agree to fully and fairly fund all Western Australian public schools, Joint Media Release,
31 January 2024, https://ministers.education.gov.au/clare/australian-and-wa-governments-agree-fully-and-
fairly-fund-all-western-australian-public, viewed 27 February 2024.

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5. Training and qualification
pathways
5.1 This chapter examines the nature and quality of training delivered in the vocational
education and training (VET) sector. This includes training packages, assessment
processes, and the role of micro-credentials.

5.2 It also explores measures to attract, retain and develop the VET teaching workforce
and measures to improve the apprenticeship and traineeship pathways and enhance
completion rates.

Nationally recognised training


5.3 Nationally recognised training covers qualifications and units of competency in
Training Packages, and training accredited by the Australian Skills Quality Authority
(ASQA).

5.4 A revised process for developing Training Packages commenced in January 2023.
The process is underpinned by a new set of rules (Training Package Organising
Framework (TPOF)) that aim to ensure new and updated Training Packages are
user-centric, anchored in good design, support quality training and assessment, and
align with policy such as the Australian Qualifications Framework (AQF) and the
Standards for Registered Training Organisations (RTOs) 2015 (RTO Standards).1

5.5 Training Packages are developed through a process of consultation with industry and
government, before being approved by a dedicated Assurance Body and by Federal,
State, and Territory Skills Ministers.2

5.6 Responsibility for developing Training Packages falls to Commonwealth, state, and
territory Skills Ministers, as well as to the Jobs and Skills Councils (JSCs). JSCs are
non-profit companies that are industry owned and led. A network of 10 JSCs has
been established, with each responsible for an industry sector such as Agribusiness,
Energy, Gas, and Renewables. JSCs are responsible for workforce planning, the

1 Department of Employment and Workplace Relations (DEWR), Training Package Products Development and
Endorsement Process Policy, 13 December 2022, pages 1–2. https://www.dewr.gov.au/skills-support-
individuals/resources/training-package-products-development-and-endorsement-process-policy, viewed
5 February 2024.
2 DEWR, Training Package Products Development and Endorsement Process Policy, 13 December 2022,
p. 12.

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development and implementation of training products, and industry stewardship. The


JSCs work closely with Jobs and Skills Australia (JSA) to share market insights.3

5.7 Previously, development of Training Packages was led by the Australian Industry and
Skills Committee (AISC) supported by Industry Reference Committees. Packages
were developed by six Skills Service Organisations—professional organisations
separate from industry and the VET sector. Packages were validated by industry and
approved by Skills Ministers. A typical development and approval process took
approximately 18 months, with one third of processes requiring two years.4 The
former process is outlined in Figure 5.1.

Figure 5.1 Former process to develop Training Packages

Source: Australian Industry Standards, Training Packages, https://www.australianindustrystandards.org.au/training-


packages/

5.8 The Australian Government is in the process of reforming the framework for VET
qualifications. From September 2022 to March 2023, consultation was undertaken on
an example qualification architecture model based on skills standards; training and
assessment requirements, and completion rules (packaging of skills standards and
training and assessment requirements into qualifications and skill sets). In response

3 DEWR, Jobs and Skills Councils, https://www.dewr.gov.au/skills-reform/jobs-and-skills-councils, viewed


5 February 2024.
4 Australian Industry Standards, Training Packages, https://www.australianindustrystandards.org.au/training-
packages, viewed 5 February 2024. See also DEWR, Industry Engagement and Qualifications Discussion
Paper, 8 January 2021, pages 2–3, https://www.dewr.gov.au/skills-reform/resources/discussion-paper,
viewed 5 February 2024.

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to stakeholder feedback, a time-limited tripartite Qualifications Reform Design Group
has been established.5

5.9 The Design Group will provide advice on a reform process for VET qualifications that
prepares the sector for the future. As of August 2023, the Design Group had started
to map the purposes of VET qualifications and how they are used, as well as to plan
its consultation with key stakeholders.6

Training Package development


5.10 A concern for several stakeholders was that Training Packages take significant time
to develop and often fail to keep pace with rapidly changing skills needs—particularly
considering the pace of technological development. Delays in developing Packages
can also create blockages for workers looking to change industries.7

5.11 Mr Sean Teer, Employment Facilitator for the South-East Melbourne and Peninsula
Region under Workforce Australia, noted that delays in developing Training
Packages create challenges for employers:
We get a lot of feedback [from employers] saying that, by the [time a] program or
the curriculum is developed, it's fallen behind where industry's at … the speed of
change is not as rapid within the education, or the VET system, as it is in the
actual industry, and employers are saying there's this widening gap.8

5.12 Skills Impact indicated that VET educators may not be keeping up with the pace of
technological development, stating:
Until [a] technology has become common enough to require broader training,
there is no call for VET educators on the technology, but when the demand is
high enough, there are no qualified educators because they are involved in
development, sales, and proprietary training. As a result, there is usually a
significant and unavoidable lag between technology becoming widespread and
qualified VET educators being available to deliver training on the technology.9

5 DEWR, VET Qualification Reform, https://www.dewr.gov.au/skills-reform/vet-qualification-reform, viewed


5 February 2024.
6 DEWR, Qualification Reform Design Group—August 2023 update, 7 September 2023,
https://www.dewr.gov.au/skills-reform/resources/qualification-reform-design-group-august-2023-update,
viewed 5 February 2024.
7 See, eg, Professor Robin Shreeve, Submission 1, p. [4]; National Electrical and Communications Association
(NECA), Submission 17, p. 6; Australian Vocational Education and Training Research Association
(AVETRA), Submission 52, p. 6; Australasian Digital and Telecommunications Industry Association (ADTIA),
Submission 88, p. [3]; Ms Jenny Dodd, CEO, TAFE Directors Australia, Committee Hansard, 29 March 2023,
p. 7.
8 Mr Sean Teer, Employment Facilitator, South-East Melbourne and Peninsula Region, Workforce Australia,
Committee Hansard, 26 July 2023, p. 11.
9 Skills Impact, Submission 13, p. [6].

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5.13 Ms Claire Field noted that ChatGPT and other generative artificial intelligence (AI)
challenge the philosophy of the Training Package, potentially leading to damaging
reputational impacts to VET if the sector is not able to respond effectively.10

5.14 The time taken to develop Training Packages was raised as a current and increasing
concern in the Productivity Commission’s review of the National Agreement for Skills
and Workforce Development and in the Expert Review of the VET System led by the
Hon Steven Joyce (Joyce Review). Both reviews recommended streamlining the
development of Training Packages, including giving increased power to industry-led
entities to approve or commission updates to products within shorter timeframes.11

5.15 These views were broadly echoed by Business NSW, who asserted that to improve
speed to market minor amendments to Training Packages should be allowed at the
JSC level. This should be subject to an agreed process of industry consultation, with
amendments to Packages then adopted by RTOs. According to Business NSW, this
would allow rapid industry changes to be reflected in the delivery of training by
nimbler providers without forcing major and frequent change on every provider.12

5.16 Another concern was the complexity of Training Packages and the extent to which
they impose prescriptive requirements. The Australian Retailers Association (ARA)
raised concern that Packages are siloed into separate industries and difficult to
navigate—even where sectors share skill profiles. The ARA recommended that
packages be streamlined to enable synergies to be leveraged in a way that provides
better access and more options to students.13

5.17 The New South Wales (NSW) Department of Education, TAFE NSW, and the NSW
Education Standards Authority (NSW Department of Education et al) noted that
Training Packages are often perceived as a ‘complex web’ of qualifications and units,
stating that this can negatively affect the learning experiences of students and make
delivery challenging for teachers. The time taken for teachers to update their learning
strategies and assessment tasks in response to changes in Training Packages can
also impact the learning experience.14

5.18 Professor Robin Shreeve stated that having a Training Package for every occupation
is impractical, noting that around 80 per cent of VET enrolments are in 20 per cent of
Packages. Professor Shreeve observed that for specialised industries it may be
better to allow VET providers to work with industry to design and deliver training.15

10 Ms Claire Field, Submission 58, pages 4–5.


11 See Productivity Commission, Skills and Workforce Development Agreement: Study Report,
21 January 2021, p. 44, https://www.pc.gov.au/inquiries/completed/skills-workforce-agreement/report, viewed
5 February 2024; Department of the Prime Minister and Cabinet, Strengthening Skills: Expert Review of
Australia’s Vocational Education and Training System, 2 April 2019, pages 53–55, 123–124,
https://www.pmc.gov.au/publications/strengthening-skills-expert-review-australias-vocational-education-and-
training-system, viewed 5 February 2024.
12 Business NSW, Submission 42, p. 9.
13 Australian Retailers Association (ARA), Submission 73, p. [1].
14 NSW Department of Education, TAFE NSW, and NSW Education Standards Authority (NSW Department of
Education et al), Submission 77, p. 17.
15 Professor Shreeve, private capacity, Committee Hansard, 3 May 2023, p. 5.

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5.19 Professor Erica Smith stated that Training Packages are ‘basically lists of
competency standards’ and can be very difficult for teachers and students to
understand. Professor Smith suggested adding curriculum overviews and information
on work placements to Training Packages to enable greater understanding and more
informed choice.16 Professor Smith also called for the following more fundamental
changes to how Training Packages are designed and implemented:
• Keep reviewing and excising under-utilised qualifications and units to reduce the
number of unused products, with ‘niche’ areas taught in non-accredited courses.
• Explain that while RTOs and educators must cover the relevant Training Package
or unit of competency as a minimum, they may also add additional content which
reflects students’ aspirations and industry needs.
• Streamline assessment processes.
• Emphasise knowledge in units and qualifications.
• Introduce grading of assessment to boost confidence in the VET system and allow
greater discrimination by employers among applicants.
• Recognise that VET qualifications are often the start of a person’s career journey,
and that employers must take responsibility for ongoing training and development.
• Allow apprentices to complete qualification they start, rather than requiring them
to transfer to new versions of qualifications when Training Packages are updated.
• Clarify that each RTO is not required to offer all elective units.
• Qualify VET teachers and trainers to higher levels so they have more of a voice in
the delivered curriculum.
• Move cross-sectoral units into a designated ‘container’.17

5.20 According to some stakeholders, a potential solution to issues associated with the
development of Training Packages is giving RTOs freedom to self-accredit courses
(provided quality standards are met). The Australasian Vocational Education and
Training Research Organisation (AVETRA) stated:
One major action that would raise the esteem with which VET is held would be to
give (in many cases re-instate) the capacity for [technical and further education
(TAFE) institutes] to have the same course self-accrediting powers that are held
by universities. As in Higher Education, this power could also be extended to
non-public providers that can demonstrate the capacity to meet the standard
required … Self-accreditation must be supported by an appropriate level of
research capability at the proposal development stage as well as a permanent
evaluation capacity.18

16 Professor Erica Smith, Submission 72, p. 2. See also Professor Smith, private capacity, Committee Hansard,
3 May 2023, pages 12–13.
17 Professor Smith, Submission 72.1, p. [1].
18 AVETRA, Submission 52, p. 6. See also Ms Claire Field, Submission 58, p. 7.

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5.21 TAFE Directors Australia similarly stated that Training Packages have largely ‘served
their time’ and expressed support for allowing TAFEs to self-accredit—following the
approach taken in the university sector. This would allow TAFEs to work with
industry, universities, and unions to create contemporary course content and produce
work-ready graduates at scale. TAFE Directors Australia provided the following
examples to illustrate the potential of self-accreditation and the offer of courses
outside the national training system:
• Strengthening the capacity of TAFE NSW to work with the University of
Wollongong to support skills development in the clean energy sector.
• TAFE Queensland and Central Queensland University have partnered with BHP
Mitsubishi Alliance to develop a suite of outcomes including micro-credentials and
a new Certificate II in Autonomous Technologies.
• A consortium of TAFEs from Australia has co-developed tailored qualifications
and units for the cyber security workforce. The consortium (TAFEcyber) is backed
by key government and industry partners including AustCyber and Ionize.19

Ensuring industry and sector engagement


5.22 Stakeholders emphasised the importance of an industry voice in the development of
training (and in the VET sector generally), indicating that current arrangements for
facilitating industry involvement may not be sufficient.20

5.23 The Motor Trades Association of Australia (MTAA) noted a perception within industry
that the quality of training delivered by many RTOs is not representative of industry
needs, with evidence that industry engagement is limited and involves little in the way
of grassroots consultation. The MTAA called for an improved program of industry
engagement with well-coordinated regulatory oversight.21

5.24 The Council of Small Business Organisations Australia (COSBOA) stated that
meeting the needs of small business requires the development of a coordinated
national strategy under the auspices of tripartite negotiation between government,
industry, and unions. JSA and the JSCs must also be engaged as key points of
consultation. COBOSA also called for the establishment of a Small Business
Commissioner within JSA to ensure the needs of small businesses are addressed,
and for representation for small business on the JSCs.22

5.25 The Australian Manufacturing Workers’ Union (AMWU) was similarly supportive of a
tripartite approach to the design and delivery of training:
[I]ndustry, unions, and workers [must work together] in a genuinely collaborative
process to design Training Packages and deliver them through a process of

19 TAFE Directors Australia, Submission 59, pages 4–5.


20 See, eg, Government of South Australia, Submission 12, p. 5; NSW Department of Education et al,
Submission 77, p. 17; Australian Flexible Pavement Association Submission 74, p. [4].
21 Motor Trades Association of Australia (MTAA), Submission 38, pages 12–13.
22 Council of Small Business Organisations Australia (COSBOA), Submission 86, pages 5, 10.

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occupational profiling ... [This is] about understanding what industry requires and
the skills needed, and determining how they are shaped into an occupational
profile that is then delivered by the VET system, typically through TAFE but also
through other training providers in the private and not-for-profit sector.23

5.26 The AMWU explained that an occupational profile includes an occupational standard
(education and training required for competent performance) and a collaboratively
developed industry framework curriculum or training standard. The AMWU noted that
while not every occupation warrants an occupational profile, public funding should be
directed to training leading to nationally recognised accreditation and which aligns to
occupational profiles.24

5.27 The Electrical Trades Union of Australia (ETUA) observed that changing skills and
technologies mean that employers must work together to design training for the
sector, including via bodies established for this purpose. The ETUA highlighted the
Renewable Energy Centre of Excellence—developed in partnership with Master
Electricians Queensland—which provides training related to renewable energy.25

5.28 The NSW Department of Education et al observed that the JSCs may be able to play
a significant role in engaging industry and promoting VET to the public, noting that
training bodies in New Zealand take responsibility for developing promotional
material for students. Representatives also attend careers expos and visit schools.26

5.29 The Department of Employment and Workplace Relations (DEWR) stated that it is
committed to a collaborative, tripartite VET sector that brings employers, unions, and
governments together to find solutions to skill and workforce challenges. DEWR
noted that the JSCs provide strategic leadership in addressing skill and workforce
challenges, align effort across industries to improve responsiveness, build
stakeholder confidence, and drive high-quality outcomes.27

5.30 Some stakeholders observed that industry associations and other sector bodies have
a strong role to play in developing training. The Queensland Nurses and Midwives
Union (QNMU) noted that the development of qualifications for the health sector must
not be solely dictated by industry, but must also involve professional organisations,
regulators, and organisations that advise nurses on the provision of healthcare. This
is of particular significance given VET-qualified entrants to the sector will form part of
a regulated workforce subject to codes and guidelines.28

5.31 The National Fire Industry Association (NFIA) called for greater alignment between
licensing and registration and recognised qualifications to increase the value and

23 Dr Mark Dean, Research and Planning Officer, Australian Manufacturing Workers Union (AMWU),
Committee Hansard, 26 April 2023, pages 1–2.
24 AMWU, Submission 22, p. [3].
25 Mr Trevor Gauld, National Policy Officer, Electrical Trades Union of Australia (ETUA), Committee Hansard,
31 May 2023, p. 7.
26 NSW Department of Education et al, Submission 77, p. 16.
27 DEWR, Submission 76, p. 15. See also Ms Dodd, TAFE Directors Australia, Committee Hansard,
29 March 2023, p. 3.
28 Queensland Nurses and Midwives Union (QNMU), Submission 22, p. [2].

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perception of VET. NFIA stated that this is particularly important for the Fire Industry
and other industries which play a key role in ensuring public safety.29

Assessment processes
5.32 Assessment processes in the VET sector are inconsistent across providers and
courses and may not give employers sufficient information on each student’s skills.
Stakeholders also indicated that some courses are over-assessed, and accordingly
may impose too great a workload on participants.30

5.33 The MTAA observed that there is little consistency in training and assessment across
the VET sector. Moreover, students are assessed as ‘competent’ or ‘not competent’,
giving little indication of the student’s level of skill in specific areas. According to the
MTAA, there also are incentives in existing funding models for RTOs to assess
students as ‘competent’ notwithstanding their actual level of skill. The MTAA called
for an independent assessment authority as the ‘final arbiter’ of training quality and
student assessment, as well as for more industry involvement in assessment and
validation of training delivered by RTOs.31

5.34 Careflight similarly noted a lack of consistency between assessments delivered by


separate RTOs for the same training package, stating that at least some RTOs use
poor-quality assessment techniques for financial gain. Careflight asserted that JSCs
should create assessment guidelines with precise requirements for students to be
work-ready. This should include ensuring assessment tools are useable and easy to
understand, calculating the correct amount of evidence required to demonstrate
competency, and updating assessment tools to align with industry needs.32

5.35 The Australian Small Business and Family Enterprise Ombudsman (SBFEO) called
for a competency verification system to reassure employers that graduates have
genuinely met required competencies, stating that this should include consideration
of the experience and qualifications of teachers. According to the SBFEO, without a
mechanism to ensure trust in the quality of VET courses, employers—especially
small businesses without a dedicated human resources team—may question the
value of the training delivered by the VET sector as well as the skills of graduates.33

5.36 Drawing on previous findings of the Productivity Commission, the NSW Department
of Education et al observed that due to a lack of proficiency ratings in the VET sector,
employers may not have sufficient information to determine if they are hiring the best
candidate.34 Research by the National Centre for Vocational Education Research

29 National Fire Industry Association (NIFA), Submission 30, p. [5].


30 See, eg, Australian Centre for Career Education, Submission 15, p. 6; COSBOA, Submission 86, p. 8. For an
overview of assessment processes in the VET sector, see https://www.asqa.gov.au/resources/
guides/guide-developing-assessment-tools, viewed 5 February 2024.
31 MTAA, Submission 38, pages 6, 13.
32 Careflight, Submission 41, pages [1–2].
33 Australian Small Business and Family Enterprise Ombudsman (SBFEO), Submission 79, p. [2].
34 NSW Department of Education et al, Submission 77, p. 10.

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(NCVER) identifies several means of adding value to competency-based training and
assessment, including:
• Broadening what it means to be ‘competent’ to capture both technical knowledge,
skills, and capabilities, and generic skills, aptitudes, and attributes:
• Applying different competency requirements to the same broad skillset at different
qualification levels. ‘Core’ skills at all levels may include communication, problem-
solving and teamwork, while ‘core’ skills at the higher levels may include business
administration, management, and customer service.
• Applying a proficiency-based approach to assessment to motivate students to
perform beyond minimum standards and to ensure that employers and other
stakeholders (such as higher education institutions) have information on the best
candidates for a particular role.35

5.37 The NCVER indicated that there may be value in considering approaches taken in
Singapore and the UK, stating:
Singapore … uses command verbs … to distinguish levels of proficiency.
Examples of verbs used to describe the competency of an individual with a basic
proficiency level (across any core skill) include ‘collate’, ‘support’, and ‘prepare’.
For individuals with an intermediate level of proficiency, the command verbs
include ‘review’, ‘develop’, ‘monitor’ and ‘analyse’, while examples of command
verbs to describe an advanced level of proficiency in any core skill include
‘direct’, ‘evaluate’, ‘formulate’, ‘synchronise’ and ‘lead’.36

5.38 The Australian Government has previously considered graded and proficiency-based
assessment processes. A matter considered in the draft VET Reform Roadmap was
the introduction of industry-endorsed graded assessment, with the objective of
shifting focus in the sector from compliance to excellence.37 Research indicates that
while proficiency- and competency-based training and assessment are compatible,
grading systems should not replace competency-based assessment. They should
apply only once a student has already been assessed as competent and should not
add unnecessary complexity to assessment processes.38

35 National Centre for Vocational Education Research (NCVER), Adding value to competency-based training,
13 December 2022, pages 16–21, https://www.ncver.edu.au/research-and-statistics/publications/all-
publications/adding-value-to-competency-based-training, viewed 15 February 2024. See also NSW
Department of Education et al, Submission 77, pages 10–11.
36 NCVER, Adding value to competency-based training, 13 December 2022, p. 21.
37 DEWR, Vocational Education and Training (VET) Reform Roadmap, 9 April 2021, p. 8, https://www.dewr.
gov.au/expert-review-australias-vet-system/resources/vocational-education-and-training-vet-reform-
roadmap-draft, viewed 5 February 2024.
38 See, eg, R Skiba, Graded Assessment Models for Competency-Based Training in Vocational Education and
Training, 10(3) World Journal of Education 106, pages 106, 111.

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Supporting apprenticeships and traineeships


5.39 Several stakeholders emphasised that apprenticeships and traineeships remain an
integral part of the VET sector, noting that these pathways have better employment
outcomes than other VET and university qualifications and are critical to ensuring a
pipeline of skilled workers to many occupations—including those in skills shortage.39

5.40 Completion rates for apprentices and trainees are higher than completion rates for
the VET sector as a whole. Nevertheless, there is room for improvement—Including
via strategic approaches that address recruitment, training, retention, and support.40

5.41 The National Australian Apprenticeships Association (NAAA) noted that apprentices
and trainees are typically happy with their training. Non-completion is often due to
workplace culture; financial security; delays commencing training with a provider; the
inability to secure a female trainer or mentor (for female apprentices); language,
literacy, and numeracy barriers; and the prohibitive costs of travel.41

Workplace culture
5.42 A significant proportion of non-completions for apprentices are related to workplace
culture—including difficulties with employers, supervisors, and other members of the
team—and to concerns in relation to work undertaken.42 Master Electricians Australia
(MEA) stated:
In 33 per cent of cases, the employment experience is the problem. It isn’t the
pay or training. When you add another … 32 per cent [of non-completions are]
associated with reasons such as ‘didn’t like the job’ [or] ‘left to do another trade’,
[and] … 65 per cent of the non-completions [are] associated with employment.43

5.43 MEA observed that some of these concerns may be driven by a failure to ensure that
the apprentice chooses an apprenticeship which aligns with their interests, skills, and
aspirations, and to traditional apprenticeship models which place the apprentice with
a single employer.44

5.44 The National Union of Students (NUS) told the Committee that apprenticeships are
perceived as inaccessible and that apprentices may be subject to workplace bullying.
In addition, workplaces are improperly vetted, and there is little in the way of support

39 See, eg, Australian Chamber of Commerce and Industry (ACCI), Submission 43, p. 4; Australian, Industry
Group Centre for Education and Training (AiGroup), Submission 47, p. 3; Master Builders Australia (MBA),
Submission 71, p. 8.
40 See, eg, COSBOA, Submission 86, p. 11.
41 National Australian Apprenticeships Association (NAAA), Submission 60, p. 4; See also Mr Ben Bardon,
CEO, NAAA, Committee Hansard, 19 April 2023, p. 14. This is reflected in data collected by the NCVER.
See NCVER, Completion and attrition rates for apprentices and trainees 2022, 4 September 2023,
https://www.ncver.edu.au/research-and-statistics/publications/all-publications/completion-and-attrition-rates-
for-apprentices-and-trainees-2022, viewed 5 February 2024.
42 See, eg, NECA, Submission 17, p. 7; NAAA, Submission 60, p. 4.
43 Master Electricians Australia (MEA), Submission 5, p. 4.
44 MEA, Submission 5, p. 4.

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due to perceptions that apprentices should be equipped to engage in the workplace
in the same way as other employees. This is notwithstanding that an apprentice may
be new to a sector or—in some cases—to workplaces generally.45 These concerns
reflect in data collected by the NCVER. According to 2019 data:
• 21.2 per cent of apprentices and trainees who completed their qualification
observed bullying in the workplace.
• 35.2 per cent of apprentices and trainees who did not complete their qualification
observed bullying in the workplace.
• By occupation, observations of bullying in the workplace where highest for food
trade workers, other technicians and trade workers, and labourers.46

5.45 TAFE Directors Australia told the Committee that apprentices often report feeling
overlooked or misused:
There is a lot of work and investment that needs to happen at the employer end
to make employment places where young students—and they are predominantly
young, not exclusively—are going into safe environments and where they feel
empowered.47

5.46 Early-year apprentices may also be poorly supervised, notwithstanding that they are
performing dangerous work. One third-year apprentice appearing on behalf of the
ETUA stated:
In my first year I was doing work by myself, which is illegal. In my second year I
was running my own jobs, which is very illegal.48

5.47 Despite perceptions to the contrary, apprenticeships in some areas (for example,
residential and commercial electrical) can also be poorly regulated, leading to
additional safety concerns.49

5.48 Some of these concerns may not be confined to trades but also manifest in
qualifications with essential practical components such as healthcare, aged care, and
disability support. The Australian Nursing and Midwifery Federation (ANMF) stated
that while nursing does not have the same workplace issues as traditional trades, a
lack of effective support around clinical placements can ‘make or break’ a student.50

5.49 Possible solutions to issues associated with workplace culture include screening
before an apprentice commences with an employer; enabling apprentices to change

45 Ms Salwa Kilzi, Vocational Education Officer, National Union of Students (NUS), Committee Hansard,
26 April 2023, pages 13–14.
46 NCVER, Apprentice and trainee experience and destinations, 18 December 2019, p. 11,
https://www.ncver.edu.au/research-and-statistics/collections/apprentice-and-trainee-experience-and-
destinations, viewed 5 February 2024.
47 Ms Dodd, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 4.
48 Mr Reagan Agar, National Policy Officer, ETUA, Committee Hansard, 31 May 2023, p. 9.
49 Mr Agar, ETUA, Committee Hansard, 31 May 2023, p. 9.
50 Ms Annie Butler, Federal Secretary, Australian Nursing and Midwifery Federation (ANMF), Committee
Hansard, 26 April 2023, p. 9.

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employers during their apprenticeship (for example, by facilitating the apprenticeship


via a Group Training Organisation (GTO)); and implementing better mentoring
systems and welfare checks.51

5.50 The NFIA stated that for apprenticeships to be effective, there must be a three-way
agreement between the employer, apprentice, and the RTO. The NFIA called for
increased funding and support for RTOs to ensure they can mentor apprentices,
monitor progress, and assess suitability for the workplace.52

5.51 The ETUA supported ‘train-the-trainer’ initiatives, noting that such initiatives could be
facilitated via the Australian Apprenticeship Support Network (AASN) and that
engagement such an initiative could be made a condition of an employer receiving
subsidies. The ETUA stated that ‘train the trainer’-type programs should have a focus
on integrating apprentices into the business and on longer-term career planning.53

5.52 Mr Francis Doherty also expressed support for ‘train the trainer’ courses, noting that
these could focus on mentorship, managing at-risk youth, and teaching and learning
strategies. According to Mr Doherty, such courses would be instrumental in providing
additional resources and access to experts, facilitating the sharing of experiences in
active group settings, and supporting personal development.54

5.53 Both MEA and the National Electrical and Communications Association (NECA)
supported greater use of the GTO model to address concerns associated with
workplace culture, noting that GTOs provide an apprentice with the opportunity to
change employers should a conflict arise. GTOs also employ case officers to conduct
welfare checks.55 The National Apprentice Employment Network (NAEN) stated that
GTOs are particularly effective in boosting participation by women:
The GTO network has a zero-tolerance approach to gender-based discrimination
and works to ensure respectful language and attitudes toward women. It is one of
the reasons that GTOs have become attractive to women in trades and why it is
seeing above average representation and completion rates by women.56

Women in apprenticeship pathways


5.54 In addition to more general concerns about working environments for apprentices,
women continue to experience additional challenges in apprenticeship pathways. In
many cases, these issues reflect gender-based discrimination in VET pathways and
VET-enabled careers—particularly in male-dominated fields such as construction.

51 See, eg, MEA, Submission 5, p. 4; NECA, Submission 17, p. 7; National Apprentice Employment Network
(NAEN), Submission 68, p. 5; Mr Agar, ETUA, Committee Hansard, p. 10. Supports are also discussed below
in relation to the Australian Apprenticeship Support Network (AASN).
52 NIFA, Submission 30, p. [5].
53 Mr Agar, ETUA, Committee Hansard, p. 10.
54 Mr Francis Doherty, Submission 7, pages [1–2]. See also Mr Agar, ETUA, Committee Hansard, p. 10.
55 See NECA, Submission 17, p. 7; Mr Chris Lehmann, National Advocacy Manager, MEA, Committee
Hansard, 19 April 2023, p. 11.
56 NAEN, Submission 68, p. 5.

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5.55 The ETUA advised that issues associated with workplace culture impact women
more than men, stating that a survey of its membership indicated that 23 per cent of
female apprentices had considered quitting due to work and culture, and that women
were 53 per cent more likely to consider quitting due to culture than men.57

5.56 DEWR noted that 51 per cent of women in the construction sector had experienced
sexual harassment in 2018, compared to 12 per cent of men. This highlights the
importance of intervention to address perceptions of girls and women, provide equal
opportunities, and encourage an inclusive mindset.58 Women in Adult and Vocational
Education (WAVE) raised similar concerns, noting that victims of sexual harassment
are often younger people. WAVE indicated that a consistent theme in research is that
harassment is often the result of ‘persisten[t] consequence-free behaviour’ in
apprenticeship pathways.59

5.57 The NAAA stated that male-dominated fields are more likely to be discriminatory to
female apprentices. It drew attention to recent RMIT research relating to women in
construction, in which 95 per cent of women had reported being treated differently to
male colleagues, 91 per cent reported a lack of acceptance, 81 per cent reported a
lack of accountability and deterrents for inappropriate action, and 51 per cent
reported a lack of support from their manager or teacher. In addition, 44.7 per cent of
women reported experiencing or seeing workplace bullying according to 2019
surveys conducted by the NCVER.60

5.58 The NAAA proposed the following measures to address gender-based discrimination
and increase completion rates for female apprentices:
• Develop model policies and procedures to prevent sexual harassment and
exclusion, supported by a voluntary code of conduct to promote best workplace
practices and have zero tolerance for discrimination.
• Recognise business ‘supporters and allies’ that adopt and execute these policies.
• Provide training to the nominated supervisors of apprentices and trainees, to
facilitate a day-to-day work environment free from discrimination and bullying.
• Double the priority workforce incentives for businesses that register as supporters
and allies, implement polices and have their supervisors undertake training.
• All mentored female apprentices to have access to tools such as the Women in
non-traditional trades (WNTT) App to enable them to notify their AASN provider
immediately of workplace incidents that need to be followed up and resolved.
• JSA develop a National Trainer Workforce strategy to rapidly expand the number
of female trainers involved in trade training.

57 Mr Gauld, ETUA, Committee Hansard, 31 May 2023, p. 7.


58 DEWR, Submission 76, pages 10–11.
59 Women in Adult and Vocational Education (WAVE), Submission 70, p. 16.
60 NAAA, Submission 60.1, p. [2].

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• Set a gender equity target for apprentice training guarantee requirements for
government funded infrastructure projects: a five per cent aspirational target for
female apprentice labour with a requirement for 2.5 per cent as a minimum.
• Key industry players have a compact with AASN providers to pilot a system-wide
compact for major infrastructure projects, including zero tolerance and best
practice approaches supported by all stakeholders.61

5.59 The NAAA stated that work is needed to change the mindset of some business
owners, noting that younger owners tend to be more progressive. In addition, there
must be wrap-around and mentoring supports for women in VET pathways, and a
greater focus on female VET educators. Greater pay equity across all apprentices
and trainees would also help to address gender-based challenges.62

5.60 Grouping female apprentices on projects, with accompanying mentor support—may


also be an effective way of encouraging women to enter and remain in traditionally
male-dominated trades.63

5.61 Stakeholders indicated that there are initiatives in place to address gender bias in
apprenticeship pathways—albeit that some are confined to specific industries. For
example, the NFIA drew attention to its SPRINKS program focused on increasing
female participation in the fire protection industry. The NFIA stated that there are
opportunities for government to partner with industry on programs to incentivise VET
and the SPRINKS program is an example of an initiative that could be rolled out
nationally with federal support.64

5.62 DEWR stated that the Government is taking steps to better support women in trade
apprenticeships. For example, women who take up an apprenticeship in a trade
occupation with historically low female participation will have access to intensive
support through the $38.6 million Women in Non-traditional Trades Initiative. In
addition, government has committed to implementing the Australian Skills Guarantee,
which will provide that one in 10 workers on government-funded major projects must
be an apprentice, trainee, or paid cadet. The Australian Skills Guarantee will also
include targets for women.65

Wages and economic security


5.63 The ETUA conducted a survey of its members, which found that only one third of the
thousands of apprentices surveyed were able to cover necessities such as food,
travel, and housing on award wages. The ETUA raised concern that 37 per cent of

61 NAAA, Submission 60.1, p. [2].


62 Mr Bardon, NAAA, Committee Hansard, 19 April 2023, p. 16.
63 See, eg, Professor Smith, private capacity, Committee Hansard, 3 May 2023, p. 13; Ms Dodd, TAFE
Directors Australia, Committee Hansard, 29 March 2023, p. 4.
64 NFIA, Submission 30, p. [6].
65 DEWR, Submission 76, p. 10.

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electrical apprentices, and 20 per cent of all apprentices, had considered quitting due
to wages and cost of living pressures.66

5.64 The NAAA raised similar concerns, stating:


[If an apprenticeship is not working out for the apprentice] … it's very easy for
them to pick up a better-paid job somewhere else … There are [also] a large
number of people making the transition from adolescence to adulthood. They're
leaving home during the apprenticeship, typically, if they're 19 or 20. They've got
new financial pressures as inflation is rising, the cost of rentals is rising.67

5.65 Professor Shreeve observed that apprentices in traditionally male-dominated fields


such as plumbing and electrical are incentivised to complete their apprenticeship by
a rise in wages when it is complete. These incentives do not exist in traditionally
female-dominated occupations such as social care and hairdressing.68

5.66 The NUS shared feedback from trainees and apprentices that wages are ‘a big
issue’, particularly because low-paid or unpaid placements often mean students are
unable to study, work, and meet basic needs. The NUS asserted that students
deserve to be paid a fair wage. The NUS also indicated that these issues extend
beyond the apprenticeship system to qualifications with unpaid placements and wage
theft, including in areas of skill shortage such as nursing, allied health, and youth
work. The NUS called for remuneration for all work placements.69

5.67 The Shop, Distributive and Allied Employees’ Association (SDA National) similarly
noted that its members are rarely reimbursed for costs and time spent on study,
stating that until qualifications can be gained during work in industries such as retail a
large proportion of the workforce risks displacement due to automation.70

5.68 Mr Alan Sparks indicated that a way to address financial issues in the apprenticeship
pathway—particularly for younger apprentices—would be to lower the age of a ‘junior
employee’ to 18 years to recognise that apprentices must be paid a living wage
rather than a ‘training wage’. This may require a staged approach, including providing
that a person aged 18 years or over is an ‘adult’ apprentice when they reach the third
year of an apprenticeship. Mr Sparks indicated that there would also be merit in
considering other financial incentives such as a tax-free wage for first- and second-
year apprentices, noting that this would be a means of boosting take-home earnings
without adding to employers’ costs.71

66 Mr Gauld, ETUA, Committee Hansard, 31 May 2023, p. 7.


67 Mr Bardon, NAAA, Committee Hansard, 19 April 2023, p. 15.
68 Professor Shreeve, private capacity, Committee Hansard, 3 May 2023, p. 4.
69 See Ms Kilzi, NUS, Committee Hansard, 26 April 2023, p. 13; NUS, Submission 91, p. [3].
70 Shop, Distributive, and Allied Employees Association (SDA National), Submission 44, p. [2].
71 Mr Alan Sparks, AM, BEM, Submission 98, pages 18–19, 24.

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Pre-apprenticeship programs
5.69 Pre-apprenticeships are entry-level training programs that allow students to explore
an industry before committing to a full apprenticeship. Pre-apprenticeships are
generally offered in traditional trades (but may be offered in other sectors), may lead
to a formal qualification (most often a Certificate II), and may be undertaken via non-
accredited training. A pre-apprenticeship is not a pre-requisite to an apprenticeship.
However, some employers look favourably on apprentices who have undertaken a
pre-apprenticeship and may prefer to take on an apprentice who has completed this
pathway.72

5.70 Some stakeholders supported increasing the number of pre-apprenticeship programs


as a means of ensuring prospective apprentices understand the requirements of their
pathway, conducting pre-screening, and providing assurance to employers. AASN
providers should play a key role in connecting prospective apprentices with such
programs.73

5.71 NECA noted that prospective students often think they are interested in the electrical
trades but are not ready to commit to a four-year apprenticeship. Pre-apprenticeship
programs have been successful in addressing these reservations by providing
participants with a ‘taste’ of the industry and assisting them to decide if an electrical
trade career aligns with their aspirations.74

5.72 Mr Sparks asserted that there is a need to increase the information provided in pre-
apprenticeship programs on the rights, responsibilities and obligations of apprentices,
trainees, and employers, as well as a need for more training on situational safety and
mental health.75

5.73 Pre-apprenticeship programs can also be successful in addressing gender disparities


in apprenticeships and trades. The ETUA highlighted the Women in Apprenticeships
Victoria Electrical program. This program supported 180 women in prevocational
training pathways, leading to apprenticeships with reputable employers. Women-only
pre-apprenticeship programs create the kinds of safe spaces for women which can
be vital to improving retention and completion, including by building participants’
confidence before they move into the general apprentice intake.76

5.74 The Committee also heard that additional measures (beyond pre-apprenticeship
programs) are required to ensure apprentices understand the demands of and are
ready to start apprenticeships. Master Builders Australia (MBA) called for:

72 Australian Apprenticeships Pathways, What are Pre-Apprenticeships, https://www.aapathways.com.au/


about/pre-apprenticeships, viewed 5 February 2024.
73 See, eg, ACCI, Submission 43, p. 5; Ms Amanda Ellwood, Submission 51, pages [1–2]; Victorian Chamber of
Commerce and Industry (VCCI), Submission 80, p. [8].
74 NECA, Submission 17, p. 4.
75 Mr Alan Sparks, Submission 98, p. 22.
76 Mr Gauld, ETUA, Committee Hansard, 31 May 2023, p. 10.

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• The development of an apprentice work-readiness assessment tool, to identify
those apprentice candidates who are not yet work-ready. At least some of those
candidates might benefit from engagement with a pre-apprenticeship program.
• Development of an apprentice support assessment tool to assist apprentices, their
employers, training providers, and support networks to identify areas where more
support would be beneficial.77

Expanding apprenticeship pathways


5.75 Some stakeholders indicated there may be value in expanding the sectors in which
apprenticeships are offered, and in ensuring that apprenticeship programs remain
consistent across jurisdictions insofar as possible. This may boost the reputation of
the VET system and help ensure a reliable pipeline of skilled workers in areas of
shortage.78

5.76 The Australian Industry Group Centre for Education and Training (AiGroup) observed
that consistency in the administration of apprenticeships and traineeships is a source
of frustration for employers, noting that some states declare a qualification as an
apprenticeship while others recognise it as a traineeship or not at all. Moreover,
some programs are funded while others are not. The AiGroup stated that national
consistency, enabled through the establishment of an Australian Apprenticeship
Authority, may improve employers’ perception of the sector.79

5.77 Skills Impact stated that successive governments at all levels have been reluctant or
slow to formally recognise new trades, asserting that consideration should be given
to recognising high-risk and -responsibility job roles as trades that require specialised
skills. According to Skills Impact, farm work, arboriculture, fishing, and Indigenous
Rangers would benefit from formal recognition as trades given the various risks and
responsibilities associated with roles in those sectors.80

5.78 The Integrated Information Service (IIS) asserted that fragmentation and a lack of
consistency across jurisdictions has made it difficult to present apprenticeships as a
national system. This has led to significant inconsistency across terminology, in the
approval of qualifications, and in categorising qualifications as apprenticeships and
traineeships.81

5.79 The Queensland Alliance for Mental Health (QAMH) noted that the New Zealand-
based company Careerforce offers a program that supports work-based training
opportunities for those working in the health, disability, mental health, aged care,
rehabilitation, social and community services sectors. For example, a nationally
recognised Certificate IV in Health and Wellbeing is delivered over 18-24 months as
an apprenticeship, supported by a team of advisors who deliver pastoral care and

77 MBA, Submission 71, pages 12–13.


78 See Professor Smith, Submission 72, p. 3.
79 AiGroup, Submission 47, p. 6.
80 Skills Impact, Submission 13, p. [6].
81 Integrated Information Service (IIS), Submission 53, p. 5.

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support. QAMH stated that there is a strong case for similar apprenticeship programs
in the Queensland mental health sector, noting that this would be particularly relevant
to addressing workforce shortages in regional, rural, and remote areas.82

5.80 The Australian Fashion Council (AFC) and RMIT noted that there is strong interest
among employers in the fashion and textile sector for apprentices. Apprenticeships in
those sectors (among other VET pathways) may be effective in supporting local
manufacturing and textile recycling and enable hands-on learning and mentoring by
experienced tradespeople. The AFC and RMIT also highlighted a lack of government
support for apprenticeships in the sector, stating:
There are so many companies in textiles who are doing amazing work worldwide,
particularly in knitting textiles and in weaving. This goes across the automotive
industry and homewares as well as the fashion industry, and they are desperate
for apprentices, but they are telling me—I'm paraphrasing—that there's no
interest from government in having an apprenticeship program that supports the
employer. They're looking to us.83

5.81 The NAAA emphasised that the apprenticeship system is demand-driven. For an
apprenticeship pathway to be viable, there must be a business in the relevant
industry creating employment opportunities and using apprenticeship pathways to fill
identified vacancies. The NAAA suggested that all industries have equal access to
government support for apprenticeship pathways.84

5.82 The NAAA told the Committee that the fashion sector rarely uses the apprenticeship
system, with enrolments centred around specialist fashion schools that are run by
public providers. However, should the fashion industry wish to expand the number of
apprenticeships available, they could make representations to the State Training
Authorities in each jurisdiction and then identify a provider capable of offering
courses with qualifications on their scope of registration.85

Australian Apprenticeship Support Network


5.83 The AASN is a network of providers contracted by DEWR to support apprentices and
employers. Providers operate from around 130 full-time sites with a further 500
mobile field officers contracted by the department. Services are delivered from pre-
commencement to completion and include administrative support, payment
processing, regular ‘check ins’, and targeted services for individuals with higher
support needs. Providers also help people find alternative training pathways if they
are not suited to an apprenticeship.86

82 Queensland Alliance for Mental Health (QAMH), Submission 35, p. 14.


83 See Mrs Katrina Rose, Program Manager, Fashion and Textiles, Creative Industries, RMIT University,
Committee Hansard, 27 July 2023, p. 16; Ms Leila Naja Hibri, CEO, Australian Fashion Council (AFC),
Committee Hansard, 27 July 2023, p. 17.
84 Mr Bardon, NAAA, Committee Hansard, 19 April 2023, pages 16–17.
85 NAAA, Submission 60.1, p. [5].
86 Australian Apprenticeships, What is the Australian Apprenticeship Support Network, https://www.australian
apprenticeships.gov.au/about-aasn, viewed 5 February 2024.

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5.84 AASN providers have touchpoints with apprentices in schools via a gateway service.
Providers conduct a first meeting with new apprentices to discuss the nature of the
apprenticeship contract and the apprentice’s commitments. Then there is a sign-up
meeting, followed by six-monthly touchpoints throughout the apprenticeship. Where
an apprentice is in a mentoring service, there will be many more touchpoints based
on their needs.87

5.85 Several stakeholders indicated that the AASN is not operating at optimal levels, and
measures are required to address issues with the supports available to apprentices—
including additional resourcing. For example, the Australian Chamber of Commerce
and Industry (ACCI) asserted that the AASN must be fully resourced to deliver wrap-
around support for apprentices and employers—particularly for women, people with
disability and First Nations peoples. The ACCI called for better coordination of
mentoring and support services available to apprentices and trainees to avoid
duplication of service offerings and expanding the criteria for ‘at risk’ apprentices and
‘complex issues’ to make bespoke supports available for a more apprentices and
increase completion rates.88

5.86 The AMWU stated that the AASN has historically functioned well in terms of its ability
to liaise with employers on industry requirements. However, according to the AMWU
the National Careers Institute (NCI) and the (former) National Skills Commission
have ‘muddied the waters’ by taking on at least some of the functions for which the
AASN was historically responsible.89

5.87 The Australian Council of Trade Unions (ACTU) indicated that low completions and
poor perceptions of VET are driven by the inadequate support available through the
AASN, and called for a fundamental review of supports for apprentices.90

5.88 MEA stated that it is ‘questionable’ whether the AASN offers any ongoing support
once an apprentice has been registered in their pathway. MEA observed that the role
of the AASN could equally be performed by other bodies, such as GTOs, industry
associations, unions, and secondary schools with advanced VET programs.91

5.89 NECA noted that it is generally the ASSN provider’s role to explain the relevant
qualification to the employer and the apprentice at the initial training contract ‘sign-up’
meeting. However, this does not always occur. Common errors include apprentices
being signed up under the wrong qualification and apprentices being signed up to
attend an RTO that is not the employer’s choice.92

5.90 The Pharmacy Guild of Australia (PGA) stated that ASSN enrolment for RTO delivery
can take multiple months to finalise, particularly if the ASSN is busy or there were
errors in the application or approval process. The PGA suggested a streamlined

87 Mr Bardon, NAAA, Committee Hansard, 19 April 2023, p. 15.


88 See, eg, ACCI, Submission 43, p. 4; VCCI, Submission 80, p. [8].
89 Mr Dean, AMWU, Committee Hansard, 26 April 2023, p. 5.
90 Australian Council of Trade Unions (ACTU), Submission 69, p. 9.
91 MEA, Submission 5, p. 10.
92 NECA, Submission 17, p. 9.

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approach that allows AASN and training providers to monitor student progress and
assist in monitoring any changes, cancellations, and enrolments. This process could
be facilitated via a portal dedicated to VET qualifications, accessible by schools,
employers, students, parents, training providers, and AASN providers.93

5.91 The ETUA asserted that the AASN is ‘broken’, and while there are outliers of good
performance the network is failing to provide adequate support or mentoring in both
the pre-apprenticeship and apprenticeship phases. Lack of engagement by the
AASN with apprentices is a particular concern given poor working conditions for
many apprentices and the lack of core skills among this cohort. The current model is
also failing to offer industry-specific advice to apprentices. The ETUA noted that in a
survey of its membership:
• 66 per cent of apprentices couldn't name their AASN provider.
• 50 per cent of apprentices had received support from their AASN provider, with
women 10 per cent more likely to have never received support than men.
• 20 per cent of apprentices had regular contact with the AASN, with men 50 per
cent more likely to have received regular contact than women.
• 11 per cent of apprentices received mentoring or engaged in conversation with
the AASN about their elective pathways.94

5.92 This was reinforced by apprentices. One third-year apprentice told the Committee
that she was never informed that she was able to choose her elective and was
allocated to a telecommunications pathway when renewable energy would have
been more valuable.95

5.93 The ETUA recommended that new, specialised, industry-led AASN providers be
established to deliver mentoring and support to apprentices and trainees—including
more tailored assistance for disadvantaged cohorts. This should include more direct
engagement with apprentices, including site visits and one-on-one conversations.
The ETUA recommended that this new industry-led network also be responsible for:
• Developing programs to deliver practical, safe, engaging exposure to skills and
careers accessed through VET pathways in K-12 schools.
• Developing a campaign to rebrand VET in a way that expands its reputation from
the purely transactional and job focussed to a system that also engages young
people and their values.
• Designing Certificate I and II training pathways that articulate into apprenticeships,
to give students a ‘taster’ of an apprenticeship pathway and enable more informed
decisions about future options.96

93 Pharmacy Guild of Australia (PGA), Submission 24, pages 6–7.


94 See ETUA, Submission 87, p. [1]; Mr Gauld, ETUA, Committee Hansard, 31 May 2023, pages 7–8, 12.
95 Ms Jessie Caisley, National Policy Officer, ETUA, Committee Hansard, 31 May 2023, p. 8.
96 ETUA, Submission 87, p. [2]. See also Mr Gauld, ETUA, Committee Hansard, 31 May 2023, pages 10, 13.

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5.94 The ETUA emphasized that JSCs should play a central role in supporting industry led
AASN providers to deliver these initiatives.97

5.95 The IIS and Australasian Digital and Telecommunications Industry Association
(ADTIA) raised concern in relation to the cessation of funding for the Australian
Apprenticeships and Traineeships Information Service (AATIS) in December 2023.
Both indicated that this is likely to result in a loss of integration and cohesion in
information provided to apprentices and less specialist support for people working in
the sector and called for the AATIS should be retained. According to the IIS and
ADTIA, the AATIS has a strong reputation and contributes to the successful workings
of apprenticeships and student information across the VET sector.98

5.96 DEWR has recently redesigned the program of supports for apprentices following a
period of stakeholder consultation. The new model (Australian Apprenticeship
Support Services) is intended to replace the existing AASN and will deliver the
following services:
• Assessment Services: a pre-commencement assessment for every commencing
apprentice and certain recommencing apprentices, as well as for employers which
require support to assist apprentices they engage. Assessment services will focus
on the needs of the individual and the employer’s capacity to effectively support
an apprenticeship through to completion.
• Engagement and Apprenticeships Technical Support Services: marketing,
administrative, payment support, stakeholder support and engagement functions
to underpin the Australian apprenticeship. This will include ongoing contact with
the apprentice and employer throughout the life of the apprenticeship.
• Mentoring and Personal Support Services: mentoring and personal support to
individuals. Mentoring places for key client groups (women in male-dominated
trades, First Nations apprentices, apprentices with disability, and apprentices in
regional and remote areas) will be tailored and demand-driven. There will also be
a number of capped mentoring services places available for employers requiring
support and apprentices who require support to remain in their apprenticeship.99

5.97 The support service will engage specialist providers to support apprentices in key
cohorts, including women in male-dominated trades, First Nations apprentices, and
apprentices working towards clean energy occupations. The service is to commence
from July 2024.100

Micro-credentials
5.98 Micro-credentials are short courses in a specific discipline with a focus on upskilling
and re-skilling in short timeframes. They do not typically lead to a full qualification.

97 ETUA, Submission 87, p. [2].


98 See IIS, Submission 53, pages 1–2; ADTIA, Submission 88, p. [4].
99 DEWR, Request for Tender for Australian Apprenticeship Support Services 2024–2026, p. 15, https://
tenders.employment.gov.au/tenders/c0aafbf2-af31-ee11-bdf4-6045bd3d3489, viewed 5 February 2024.
100 DEWR, Request for Tender for Australian Apprenticeship Support Services 2024–2026, pages 29–31.

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There is debate as to the exact definition of a micro-credential. However, the


definition used in the Department of Education’s National Microcredentials
Framework is:
A micro-credential is a certification of assessed learning or competency, with a
minimum volume of learning of one hour and less than an [Australian
Qualifications Framework (AQF)] award qualification, that is additional, alternate,
complementary to or a component part of an AQF award qualification.101

5.99 Around 2.5 million people in the VET sector are undertaking micro-credentials, with
the vast majority completing licensing units in fields such as first aid, responsible
service of alcohol, and construction (for example, relating to the white card).102

5.100 Micro-credentials were considered in the Joyce Review and the 2019 review of the
AQF. Both reviews highlighted that micro-credentials can support flexible learning
and help modernise Australia’s training landscape.103 Federal, State, and Territory
Governments have also committed to developing and funding micro-credentials, in
addition to full qualifications, as part of the Skills Reform agenda.104

5.101 Several stakeholders indicated that micro-credentials are effective in addressing


immediate industry needs and responding to an increasing need for quicker, lower-
cost training.105 ADTIA stated that as the information and communications technology
(ICT) industry matures, there is a growing demand for readily available skillsets and
micro-credential programs to upskill and reskill workers. ADTIA expressed support
for government funding for workers to undertake training leading to a micro-credential
or development of a specific skillset. It stated that the credentials should be endorsed
by vendors and industry and be approved by a government body such as ASQA.106

5.102 COSBOA highlighted the increasing importance of being able to develop skills via the
VET system without having to complete an additional full qualification. It noted that
small businesses are supportive of governments engaging with industry to provide

101 Department of Education, National Micro-credentials Framework, 22 March 2022, pages 2–3,
https://www.education.gov.au/higher-education-publications/resources/national-microcredentials-framework,
viewed 5 February 2024.
102 Mr Simon Walker, Managing Director, NCVER, Committee Hansard, 16 May 2023, p. 3. See also Professor
Shreeve, private capacity, Committee Hansard, 3 May 2023, pages 2–3.
103 See Department of the Prime Minister and Cabinet, Strengthening Skills: Expert Review of Australia’s
Vocational Education and Training System, 2 April 2019, pages 64–65; Department of Education, Review of
the Australian Qualifications Framework Final Report, 24 October 2019, pages 56–58, https://www.
education.gov.au/higher-education-reviews-and-consultations/resources/review-australian-qualifications-
framework-final-report-2019, viewed 5 February 2024.
104 See DEWR, Supporting micro-credentials in the training system, https://www.dewr.gov.au/skills-
reform/supporting-microcredentials-training-system, viewed 5 February 2024. See also Department of Prime
Minister and Cabinet, Heads of Agreement for Skills Reform, 5 August 2020,
https://www.pmc.gov.au/resources/heads-agreement-skills-reform, viewed 5 February 2024.
105 See, eg, Independent Higher Education Australia (IHEA), Submission 8, p. [8]; QAMH, Submission 35, p. 14;
Ms Karolina Szukalska, Minerals Council of Australia (MCA), Committee Hansard, 19 April 2023, p. 21.
106 ADTIA, Submission 88, pages [6–7].

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funding to RTOs to deliver micro credentials and skillsets to existing workers that
require upskilling or retraining.107

5.103 The Business Council of Australia (BCA) explained that micro-credentials are suited
to mid-career Australians and to parents with existing qualifications and who may
have work or caring responsibilities that make it difficult to engage in full-time or long-
term study.108 This view was echoed by representatives of Nepean Industry Edge
Training (NIET), who stated:
[O]lder people that aren't quite at retiring age but want to do something, and …
feel that they could possibly help in home and community care … [are] not going
to sit through a 12-month cert III course to be able to take someone shopping, do
a bit of housework or help with other things. But, if they could have a set standard
of micro-credentials which have the basic but essential units that they need to be
able to work safely and efficiently in that sector, you would have a lot of people
that are 60-plus that can work in the home and community care sector and free
up some of those other staff to do the very demanding roles in aged care.109

5.104 The SBEFO observed that there would be value in developing a national system of
micro-credentialling backed by the National Skills Agreement (NSA) to better
recognise and translate skillsets people have acquired during their working life.110

5.105 Other stakeholders stated that micro-credentials are merely a ‘quick fix’ to identified
skills gaps, and neither address long-term industry needs nor produce high-quality
graduates. Furthermore, micro-credentials are often narrowly focused on the needs
of a specific employer and are not conducive to a system that enables participants to
build a portfolio of skills.111 The AMWU stated:
[T]he major risk is that [micro-credentialling] becomes a standard for [an] industry
if there isn't a strong award system in place to ensure that [qualifications and skill
requirements are] still tied … to the industrial relations framework. [M]icro-
credentialling could get too far ahead of the Australian Qualifications Framework
for it to be tested and then qualified properly. If we go too far down the path of
micro-credentialing without allowing a process of occupational profiling to set the
contours of a given industry, then we're also going to create another system
whereby there's a risk of insecure work continuing.112

5.106 Work is underway to create a nationally consistent governance framework for micro-
credentials. The Department of Education noted that in 2022 Government introduced
MicroCred Seeker, a nationally consistent platform which allows students to compare

107 COSBOA, Submission 86, p. 6.


108 Business Council of Australia (BCA), Submission 93, p. 4.
109 Ms Samantha Gillick, Lead Trainer, Nepean Industry Edge Training (NIET), Committee Hansard,
26 July 2023, p. 10.
110 SBFEO, Submission 79, pages [3–4].
111 See, eg, AMWU, Submission 22, p. [2]; Ms Butler, ANMF, Committee Hansard, 26 April 2023, pages 9–10;
Professor Smith, private capacity, Committee Hansard, 3 May 2023, p. 13.
112 Dr Dean, AMWU, Committee Hansard, 26 April 2023, p. 3.

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micro-credentials offered in the tertiary sector, including to help students understand


how credentials can be stacked and used for credit in a complete qualification.113

5.107 The Department of Education has released a National Microcredentials Framework


to inform MicroCred seeker (Micro-credentials Marketplace). The Framework
provides for a national definition for micro-credentials, sets out ‘unifying principles’ for
micro-credentials—including specifying that credentials should be outcome-based,
responsive to industry need, tailored to support lifelong learning, and transparent and
accessible—and stipulates critical information requirements and key standards for
micro-credentials available via the Marketplace.114

5.108 Work is also underway to develop a National Credentials Platform. This will be a
digital platform for students and graduates to access tertiary education transcripts
and learning credentials via a secure online system. It would provide students with a
comprehensive, accredited, and secure platform to compile and share achievements
obtained via higher education and VET. Depending on the outcomes of a pilot, the
platform has the potential to support more informed lifelong learning decisions and
integrate career pathways information to influence learner choices.115

‘Stackable’ credentials
5.109 Some stakeholders observed that despite beliefs to the contrary, micro-credentials
cannot be ‘stacked’ into or replace full qualifications—even if units of competency
that underpin micro-credentials are identical to those in Certificate- or Diploma-level
training. Ther Committee heard that VET students may be better served by first
obtaining a base qualification and then adding micro-credentials if necessary during
their working life.116

5.110 The Australian Education Union (AEU) noted that while it is assumed that a micro-
credential is a series of learning steps that can be assembled to a full qualification, in
reality ‘micro-credentialling … never makes the whole’. The AEU expressed qualified
support for micro-credentials as a means of upskilling workers, providing that micro-
credentials are obtained after and do not replace full qualifications:
Micro-credential[s] can well be add-ons to a comprehensive qualification. It's the
difference between somebody who has done a full apprenticeship in carpentry,
as opposed to somebody who has done some form of learning like learning to
hang a door. When you do a small component or a micro-credential—if that's
what you want to call it in 2023—you can learn how to hang a door and that's all
you learn to do if you only undertake that micro-credential. That does not give
you portability in the labour market. That just makes you a good cheap worker for
people who make and hang doors; whereas the full qualification … allows you to

113 Department of Education, Submission 89, pages 6–7.


114 Department of Education, National Micro-credentials Framework, 22 March 2022, pages 2–4.
115 Department of Education, Submission 89, p. 7.
116 See, eg, Mr Walker, NCVER, Committee Hansard, 16 May 2023, p. 3; Dr Dean, AMWU, Committee
Hansard, 26 April 2023, p. 4; Professor Shreeve, private capacity, Committee Hansard, 3 May 2023, p. 2.

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be a qualified, carpenter, for instance, and gives you mobility in the labour market
and a good base to continue to learn from.117

5.111 Other stakeholders indicated that micro-credentials can—and indeed should—be


‘stacked’ into full qualifications.118 For example, the AiGroup observed that the new
AQF—to be developed following the AQF Review—will allow for micro-credentials to
be brought together to form a qualification linked to an occupation or career. The
AiGroup urged continued focus by government on flexible education and on training
frameworks that can successfully endure as future skills needs arise.119

5.112 There was also concern that the current VET system is not set up to enable students
and employers to access the shorter and more flexible training options that are
needed to respond to technology and labour market change. The BCA stated that the
system is designed around delivering multi-year qualifications rather than short,
stackable training options.120

5.113 Representatives of Macquarie University called for clearer guidelines around micro-
credentials, and for standards that would make ‘stacking’ credentials—including
across VET and higher education—an easier endeavour.121

Funding
5.114 Micro-credentials in VET are unfunded at a systemic level, with program-specific
funding offered in some areas. Stakeholders indicated that the Commonwealth would
need to make a decision on how micro-credentials in the VET sector will be funded.122

5.115 There was support for the proposition that public funding should—at least in most
cases—go to credentials that are portable across employers and sectors:
• Professor Smith stated that employers should be responsible for funding micro-
credentials which are adapted to their specific needs.123
• The AMWU stated that public subsidies or other support for micro-credentialling
within individual enterprises risks creating a system where the conditions of
employment are tied to the enterprise and minimises workers’ ability to move
between employers and industry sectors.124

117 Ms Maxine Sharkey, Federal TAFE Secretary, Australian Education Union (AEU), Committee Hansard,
26 April 2023, pages 23–24.
118 See, eg, BCA, Submission 93, p. 4.
119 AiGroup, Submission 47, p. 6.
120 BCA, Submission 93, p. 5.
121 Professor Grant Hose, Associate Dean, Innovation, Faculty of Science and Engineering, Macquarie
University, Committee Hansard, 16 August 2023, p. 9.
122 Mr Stephen Brady, Managing Director, TAFE NSW, Committee Hansard, 16 August 2023, p. 6.
123 Professor Smith, private capacity, Committee Hansard, 3 May 2023, p. 13.
124 Dr Dean, AMWU, Committee Hansard, 26 April 2023, p. 4.

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122

• NCVER stated that credentials relating to infection control during a health crisis or
to white cards for construction should arguably be publicly funded. By contrast,
safety training for individual companies should be funded by the company itself.125

5.116 TAFE NSW indicated that funded credentials should be delivered within a TAFE or
university setting where there is a greater guarantee of training quality.126

Enhancing the educator workforce


5.117 A key barrier to enhancing the VET sector is a shortage of qualified educators.127 The
AEU noted that from 2012 to 2023 the TAFE NSW workforce reduced from 17,100
education workers to just 8,200.128

5.118 Barriers to attracting and retaining a skilled VET workforce include less competitive
salaries and part-time and casual work arrangements—driven by low funding for the
sector—as well as the requirement that educators hold specific (not always relevant)
qualifications and regularly demonstrate the currency of their skills. Evidence
indicated that there have been insufficient efforts to boost the quality of the teaching
workforce, including by recognising that VET has its own distinct pedagogy.129

5.119 An outcome of the 2022 Jobs and Skills Summit was a commitment to develop a
VET Workforce Blueprint to ensure the long-term sustainability of the VET sector by
supporting and growing a quality VET workforce. The Blueprint will be developed in
close consultation with key VET stakeholders and will identify effective strategies for
growing and diversifying the workforce; attracting, and retaining high-quality workers;
capability and career development; and succession planning. Over the longer term,
the Blueprint will consider matters including—but not limited to—qualifications and
specialist roles, diversity and equity, movement of trainers and assessors between
teaching and industry, and entry requirements.130

Pay and conditions


5.120 Improving pay and conditions for VET educators will be critical to attracting and
retaining skilled educators. Pay and conditions must reflect the level of skill educators
bring to the profession and be competitive with other sectors—including being
sufficient to encourage experienced tradespeople to move into teaching roles.131

125 Mr Walker, NCVER, Committee Hansard, 16 May 2023, p. 3.


126 Mr Brady, TAFE NSW, Committee Hansard, 16 August 2023, p. 6.
127 See, eg, NECA, Submission 17, p. 5; Independent Education Union, Queensland and Northern Territory
Branch (IEU–QNT), Submission 21, p. 3; PGA, Submission 24, p. 5; NFIA, Submission 30, p. [5].
128 Ms Sharkey, AEU, Committee Hansard, 26 April 2023, p. 22.
129 See, eg, IEU–QNT, Submission 21, pages 4–5; NSW Department of Education et al, Submission 77, p. 9;
COSBOA, Submission 86, p. 6.
130 DEWR, VET Workforce Blueprint Scope, pages 1–3, https://www.dewr.gov.au/skills-reform/resources/vet-
workforce-blueprint-scope, viewed 25 September 2023.
131 See, for example, NECA, Submission 17, p. 6; PGA, Submission 24, p. 5; ADTIA, Submission 88, p. [6].

122
5.121 The Australian Industry Trade College noted that with high levels of industry demand,
many trainers are ‘back on the tools’. Attracting and retaining a quality educator
workforce will be achieved via competitive remuneration and career development, as
well as ensuring that educators are valued and respected for the important role they
play in supporting students to achieve career and education outcomes.132

5.122 The ACTU expressed concern that the sector increasingly relies on short-term and
casual contracts, noting that this often means that educators:
… don't have enough time for lesson planning or marking … [and] aren't able to
provide support to students outside the classroom hours because they're not paid
for that time. [This] puts barriers in the way of the educators who are doing their
absolute best in a really tough situation to provide quality education because their
hours are being counted and kept track of, and they simply don't get enough
hours to do the job properly.133

5.123 WAVE observed that in 2019 just over half of the VET trainer and assessor workforce
were employed on a full-time basis. TAFE reported over 60 per cent of trainers and
trainers and assessors in part-time or casual arrangements. WAVE recommended all
jurisdictions work with training providers to support the conversion of part-time,
casual, and sessional positions into more secure employment.134

5.124 The AEU explained that in NSW, VET institutions receive funding for each student,
paid in increments and depending on whether the student completes their course.
These arrangements often mean that there is not sufficient funding available for an
institution to guarantee the wages of its educators, and lead to the proliferation of
short-term and casual contracts. Casual contracts oblige many educators to commit
significant time and resources to lesson planning and grading students and they are
often not paid for this work as it is undertaken outside of classroom hours.135

5.125 The AEU asserted that government must design funding arrangements which allow
TAFEs to access funding directly and stated that permanent contracts and regular
wages would assist with attracting and retaining a qualified teaching workforce. The
AEU also indicated that support services for students are vital to attracting and
retaining educators, to ensure that teachers are not obliged to deliver counselling or
pastoral care in addition to a full teaching load.136 The AEU recommended:
• Annual data collection on the VET workforce—including pay and conditions, terms
and mode of employment, qualifications, and other relevant measures.

132 Australian Industry Trade College, Submission 31, p. [10].


133 Mr Christopher Watts, Senior Policy Advisor, ACTU, Committee Hansard, 29 March 2023, p. 12. See also
Professor Shreeve, Submission 1, p. [5]; IEU–QNT, Submission 21, p. 5; Mr Bardon, NAAA, Committee
Hansard, 19 April 2023, p. 18.
134 WAVE, Submission 70, pages 24–25.
135 Ms Sharkey, AEU, Committee Hansard, 26 April 2023, pages 24–25.
136 Ms Sharkey, AEU, Committee Hansard, 26 April 2023, p. 24.

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• A TAFE teaching workforce renewal strategy be devised to determine how low


morale, huge workload and increased administrative burden experienced by the
vocational education workforce can be addressed.
• Ring-fenced investment be made available to implement a teaching workforce
renewal strategy, with a focus on addressing high levels of precarious and casual
employment, the neglect of professional development and support and workload
intensification.
• Federal and State governments re-invest in the TAFE teaching workforce and
develop a future-focused TAFE workforce development strategy.137

5.126 The AiGroup noted that shorter contracts respond to funding arrangements, as
providers must remain financially viable notwithstanding fluctuating levels of demand.
It stated:
TAFE institutes, which make up the bulk of trade training, will often offer short-
term teaching positions to new entrants and may not offer a long-term placement
until after the person has been working for some years. The strategy works well
for the institute because demand for training may rise and fall according to the
state of the economy; however, short-term contracts may not be attractive to
potential teachers. A person who might need to demonstrate long-term
employment to a bank to help qualify for a mortgage would be more likely to stay
in their current position.138

Qualification requirements
5.127 Current standards for RTOs provide that training and assessment (for accredited
training) may only be delivered by a person who holds a Certificate IV in Training and
Assessment (TAE) or a Diploma-level qualification in adult education. Trainers who
do not hold one of these qualifications may only deliver training under supervision
and may not determine assessment outcomes. Training and assessment must be
delivered by a person with appropriate vocational competency, current industry skills,
and current knowledge and skills in vocational training.139

5.128 ADTIA noted that the requirement to hold a TAE to deliver training and assessment
may not be aligned with the reality of a modern teaching workforce and may prevent
experienced tradespeople and qualified educators from sharing their expertise with
students. This may be compounded by requirements to regularly demonstrate
currency of skills and participate in professional development.140 A representative of
NEIT echoed these views, noting that in the context of attracting experienced older
people to training roles in the aged care and disability sectors:

137 AEU, Submission 37, pages 24–25.


138 AiGroup, Submission 47, p. 7.
139 Standards for Registered Training Organisations (RTOs) 2015, F2014L01377, ss 1.13–1.20.
140 ADTIA, Submission 88, p. [6].

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… [t]here are very few aged-care workers who have the stamina to do 10 months
doing a cert IV in training and assessing. The course itself is not easy; it's quite
hard, whether or not they're at that level to be able to do it … what happens is
that older aged-care workers either leave the industry completely, go into home
and community care or become lifestyle coordinators … but not trainer[s].141

5.129 The AEU noted that in some jurisdictions people who hold doctorates in outreach
adult education have been told they can no longer be employed by TAFE when they
refused to complete ‘another round’ of TAE. According to the AEU, this demonstrates
lack of respect for qualified educators and a focus on profit over quality outcomes.142

5.130 TAFE Directors Australia indicated that VET institutions—particularly TAFEs—should


be given greater flexibility to engage a more diverse teaching workforce, potentially
including educators who do not hold a TAE. This may include matching tradespeople
currently working in the industry with qualified VET educators, which would allow
students greater exposure to industry while giving the tradesperson classroom
experience, potentially leading to them moving into teaching on a more permanent
basis.143

5.131 The ACCI similarly called for measures to attract industry practitioners to teaching
roles, noting that costs associated with the TAE can present barriers to such efforts—
particularly where an industry practitioner may not wish to transition into teaching on
a permanent basis. Measures might include allowing some practitioners to complete
only a portion of the qualification (noting some elements of the TAE are not relevant
to practitioners), implementing shorter entry pathways, and subsidising costs.144

5.132 Some jurisdictions and institutions are working to address these concerns. The NSW
Department of Education et al advised that TAFE NSW has implemented a Pay to
Learn program.145 TAFE NSW explained that:
[Participants in the Pay to Learn Program receive] a full-time teaching salary for
three months. They study full time. They get a mentorship program with an
experienced teacher that supports them. They also get exposure to being in a
classroom. In some of the old models you study academically for your teaching
qualification and then are thrown into a classroom … The success rate [has]
been extremely high. We did an initial pilot of 15 people. One hundred per cent of
them qualified and are now teaching with us. We then did another 50, and 49 of
those people qualified and are now teaching with us. I think we've got 82
completing the next round.146

5.133 The NUS indicated that caution should be taken in recruiting ‘guest’ VET educators
without formal qualifications as these educators may lack sufficient, current

141 Ms Gillick, NIET, Committee Hansard, 26 July 2023, p. 9.


142 Ms Sharkey, AEU, Committee Hansard, 26 April 2023, p. 26.
143 Ms Dodd, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 6; VCCI, Submission 80, p. 9.
144 ACCI, Submission 43, p. 11. See also MEA, Submission 5, p. 16; AiGroup, Submission 47, p. 7.
145 NSW Department of Education et al, Submission 77, p. 9.
146 Mr Stephen Brady, Managing Director, TAFE NSW, Committee Hansard, 16 August 2023, p. 4.

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knowledge of relevant subject matter. The NUS suggested additional training for
teachers working under the supervision of a more qualified educator, as well as
mechanisms for students to provide feedback on the teacher.147

Teaching quality
5.134 Some stakeholders called for measures to ensure VET educators can deliver
leading-practice training to their students, noting that this is challenging under current
arrangements. For example, the ETUA asserted it is essential for TAFE educators to
keep updated with changes to industry practice by undertaking refresher training. It
stated that roll-out of refresher training for experienced workers will ensure skills
acquired at TAFEs match the day-to-day work to which certificates lead. This should
be accompanied by ongoing training pathways for new trainers.148

5.135 The AEU noted that with the marketisation of VET and low investment in educators,
there has been a ‘dumbing down’ of the sector. The AEU expressed concern that
VET educators are now required to hold a Certificate IV in Training and Assessment
(TAE)—which does not contain pedagogy or classroom management skills—in place
of a university-level teaching qualification.149

5.136 Professor Shreeve observed that VET educators are expected to be experts in both
teaching and industry practice and emphasised that strategies must be implemented
to enhance educators’ capacity in both these areas. Since the demise of the
Australian National Training Authority (ANTA), there have been fewer national
initiatives to enhance staff development and to ensure that educators have current
industry knowledge.150

5.137 AVETRA strongly recommended a fundamental shift from mandating the lowest
possible qualification (the TAE) to a focus on developing a world-leading VET
workforce. This must start by acknowledging that VET has a distinct pedagogy and
that teachers are experts in the occupations for which they train students as well as
expert educators Considerable research will be needed to implement and maintain
this type of change, including consideration of remuneration packages that reward
both VET delivery and contemporary occupational experience, and the identification
of factors motivating individuals to enter and remain in the VET workforce.151

5.138 TAFE Directors Australia observed that the TAFE workforce comes from a variety of
different industries and are impacted by and carry with them biases embedded in
industry norms. It explained that the most highly skilled trainers often enter the TAFE
workforce after 20 or 30 years in industry, and it can be very challenging to overcome
industry norms and build an understanding of access and equity.152

147 Ms Kilzi, NUS, Committee Hansard, 26 April 2023, p. 14.


148 ETUA, Submission 87, p. 8.
149 Ms Sharkey, AEU, Committee Hansard, 26 April 2023, p. 23.
150 Professor Shreeve, Submission 1, p. [4].
151 AVETRA, Submission 52, p. 5.
152 Ms Dodd, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 4.

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5.139 The NAAA noted that addressing biases among VET educators may be challenging,
particularly as the traditional trades from which many educators come are historically
male dominated. State-by-State commitments to bring more women into the training
workforce may be needed.153

5.140 Ms Raelene Stockton, a VET educator and education manager advised that teachers
must be able to respond to the needs of diverse learners, including students who
may have experienced trauma or be impacted by intersectional disadvantage. Ms
Stockton indicted that there must be greater emphasis in teacher training on
facilitating a supportive learning environment for all students, and suggested that, a
core unit incorporating a trauma informed and intersectional approach to teaching—
including content informed by gender—should be included in teacher qualifications
such as the TAE.154

Committee comment
5.141 Addressing negative perceptions of VET requires more than raising awareness of the
sector and promoting VET to stakeholders. Meaningful reforms to the sector are also
necessary to ensure that VET is adapted to the needs of students and employers
and responds to current and future skills and workforce challenges.

5.142 A key issue impacting perceptions of the VET sector is that training packages are
slow to develop, and accordingly do not keep pace with rapidly evolving industry
need. This issue has been raised in multiple review and inquiry processes and is an
increasing concern as the pace of technological progress increases. For example,
generative AI (such as ChatGPT) has already had substantial impacts on the way
business is conducted, with clear implications for training and skill development.

5.143 The Committee is optimistic that the new process to develop and approve training
packages implemented in early 2023 will go some way to addressing concerns
regarding the speed of qualifications to market. However, there would still be value in
implementing measures to increase the speed at which qualifications and units of
competency are developed to ensure their ongoing relevance. The Committee is
attracted to the proposals that JSCs be empowered to make minor changes to
training packages and TAFEs be empowered to self-accredit courses (subject to
robust oversight).

5.144 The Committee notes that there is a framework in place to enable universities to self-
accredit their courses and considers this framework a useful model for the VET
sector. While self-accreditation should in the short to medium-term be restricted to
TAFEs, over the longer term there may be merit in allowing high-quality private
sector providers to self-accredit courses. The Committee envisages that extending
self-accreditation to the private sector would be implemented on a staggered basis
accompanied by robust safeguards. For example, self-accreditation might be

153 Mr Bardon, NAAA, Committee Hansard, 19 April 2023, p. 18.


154 Ms Raelene Stockton, private capacity, Committee Hansard, 27 July 2023, pages 3–4.

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extended to private or industry-led providers only when its courses are developed in
partnership with TAFEs.

5.145 It appears that many training packages are narrowly conceived, with most VET
enrolments in just 20 per cent of packages. The Committee agrees with the view that
there would be value in reviewing training packages to simplify the training
ecosystem and reduce the number of unused or rarely used products. Noting
specialised training often responds to industry need, the Committee envisages that
‘niche’ subjects would be taught via courses designed and delivered by providers
working in partnership with industry members.

5.146 The Committee agrees that not every occupation requires a specialised training
package, and that it is likely there will be several industries that share competency
requirements. The Committee supports using occupational profiles as a means of
rationalising development and provision of training and encourages the government
to consider occupational profiles in its broader review of training packages.

5.147 It is also essential that industry, employers, workers, and unions are closely involved
in the development of training. The process of qualification reform should aim to
develop a tripartite approach to the design and delivery of training. To the extent
possible, the development and implementation of training products should also aim to
include the voices of professional organisations—especially for those qualifications
relating to a regulated sector.

Recommendation 13

5.148 The Committee recommends that the Australian Government work with State
and Territory Governments, education experts, and other stakeholders to
streamline the process of developing and accrediting vocational education and
training qualifications. This should include:
• Setting a pathway for technical and further education (TAFE) institutes to
self-accredit courses and qualifications, supported by robust safeguards.
• Allowing minor amendments to training packages to take place at the Jobs
and Skills Council level, subject to industry consultation.

Recommendation 14

5.149 The Committee recommends that as part of the ongoing process of


qualification and skills reform, the Australian Government review existing
training packages to simplify the training ecosystem and reduce unused,
duplicative, or clearly unnecessary products. This should include
consideration of occupational profiles as a means of identifying where full
training packages are and are not required, and as a means of enhancing the
development of training packages which respond to industry need.

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Recommendation 15

5.150 The Committee recommends that the Australian Government ensure the
ongoing process of qualification and skills reform support a collaborative
approach to the development of qualifications and units of competency,
involving industry, employers, workers, and unions.

5.151 It appears that assessment is inconsistent across training providers, with employers
losing trust in the competency verification system in the VET sector. To help lift the
quality and consistency of assessment within the sector, the Committee considers
that ASQA should work closely with JSA, the JCSs, and other key stakeholders to
develop robust guidelines for assessment which align with industry need. There
would also be value in ASQA considering the quality and consistency of assessment
as issue as part of its ongoing risk-based monitoring.

5.152 The Committee is also of the view that there would be value in exploring grade- or
proficiency-based assessment to gives employers additional information on the best
candidates for a particular role is encouraged. Such a measure should also help to
align the VET, university, and secondary education sectors. Discussion of alignment
between tertiary education sectors is included in Chapter 6.

Recommendation 16

5.153 The Committee recommends that the Australian Skills Quality Authority
(ASQA) work with Jobs and Skills Australia, the Jobs and Skills Councils and
other key stakeholders to develop and implement robust assessment
guidelines for use in the vocational education and training sector.

Recommendation 17

5.154 The Committee recommends that the Australian Government work with State
and Territory Governments, education experts and other key stakeholders to
explore introducing proficiency-based assessment into the vocational
education and training sector.

5.155 There is compelling evidence that measures must be implemented as a matter of


urgency to address gender discrimination in VET pathways and to significantly lift
women’s participation in the sector—including participation in specific pathways such
as apprenticeships and in traditionally male-dominated industries. The Committee
supports several measures proposed by stakeholders, including model policies and
procedures to directly target discrimination, incentives for businesses that act as
supporters and allies, gender equity targets for government projects, and mentoring
arrangements for apprenticeship pathways.

5.156 Evidence indicates that at least some industries have already implemented or trialled
initiatives to lift women’s participation in the sector, such as the SPINKS initiative in
the Fire Protection Industry. The Committee strongly encourages the government to

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consider these programs in developing any new initiatives, and to consider additional
funding for existing programs where this is appropriate.

5.157 Promotional and education campaigns would also be of value, including campaigns
which emphasise that women aspire to and are eminently capable of participating in
VET—including in male-dominated industries. These campaigns should also aim to
address negative perceptions surrounding female-dominated industries, with a view
to encouraging a more equal gender distribution across the VET sector.

5.158 The Committee reiterates that campaigns should accompany, but not replace, more
tangible measures to lift women’s participation in the sector and enhance the VET
experience for female and gender diverse students.

5.159 As part of efforts to address gender discrimination and lift participation in the sector
by women and gender diverse people, the Committee considers that government
should also give special consideration to supporting and increasing participation in
overlooked—and often heavily feminised—sectors, including fashion and textiles.
Part of this effort should be consideration of whether apprenticeship and traineeship
pathways should be broadened to capture additional vocational sectors, as outlined
in Recommendation 22.

Recommendation 18

5.160 The Committee recommends the Australian Government expressly recognise


and address systemic barriers that hinder participation by women and by
gender diverse people in vocational education and training (VET), with a
specific focus on lifting women’s participation in male-dominated industries.
This should include but not be limited to:
• Investing in strategies delivered through the VET sector that support
women in acquiring skills and entering male-dominated industries.
• Addressing workplace discrimination and gender-based violence and
ensuring equitable employment conditions.
• Introducing additional apprenticeship pathways which specifically target
women and gender-diverse people.
• Implementing promotional and educational campaigns which challenge
gender stereotypes and negative attitudes that perpetuate barriers for both
women and men in non-traditional VET pathways.

Recommendation 19

5.161 The Committee recommends that the Australian Government work with State
and Territory Governments, Jobs and Skills Australia, industry participants,
and other key stakeholders to lift and incentivise participation in traditionally
female-dominated vocational education and training (VET) areas including
fashion and textiles.

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5.162 Apprenticeships and traineeships are a key part of the VET sector. They are critical
to ensuring a pipeline of skilled workers for many industries—including those that are
experiencing skills shortages—and underpin the sector’s focus on practical learning.
Given the significance of these pathways, the Committee is concerned that just half
of apprentices complete their qualification. This is notwithstanding that completion
rates for apprenticeships are higher than the average for the VET sector overall.

5.163 Key drivers of non-completion highlighted in evidence include:


• Negative experiences in the workplace, including isolation, poor supervision, and
experiences of discrimination and harassment. Harassment and bullying have
been identified as particular challenges facing younger and female apprentices.
• Low and non-competitive wages for apprentices, which leaves some individuals
without the means to obtain basic necessities and leads many to consider quitting
their apprenticeship.
• Failure to engage with prospective apprentices before they enter apprenticeship
programs, including to ensure the apprentice understands the demands of the
pathway and to offer additional support and mentoring where required.
• A failure to offer ongoing support and mentoring throughout the apprenticeship.
• A failure to ensure that all apprentices are aware of the supports available.

5.164 There is also evidence of gender bias in the apprenticeship pathway, with women
more than 50 per cent more likely to leave their apprenticeship due to workplace
culture and gender-based discrimination than men. This is particularly true of
apprenticeships in traditionally male-dominated fields such as construction. The
Committee was alarmed to hear that, in that sector, more than half of all women in
apprenticeship pathways have experienced sexual harassment.

5.165 The Committee supports several solutions proposed in evidence, including better
engagement between employers, apprentices and AASN providers before an
apprentice commences in the pathway; implementing mentoring systems and welfare
checks; introducing ‘train the trainer’ programs to improve in-work supervision; and
making greater use of the GTO model. The Committee also supports the measures
put forward by the NAAA to improve completion rates for female apprentices and
considers that these measures should be captured within a national strategy. The
Committee understands that measures to address gender bias and discrimination
within apprenticeship and other VET pathways are also being pursued at the national
and state levels.

5.166 Also critical to the success of apprenticeship pathways (as well as to other solutions
stakeholders have proposed) is properly resourced upfront and ongoing support.
Support should ensure that prospective apprentices understand the demands of the
program and are making informed decisions. Support should continue for the
duration of the apprenticeship, with apprentices offered mentoring and industry-
specific advice. Providing support is—at least nominally—the function of the AASN.
However, there is compelling evidence that the AASN is fundamentally ‘broken’ and
has not provided adequate support or mentoring to people in both pre-apprenticeship

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and apprenticeship pathways. Evidence also suggests that current AASN providers
lack up-to-date industry knowledge and provide limited advice to apprentices on key
matters such as specialisations and electives.

5.167 The Committee notes that the AASN is limited to private sector providers (including
non-profit organisations) which are not industry led. The Committee supports the
inclusion of providers that are TAFEs or other public institutes. This is consistent with
other proposals to rebuild a public core to the sector, and with the Committee’s view
that TAFEs may be better equipped to offer advice and support to current and
prospective apprentices than private providers.

5.168 The Committee agrees with the view that new, specialised, industry-led providers
should be commissioned to deliver mentoring support for apprentices and trainees,
including tailored assistance for women, First Nations peoples, people with disability,
and people from CALD backgrounds. These specialised providers should also have
the core function of providing advice on the needs of specific sectors to inform
apprentices’ study and work choices and should engage closely with schools to
provide much-needed exposure to VET pathways and support career education.

5.169 All providers in the network (TAFEs and industry-led providers) must be adequately
resourced to perform their functions effectively.

5.170 The Committee appreciates that government has recently finalised a request for
tender for Australian Apprenticeship Support Services to replace the current AASN.
This new service will be responsible for (among other matters) marketing and
promotion of the apprenticeship pathway; enhanced pre-commencement assessment
services—including assessment of work readiness and levels of literacy and
numeracy; mentoring; and targeted support for key cohorts including women in male-
dominated trades, First Nations peoples, and apprentices working towards clean
energy occupations. The service also includes mentoring for employers to support
apprentices in the workplace.

5.171 The Committee is optimistic that the new service will address some of the issues
raised during this inquiry. However, it does not appear that the providers contracted
to deliver the new service would include TAFEs or other public institutions. The
request for tender for the new service also indicates that career guidance and advice
delivered by the service may include industry-specific support and requires that
prospective providers have strategies in place for industry collaboration. It is not clear
that industry-led providers would be engaged—at least not beyond those with a focus
on the clean energy sector. Accordingly, while the Committee supports in principle
the establishment of Australian Apprenticeship Support Services, further reform is
required to ensure the service meets the evolving needs of the sector.

5.172 Accordingly—and recognising the measures the Australian Government has already
implemented to reform apprenticeship supports—the Committee considers that a
pilot program of a new, specialised apprenticeship support provider network should
be developed, with a specific focus on delivering support to apprentices from diverse
and under-represented backgrounds. The learnings from the program should be
adapted to future tenders for apprenticeship support providers.

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5.173 Financial pressure associated with low wages is another key contributor to attrition in
the apprenticeship pathway. The Committee is mindful of not increasing the costs of
engaging apprentices for the employer. The Committee notes that balancing wages
for apprentices with costs to employers has been an enduring problem for the sector
and acknowledges that this problem may not be solved immediately. Nevertheless,
the Committee sees value in government exploring measures to reduce financial
disincentives for current and prospective apprentices. Examples include tax-free
wages for early-year apprentices or adjustments to the definition of ‘junior employee’.
Measures to reduce financial disincentives to the apprentice may be complemented
by measures to increase incentives for the employer, such as wage subsidies.

5.174 In exploring such measures, government should consider how pay equity in the
apprenticeship pathway might be achieved. While acknowledging that some sectors
will remain better paid than others, the Committee would like to ensure as far as
possible that apprentices choose a pathway based on their own aspirations and
aptitudes and are not unduly motivated by financial considerations.

5.175 Finally, the Committee supports measures to increase consistency in qualifications


that are offered as apprenticeships. Government should consider expanding the
reach of the apprenticeship pathway into new sectors such as allied health and
community services and supporting apprenticeships in the fashion and textile sector.
The Committee understands that there is strong support for such measures, and that
there are initiatives in other countries (such as the CareerForce initiative in New
Zealand) which may provide useful insights.

Recommendation 20

5.176 The Committee recommends that the Australian Government develop and
implement a pilot program for a new, specialised, industry-led network of
apprenticeship support providers to deliver industry-appropriate mentoring
and support to apprentices and trainees. This should include tailored
assistance for apprentices and trainees from disadvantaged and under-
represented backgrounds, including women, First Nations peoples, people
with disability, and people from culturally and linguistically diverse
backgrounds.

The learnings from this pilot program should be adapted to future design and
tender processes for apprenticeship support providers, including the current
Australian Apprenticeship Support Network and Australian Apprenticeship
Support Services.

Recommendation 21

5.177 The Committee recommends that as part of the ongoing process of skills
reform, the Australian Government explore measures to increase take-home
wages for apprentices and trainees. This should include consideration of
measures to ensure gender pay equity in apprenticeships and traineeships so
far as this is possible.

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Recommendation 22

5.178 The Committee recommends that the Australian Government work with State
and Territory Governments to explore measures to increase consistency
across jurisdictions as to the qualifications that are offered as apprenticeships.
This should include consideration of expanding apprenticeships to new
sectors and industries where this is warranted.

5.179 Micro-credentials play a valuable role in the skills ecosystem. This is particularly the
case given the rapid evolution of technology and the need to deliver quicker, lower-
cost training. Micro-credentials are valuable in upskilling workers (for example, to
ensure that staff in the aged care and disability sectors have specific competencies
needed to work with clients), supporting transitions between sectors, and in enabling
a return to work for those who may have disconnected from the labour market. The
Committee has seen first-hand the potential of micro-credentials in the ICT sector (for
example via its visit to the Institute of Applied Technology (IAT) at Meadowbank), as
well as the potential for micro-credentials to contribute to greater interoperability
between the VET and university sectors.

5.180 Some micro-credentials are focused on the needs of a specific entity. The Committee
acknowledges that such credentials are valuable or necessary in some
circumstances, such as where a credential relates to training on a process that is
unique to an employer. However, the Committee’s view is that the cost of micro-
credentials should be the responsibility of the employer, not the government, when
the credential relates to employer- or industry-specific work processes and needs.
Public funding should be directed to credentials which are portable across sectors,
and which are targeted to identified areas of skill shortage.

5.181 The Committee also considers that government should not encourage individuals to
pursue micro-credentials in lieu of full qualifications and emphasises that government
funding should only be available for micro-credentials where the relevant student
already possesses a qualification. The full qualification need not be in the same field
as the relevant micro-credential, and the Committee sees value in individuals using
micro-credentials to transition between careers, return to the workforce, or pursue
study in different fields. In limited circumstances it may also be appropriate to
recognise lived experience in lieu of a full qualification, for example for older people
wishing to deliver supports in the home or community care sector. However, the
Committee considers that, as a default principle, individuals should be required to
obtain solid foundational core and industry skills through full qualifications, with
micro-credentials used as a ‘value add’ to respond to emerging skills needs.

5.182 In addition, the Committee considers that government should not generally permit the
‘stacking’ of micro-credentials into full qualifications. While a person can complete
each of the individual units of competency that make up a full qualification via micro-
credentials, they would be missing the overarching framework which, in a full
qualification, links together these units in a coherent way. This is not to say that a
person should not look to obtain multiple micro-credentials if this would be of value to
their work (for example, a person working in the disability sector might obtain several

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micro-credentials focused on aspects of client care). Moreover, the Committee is
broadly supportive of a National Credentials Platform as proposed by the Department
of Education as a means of compiling and providing access to a student’s skills and
achievements through a single portal. However, as outlined above the Committee
considers it important that micro-credentials are seen as an addition to, and not a
replacement for, full qualifications (in both the VET and higher education sectors).

5.183 There will be some micro-credentials (or equivalents) which would not be required to
follow a full qualification to receive some form of public funding. These credentials
typically relate to occupational licensing (for example, responsible service of alcohol
(RSA) or first aid). These credentials are portable and often necessary to continue
working in certain roles.

5.184 Public funding should be made available where a person is not able to or should not
have to meet the costs of an occupational license. A key example is where a person
is unemployed, in receipt of income support, and is seeking to obtain an occupational
license as a first step to securing a job. Consistent with the Committee’s view that
VET should be separated into education and training (if possible), funding in these
circumstances should not come from the education budget. Rather, funding should
be made available through other sources, such as the employment services system.
The Committee notes that Workforce Australia has a dedicated Employment Fund
which providers may use for items connected to increasing a person’s employability.
Occupational and other licenses (for example, driver licenses) are among the
permitted funding categories.

5.185 The Committee supports a national policy framework for micro-credentials. This
should be developed by the Australian Government in close consultation with Jobs
and Skills Australia, policy experts, and the VET and university sectors. Aside from
specifying the circumstances in which micro-credentials may be funded, a framework
should include a clear definition of a micro-credential for the purposes of funding and
recognition.

5.186 The Committee acknowledges that the Department of Education has published a
National Micro-credential Framework and is of the view that a broader national
framework could build on this document. A national policy framework should also aim
to leverage ongoing work to recognise skills and qualifications, such as the
Department of Education’s National Credentials Platform.

Recommendation 23

5.187 The Committee recommends that the Australian Government work with State
and Territory Governments, Jobs and Skills Australia, academic and policy
experts, and the vocational education and training (VET) and university sectors
to design and implement a national policy framework for micro-credentials,
including the following key elements:
• A clear definition of a ‘micro-credential’ to inform policy decisions.

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• A clear default principle that micro-credentials cannot be undertaken in lieu


of full qualifications and cannot, on their own, ‘stack’ into full qualifications.
• Clear guidance on the circumstances in which micro-credentials can be
recognised as credit towards full qualifications—for example where a
person is seeking to transition to another industry or return to the
workforce.
• Clear guidance on the circumstances in which government funding will be
available in relation to micro-credentials, including that:
o as a default principle, micro-credentials only receive Commonwealth
funding where they are portable and targeted to identified areas of skills
shortage, and where the student already possesses a full VET or
university qualification; and
o micro-credentials which relate to occupational licensing or other job-
specific requirements should typically be funded by the employer or the
individual, with exceptions made for people in financial hardship.

5.188 A skilled teaching workforce is a critical component of the VET sector. VET educators
are at the frontline of ensuring that students receive high quality, engaging training
that helps them meet changing skills needs, improve employment outcomes, and
contribute to Australia’s productivity. It is of significant concern that the sector—and
particularly TAFEs—has lost a sizeable portion of its teaching workforce and is
experiencing challenges attracting and retaining sufficient numbers of qualified staff.

5.189 A key driver of these challenges is that VET educators often have lower pay and less
attractive working conditions—including increasing reliance on part-time and casual
working arrangements. This makes it difficult for the sector to encourage experienced
tradespeople to move from industry into teaching, leads to unmanageable workloads
for teaching staff and to higher levels of staff turnover. Ultimately, current pay and
conditions for VET educators are leading to a devaluing of teaching positions and to
poor perceptions of the sector as a whole.

5.190 The Committee appreciates that improving pay and conditions for VET educators will
be a complex task and is likely to require significant inter-governmental efforts—
including to deliver broader reforms to VET funding. Stakeholders noted that
demand-driven funding arrangements are a key contributor to increasing levels of
uncertainty in the sector. Nevertheless, the Committee considers that work to
improve educators’ pay and conditions should be progressed as a matter of some
urgency. The Committee supports proposals such as providing additional, ring-
fenced funding to underpin a teaching workforce renewal strategy, including much
more attractive pay and conditions for educators and a program of continuing
professional development. The Committee considers that measures to enhance pay
and conditions for educators should commence with TAFEs, to rebuild the capacity of
public providers and ensure a robust public core to the sector.

5.191 As part of the measures to enhance pay and conditions, work should be done to
ensure that a career in the VET sector is attractive to people of all genders and

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backgrounds. This should include ensuring equity in remuneration and that leave
policies are inclusive and consistent with leading practice in comparable sectors.

5.192 The requirement to hold a TAE or a Diploma-level qualification in adult education,


and current requirements for ongoing professional development, are not aligned with
the lived realities of current and potential VET educators. It contributes to workforce
shortages in the sector—in particular shortages of educators with industry experience
and high-level qualifications in relevant fields. Accordingly, the Committee supports
exploring alternative entry pathways into VET teaching. This could form part of a
broader measures to give providers—starting with TAFEs—greater freedom over the
nature of the training they offer and how that training is delivered.

5.193 The Committee agrees that there should be a shift away from mandating the lowest
possible qualification for VET educators and towards building a world-leading VET
workforce. Measures to lift the overall quality of teaching within the VET sector
should be investigated, including supporting individuals with advanced and specialist
qualifications to enter the workforce and contribute to workforce development. It is
acknowledged that this may require changes to policy and legislation, for example, to
the regulations and underpinning policy setting out the standards for RTOs.
Educators must have clearly defined opportunities for career progression, and for
continued professional development to ensure up-to-date knowledge of the industry
for which they are preparing their students.

5.194 Measures to increase diversity and inclusion in the VET workforce should be
implemented. Such measures will be critical to enhancing the student experience and
to attracting historically under-represented cohorts into growth sectors. In addition to
measures such as competitive remuneration and more progressive leave policies,
the Committee supports including units on trauma-informed and intersectional
approaches to teaching in qualifications for VET educators such as the TAE. There
would be merit in ensuring that educators complete training in cultural competency
and address unconscious bias.

5.195 To the extent the TAE remains a ‘default’ entry pathway into the teaching workforce,
measures should be implemented to reduce the cost of obtaining the qualification—
up to and including full subsidies for participants. Programs such as ‘Pay to Learn’ in
NSW which allow skilled professionals to complete the TAE in a shorter timeframe
while earning a salary have considerable merit and may be used as viable models.

5.196 The Committee appreciates that many of the issues outlined above are likely to be
considered as part of the VET Workforce Blueprint and other measures sitting under
the new NSA (for example, TAFE Centres of Excellence), and considers that work on
the Blueprint should be expedited. The Committee makes several recommendations
for inclusion in the Blueprint as it is finalised, with a particular emphasis on lifting the
quality of VET educators, enhancing the capacity of the VET workforce to respond to
issues facing an increasingly diverse student cohort, and addressing barriers facing
women in the sector.

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Recommendation 24

5.197 The Committee recommends that the Australian Government expedite the
development and implementation of the vocational education and training
(VET) Workforce Blueprint, and ensure the Blueprint considers measures to:
• Lift pay and conditions for VET educators, including measures to reduce
short-term and casual contracts and make the sector attractive to trainers of
all genders and backgrounds. This should include consideration of ring-
fenced funding for Technical and Further Education (TAFE) to underpin
more competitive pay and conditions.
• Enable various entry pathways to the teaching workforce, including
pathways which encourage entrants with significant experience in industry
and with advanced qualifications. This should include exploring measures
to allow people who do not hold a specialised VET teaching qualification
such as the Certificate IV in Training and Assessment (TAE) enter the
teaching workforce.
• Reduce cost and red tape associated with completing the TAE. This should
include consideration of fully subsidising the TAE and of expanding fast-
track pathways such as the ‘Pay to Learn’ program.
• Ensure educators are able to provide a supportive learning environment for
students. This should include consideration of including units on culturally
competent and trauma-informed pedagogy in qualifications for VET
educators; and ensure that reliable, accurate data on the teaching
workforce is gathered to enable continuous improvement.
• Enhance the capacity and expertise of the VET workforce to apply an
intersectional lens and analysis across VET policies, programs, and
initiatives, with particular reference to barriers facing women.

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6. Operation and funding of VET
6.1 This chapter discusses the structure and governance of the vocational education and
training (VET) sector, including the mix of providers, regulation, student experience,
access to VET, and sector funding. It also considers measures to better align the
VET and higher education sectors.

Purpose and functions


6.2 The VET sector lacks a clearly defined purpose or structure. This was highlighted as
a potential reason for negative perceptions of VET and deficiencies in the operation
of the sector.

6.3 Professor Erica Smith emphasised the need to consider the true purpose of VET,
noting that VET in Australia is understood as the ‘handmaiden of industry’. According
to Professor Smith, this is a relatively recent idea, with VET historically understood as
having a social purpose. VET is understood as having both a social and economic
purpose in other countries. Professor Smith also observed that universities are often
perceived as equipping graduates with workplace skills and delivering a more
generalised, person-centred education.1

6.4 Women in Adult and Vocational Education (WAVE) noted that the contemporary VET
sector is highly complex and widely dispersed. WAVE recommended that the
Australian Government clearly define the VET sector, including its purpose and social
and economic benefits. WAVE also recommended that government highlight key
access points and learning pathways across all education sectors.2

6.5 Dr Phillip Rutherford stated that there is no clearly defined VET system. While there
are many individual parts and links, few are connected, and none are joined in a
common purpose with clear objectives. Dr Rutherford indicated that a functioning
VET sector should include:
• A clearly defined vision for VET from which the development of policies and key
products (for example, Training Packages) proceed.
• A single authority responsible for the development of a vision and purpose for the
VET sector, and for the development of overarching policy.3

6.6 A core element of the new National Skills Agreement (NSA) is embedding shared
stewardship in the VET sector. This effort is to be led by the Skills and Workforce

1 Professor Erica Smith, private capacity, Committee Hansard, 3 May 2023, p. 11.
2 Women in Adult and Vocational Education (WAVE), Submission 70, p. 22.
3 Dr Phillip Rutherford, Submission 4, pages 5–7, 15.

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Ministerial Council. The Department of Employment and Workplace Relations
(DEWR) stated that the new stewardship model will:
… replace a more transactional, and too often adversarial, approach to funding
and delivery that has existed in the skills sector … [and] ensure the funding
available under the [NSA] is used to achieve the best possible outcomes based
on collaboration, agreed targets and priorities and an evidence-based approach
to drive continuous improvement.4

Provider market
6.7 VET is currently delivered by more than 3,500 providers, comprising a mix of public,
private, and community-led organisations.

6.8 The sheer number of providers means that regulation and audit can be challenging,
and poor behaviour may not be effectively addressed. Finding reliable information on
individual providers and course offerings is also challenging for prospective students,
employers, and other stakeholders.5

6.9 The National Youth Commission Australia (NYCA) indicated that marketisation of the
VET sector and contestable funding arrangements have led to a decline in the quality
of training and poor perceptions of VET.6 The Motor Trades Association of Australia
(MTAA) similarly noted that contestable, demand-driven markets reward large-scale,
low-cost training delivery which is not conducive to a high-quality workforce or the
provision of modern facilities or training materials.7

6.10 Monash University highlighted an influx of providers and an erosion of skills training,
stating that this has led to a perception of lowered standards.8 NYCA expressed
similar views, stating:
The poorly regulated market allowed the participation of private and non-profit
VET providers with little to no experience in education and training. Researchers
have described the actions of some VET providers as malfeasance—using
incentives for enrolment provided to people with little likelihood of benefiting from
the program … With enhanced funding and better regulation, it will take a long
time to repair the reputational damage that I think has been done through this
period of full competition.9

4 Department of Employment and Workplace Relations (DEWR), Stewardship in the National Skills
Agreement, 17 October 2023.
5 See, eg, Mr Simon Walker, Managing Director, National Centre for Vocational Education Research
(NCVER), Committee Hansard, 16 May 2023, p. 4; Mr Chrisopher Watts, Senior Policy Advisor, Australian
Council of Trade Unions (ACTU), Committee Hansard, 29 March 2023, p. 12; Ms Salwa Kilzi, Vocational
Education Officer, National Union of Students (NUS), Committee Hansard, 26 April 2023, p. 14.
6 National Youth Commission Australia (NYCA), Submission 19, p. [6].
7 Motor Trades Association of Australia (MTAA), Submission 38, p. 13.
8 Monash University, Submission 83, p. 6.
9 Mr Keith Waters, CEO, NYCA, Committee Hansard, 14 August 2023, pages 1–2

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6.11 By contrast, the Independent Tertiary Education Council (ITECA) asserted that the
idea of an ‘explosion’ in the number of registered training organisations (RTOs) is
untrue, noting that the overall number of RTOs has declined in recent years.10

6.12 ITECA also stated that independent providers support the majority of students in the
VET sector (87.1 per cent of students in 2021) and deliver the majority of longer-term
and advanced qualifications (70.9 per cent of Diplomas and 69.4 per cent of
Certificate IV qualifications in 2021). According to ITECA, employers are more
satisfied with private sector providers than with technical and further education
(TAFE institutes), including in terms of flexibility, relevance of training, and price.
However, private providers still receive a small proportion of government funding
(22.9 per cent of funding in 2021).11

6.13 Notwithstanding this focus on the benefits delivered by private sector and industry
RTOs, ITECA called for ‘agnostic’ funding arrangements for the sector which give
priority to student choice over whether a provider is public or private.12

6.14 DEWR stated that independent RTOs predominantly deliver short, high-volume
training such as first aid or responsible service of alcohol (RSA), undertaken on an
exclusively fee-for-service basis. DEWR noted that 90 per cent of TAFE students
undertake a program of study rather than subject-only training.13

6.15 TAFE Directors Australia called for a move from an open market approach to focus
on a small number of high-quality RTOs working alongside public training providers.
It stated that funding for VET must recognise but clearly differentiate between
smaller, specialised providers who deliver shorter, competency-based courses and
larger public institutions which deliver full qualifications.14

6.16 Jobs and Skills Australia (JSA) indicated that it may be possible to begin categorising
providers, courses, and qualifications into ‘education’ (longer-term qualifications) and
‘training’ (shorter, more targeted courses focused on industry need), stating:
[G]eneralists … might be providing accredited training at the full qualification. We
put public providers in that category … There are also some mixed private
training providers that have private and public sources of funding. So that's one
bucket. There's a second bucket that we call 'program specialists', which are
businesses that provide RSA and that kind of highly targeted training. And then
there are industry specialists, where providers provide training just for an industry
grouping. There's a third category, which we're calling 'cohort specific', which
targets a particular group, including enterprise providers, so a business can be a
registered training provider and provide training to their own staff, and industry
associations that might be training staff on behalf of the whole sector; schools,

10 Mr Troy Williams, CEO, Policy and Research, Independent Tertiary Education Council Australia (ITECA),
Committee Hansard, 24 May 2023, p. 11.
11 ITECA, Submission 85, pages 12–13, 24.
12 ITECA, Submission 85, pages 13, 15, 17, 19, 21, 23, 28, 34, 38.
13 Ms Anna Faithful, Deputy Secretary, Skills and Training, DEWR, Committee Hansard, 21 June 2023, p. 2.
14 Ms Jenny Dodd, CEO, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 5.

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VET and school students; Indigenous specialists; and international specialists
that are just focused on international students.15

6.17 Independent Higher Education Australia (IHEA) called for partnerships between high-
quality TAFEs and quality independent VET providers to scale benefits associated
with the burgeoning opportunities across the sector.16

6.18 Newbery Consulting (Newbery) noted that there are a variety of different employers
across a range of industries, and that meeting the needs of these employers requires
a diverse VET ecosystem—with every VET provider having a role to play:
• TAFE is strong at servicing the traineeship and apprenticeship market.
• Community colleges provide training in support of community needs and interests.
• Private RTOs deliver traineeships and apprenticeships, and short courses in
support of industry and most often in the workplace.
• Enterprise providers deliver training directly to their own workforce.17

6.19 Newbery asserted there is little difference in terms of service quality and levels of
non-compliance between public and private providers, and suggested that universal
terminology be adopted (for example, ‘VET providers’ or ‘RTOs’) to avoid perceptions
that TAFE is inherently superior.18 By contrast, the Australian Education Union (AEU)
stated that when universal terminology is adopted, TAFEs are implicated in
reputational damage caused by less reputable for-profit entities.19

TAFEs and public sector providers


6.20 Several stakeholders highlighted the benefits of TAFE and indicated that addressing
negative perceptions of VET will require greater investment in public provision. The
Committee heard that the TAFE brand is trusted, and greater investment in the TAFE
system will ensure a strong public core to the VET sector.20

6.21 The Government of South Australia (SA Government) stated that TAFEs can play a
leadership role in enhancing perceptions of the sector, arguing that lifting the status
and capability of TAFE is central to lifting the status of the VET sector as a whole.
According to the SA Government, there is an opportunity to consider the central role
of TAFE through a new long-term NSA.21

15 Mr David Turvey, First Assistant Secretary, Jobs and Skills Australia (JSA), Committee Hansard,
21 June 2023, p. 3.
16 Independent Higher Education Australia (IHEA), Submission 8, p. [7].
17 Newbery Consulting (Newbery), Submission 16, p. 28.
18 Newbery, Submission 16, pages 18–19.
19 Ms Maxine Sharkey, Federal TAFE Secretary, Australian Education Union (AEU), Committee Hansard,
26 April 2023, p. 23.
20 See, eg, NSW Department of Education, TAFE NSW, and NSW Education Standards Authority (NSW
Department of Education et al), Submission 77, p. 15; Ms Dodd, TAFE Directors Australia, Committee
Hansard, 29 March 2023, p. 3.
21 Government of South Australia (SA Government), Submission 12, p. 5.

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6.22 DEWR stated that TAFEs support more students from disadvantaged cohorts than
private sector providers, highlighting data from the National Centre for Vocational
Education Research (NCVER). The data shows that, in 2021:
• 6.0 per cent of students at TAFE identified as First Nations, compared with 3.0 per
cent of students at private providers.
• 8.0 per cent of students at TAFE identified as people with disability, compared
with 3.0 per cent of students at private providers.
• 20 per cent of students at TAFE belonged to the most disadvantaged socio-
economic quintile, compared with 16 per cent of students at private providers.
• 1.0 per cent of students at TAFE were from very remote areas, compared with 0.7
per cent of students at private providers.22

6.23 The Queensland Nurses and Midwives’ Union (QNMU) observed that TAFE plays a
significant role in providing and coordinating training. This coordinating role provides
short- and long-term contributions to society and to the economy in the delivery of
services. Moreover, TAFE plays a key role in providing training in regional, rural, and
remote areas where it is less viable to deliver services.23

6.24 Public provision of VET can also be critical to certain industries. The Australian
Nursing and Midwifery Federation (ANMF) noted that TAFEs are central to nursing,
midwifery, and aged care. The ANMF raised concern that private providers do not
offer courses that are relevant to this sector or are of a sufficiently high standard.24

6.25 The NYCA observed that underinvestment in TAFE has reduced the capacity of the
public system to keep up with technological development, maintain teachers’ skills
and knowledge, and ensure that VET delivers for industry. The NYCA recommended
that all levels of government significantly increase funding for TAFE, stating that an
adequately funded public system will enhance the overall quality of VET by forcing
private providers to improve the training they offer.25

6.26 The Australian Council of Trade Unions (ACTU) asserted that while TAFE was once
the ‘jewel in the crown’ of VET, after decades of funding cuts and deregulation this is
no longer the case. TAFE has lost thousands of teaching jobs over the past 10 years,
and funding cuts have left the workforce under increased pressure. Many TAFEs
have been forced to reduce their course offerings if they have not closed altogether,
and there has not been sufficient investment in facilities and equipment. The ACTU
called for greater, guaranteed funding for TAFEs—with TAFEs receiving 70 per cent
of all public expenditure—and for a $3 billion fund to support capital improvements.26

22 Ms Faithful, DEWR, Committee Hansard, 21 June 2023, p. 2.


23 Queensland Nurses and Midwives’ Union (QNMU), Submission 26, p. 5.
24 Ms Annie Butler, Federal Secretary, Australian Nursing and Midwifery Federation (ANMF), Committee
Hansard, 26 April 2023, p. 8.
25 NYCA, Submission 19, p. [7].
26 ACTU, Submission 69, pages 3–4, 8–9.

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6.27 Master Electricians Australia (MEA) stated that while TAFE has good branding and is
geographically dispersed, it must move away from a ‘bricks and mortar’ approach to
training to deliver more flexible options to employers.27

6.28 Stakeholders indicated that rebuilding the TAFE system is a priority for at least some
jurisdictions. The SA Government observed that work is ongoing to rebuild TAFE SA.
This includes restoring courses in areas such as disability and early childhood
education and care, building new infrastructure, introducing fee-free TAFE in
partnership with the Commonwealth Government, and supporting regular positive
media attention on and promoting the TAFE system.28

Private sector providers


6.29 In contrast, some stakeholders indicated that private RTOs offer a higher quality of
education, a greater diversity of courses than TAFEs, and deliver the ‘niche’ courses
which respond to industry need.29

6.30 ITECA stated that private RTOs have higher levels of student satisfaction, higher
completion rates, and higher rates of post-study employment than public institutions.
Furthermore, enterprise RTOs (RTOs within businesses which deliver training solely
to the business’ staff) specialise in specific areas and will accordingly have links with
local employers and staff that specialise in specific disciplines.30

6.31 Katrina’s School of Hair and Beauty noted that those who have been trained by a
private RTO tend to display the greatest level of skills and competence.31

6.32 The MTAA stated that industry RTOs and group training organisations (GTOs) are
instrumental in securing employment opportunities for students and helping establish
a skilled labour pool for employers. Moreover, industry RTOs and GTOs offer the
flexible, tailored training programs that are increasingly preferred by SMEs and have
higher student retention rates than TAFEs. The MTAA recommended an increase in
funding for industry-based, non-profit RTOs and GTOs that demonstrate high rates of
student placement and retention.32

6.33 The Community Media Training Organisation (CMTO) called for greater recognition
of specialised enterprise RTOs set up by industry for industry. It noted that its own
model ensures industry has a deep interest in and ownership of the way training is

27 Master Electricians Australia (MEA), Submission 5, p. 9.


28 SA Government, Submission 12, p. 4.
29 See, eg, Training Tailor Made, Submission 14, p. [1]; National Electrician and Communications Association
(NECA), Submission 17, p. 6; Mr Paul Pellier, Submission 3, p. [1]; Mr Chris Lehmann, National Advocacy
Manager, MEA, Committee Hansard, 19 April 2023, p. 12.
30 Mr Williams, ITECA, Committee Hansard, 24 May 2023, pages 11–12.
31 Ms Kira McKenna, Principal, Katrina’s School of Hair and Beauty, Committee Hansard, 17 July 2023,
pages 2–3.
32 MTAA, Submission 38, p. 11.

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developed and delivered to meet the needs of a rapidly evolving industry.33 This view
was echoed by the National Fire Industry Association, who stated:
Aside from the 90 per cent completion rate, the key benefit [of industry RTOs] is
the connection between the employer end of the industry and the training side.
Employer and employee representatives are equal partners in the delivery of
training, ensuring that training is directly relevant to industry needs.34

6.34 However, other stakeholders expressed negative views about private VET providers.
For example, the ACTU stated that private sector providers:
• Are largely if not solely concerned with maximising profits and are not concerned
with delivering high quality training.
• Often rely on casual workers and fail to provide adequate pay and conditions.
• Operate proprietary training models, under which they receive public funding for
training which is not available to the public but is delivered to a single employer.
The employer may see the private RTO as a conduit to public money.35

6.35 The Australasian Vocational Education and Training Research Association stated
that a proliferation of for-profit providers in the marketised VET system contributes to
lower perceptions of VET. It argued that one way to raise the status of VET is to
change current funding models and ensure VET is funded as an educational sector—
using similar approaches to those in schools and universities.36

6.36 The National Union of students (NUS) similarly asserted that for-profit motives in
tertiary education led to poor student outcomes as RTOs offer low-cost training to
compete with the public sector. It expressed concern with the corporatisation of VET
and increased reliance on private RTOs.37

Sector regulation
6.37 Regulation in the VET sector is led by the Australian Skills Quality Authority (ASQA).
Responsibility is shared with the Victorian Registration and Qualification Authority
and with Western Australian (WA) Training and Accreditation Council in Victoria and
WA jurisdictions, and the Tertiary Education Quality and Standards Agency (TEQSA)
in relation to dual sector providers. ASQA is responsible for—among other matters—
the registration of providers, the conduct of compliance and audit activities, and the
accreditation of VET courses.

6.38 The Committee received limited evidence on the regulation of the sector. However, a
common theme was that ASQA’s approach to regulation is prescriptive, and RTOs

33 Community Media Training Organisation (CMTO), Submission 45, p. [7].


34 National Fire Industry Association, Submission 30, p. [6]
35 ACTU, Submission 69, pages 4–5.
36 Australasian Vocational Education and Training Research Association (AVETRA), Submission 52, p. 4.
37 NUS, Submission 91, p. [2].

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are subject to duplicative and burdensome audits. This was a particular concern for
RTOs regulated at both the federal and state levels and for dual-sector providers.38

6.39 The Australian Digital and Telecommunications Industry Association (ADTIA) noted
that RTOs are often driven by compliance with ASQA standards and stated that this
comes at the expense of service quality and student outcomes. ADTIA called for
ASQA to work with industries to ensure audits are undertaken under a system that
helps RTOs achieve continuous improvement.39 These views were broadly echoed
by RMIT University (RMIT), who stated:
Regulatory arrangements need to have more of a holistic approach and auditing
needs to allow for more interpretation of requirements in a process-driven fashion
more in line with the way ISO auditing works. Contract compliance auditing also
doesn’t necessarily focus on quality outcomes and can become an exercise in
ensuring that documents are written in are particular fashion and ticking boxes
(particularly in relation to assessments) rather than focusing on the student
experience and educational outcomes.40

6.40 RMIT advised that a ‘one-size-fits-all’ approach to compliance with obligations is not
fit for purpose and is a legacy of a system which enabled the misuse of public funds
at the expense of students. RMIT stated that there is an opportunity to consider
separate public providers (TAFEs and large dual-sector providers) for which
administrative and compliance obligations could be reduced—with a view to building
confidence in public provision.41

6.41 IHEA noted that dual sector providers are regulated by both ASQA and TEQSA and
stated that this contributes to confusion and regulatory duplication—exacerbated by
the fact that regulators operate in unnecessary silos. IHEA called for service-level
agreements to be established around ASQA’s key functions and for consideration of
streamlining registration for dual-sector providers. According to IHEA, the greatest
benefit would be realised via merging ASQA and TESQA.42

6.42 Mr Brett Hilder—a private business owner—expressed strong concern about ASQA’s
activity in the sector, stating that the regulator:
… has a deserved reputation as a bullying, bureaucratic institution which
invariably imposes the most damaging sanctions at its disposal on … private
RTOs [which are small and medium enterprises (SMEs)]. It does not understand
what compliance looks like, and never has.43

38 See, eg, IHEA, Submission 8, p. [6]; CMTO, Submission 45, p. [7]; The DaV’ange Group, Submission 99,
p. 8.
39 Australian Digital and Telecommunications Industry Association (ADTIA), Submission 88, p. [9].
40 RMIT University (RMIT), Submission 67, p. [2].
41 RMIT, Submission 67, pages [2–3].
42 IHEA, Submission 8, pages [6–8].
43 Mr Brett Hilder, Submission 65, p. 2.

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6.43 Mr Hilder asserted that ASQA is to blame for the ‘woeful delays’ in even modest
updates to units and qualifications on which RTOs rely and is ultimately ‘the single
biggest driver of mediocrity and delays in responding to changing industry needs’.44

6.44 The Australian Industry Group Centre for Education and Training (AiGroup) observed
that while ASQA’s strong focus on compliance is necessary, over time the regulator
should re-prioritise its regulatory agenda to focus on lifting the actual and perceived
quality outcomes of the VET system. This should provide an impetus for RTOs to
change their priorities and focus less on compliance and more on quality. The
AiGroup indicated that TESQA’s approach to regulation could be used as a model,
noting that TESQA has always had a strong focus on the quality of programs in the
university sector.45

6.45 The ACTU asserted that ASQA’s recent move toward self-assurance for RTOs has
made noncompliance easier for bad actors. It argued that existing regulatory settings
may make it easier for RTOs to issue certificates that leave trainees ill-prepared for
industry work. The ACTU claimed:
[L]ittle is being done to ensure that certificates match industry experience or that
assessment requirements (which RTOs draft themselves) correspond to clear
industry pathways and career development. A hands-off approach to ensuring
quality certificates is hardly consistent with a public perception of a world-class
TAFE system.46

6.46 The ACTU stated that the solution to this issue is for ASQA to move away from the
risk management and self-assurance model that it has adopted, and towards more
active regulation of the sector.47

6.47 Concerns about ASQA’s regulatory performance were raised in the 2019 expert
review of the VET system (Joyce Review). The review recommended measures to
strengthen ASQA’s capacity to provide education and guidance to the sector, to
expand ASQA’s auditing role to include ranking providers on their training offerings
and governance arrangements, and to reduce duplication and minimise reporting
burdens for RTOs.48

44 Mr Brett Hilder, Submission 65, p. 2.


45 Australian Industry Group Centre for Education and Training (AiGroup), Submission 47, p. 10.
46 ACTU, Submission 87, p. 5.
47 ACTU, Submission 87, p. 9.
48 The Honourable Stephen Joyce, Strengthening Skills: Expert Review of Australia’s Vocational Education and
Training System, 2 April 2019, pages 38–43.

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Enhancing the VET experience
Student support and representation
6.48 Several stakeholders noted a lack of effective, consistent support and pastoral care
for students on VET campuses for both public and private providers, stating that this
can negatively impact experiences and perceptions of the sector.49

6.49 The NUS noted that prospective VET students—particularly those exiting secondary
education—consider the services and lifestyle offerings of institutions when making
pathway choices. It asserted that one way of enhancing perceptions of VET would be
to increase student representation:
Students need to have a say on—to be able to directly influence—the way their
courses are run and the way TAFE and institutions are structured, and also on
how their apprenticeships and practicals are run … As we know, there are
hundreds of thousands of new TAFE students, but they do not have the same
representation as university students do.50

6.50 The NUS called on government to prioritise funding for student representation on
VET campuses and to establish the same facilities and programs found on university
campuses—for example clubs, societies, and student collectives, food banks, legal
services, counselling, health services, and childcare. The NUS also asserted that
there would be merit in establishing a national complaints body for VET, empowered
to act against RTOs where complaints are made.51

6.51 TAFE Directors Australia observed that wrap-around services are particularly valued
in the context of Fee-Free TAFE offered by the Victorian Government. These
services—which include literacy and numeracy skills—allow TAFE educators to
engage more effectively with students with higher needs who may have been unable
to access VET under standard funding arrangements.52

6.52 Professor Robin Shreeve expressed concern that VET institutions have inadequate
social, recreational, and sport facilities compared with universities, and few provide
access to counselling, information, guidance, and formal mentoring.53

6.53 The Committee heard there would be value in implementing greater support for
students completing certain qualifications. The Queensland Alliance for Mental
Health (QAMH) stated that extra support is needed for the emerging mental health
peer workforce, which will be an increasingly large part of the mental health system.
One means of supporting this future workforce is to invest in peer mentoring

49 See, eg, Mr Walker, NCVER, Committee Hansard, 16 May 2023, p. 4; Ms Yasmine King, CEO, SkillsIQ,
Committee Hansard, 16 May 2023, p. 5, p. 7.
50 Ms Kilzi, NUS, Committee Hansard, 26 April 2023, pages 11–12.
51 NUS, Submission 90, pages [3–4]. See also Ms Kilzi, NUS, Committee Hansard, 26 April 2023, p. 14.
52 Ms Jenny Dodd, CEO, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 3.
53 Professor Robin Shreeve, Submission 1, p. [3].

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programs. The QAMH identified the Peer Workforce Student Mentoring Program
delivered on two campuses in Queensland as ‘overwhelmingly successful’ in terms of
encouraging students supported by peer mentors to continue their studies.54

6.54 Stakeholders indicated that careers guidance should not end at the end of secondary
schooling and called for quality careers and training support on VET and university
campuses, as well as access to more careers support for the public.55 The Australian
Centre for Career Education (ACCE) asserted that VET courses should have a
career education component, and that there should be career guidance available for
all people across university and TAFE settings. The ACCE stated:
[S]tudents need to have access [to careers information] to know that they're
making the right choices and those courses are right for them, and that the
courses will actually deliver work. I think a lot of students are promised, 'You'll get
a job once you've got this course,' and that's not necessarily the case. In some of
the VET sporting courses, students seem to think they're going to get a job there,
and that's not the case. In that instance, a student's made an incorrect
assumption about following that path.56

6.55 The University of Technology Sydney (UTS) advised that the New South Wales
(NSW) Government has established Careers NSW to provide lifelong information,
advice, and professional guidance for all NSW residents at any stage of their career.
UTS indicated that the Commonwealth may wish to consider a similar approach at
the national level.57

6.56 Skills Impact noted that the VET ecosystem is necessarily complex and cautioned
against implementing solutions to reduce complexity without considering local need:
While departments, agencies and careers advisors continue to look for simplified
solutions, stakeholders including employers, learners, and parents, are looking
for much greater detail that specifically relates to jobs and future potential. This
includes the nature of skills required because while some occupations may look
attractive to a wide range of learners, learners may have specific weaknesses
that don’t allow them to develop the full range of required skills and become non
completers by necessity. They are not suited physically, temperamentally,
culturally, or intellectually for the job role they started learning.58

6.57 SkillsIQ observed that there is little assessment conducted by training providers as to
whether a person is suitable for a course, with the focus being on delivering training
which will lead directly to employment. SkillsIQ indicated that while a focus on career

54 Queensland Alliance for Mental Health (QAMH), Submission 35, p. 12.


55 See, eg, Master Builders Australia (MBA), Submission 71, p. 12; Ms Kilzi, NUS, Committee Hansard,
26 April 2023, p. 14.
56 Ms Penne Dawe, CEO, Australian Centre for Career Education (ACCE), Committee Hansard, 16 May 2023,
p. 14.
57 University of Technology Sydney (UTS), Submission 46, p. 2. See also AiGroup, Submission 47, p. 5.
Improving advice and information around VET—including the role of the NCI—is discussed in Chapter 3.
58 Skills Impact, Submission 13, p. [5].

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pathways should remain, the lack of engagement with students around their needs
and expectations leads to students leaving courses part way through.59

6.58 TAFE NSW asserted that a key determinant of whether a student will complete their
qualification is whether they understand and are prepared to undertake the training at
their point of entry. In relation to Fee-Free TAFE, TAFE NSW stated:
Nursing is free, but it's a big deal to go and study a Diploma in nursing and to
understand what it means to be in that clinical environment and to deal with
people, so we're doing much more work at the front end to understand what
learners want to get out of learning, their career aspirations and the preparatory
work for the learning experience so that the pain points of the first assessment,
the first practical and studying for a couple of years are managed upfront. That
starts to impact completions.60

6.59 The Committee heard that there would be merit in ensuring that prospective VET
students are aware of core skills required for work in specific sectors and can self-
assess whether that work would align with their skills, aptitude, and aspirations. The
QAMH highlighted the benefit of:
• Identifying and clearly communicating the core skills and attitudinal factors for
‘best fit’ workers in the Community Mental Health and Wellbeing sector.
• Developing an online tool for potential workers to self-assess their suitability to
work in the sector as a key first step in a person’s career pathway.

On-campus facilities
6.60 Stakeholders emphasised that a functioning VET system requires up-to-date facilities
to support students and enable quality outcomes and raised concern that many VET
campuses—particularly TAFEs—lack modern amenities. The Committee heard that
this may be driven by historic and ongoing funding issues.

6.61 Two third-year apprentices representing the Electrical Trades Union of Australia
(ETUA) told the Committee that there is a lack of infrastructure and up-to-date
equipment on VET campuses.61 One stated:
Even on my campus at CIT in Canberra, we've literally got not enough equipment
and the equipment that we have is old and broken ... [W]e're looking to electrify
Canberra completely by renewables in a very short amount of time, and

59 Ms King, SkillsIQ, Committee Hansard, 16 May 2023, p. 7.


60 Mrs Janet Schorer, Chief Delivery Officer, TAFE NSW, Committee Hansard, 16 August 2023, p. 7.
Mrs Schorer also drew attention to the need for greater wrap-around support for students—particularly in
relation to mental health.
61 See Ms Jessie Caisley, National Policy Officer, Electrical Trades Union of Australia (ETUA), Committee
Hansard, 31 May 2023, p. 8; Mr Regan Agar, National Policy Officer, ETUA, Committee Hansard,
31 May 2023, p. 9.

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realistically there's no opportunity for the apprentices who are going to be the
tradies doing this work to actually learn it.62

6.62 The NSW Department of Education, TAFE NSW, and the NSW Education Standards
Authority (NSW Department of Education et al) stated that the VET sector is
constrained by a lack of resources, trainers and assessors with sector-relevant skills,
training facilities, and modern equipment. Commonwealth investment in facilities and
modern equipment for all providers will enable RTOs and other providers in local
communities to provide quality training that supports local jobs and economic
development.63

Access to VET
6.63 Several stakeholders indicated that steps should be taken to increase access to VET
for all Australians. A particular focus was supporting learners from regional, rural, and
remote areas.64

6.64 The Victorian Chamber of Commerce and Industry (VCCI) noted that students in
regional and remote areas are more likely to undertake lower-level qualifications than
their metropolitan counterparts. This is despite regional industries relying heavily on
VET-trained workers. Barriers to access to VET include funding, class sizes, access
to teaching and learning resources, and overall difficulties in achieving economies of
scale.65 Concerns relating to economies of scale were echoed by the NUS:
[T]he demand-driven structure just doesn't work effectively for TAFE, especially
in regional campuses … [W]hen I was initially studying my Certificate IV at
Bathurst TAFE, it was a bit of a struggle to get people into the role. I didn't know
until a week before the course started that there were enough students in there,
so I didn't have much time to prepare and effectively move around work to study.
Demand-driven structures should be changed, especially for regional and rural
students who don't have access to those large TAFE institutions that inner-city
campuses do.66

6.65 The National Australian Apprenticeships Association (NAAA) noted that according to
AASN providers, the greatest predictor of success of a training contract is how far
training is conducted from where the apprentice lives. This is a key challenge for
apprentices in rural, regional, and remote areas.67

6.66 The NAAA indicated that the consolidation that occurred as a factor of changing
funding environments and opening of the contestable training market has led to

62 Mr Agar, ETUA, Committee Hansard, 31 May 2023, p. 9.


63 NSW Department of Education et al, Submission 77, p. 15.
64 See, for example, Professor Smith, Submission 72, pages 2–3; Ms Kilzi, NUS, Committee Hansard,
26 April 2023, pages 11, 13.
65 Victorian Chamber of Commerce and Industry (VCCI), Submission 80, p. [9].
66 Ms Bailey Riley, President, NUS, Committee Hansard, 26 April 2023, p. 15.
67 National Australian Apprenticeships Association (NAAA), Submission 60, pages 5–6.

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apprentices in rural, regional, and remote areas being required to travel significant
distances. The NAAA stated:
[W]e will be developing … recommendations about how the Commonwealth
could better support apprentices who do need to travel long distances. There's
moderate complexity in that. Sometimes they're catching public transport across
a city, but in the bush people are travelling long distances in their own car. And
there's the whole block release thing. There could be a suite of supports for
apprentices that cover their actual costs, as long as we can do it in a way that's
administratively easy enough for everybody to deal with.68

6.67 Catholic Education Western Australia Limited (CEWA) highlighted the ‘vastness’ of
WA and associated challenges for access to VET. It noted that the availability of
training is typically driven by local industry rather than student choice. CEWA advised
that access can be constrained by lecturer availability and few opportunities for work
placements within regional and remote areas. Teachers with the qualifications to
deliver VET in Trade Training Centres in remote areas are also difficult to source.69

6.68 The Isolated Children’s Parents Association of Western Australia (ICPAWA) similarly
noted that distance is a particular challenge for students in WA and suggested the
Commonwealth could provide additional funding or coordinating support to assist
these cohorts.70

6.69 The ANMF observed that in the midwifery sector there is little alignment between
workforce and skills needs and locations of courses and providers, and that there is
currently no midwifery program in Tasmania. The ANMH stated that this leads to
people moving to the mainland to study—often not returning, asserting that work
must be done to assess skills shortages and enable better distribution of providers
across the country.71

6.70 Stakeholders highlighted challenges faced by current and prospective students with
disability.72 Jigsaw stated that it has not been easy to identify VET partners who can
provide tailored support for people with disability. According to Jigsaw, traditional
classroom learning and examination models, ratios of support, employer supports,
and timeframes to outcomes in VET can be barriers to engaging with VET pathways
for students with disability. Jigsaw recommended consideration be given to including
flexible and person-centred approaches in the VET system, including by providers
working with people with disability and disability specialists to develop and implement
tailored VET pathways.73

68 Mr Ben Bardon, CEO, NAAA, Committee Hansard, 19 April 2023, pages 17–18.
69 Catholic Education Western Australia Limited (CEWA), Submission 27, p. [2].
70 Mrs Kym Ross, State Councillor, Isolated Children’s Parents Association of Western Australia (ICPAWA),
Committee Hansard, 14 August 2023, p. 5.
71 Ms Butler, ANMF, Committee Hansard, 26 April 2023, pages 8–9.
72 See, eg, Ms Kilzi, NUS, Committee Hansard, 26 April 2023, p. 11.
73 Jigsaw Australia, Submission 78, pages [3–4].

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6.71 The Australian Disability Clearinghouse on Education and Training (ADCET) stated
that there are several perceived and real assumptions as to the ability of VET
providers to support students with disability, including:
• Lack of disability awareness and responsiveness within the VET workforce.
• Lack of attention to structural barriers such as physical and digital environments.
• Lack of inclusive learning and teaching strategies that embrace inclusive practice.
• Over-reliance on reasonable adjustments as a means of addressing the needs of
individuals rather than a systemic approach.
• Limited understanding of legislative obligations under the Disability Discrimination
Act 1992 (DDA) and the Disability Standards for Education 2005 (DSE), with no
mechanisms to address compliance.
• Poor cultures of inclusion which attract people with disability and foster success
across the learning lifecycle.74

6.72 According to the ADCET, at least some of these issues might be addressed through
the following measures:
• Requiring organisations with more than 100 employees to report on strategies to
improve access and outcomes for people with disability, using a similar model to
the gender equity reporting managed by the Workplace Gender Equity Agency.
Organisations could also be mandated to have a current Disability Inclusion
Action Plan (DIAP) registered with the Australian Human Rights Commission’s
DIAP register and report regularly on outcomes.
• More explicit compliance on disability could be managed through ASQA, noting
that at present there is little or no focus on strategies to support people with
disability in VET and no reference to prioritising disability in ASQA’s priorities.
• A review of funding arrangements in the VET sector to ensure that providers are
receiving sufficient funding to support students with disability.
• A grants scheme to assist with key accessibility and inclusion issues such as ICT
procurement and the transformation of learning.75

6.73 The VCCI asserted that funding for students with disability in VET does not align with
the apparent desire to increase this cohort’s participation. In Victoria, VET students
with disability cannot access the Program for Students with Disability (PSD) which
provides funding for government schools to support students with disability and high
needs. This is notwithstanding that most VET providers can accommodate the
learning needs of students with disability.76

74 Australian Disability Clearinghouse on Education and Training (ADCET), Submission 64, p. 5.


75 ADCET, Submission 64, p. 7, p. 15.
76 VCCI, Submission 80, p. [9]. See also Victorian Government, Program for Students with Disabilities
guidelines, https://www.education.vic.gov.au/school/teachers/learningneeds/Pages/psdhandbook.aspx,
viewed 5 February 2024.

153
6.74 Access to VET for migrants and people from culturally and linguistically diverse
(CALD) backgrounds was also highlighted. The Equal Opportunity Commission of
Western Australia (EOC-WA) raised concern at the lack of comprehensive support
for refugee and migrant communities in the areas of mental health, disability, and
domestic violence. This lack of support can exacerbate barriers to successful social
and economic participation. According to the EOC-WA, while all jurisdictions provide
some support to refugee and migrant communities to pursue VET pathways, support
is inconsistent. The EOC-WA recommended affirmative support to enable equality of
access to fee-free VET for refugee, migrant, and asylum seeker communities.77

6.75 The EOC-WA asserted that recognition of prior learning (RPL) is critical for members
of refugee and migrant communities to make sound choices about appropriate VET
and higher education courses to meet industry needs. RPL is also needed to ensure
migrants are employed in roles that make use of their skills and qualifications.78

Funding
6.76 A key issue for several stakeholders was that the VET sector is systemically under-
funded and not funded to the same level as university. This has impacted negatively
on the sector’s ability to deliver quality education and training that aligns with industry
needs and on perceptions of VET among prospective students and the wider public.
Stakeholders called for VET funding to be increased and better allocated, noting that
the new NSA is an opportunity to establish a long-term funding solution for VET that
delivers growth and certainty.79

6.77 The ACTU stated that VET has not only dealt with ‘regular and dramatic’ funding cuts
but has been funded as if it were a second-class system. It highlighted that VET
receives $10.5 billion per year compared with $30 billion per year for universities.
This is despite the fact that in 2021 the VET sector serviced 4.3 million students while
universities serviced 1.3 million students. The ACTU called for a national inquiry into
funding for TAFE and VET to establish an adequate funding rate, with the aim of
making funding for VET commensurate with funding for other education sectors.80

6.78 The Australian Government has announced that it has committed to at least 70 per
cent of Commonwealth VET funding going to the TAFE sector and has sought
agreement from State and Territory Governments on this commitment.81 This is

77 Equal Opportunity Commission of Western Australia (EOC-WA), Submission 32, p. [1].


78 EOC-WA, Submission 32, p. [2].
79 See, eg, Skills Impact, Submission 13, p. [3]; MTAA, Submission 38, pages 11–12; Australian Chamber of
Commerce and Industry (ACCI), Submission 43, pages 8–9; AVETRA, Submission 52, p. 4; Professor Smith,
Submission 72, pages 1–2; VCCI, Submission 80, p. [7]; Professor Shreeve, Submission 1, p. [1]; Mr
Bardon, NAAA, Committee Hansard, 19 April 2023, p. 17; Mr Trevor Gauld, National Policy Officer, ETUA,
Committee Hansard, 31 May 2023, p. 7.
80 ACTU, Submission 69, p. 2, pages 8–9. See also Council of Small Business Organisations Australia
(COSBOA), Submission 86, pages 10–11.
81 See, for example, Hon Brendan O’Connor MP, ‘Statement to Parliament on Significant Matters–National
TAFE Day’, Speech, 6 September 2023, https://ministers.dewr.gov.au/oconnor/statement-parliament-
significant-matters-national-tafe-day, viewed 13 February 2024.

154
reflected in the new NSA, which provides that the states will determine resource
allocation within their respective training systems while ensuring that at least 70 per
cent of Commonwealth funding is directed to TAFE and public training providers.82

6.79 Dr Rutherford advised that under the current system, funding is only allocated to
achievement of the most ‘obvious’ objectives, including ongoing revision and release
of Training Packages, the development of assessment tools, and the delivery of
courses. However, there is no funding for management and leadership of the VET
system as a whole or for research and development which supports the VET sector
(other than funding for organisations whose role is to provide data on metrics such as
skills shortages and completion rates).83

Inconsistency in fees and subsidies


6.80 Providers typically set their own fees for courses and units they offer. Subsidies are
available for many courses, with both course fees and government subsidies varying
across jurisdictions.

6.81 Several stakeholders expressed concern at the high level of variation between fees
and subsidies, calling for greater consistency in funding.84 The Australian Chamber of
Commerce and Industry (ACCI) stated that funding differences in VET are difficult for
students and parents to understand. This is compared to higher education, where
costs are arranged in bands but are the same across universities for domestic
students—particularly where domestic students are eligible for income-contingent
loans.85 Ms Amanda Ellwood raised similar concerns, stating:
Even experienced Careers Practitioners struggle to work out what a course might
cost. Fees are different your school leavers compared to adults. Not all Diplomas
cost the same. One might be $3000, another $10,000. Based on what? … Some
courses are depicted as more worthy of government subsidy than others.86

6.82 ADTIA observed that employers have queried variations in fees and subsidies and
have indicated that it appears inequitable when attempting to adopt a national
approach to training workers. ADTIA called for a nationally consistent approach to
funding allocations, in line with a national focus on the Skills for Australia policy.87

6.83 The CMTO stated that state-based funding for VET creates barriers to access, and
confusion and complexity for students and employers. This has discouraged some
students from pursuing VET pathways. Moreover, in some cases employers in the
communication and media sector were completely excluded from accessing state-

82 Australian Government, National Skills Agreement, p. [9], https://federalfinancialrelations.gov.au/agreements/


national-agreement-skills, viewed 13 February 2024.
83 Dr Rutherford, Submission 4, p. 15.
84 See, eg, CMTO, Submission 45, p. [7]; AiGroup, Submission 47, p. 6; Ms Amanda Ellwood, Submission 51,
p. [2].
85 ACCI, Submission 43, pages. 8–9.
86 Ms Amenda Ellwood, Submission 51, p. [2].
87 ADTIA, Submission 88, pages [8–9].

155
based subsidies for their employees, despite colleagues in other states having no
barriers. The CMTO called for national VET coordination to create equitable funding
of qualifications across states, as well as a priority skills list which recognises
industries with social and cultural value.88

VET Student Loans


6.84 The VET Student Loans (VSL) program assists eligible students to pay tuition fees
for approved Diploma and Advanced Diploma courses with approved providers. The
scheme is designed to provide financial support to students undertaking higher level
training in courses that address workplace and industry needs.89

6.85 Some stakeholders indicated that the VSL scheme is unduly restrictive and asserted
there would be value in expanding the scheme to enable greater consistency with the
university sector. For example, the ACCI stated that:
• The VSL scheme is limited in the qualifications it covers. As of June 2021, only
194 of 4,000 RTOs were delivering qualifications that were eligible for funding
under the scheme;
• Loan caps apply to approved courses in a three-band structure, with some limited
exceptions made in the case of aviation.
• Non-subsidised places attract an additional 20 per cent tax. According to the
ACCI, this policy ‘has not been designed with students in mind’.90

6.86 The ACCI recommended that the VSL scheme be reviewed, with a view to expanding
the range of qualifications to which it applies to at least all Diplomas and Advanced
Diplomas which are part of industry training packages and considering the value of
funding caps.91 The VCCI echoed these views, highlighting the importance of bringing
the VSL scheme in line with HECS-HELP in the university sector.92

6.87 The Business Council of Australia (BCA) called for the creation of a more level
funding system across higher education and VET. It stated that one way to do this
would be to expand the VSL scheme to all courses at the Certificate IV level and
above, where approved providers deliver them. This would boost take-up of higher-
level VET and support greater interoperability between VET and higher education
while maintaining controls to ensure the integrity of government-financed courses.93

88 CMTO, Submission 45, pages [7–8].


89 DEWR, VET Student Loans, https://www.dewr.gov.au/vet-student-loans, viewed 5 February 2024.
90 ACCI, Submission 43, p. 11.
91 ACCI, Submission 43, p. 12.
92 VCCI, Submission 80, p. [9].
93 Business Council of Australia (BCA), Submission 93, p. 4.

156
6.88 The NSW Department of Education et al argued that the VSL scheme could be
extended to Certificate IV and some Certificate III courses.94 UTS indicated that
advocacy efforts are already underway to expand the VSL scheme in this manner.95

Fee-Free TAFE
6.89 The Federal Government partnered with all states and territories to deliver 180,000
Fee-Free TAFE and VET places from 1 January to 31 December 2023, and has
announced funding for an additional 300,000 places from January 2024.96

6.90 Fee-Free-TAFE places are generally in areas of national skills priority, including care
sectors, technology and digital, hospitality and tourism, construction, agriculture, and
sovereign capability. Diploma and Certificate-level qualifications may be undertaken
with support from the scheme. Fee-Free-TAFE is also prioritised for certain cohorts,
including First Nations peoples, young people, unpaid carers, women in economic
insecurity, women undertaking study in non-traditional fields, people with disability,
and certain categories of visa holders.97

6.91 Several stakeholders indicated that Fee-Free-TAFE has been successful in terms of
increasing engagement with TAFE and the VET sector generally, including helping to
repair the reputational damage caused by the marketisation of the sector and the
expansion of FEE-HELP. The Committee heard that government should continue the
Fee-Free-TAFE program and prioritise the delivery of training by public providers.98

6.92 Other stakeholders highlighted potential issues with the initiative that should be
addressed to enhance its impact. TAFE Directors Australia observed that perceptions
of Fee-Free TAFE may be influenced by the fact that wrap-around servicing was not
part of the funding package when originally rolled out. This created difficulties for
educators and others in supporting learners with higher needs. Teachers also saw
quite rapid increases in their class sizes which created some additional challenges.
TAFE Directors Australia noted that these issues are likely to be addressed under the
new funding round.99

6.93 The Career Industry Council of Australia (CICA) stated that although the provision of
free TAFE opens opportunities for more students to consider a VET pathway, it has
the potential to imply that because TAFE is free it is of lesser value or importance.
CICA asserted that if the Government is confident in the quality of the VET sector,
subsidised TAFE courses would be more appropriate.100 Newbery expressed a

94 NSW Department of Education et al, Submission 77, p. 14.


95 UTS, Submission 46, p. 2.
96 See, eg, Hon Brendan O’Connor MP, Minister for Skills and Training, ‘300,000 additional Fee-Free TAFE
places to help with cost of living pressures’, Media Release, 1 January 2024, https://ministers.dewr.gov.au/
oconnor/300000-additional-fee-free-tafe-places-help-cost-living-pressures, viewed 19 February 2024.
97 DEWR, Fee-Free TAFE, https://www.dewr.gov.au/skills-reform/fee-free-tafe, viewed 5 February 2024.
98 See, eg, Tasmanian Government, Submission 11, p. [2]; NUS, Submission 91, p. [2]; Mr Waters, NYCA,
Committee Hansard, 14 August 2023, p. 2.
99 Ms Dodd, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 9.
100 Career Industry Council of Australia (CICA), Submission 39, p. [4].

157
similar view, noting that this issue might be addressed by requiring a very modest
student contribution to course fees.101

6.94 The ANMF observed that it is difficult to assess the true impact of initiatives such as
Fee-Free TAFE due to a time lag in the available data.102

Aligning VET and higher education


6.95 Meeting future skills needs will require a whole-of-tertiary system approach, with
greater integration and interoperability between the VET and higher education
sectors. Stakeholders noted that the sectors have historically been hierarchically
distinct, and that students experience challenges in moving between the sectors due
to differences in funding, lack of credit transfer, and the perceived status of the
different pathways.103

6.96 TAFE Directors Australia called for the development of a holistic tertiary education
sector which does not distinguish between university and VET, stating:
[W]e need to distinguish for school students what it means to study in school—
the subject choices you make and what those subject choices mean in terms of
pathways—from what it means to equip adults for the life of learning they’re
going to continue to skill up for the 50 years they’ll probably be in the workforce.
[This requires] … a removal of VET as a concept and more a creation of a tertiary
education sector where we are able to mix and match vocational education,
applied learning, with higher education degrees in a seamless, more dual
certification … The problem isn’t one around perception; it’s around innovation
and how we move to a [new] … adult tertiary education sector.104

6.97 ITECA similarly called for the government to ‘radically re-think’ its approach to post-
secondary education, asserting that siloed approaches to tertiary study must end.
According to ITECA, an integrated tertiary education system would encompass:
• Changes to funding models, integrating funding for VET and for university into a
‘lifelong learning account’ that supports study in both systems without the need to
access different funding and loans programs.
• A coherent approach to tertiary education regulation through a process of TEQSA
and ASQA regulatory convergence.

101 Newbery, Submission 16, pages 29–33.


102 ANMF, Committee Hansard, 26 April 2023, p. 9.
103 See, eg, Dr Rutherfood, Submission 4, p. 14; AITC, Submission 31, p. [7]; AiGroup, Submission 47, p. 2;
JSA, Submission 81, p. 12; BCA, Submission 93, p. 4; Ms King, SkillsIQ, Committee Hansard, 16 May 2023,
p. 5; Mr Williams, ITECA, Committee Hansard, 24 May 2023, p. 11.
104 Ms Dodd, TAFE Directors Australia, Committee Hansard, 29 March 2023, pages 1–2; See also AiGroup,
Submission 47, p. 2; CICA, Submission 39, p. [4].

158
• A further review of the Australian Qualifications Framework (AQF) that supports a
student accessing both skills training and higher education during their working
lives, including a cohesive approach to micro-credential recognition.105

6.98 UTS advised that a key barrier to integration are the different funding models which
apply to the two sectors. These issues are being considered as part of the Australian
Universities Accord (AUA) and were examined in the 2021 Review of University-
Industry Collaboration in Teaching and Learning. UTS recommended that a TAFE-
university coordinating council be established, comprising representatives from
government and tertiary sectors, to address issues such as reciprocal recognition of
prior learning, a way forward on collaboration courses, and funding.106

6.99 The NSW Department of Education et al emphasised that integration between the
VET and university sectors requires changes to funding and regulation. Current
issues in this space include:
• Non-university providers of higher education such as TAFE NSW are ineligible for
Commonwealth Supported Place funding. This exclusion means they pay full fees
even if they come from a low socio-economic or other disadvantaged background.
• Students with VET providers that offer higher education are charged additional
fees under the FEE-HELP scheme. These fees are not applicable to students who
study with universities, leading to an incentive to enrol in higher education.107

6.100 RMIT highlighted that a key component of an integrated tertiary education system is
a streamlined, adaptive approach to RPL and recognition of current competency
(RCC), stating:
[Assessment of] prior learning is a bespoke process where an assessor needs to
deeply assess competence against training standards. The current funding
arrangement varies across jurisdictions and can lead to a ‘tick and flick’ approach
that diminishes the confidence in those with mapped experiences. There is an
opportunity to enable trusted providers to be more robustly and consistently
funded to enable a clearer system of RPL and RCC.108

6.101 The DaV’ange Group similarly asserted that a nationally consistent approach to RPL
is urgently required. This requires acknowledging that RPL is a part of the Standards
for RTOs and educating industry on the benefits of RPL in terms of workforce
development and mobility.109

6.102 ITECA shared that students who complete skills training qualifications often feel that
their prior learning is not recognised by higher education institutions. This creates a

105 ITECA, Submission 85, p. 37.


106 UTS, Submission 46, p. 1, pages 3–4.
107 NSW Department of Education et al, Submission 77, p. 16.
108 RMIT, Submission 67, p. [4].
109 The DaV’ange Group, Submission 99, pages 10–11.

159
perception of limited integration between the systems, as students may feel they
need to start from scratch if they wish to pursue a higher education qualification.110

6.103 Stakeholders asserted that an integrated tertiary education system should be


underpinned by strategic planning at national, state, and local levels. For example,
the BCA called for government to develop:
• A comprehensive lifelong learning strategy.
• A Lifetime Skills Account, modelled on Singapore’s SkillsFuture Credit system.111

6.104 The QNMU advised that the Commonwealth has the potential to make a significant
contribution to reinitiating broad strategic planning processes that inform coordinated
cross-sectoral decision making. This could include consideration of incentives such
as cadetships, internships, and scholarships; measures to encourage individuals to
initiate or extend their training; and transitions between VET to tertiary sectors. The
QNMU stated that these strategies will be critical in regional and remote areas.112

6.105 The Department of Education noted that improving the capacity for learners to move
back and forth between the VET and higher education sectors is an active discussion
among stakeholders. The Department noted that there are examples of higher
education providers working with VET providers—as well as innovations within dual
sector providers—that the committee may wish to explore in more depth. These
partnerships will be particularly relevant in sectors with people qualified in both
systems, such as information technology, engineering, education, and care.113

6.106 The Department of Education highlighted the following programs aimed at testing
collaboration between industry, government, and universities. While cross-sector
collaboration is not a design requirement of the programs, there is evidence of
collaboration between VET and higher education sectors.
• Advanced Apprenticeships (Industry 4.0) pilot: a $7.2 million pilot delivered in
collaboration with seven Australian universities which targets small and medium-
sized enterprises in key manufacturing industries.
• National Priorities and Industry Linkage Fund (NPILF): an ongoing $1.7 billion
funding program which allocates block grants to Table A universities under the
Higher Education Support Act 2003 to support their engagement with industry.
• Women in STEM Cadetships and Advanced Apprenticeships (Women in STEM):
A $25.1 million program that aims to promote equality of opportunity in higher
education by supporting women currently in paid work to pursue an industry-
relevant pre-bachelor higher education qualification in a STEM field.114

110 ITECA, Submission 85, p. 38.


111 BCA, Submission 93, p. 5.
112 QNMU, Submission 26, p. 11.
113 Department of Education, Submission 89, pages. 4–5. See also Mr Williams, ITECA, Committee Hansard,
24 May 2023, pages 10–11.
114 Department of Education, Submission 89, pages 5–6.

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6.107 The Employment White Paper found that enhanced collaboration between the VET
and higher education sectors and with industry are critical to delivering high-quality,
industry-responsive qualifications and to building interoperability between sectors.
Collaborative approaches could be trialled in areas of national priority, including
clean energy, the carer economy, and defence.115

6.108 The interim report for the AUA similarly noted that there is an opportunity to bring
together the tertiary education system as a coherent whole, rather than thinking of
higher education and VET as two separate and siloed areas. The interim report
indicated that achieving this goal will require:
• Collaborative reform across governments, regulators, employer groups, unions,
student groups and education institutions.
• Reform to the AQF to ensure that university and VET are equally recognised, and
that providers are supported in creating innovative and integrated qualifications.
• Aligning funding settings across the tertiary system to enable fair and consistent
pricing and to reduce financial incentives to choosing one pathway over another.
• Greater alignment between ASQA and TEQSA, including removal of duplicative
requirements and reassessing the value of two regulators operating in parallel.116

6.109 The AUA interim report observed that new leadership is needed if tertiary education
is to operate as an interconnected whole. The AUA is considering the benefit of
establishing a Tertiary Education Commission with responsibility for overseeing the
development of a fit-for-purpose tertiary education system and operating with some
independence from government. The report noted that in the 1970s and 1980s a
Commonwealth Tertiary Education Commission (CTEC) was charged with promoting
balanced, coordinated development of tertiary education, diversifying opportunities
for tertiary education, and closer cooperation between the various kinds of tertiary
education.117

Pathways between tertiary sectors


6.110 Stakeholders indicated that VET and higher education are increasingly linked either
by formal agreements or transition pathways, and there is increasing recognition that
people will move between sectors during their lives.118

6.111 In 2021, 11.6 per cent of commencing domestic undergraduate students used a VET
qualification or enabling course as the basis for entry to higher education.119 Numbers

115 Department of the Treasury, Working Future: The Australian Government’s White Paper on Jobs and
Opportunities, p. 129.
116 Department of Education, Australian Universities Accord Interim Report, 19 July 2023, pages 121–124,
https://www.education.gov.au/australian-universities-accord/resources/accord-interim-report, viewed
14 February 2024. As noted in Appendix C, the final report for the AUA has yet to be released.
117 Department of Education, Australian Universities Accord Interim Report, 19 July 2023, pages 124–125.
118 See, eg, ACCE, Submission 15, pages 3–4; QNMU, Submission 26, p. 11; AITC, Submission 31, p. [8].
119 Department of Education, Submission 89, p. 4. See also See also Department of the Treasury, Working
Future: The Australian Government’s White Paper on Jobs and Opportunities, p. 127.

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of students using a VET qualification to enter university are gradually increasing, as
shown in Figure 6.1.

Figure 6.1 Proportion of students entering higher education on the basis of a VET
course, 2011-2021

Source: Department of the Treasury, Working Future: The Australian Government’s White Paper on Jobs and Opportunities,
p. 128

6.112 The proportion of students using a VET qualification to enter higher education is
higher for certain cohorts. For example, 18.3 per cent of First Nations students and
17.3 per cent of students from remote areas used a VET qualification as their basis
for entry into higher education in 2021.120

6.113 TAFE Directors Australia noted that approximately 20 per cent of people who enter
VET already have a university qualification. However, obtaining a complete picture of
the intersection between TAFE and university qualifications can be challenging, as
data often fails to distinguish between shorter courses such as First Aid Certificates
and complete qualifications.121

6.114 Stakeholders indicated that interoperability between VET and higher education will
require pathways between sectors to be better articulated, including by clearly
defining the roles of the sectors in a student’s career journey and enabling mutual
recognition of qualifications. Pathways must recognise that movement between the

120 Department of Education, Submission 89, p. 4. See also See also Department of the Treasury, Working
Future: The Australian Government’s White Paper on Jobs and Opportunities, p. 127.
121 Ms Dodd, TAFE Directors Australia, Committee Hansard, 29 March 2023, p. 6. See also Department of
Education, Submission 89, p. 4.

162
sectors are not necessarily linear or hierarchical, and students must be informed that
choosing one path over another will not limit their career progression.122

6.115 Clear pathways between sectors are particularly important for certain professions
such as nursing. For example, the QNMU stated:
[A] nurse might begin their training doing a Diploma of Nursing, becoming an
enrolled nurse. Later in their career they might complete a Bachelor of Nursing
through a university, becoming an RN. More efficient articulation between the
sectors is critical to support greater flexibility in career pathways – including costs
and recognition of prior learning the student has developed.123

6.116 The QAMH similarly noted that there is not a single or primary entry pathway into the
mental health sector. Entry pathways are split between VET and university, and the
sector lacks a ‘flagship’ qualification. This can create challenges in promoting careers
in the sector to those considering a VET qualification.124

6.117 The ACCE observed that many higher education providers are offering VET courses
that support a pathway across their institution to higher education courses. However,
not all providers or courses offer a pathway or credit transfer. For disadvantaged or
struggling cohorts, this can be a barrier to lifelong learning. The ACCE recommended
that government communicate pathways between VET and higher education courses
and address inequity in costs and funding so that students can move between VET
and higher education as needed.125

6.118 Clear pathways between the sectors may enable students to explore more advanced
qualifications in sectors not traditionally represented in universities. Dr Rutherford
noted that in the early 2000s he proposed a pathway model which would allow a
person to commence an apprenticeship and then transfer into a more advanced VET
program and thereafter to university—ultimately leading to a doctoral degree in the
relevant field.126

6.119 The Employment White Paper found that credit transfer and RPL are important ways
of improving connections between higher education and VET, and that limited credit
transfer creates unnecessary barriers to further skills development and inefficiencies
when students must duplicate their learning experience. The paper found that as
universities are self-accrediting institutions, admission practices and RPL can differ
significantly across providers. The AQF makes qualification levels—and the skills and
knowledge developed under them—difficult to understand and does not sufficiently
support transitions between sectors.127

122 See, eg, Professor Shreeve, Submission 1, pages [2, 5]; SA Government, Submission 12, p. 3; ACCE,
Submission 15, p. 7; QNMU, Submission 26, p. 11; ACCI, Submission 43, p. 4; WA Government, Submission
93, p. 5; Ms Kilzi, NUS, Committee Hansard, 26 April 2023, p. 11.
123 QNMU, Submission 26, p. 11.
124 QAMH, Submission 35, pages 4–5.
125 ACCE, Submission 15, pages 6–7.
126 Dr Rutherford, Submission 4, p. 10.
127 Department of the Treasury, Working Future: The Australian Government’s White Paper on Jobs and
Opportunities, p. 128. See also MTAA, Submission 38, p. 7.

163
Dual providers and combined qualifications
6.120 Some stakeholders indicated that building interoperability between VET and higher
education may require supporting dual providers and qualifications which combine
certificate-, diploma-, and degree-level programs, with micro-credentials integrated
into programs as appropriate.128

6.121 The Australian Academy of Technical Sciences and Engineering (AATSE)


recommended greater collaboration between the VET and university sectors via
jointly managed and branded qualifications, noting that these could cover short
courses and micro-credentials that help meet industry demand for skills. The AATSE
stated that developing these qualifications may help to break down some of the
hierarchical perceptions between the tertiary education sectors.129

6.122 There was support for an advanced apprenticeship or degree apprenticeship model
that enables participants to obtain a Bachelor degree (or higher) via apprenticeship
pathways. This model exists in international jurisdictions such as the United Kingdom
(UK), and work has been done at the state level (for example through the NSW
Tertiary Pathways Project) to adapt the traditional apprenticeship model to higher
level qualifications.130

6.123 The AiGroup noted that there is support among employers for engaging university
and VET students as higher-level cadets in degree apprenticeship or similar models.
However, most employers would only implement this option with additional support.131

6.124 ITECA indicated that while VET and higher education should be better integrated,
each sector must retain core offerings.132 Professor Shreeve similarly argued that
VET should not offer courses at the Diploma or Degree levels but should instead
draw on its strengths as a provider of Certificate-level courses and micro-credentials
in areas of skills shortage.133

6.125 Newbery stated that confusion is created when universities offer traditionally VET
qualifications—particularly Diplomas and Advanced Diplomas. Newbery noted that
VET qualifications offered and marketed as university qualifications are perceived as
being of higher quality than those offered through VET providers. This is despite the
courses being essentially proprietary qualifications that are exclusive to the university
and have limited recognition or portability. Newbery called for measures to restrict
universities to delivering Bachelor- to doctoral-level qualifications.134

128 See, eg, Alphacrucis University College, Submission 82, p. [13].


129 Australian Academy of Technical Sciences and Engineering (AATSE), Submission 49, p. 2.
130 See, eg, Professor Peter Dawkins, Director, JSA, Committee Hansard, 22 March 2023, p. 6; NSW
Department of Education et al, Submission 77, p. 15. See also Universities and Colleges Admissions
Service, Degree Apprenticeships, https://www.ucas.com/apprenticeships/degree-apprenticeships, viewed
5 February 2024.
131 AiGroup, Submission 47, p. 3.
132 Mr Williams, ITECA, Committee Hansard, 24 May 2023, p. 8.
133 Professor Shreeve, Submission 1, p. [3]. See also Professor Shreeve, private capacity, Committee Hansard,
3 May 2023, p. 3.
134 Newbery, Submission 16, pages 19–20.

164
6.126 Newbery also called for a review of the impacts on consumers of allowing universities
to offer traditionally ‘VET-level’ qualifications. This should consider the value of
qualifications to the student and the taxpayer, whether marketing practices are
ethical and consistent with relevant regulations and consumer protection laws, and
whether legislative changes should be made to segregate the authority to issue
qualifications between the university and VET sectors.135

Institute of Applied Technology model

6.127 Some stakeholders drew attention to the Institute of Applied Technology (IAT) model
pioneered in NSW. IATs are a distinct form of provider that blend VET and university
without being dual-sector providers. They typically focus on offering stackable micro-
credentials.136 TAFE NSW explained that these micro-credentials:
• Align with the AQF and to the volume of learning, such that students can guide
their study to allow ‘stackability’ into other qualification pathways either at TAFE
NSW or in the university space.
• Have significant academic rigour provided through co-design of micro-credentials
with industry, universities, and TAFE NSW subject-matter experts.
• Are not aligned to a training package like the traditional VET pathway, nor to a
higher education product. IAT micro-credentials sit ‘between that space’.
• Are supported by an investment of $108 million from the NSW Government. This
subsidises up to 26,000 micro-credentials over a four-year period. The costs for
individual credentials range from $1,500 to $3,000, with out-of-pocket expenses
for the student ranging from $180 to $360.137

6.128 TAFE NSW emphasised that the IAT model moves beyond the rigid curriculum rules
which typically apply to VET and university providers and allows for rapid responses
to evolving industry need. The model is key to breaking down misconceptions about
the inferiority of VET and building genuine integration between the sectors. However,
existing funding models for the VET and university sectors create challenges for
scaling the IAT model, particularly as they do not support the ‘stackability’ of micro-
skills and micro-credentials.138

6.129 UTS told the Committee that two TAFE-led IAT pilots are in development, with a third
planned in a regional area. Both are delivered by TAFE NSW. The IATs include:
• IAT Digital in Meadowbank, which focuses on big data and cybersecurity and is
delivered in partnership with Microsoft, UTS, and Macquarie University

135 Newbery, Submission 16, p. 21.


136 See, for example, UTS, Submission 46, p. 2.
137 Mr Matt Bushby, Director, Commercial and University Partnerships, TAFE NSW, Committee Hansard,
16 August 2023, pages 5–6.
138 Mr Stephen Brady, Managing Director, TAFE NSW, Committee Hansard, 16 August 2023, pages 1–2.

165
• IAT Construction in Kingswood, which focuses on project management,
leadership, and digital construction, and is delivered in partnership with Western
Sydney University and CPB Contractors.139

6.130 UTS stated that should pilots be successful, they may be supported and expanded
by the Commonwealth. Immediate priorities include:
• A Commonwealth co-contribution including grant funding for the development and
delivery of innovative course offerings—focused on micro-credentials—to meet
industry needs. These credentials would be high quality, flexible, transferable, and
would address gaps in educational offerings to meet industry needs.
• Dedicated Commonwealth supported places under the Commonwealth Grant
Scheme to incentivise participation of university providers and make support via
the Higher Education Contribution Scheme (HECS) available to IAT students.140

6.131 The NSW Department of Education et al explained that it is undertaking an


evaluation of the design, implementation and impacts of the IAT pilots. Lessons and
opportunities will be shared with the Commonwealth Government, including where
Commonwealth support in areas of regulatory flexibility or policy harmonisation, may
be needed to fully realise the benefits of the innovative IAT model.141

Reforming the Australian Qualifications Framework


6.132 Several stakeholders suggested the AQF contributes to the perception that VET
qualifications are of lesser value than their university counterparts, as well as to an
artificial separation between the sectors. The Committee heard that the AQF should
be amended to remove the hierarchy between qualification types.142

6.133 The IHEA noted that one way of increasing interoperability between the VET and
higher education sectors would be for government to remove the distinction between
Diplomas and Graduate Certificates in the AQF. According to the IHEA, this proposal
has significant stakeholder support.143

6.134 The Department of Education acknowledged that the AQF is sometimes viewed as
contributing to a perception that there is a hierarchy in terms of value across VET
and higher education, due to its 10-level structure which places VET qualifications at
lower AQF levels than higher education qualifications. In addition, the government’s
pathways policy may be seen as reinforcing a perception that education pathways
should ascend the AQF levels rather than moving flexibility between sectors.144

139 UTS, Submission 46, pages 2–3.


140 UTS, Submission 46, p. 3.
141 NSW Department of Education et al, Submission 77, p. 15.
142 See, eg, AATSE, Submission 49, pages 2–3; Integrated Information Service, Submission 53, pages [2–3];
Professor Dawkins AO, JSA, Committee Hansard, 22 March 2023, p. 3.
143 IHEA, Submission 8, p. [3].
144 Department of Education, Submission 89, pages 4, 8.

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6.135 The Department of Education stated that recommendations of the AQF Review
present opportunities to influence the perception and status of VET by better
recognising the strengths of VET qualifications; emphasising the various pathways
students take in and between VET and higher education; and providing a common
language across sectors to describe transferrable skills.145

Supporting industry and employer partnerships


6.136 Successful partnerships between employers, broader industry, and VET providers
are critical to a functioning VET market. These partnerships enable VET providers to
align training with industry needs, provide the pipeline of graduates that is crucial to
addressing workforce shortages, and ensure students have a clear pathway from
education into employment.

6.137 The Tasmanian Government noted that employers in Tasmania have a varied
understanding of VET. For those engaged with VET, there is an understanding of
how training, through on-the-job experience, can grow and upskill their workforce.
Employers not engaged with VET have lower awareness of how VET can support
their business and opportunities enabled by the VET system.146 The SA Government
similarly stated there is a need to educate and work with industry and businesses on
the positive relationship between an employee’s VET qualifications and the transfer
of skills to businesses.147

6.138 Professor Shreeve noted there is a significant difference between the views of
individual businesses and those of industry associations. Associations may be
motivated by funding the association rather than listening to specific employers on
the ground. Professor Shreeve called for closer relationships between individual
providers and enterprises.148

6.139 The ANMF asserted that ensuring training providers have meaningful relationships
with employers should be a mandatory component of their registration and
accreditation requirements.149

6.140 Stakeholders highlighted elements of an effective partnership between industry,


employers, and training providers. The NCVER asserted that:
• While RTOs are a major source of knowledge on nationally recognised training,
the role of an RTO must evolve to that of a ‘navigator’. This requires RTOs to
build skills in working collaboratively with employers to identify their needs and to
put forward ways of meeting them—including through proactive outreach to local
employers and industry experts.

145 Department of Education, Submission 89, p. 10.


146 Tasmanian Government, Submission 11, p. 2.
147 SA Government, Submission 12, p. 5. See also Mr Sean Teer, Employment Facilitator, South-East
Melbourne and Peninsula Region, Workforce Australia, Committee Hansard, 26 July 2023, p. 11.
148 Professor Shreeve, private capacity, Committee Hansard, 3 May 2023, p. 3.
149 ANMF, Submission 54, p. 12.

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• Financial incentives for employers and RTOs can facilitate partnerships to support
workforce planning and the development of tailored nationally recognised training.
• There is a need for more special industry-RTO partnerships, with employers
seeking personal contact with RTOs and to work more intensively with business-
oriented training providers.
• Small businesses may benefit from the engagement of local brokers—including
employer associations or regional development organisations—to work between
business and RTOs to facilitate connections in more meaningful ways.150

6.141 The MTAA observed that partnerships between industry and VET providers often
involve large businesses. SMEs often lack the resources and expertise to engage
with training providers to develop a training offer. The MTAA recommended that
dedicated resources and support be made available to small businesses to assist
engagement and foster partnerships with VET providers.151

6.142 The Council of Small Business Organisations Australia (COSBOA) stated that the
most successful partnerships are flexible, built on trust, and have clearly defined
outcomes and roles for all participants. Partnerships must also ensure that all
participants have something to gain.152

6.143 Effective support for industry may involve RTOs adapting training offers to industry
needs. The NSW Department of Education et al highlighted the following examples of
where TAFE NSW has taken this step:
• New Education and Training Model micro-credentials. These credentials support
industry skills development in smaller, more concentrated programs. The model
was granted $37.4 million to develop 100 non-accredited micro-credentials to
attract employers to Western Sydney and create new jobs.
• A defence industries traineeship pilot in Newcastle, which involves a collaboration
between Training Services NSW, Hunter Net, and RDA Hunter. The pilot included
a group training employment model where recruits were placed in manufacturing
SMEs under a traineeship in para-professional job roles.153

6.144 The AiGroup explained that what employers are looking for from their VET providers
is a flexible approach that considers local industry need and is delivered in a way that
is suitable for their business. The AiGroup stated that partnerships can be derailed by
an unwillingness from providers to explore innovative solutions, poor understanding
of how training packages allow qualifications to be packaged, and the refusal to offer
RPL for experienced workers. This latter issue may be driven by a lack of state
funding. The AiGroup suggested:
• Professional development for educators about the flexibility offered by Training
Package qualifications.

150 NCVER, Submission 36, p. 4.


151 Motor Trades Association of Australia, Submission 38, p. 11.
152 COSBOA, Submission 86, p. 7.
153 Department of Education et al, Submission 77, p. 12.

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• Information for employers about available service offerings, delivered through
peak and representative bodies.
• A review of funding rates for RTOs to ensure that they are sufficient to enable a
valuable service. This should include consideration of funding for RPL.154

6.145 ADTIA indicated that partnerships between RTOs, employers, and industry function
most effectively when there is a clear understanding of the employers’ skills needs. It
noted that several TAFEs and advanced colleges have industry committees which
meet to seek industry input on qualifications structures, validation of training, and
assessment methodology. ADTIA also indicated that individual employers and peak
bodies could support partnerships by defining clear pathways from training to
employment and providing entry-level training for new recruits to assist in adapting to
new work environments. 155

6.146 The elements of successful partnerships are broadly captured in NCVER research,
summarised in Box 6.1.

Box 6.1 Partnership success factors


• Values alignment: the RTO and the employer share a set of values, which enables
the parties to communicate well and understand each other’s expectations.
• Trust: trust is typically built up over a long period of time and is a particular
characteristic of long-term partnerships.
• Personal connections: the establishment of trust in a partnership is often the result
of personal connections between key players.
• Communication: a key element is regular communication between the RTO and the
employer. This communication does not generally need to be formalised.
• Single point of contact: clear channels of communication between the two players
and that, preferably, a single major point of contact is established by each partner.
• Flexibility: the willingness of the RTO to alter delivery methods and customise
content to suit the specific needs of the employer.
• Understanding of business needs: RTO staff need to know about the employer’s
industry and be keen to learn more about the business.
• Government funding: funding facilitates partnerships in the initial stages, although it
appears to become less important over time.

Source: NCVER, Development and Sustaining Successful Partnerships Between Employers and Training Providers, p. 5,
https://www.ncver.edu.au/research-and-statistics/publications/all-publications/developing-and-sustaining-successful-
partnerships-between-employers-and-training-providers.

6.147 Professor Smith noted that while significant research has been undertaken on the
elements of successful partnerships focused on upskilling or reskilling a company’s
workforce, there is little research on partnerships between employers and RTOs for

154 AiGroup, Submission 47, pages 8–9.


155 ADTIA, Submission 88, p. [8].

169
students learning off-the-job at a training provider. However, Professor Smith also
indicted that—in general—ensuring employers are utilised more systematically
through work placements would be likely to raise the status of the VET sector.156

Role of government
6.148 Stakeholders highlighted the role of government in providing sustainable funding for
partnerships between providers and employers, enabling the sharing and scaling of
skills generated via partnerships—including via nationally recognised training—and
providing an enabling environment via policy and program settings.

6.149 The Minerals Council of Australia (MCA) stated in relation to industry-led initiatives in
the mining industry:
[Industry should be] identifying where the need is and driving the effort, but [there
must also be] buy-in and support [from] the training providers and … government
to make sure that these things are able to be carried up and into the system.
Investment in piloting and supporting those programs is critical, but the long-term
sustainability and delivery needs to have that broader support, not just of those
delivering it but of the government frameworks as well.157

6.150 The MCA drew attention to the following examples of industry-led initiatives delivered
in partnerships with training providers, recommending that government provide pilot
funding for employer-provider partnerships to test innovative programs linked to
career pathways:
• BHP’s FutureFit Academy: two dedicated learning centres in Perth and Mackay
which offer a maintenance traineeship and a trade apprenticeship. Students can
earn while studying. The program enables a pipeline of qualified graduates for the
mining sector.
• Rio Tinto’s automation qualifications: the first accredited automation qualification,
launched in partnership with South Metropolitan TAFE and the WA Government.
Rio Tinto worked with the Mining and Automotive Jobs and Skills Council to
develop nationally accredited courses in autonomous workplaces.
• Queensland Future Skills Partnership: partnership between Advance Queensland
BHP Mitsubishi Alliance, TAFE Queensland, and Central Queensland University
to support existing workers to acquire skills in cyber security, data management,
and Supervisory Control and Data Acquisition. Training includes 12 accredited
skill sets or a non-accredited program covering 10 micro-credentials.158

6.151 Newbery observed there will be a variety of partnership types in the VET sector, each
involving different providers and arrangements for delivery of training. Partnerships
could be supported across a variety of delivery models by:

156 Professor Erica Smith, Submission 72, p. 3.


157 Ms Karolina Szukalska, General Manager, Workforce and Innovation, Minerals Council of Australia (MCA)
Committee Hansard, 19 April 2023, pages 20–21.
158 MCA, Submission 92, pages 10–11. See also AiGroup, Submission 47, p. 8.

170
• Reviewing Standards for RTOs to better recognise the contribution to training and
assessment by supervisors, including to provide more certainty about compliance
to VET providers who are partnering with enterprises to deliver VET qualifications.
• Providing incentives to employers to recognise their contribution to the delivery of
training and assessment under a partnership.
• considering the introduction of employer skills vouchers, where eligible employers
are allocated vouchers with an allocated amount of funding to be used with a VET
provider of their choice. This would need to be supported by robust safeguards
including strict eligibility criteria and reporting requirements and independent post-
training evaluation.159

6.152 The Committee heard that government has a key role to play in supporting the
evolution of public VET delivery. The Tasmanian Government stated that it is actively
working to make TasTAFE a more future-focused, market-aligned training provider.160

6.153 Stakeholders observed that government can leverage partnerships to address unmet
skill need and support priority cohorts. The SA Government highlighted Skills SA’s
Training Priority Projects (TPPs), noting that the TPPs enable education providers
and community-based organisations to work with regional, sector or industry level
partners to address unmet or regionally specific and emerging skilling needs. The SA
Government indicated that these TPPs should continue to be supported and may be
leveraged, recommending that:
• Case studies of large-scale partnerships with successful outcomes in uptake of
participants, completed training and employment security be used to inform
principles of best practice with regards to partnership success.
• Partnerships between governments, VET providers and employers that lead to
career pathways and employment be incentivised—especially for target cohorts.161

6.154 The WA Government drew attention to the role of government in supporting target
cohorts, highlighting the following initiatives:
• WA Police Force Aboriginal Cadet Program: North Metropolitan TAFE and the WA
Police partnered to develop a customised training and support program to assist
with recruitment and preparation of First Nations entrants to the Police Academy.
• Job Ready pathways: Programs coordinated by the WA Department of Training
and Workforce Development (DTWD) which include a short course of free training
from a registered training provider, work placement with an industry employer and
either offers of employment or support to connect with further opportunities at the
end of the program.162

6.155 The Committee heard that government may have a key role in disseminating best
practice in provider-employer engagement. WorldSkills Australia recommended the

159 Newbery, Submission 16, pages 27–29.


160 Tasmanian Government, Submission 11, p. 3.
161 SA Government, Submission 12, p. 7.
162 WA Government, Submission 97, pages 6–7.

171
Commonwealth engage with major education providers and industry organisations
that have strong partnerships with each other to develop best practice guidelines.163

Supporting changes to work practices


6.156 Some stakeholders indicated there would be value in government—and potentially
training providers—working with employers to help them understand the value of
VET qualifications, and in enabling changes to work practices to support VET
pathways. SkillsIQ observed that employers increasingly demand university- or even
postgraduate-level qualifications in job descriptions without considering the demands
of the role. This leads to individuals avoiding VET as an entry pathway and disruption
to work arrangements if a person is obliged to retrain when it is discovered that they
lack key practical skills. Skills IQ noted:
• Many applicants for hotel training programs hold a Bachelor of Tourism when a
Certificate III would be more appropriate. Often, the candidate will be required to
obtain the Certificate-level qualification to gain practical skills.
• New entrants to the childcare sector often have early childhood education and
related degrees but lack practical skills in working with young children. These
individuals are often required to return to the VET sector to upskill.164

6.157 SkillsIQ observed that where an organisation specifies a Bachelor degree as a job
requirement, the applicant will assume that they will be performing graduate-level
work. This is often not the case and leads to dissatisfaction. Moreover, specifying a
university-level degree as an entry requirement can limit the ability of an organisation
to establish clear career paths. This is because employees will increasingly enter the
organisation at a higher level with theoretical rather than practical skills and will not
have the experience of leveraging practical skills to progress to senior positions.165

6.158 The Victorian Student Representative Council (Vic SRC) similarly stated that more
must be done to educate employers on the value of VET qualifications and to engage
with employers on their skills needs.166

6.159 Newbery suggested that government consider a program to promote VET pathways
to ‘underutilised work capacity’ within society, including people who are employed
part-time, full-time parents, older people who may be looking for part-time work in
retirement, people with disability, and people living in rural and remote Australia.
According to Newbery, the program would work directly with employers to identify
flexible and working from home opportunities and to link these with a suitable VET
pathway into employment.167

163 WorldSkills Australia, Submission 94, p. 20.


164 Ms King, SkillsIQ, Committee Hansard, 16 May 2023, p. 6.
165 Ms King, SkillsIQ, Committee Hansard, 16 May 2023, p. 6.
166 Victorian Student Representative Council (Vic SRC), Submission 90, p. [6].
167 Newbery, Submission 16, pages 34–35.

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Committee comment
6.160 The VET sector is complex and fragmented, and work is needed to clearly define the
sector and its social and economic roles. The Committee is optimistic that greater
national stewardship as contemplated by the new NSA should go some way towards
addressing this issue. There would also be real value in establishing a Tertiary
Education Commission or a similar entity with national oversight of the sector and a
focus on better integrating VET and higher education as contemplated by the AUA.
The Committee encourages government to pay close attention to these matters as
part of the ongoing process of skills reform.

6.161 Also clear is that the current significant number of providers in the VET sector and
the adoption of a contestable market have created challenges for many stakeholders.
It appears that prospective students struggle to make informed choices about career
pathways, employers have difficulty accessing relevant training, and government and
regulators may not be able to address poor behaviour. Challenges associated with
marketisation must be addressed in the process of skills reform if the sector is to be
effective in delivering high-quality training and education that keeps pace with a
dynamic and evolving labour market.

6.162 The Committee acknowledges that public, private, and industry-led RTOs all have
their role to play in the VET sector and appreciates that private sector RTOs may be
able to deliver more flexible training and service offers than their public counterparts
(TAFEs)—at least in some circumstances. However, the Committee considers it
critical that TAFEs are prioritised in measures to ensure sustainable funding for VET,
given the importance of having a robust public core to the sector. Accordingly, the
Committee welcomes the focus in the new NSA on putting TAFE at the heart of VET,
and on building the quality and flexibility of TAFEs via industry partnerships and
measures to enable new and innovative approaches to teaching and learning.

6.163 Enhancing the capacity of TAFEs should include TAFEs partnering with other RTOs
and industry bodies. The Committee notes that it is envisaged that TAFE Centres of
Excellence will bring together employers, unions, universities, and other education
and training providers to develop and implement real work and practical solutions to
meet skills needs. However, it is unclear if this includes direct partnerships between
TAFEs and other RTOs in the design and delivery of training. There would be value
in ensuring that such partnerships are supported. The Committee is of the view that,
at least in the short term, partnerships should be restricted to high-performing not-for
-profit and industry-led providers. However, over the longer term, it may be feasible
for TAFEs to partner with for-profit RTOs, subject to appropriate safeguards.

6.164 The Committee considers there would be value in exploring measures to separate
the sector into ‘education’ and ‘training’, with funding for private RTOs to deliver
shorter-form, industry-specific training (subject to the provider and training being of
proven quality) and for TAFEs to deliver longer qualifications with a focus on
developing a student through education. There is compelling evidence that private
RTOs are often highly competent in delivering shorter, higher-volume training, while
TAFEs focus on full qualifications and on the ‘education’ component of VET.

173
6.165 In addition, the Committee is concerned that VET providers are subject to significant
and duplicative regulatory and reporting requirements focused on strict compliance
with standards rather than on continuous improvement. These may be impeding the
sector’s capacity to deliver high-quality training.

6.166 The process of skills reform should involve streamlining and reducing duplication in
regulatory arrangements, as well as refocusing ASQA’s regulatory approach on lifting
the quality of training and away from strict compliance with prescriptive standards.
This should include giving AQA greater flexibility in terms of how it prioritises and
makes both enforcement decisions and decisions in relation to provider registration.

6.167 Strong regulatory sanctions should continue to be applied to providers that are
persistently or deliberately non-compliant and fail to lift the quality of their training
offers despite engagement by ASQA. There would also be value in implementing
additional safeguards (primarily via changes to the provider registration framework)
to ensure the sector is not harmed by the actions of noncompliant providers—
especially new entrants which have not been fully vetted.

Recommendation 25

6.168 The Committee recommends that the Australian Government ensure that the
ongoing process of skills reform include measures to encourage and support
partnerships between technical and further education (TAFE) institutes and
high-performing not-for-profit and industry-led providers.

Recommendation 26

6.169 The Committee recommends that the Australian Government work with State
and Territory Governments to explore options to separate vocational education
and training (VET) into ‘education’ and ‘training’, including funding and
governance arrangements to support high-performing independent providers
to deliver shorter and industry-specific courses and to prioritise the delivery of
longer courses and qualifications through technical and further education
(TAFE) institutes.

Recommendation 27

6.170 The Committee recommends that the Australian Government work with State
and Territory Governments and with the Australian Skills Quality Authority
(ASQA) to rationalise and improve regulation in the vocational education and
training (VET) sector, including by better targeting regulatory and compliance
action to deliberately or persistently noncompliant providers. This should
include the following key measures:
• The removal of duplicative administrative and reporting requirements.
• Giving ASQA greater flexibility in terms of how it prioritises, considers, and
makes decisions in relation to applications for regulation.

174
• Strengthening registration requirements to prevent providers from
changing the scope of their registration whether they have been operating
for less than two years.
• Providing that a provider’s registration automatically lapses when that
provider has not delivered training or assessment for a period of 12 months.
• Resourcing and supporting ASQA to focus its regulatory approach on lifting
the quality of training in the sector, enhancing VET student outcomes, and
building and maintaining a culture of continuous learning and improvement.

6.171 The Committee welcomes measures to improve the coordination of strategic


investment in skills across all jurisdictions, as well as funding commitments in the
new NSA. In particular, the Committee welcomes the focus on building the capacity
of TAFE to that the sector has a strong public core, including the commitment of at
least 70 per cent of Commonwealth funding to TAFEs and other public institutions.

6.172 The Committee is optimistic that such measures will underpin a long-term funding
solution for the VET sector which will enable growth and certainty and emphasises
that government must continue to monitor funding to ensure that it is allocated and
used effectively—with additional funding committed as needed.

6.173 However, the Committee is concerned that fees and subsidies for VET courses are
inconsistent across jurisdictions, and that this inconsistency has led to confusion for
students, their families, employers, and other stakeholders and to poor perceptions of
the sector. Seemingly arbitrary variations in fees and subsidies do not appear
consistent with a national approach to training which responds to current and
emerging skills needs.

6.174 The Committee appreciates it may not be possible to entirely harmonise subsidies or
fees, noting that these respond to a variety of factors such as location, the cost of
delivery, and economic and demographic indicators. Nevertheless, there would be
merit in the Commonwealth working with the states and territories and with the VET
sector to explore options to align subsidies and fees insofar as possible. This should
include consideration of the methodology used to calculate prices and the extent to
which this can be harmonised and streamlined.

6.175 The Committee also acknowledges concerns that the VSL scheme is restrictive and
may not be providing sufficient levels of financial support to encourage students to
pursue VET qualifications. However, the Committee’s view is that loans under the
VSL scheme should be limited, and employers should be encouraged to share more
of the cost—including through direct financial contributions and in-kind arrangements
such as study leave.

6.176 Fee-Free TAFE extends to Certificate- and Diploma-level qualifications in priority


skills areas, and the Committee considers it more appropriate that students pursue
qualifications with support from that scheme than the VSL. This is notwithstanding
concern that Fee-Free TAFE could be perceived as devaluing TAFE qualifications by
offering them to students at no expense.

175
6.177 The Committee acknowledges that the Fee-Free TAFE scheme has a limited (though
substantial) number of places. Moreover, it is unclear whether the scheme extends to
Advanced Diploma-level courses. Accordingly, the Committee recommends a review
of the VSL scheme to examine its relationship with Fee-Free TAFE and identify key
gaps in the intersection between the schemes.

6.178 Should it be determined that there are substantial gaps in financial support available
to VET students, additional measures should be considered. These might include
providing additional Fee-Free TAFE places, expanding the reach of Fee-Free TAFE
scheme to higher-level qualifications, and expanding the reach of the VSL scheme to
a greater range of qualifications and disciplines.

Recommendation 28

6.179 The Committee recommends that as part of the ongoing process of skills
reform, the Australian Government work with State and Territory Governments
and with the vocational education and training (VET) sector to:
• Explore aligning fees and subsidy amounts for VET qualifications insofar as
this is possible.
• Review the VET Student Loans (VSL) scheme and investigate its
relationship with Fee-Free TAFE.

6.180 Many VET and TAFE campuses also lack modern facilities, and this is leading to
poor perceptions of the sector and may be contributing to rates of attrition. The
Committee notes that government invested $50 million in 2020-21 to 2022-23 to
support infrastructure projects such as building and construction works to expand,
upgrade, or refurbish TAFE facilities, purchase, and upgrade specialist equipment,
and invest in technological infrastructure. While this investment is welcomed,
evidence indicates that additional funding may be needed to continue upgrading
facilities to a sufficiently high standard. Additional funding may be required to ensure
that physical and digital spaces are accessible to students with disability.

6.181 In addition, there is a lack of effective, consistent support for students on campuses,
with stakeholders noting that this drives poor perceptions of the sector and is
impacting rates of completion. It appears that a lack of support is creating challenges
for VET educators, who are frequently obliged to offer pastoral care in addition to
delivering training. The apparent lack of student representation on campuses, which
limits the extent to which students can raise concerns and have input into the design
and delivery of training is an issue.

6.182 The Committee agrees that the Commonwealth should commit additional funding
and work with states and territories to improve student support on campuses,
including by enabling the creation of representative bodies and independent
complaints mechanisms, and providing access to those programs and facilities which
are typically found on university campuses such as counselling, health, and legal
services. Additional supports should be provided to increase access for students with

176
disability, as part of an overall effort to deliver a more person-centred training offer
that responds to the needs of all students.

6.183 This work should start with TAFE campuses, noting that these providers are publicly
funded and are often significantly larger than private sector counterparts. However,
there would also be value in private sector providers enhancing the pastoral care and
other supports available on site.

6.184 The Committee is of the view that career counselling should not end when a student
finishes secondary school. Career counselling services should be made available on
campuses so that students can continue to plan their career pathways while studying
and/or completing work placements.

6.185 It appears that a contributor to non-completion in VET is a lack of understanding of


the demands of a qualification. The Committee considers that there would be merit in
the government working with the VET sector to increase providers’ engagement with
students early in their training pathways to ensure that students are prepared for
what lies ahead. The Committee notes that certain providers—for example TAFE
NSW—already offer supports of this kind.

6.186 Measures to enhance the VET experience for students should form part of a broader
effort to ensure that the lived experiences of all individuals involved in or affected by
VET are at the centre of advisory and governance mechanisms. This will be critical to
ensuring that the VET sector meets the needs of an increasingly diverse student
cohort and teaching workforce (albeit with the need to lift participation by certain
cohorts), and to ensuring that the sector is able to respond to current and emerging
skills needs.

Recommendation 29

6.187 The Committee recommends that the Australian Government work with State
and Territory Governments to ensure that the lived experiences of individuals
involved with or impacted by the vocational education and training (VET)
sector are prioritised in advisory and governance mechanisms.

Recommendation 30

6.188 The Committee recommends that the Australian Government work with State
and Territory Governments to:
• Continue to upgrade and modernise facilities on technical and further
education (TAFE) institute campuses, including to ensure that physical and
digital spaces are accessible for students with disability.
• Improve key support services on TAFE campuses, and ensure that students
have access to counselling, career advice, legal services, health services,
and disability support.
• Establish robust mechanisms for student and staff representation.

177
Recommendation 31

6.189 The Committee recommends that the Australian Government work with State
and Territory Governments and the sector to increase engagement by
technical and further education (TAFE) institutes with students early in their
training pathway, to ensure students fully understand the demands of the
qualification and can make informed decisions about their training and career
pathway. This should involve the development of tools to assess students’
aptitude for the units and qualifications they are looking to pursue and
supporting tailored advice.

6.190 It appears to the Committee that additional work is needed to increase access to VET
in rural, regional, and remote areas and to better align training offers with local skills
needs. This recognises that completion rates are often closely linked to the
geographic location of the student and the providers. The move to a demand-driven
structure has also reduced access to quality training for many students who do not
live in metropolitan areas.

6.191 The Committee notes the vision and guiding principles for the NSA stated that the
agreement would aim to ensure that Australians in regional and remote areas have
access to the education, training, and support needed to obtain well-paid and secure
jobs. The Committee considers it likely that investment and reforms contemplated by
the NSA will support access to training for people in regional, rural and remote areas.

Recommendation 32

6.192 The Committee recommends that the Australian Government ensure that the
skills reform agenda includes specific measures to boost access to vocational
education and training for people in regional, rural, and remote areas, informed
by local skills need.

6.193 The Committee strongly agrees with the views in the Employment White Paper that
meeting future skills need will require a whole-of-tertiary-system approach, with much
greater integration between VET and higher education. This will require addressing
barriers relating to funding and regulation, and creating clear learning pathways that
encompass the two sectors. Measures must be implemented to ensure that all
prospective learners have clear information about the sectors, their providers and
course offerings, and to ensure that the sectors are perceived as equally legitimate.

6.194 Integrating the sectors will require changes to funding and regulatory arrangements,
as well as reforms to the AQF to remove—to the extent possible—the hierarchy that
exists between VET and university qualifications and to focus on skills development
and knowledge acquisition. It is clear that greater international interoperability
requires clear pathways between VET and university, including clear points of entry
to each sector and enhanced mechanisms for recognising prior learning and existing
skills and competencies. The Committee was concerned to hear that there is limited
credit transfer between sectors, and that RPL varies significantly between providers,

178
with stakeholders noting that these issues discourage students from exploring career
pathways which involve moving between VET and university.

6.195 The Committee agrees with the view that there would be value in each sector (VET
and university) retaining its core offerings within an integrated tertiary education
ecosystem. The Committee was concerned to hear that in some cases universities
are offering traditional VET qualifications and marketing them to students as more
prestigious or valuable than a qualification obtained through a VET provider, despite
the qualification not being nationally recognised or portable. However, the Committee
considers that dual-sector providers and qualifications should be supported, so long
as there is a robust governance framework in place to ensure the quality of the
training and education and the qualifications obtained are portable.

6.196 Measures to integrate the VET and university sectors are being explored through the
process of skills reform supported by the new NSA, via the Employment White
Paper, and through the Universities Accord. To date these processes do not appear
to have resulted in a comprehensive roadmap to a genuinely integrated tertiary
education sector. Accordingly, the Committee considers that such a roadmap should
be developed, with measures aligned with ongoing work to enhance Australia’s
education and skills sectors. Key elements of the roadmap should include:
• Integrated funding arrangements which support lifelong learning. The Committee
is attracted to the proposition such as a lifelong learning or skills account which
supports study in either sector without the need to access different loan programs.
Such an account might support Australians who would not otherwise have
participated in skills or training due to perceived financial barriers.
• A clear framework for the qualifications that may be offered by VET providers and
by universities, with a focus on building on the identified strengths of each sector.
For example, VET providers have a strong history of delivering shorter courses,
supporting apprenticeships, and delivering Certificate-level qualifications, while
universities are typically better equipped to deliver degree-level qualifications.
• Targeted funding and other support for dual sector qualifications which align with
current and emerging skills needs, including advanced apprenticeships.
• Clear pathways between VET and university, with defined entry points to courses
and qualifications, processes for credit transfer, and adaptive, user-friendly
processes for RPL. The Committee supports proposals such as a portable skill
sharing system or portfolio in this regard.
• Service-level agreements between the regulators responsible for the VET and
university sectors to reduce duplication and streamline process. Over the long
term, merging the two regulators into a single entity responsible for quality
assurance in the tertiary education system should be explored.

6.197 Development of a roadmap should be led by a coordinating council with members


representing Commonwealth and State Government, the VET and university sectors,
employers and industry bodies, unions, and students and their representatives. This
council would focus on identifying and resolving key issues associated with funding

179
and regulation, education, and career pathways—including RPL; dual qualifications;
and collaboration between jurisdictions and stakeholders.

6.198 To the extent possible, a roadmap to a genuinely integrated system should link with
other measures to improve both interoperability and student outcomes, including the
policy framework for micro-credentials recommended in Chapter 5, and a national
career education strategy recommended in Chapter 4.

6.199 In developing this roadmap, government should give consideration to whether there
would be value in separating an integrated tertiary education sector from a training
sector focused on shorter courses—for example, first aid, responsible service of
alcohol (RSA), and industrial licensing. Noting that many of the measures that are
contemplated by such a roadmap will take time to develop and scale to a national
level, the Committee considers that there would be value in trialling certain measures
to better understand their impact.

Recommendation 33

6.200 The Committee recommends that the Australian Government implement the
recommendations of the Australian Universities Accord Final Report, and work
with State and Territory Governments and other key stakeholders to define a
roadmap to a genuinely integrated tertiary education system. This roadmap
should include the following key elements:
• Integrated funding arrangements which support lifelong learning.
• Clearly defined guidelines for the qualifications that can be offered by
vocational education and training (VET) providers and by universities.
• Clearly defined guidelines and targeted funding for dual qualifications
which align with current and emerging skills needs, including advanced
apprenticeships.
• Clear pathways between VET and university courses and qualifications,
with defined entry points and processes for credit transfer.
• An adaptive, user-friendly framework for the recognition of prior learning.
• Service-level agreements between the regulators responsible for the VET
and university sectors to reduce duplication and streamline process.

The development of the roadmap should be led by a coordinating council, with


representatives from Commonwealth and State Government, and from both the
VET and university sectors.

6.201 Partnerships with industry and individual employers will be critical to the quality and
relevance of the training delivered by the VET sector and employment outcomes for
graduates. Partnerships have a critical role to play in boosting awareness of the
value that VET graduates can bring to an employer’s business and in helping to raise
perceptions of the sector as a whole.

180
6.202 There is compelling evidence that engagement between the VET sector and industry
must go beyond the development of training. It should include direct partnerships
with individual employers that enable the employer to provide input into the delivery
of training and to build employers’ understanding of how VET graduates contribute
value to a business. Measures to enable individual employers to navigate the VET
system have merit.

6.203 The Committee agrees that government has a key role to play in enabling provider-
employer partnerships, including by providing sustainable funding and appropriate
policy and program settings. This may include providing financial support to sustain
place-based projects which respond to local need, to enable those projects to scale
their offerings to the state or national level as appropriate, and to ensure learnings
and examples of best practice from those projects can be shared.

6.204 The Committee is optimistic that measures under the new NSA—particularly the
establishment of TAFE Centres of Excellence—should help to enable meaningful
partnerships between providers and employers and ensure that training is innovative
and responds to employers’ needs. It also appears that the proposed National TAFE
Network should also ensure examples of best practice can be easily shared. The
Committee strongly encourages the government to closely monitor these and other
measures in the new NSA to ensure that they encourage and support partnerships
between VET (especially TAFE) and employers, with changes made or additional
measures introduced as necessary.

6.205 In addition, it appears that a challenge facing VET graduates is the gradual increase
in the level of qualifications demanded by employers, who often demand university-
level qualifications for entry-level roles. In many cases, the qualification demanded by
the employer does not align with key job requirements, with evidence suggesting that
at least some new employees have been obliged to retrain in the VET sector after it
is discovered that they lack certain practical skills.

6.206 The Committee also considers that as part of the skills reform agenda, governments
at all levels should work with industry associations, employers, experts, and other
key stakeholders to develop guidance material on the skills requirements for
individual roles. This may involve developing guidance for individual sectors, to be
distributed and promoted by peak bodies. The guidance should encourage
employers to have greater regard to the specific skills requirements of a position
when conducting recruitment activities.

6.207 The Select Committee on Workforce Australia Employment Services recommended


in its final report that an employer-focused service be implemented and delivered by
regional hubs. A key function of this service would be working with employers to
match jobseekers to vacancies and to help employers adapt their recruitment and
work practices to a diverse range of candidates. The Committee suggests that this
could include working with employers to carefully identify skills needed for a position,
and promoting VET qualifications as a way of meeting those skills needs. The service
might include working with employers to identify flexible opportunities for people who
cannot commit to full-time or strenuous work (for example, full-time parents, older
people, and people in remote areas) but wish to participate in the labour market.

181
Recommendation 34

6.208 The Committee recommends that the Australian Government, through the Jobs
and Skills Councils, work with State and Territory Governments, peak bodies,
experts, employers, employment service providers, and other key stakeholders
to develop sector-level guidance on the skills requirements of individual roles.
This guidance should support better-targeted recruitment focused on skills
requirements over qualifications.

Ms Lisa Chesters MP
Committee Chair
29 February 2024

182
A. Submissions
1 Adjunct Professor Robin Shreeve

2 Robert Heron

3 Mr Paul Pellier

4 Dr Phillip Rutherford

5 Master Electricians Australia

6 Independent Schools Tasmania

7 Mr Francis Doherty

8 Independent Higher Education Australia

9 Refraction Media

10 Name Withheld

11 Tasmanian Government

12 Government of South Australia

13 Skills Impact

14 Training Tailor Made

15 Australian Centre for Career Education

16 Newbery Consulting

17 National Electrical and Communications Association

18 Professor Stephen Billett

19 National Youth Commission Australia

20 Dr Karen O'Reilly-Briggs, Dr Rochelle Fogelgarn and Dr Jacolyn Weller

21 IEU-QNT

22 AMWU

183
• 22.1 Supplementary to submission 22
23 Dynamic Learning Services Pty Ltd

24 The Pharmacy Guild of Australia

25 AMES Australia

26 Queensland Nurses and Midwives' Union

27 Catholic Education Western Australia Limited

28 Royal Life Saving Society – Australia

29 Hireup

30 National Fire Industry Association

31 Australian Industry Trade College

32 Equal Opportunity Commission

33 National Catholic Education Commission

34 Helen Connolly, Commissioner for Children and Young People

35 Qld Alliance for Mental Health

36 National Centre for Vocational Education Research

• 36.1 Supplementary to submission 36


37 Australian Education Union

38 Motor Trades Association of Australia

39 Career Industry Council of Australia

40 Australian Automotive Aftermarket Association

41 CareFlight

42 Business NSW

43 Australian Chamber Of Commerce

44 SDA National

45 Community Media Training Organisation

46 University of Technology Sydney

184
47 Australian Industry Group Centre for Education and Training

48 Catholic Education Commission of Victoria Ltd

49 The Australian Academy of Technological Sciences and Engineering

50 SkillsIQ

51 Ms Amanda Ellwood

52 AVETRA

53 Integrated Information Service

54 ANMF

55 National Farmers' Federation

56 SkillsOne

57 Association of Heads of Independent Schools of Australia

58 Ms Claire Field

59 TAFE Directors Australia

60 National Australian Apprenticeships Association

• 60.1 Supplementary to submission 60


61 Isolated Children's Parents' Association of WA Inc

62 Ms Julie Pilioglou

63 National Rugby League

64 Australian Disability Clearinghouse on Education and Training

65 Mr Brett Hilder

66 Name Withheld

67 RMIT University

68 National Apprentice Employment Network

69 Australian Council of Trade Unions

70 Women in Adult and Vocational Education (WAVE)

71 Master Builders Australia

185
72 Professor Erica Smith

• 72.1 Supplementary to submission 72


73 Australian Retailers Association

74 Australian Flexible Pavement Association

75 Save the Children Australia and 54 Reasons

76 Department of Employment and Workplace Relations

• 76.1 Supplementary to submission 76


• 76.2 Supplementary to submission 76
77 NSW Department of Education, TAFE NSW and NSW Education Standards Authority

78 Jigsaw Australia

79 Australian Small Business and Family Enterprise Ombudsman

80 Victorian Chamber of Commerce

81 Jobs and Skills Australia

82 Alphacrucis University College

83 Monash University

84 Independent Schools Australia

85 Independent Tertiary Education Council Australia

• 85.1 Supplementary to submission 85


• 85.2 Supplementary to submission 85
86 Council of Small Business Organisations Australia

87 Electrical Trades Union of Australia

88 Australian Digital and Telecommunications Industry Association Inc

89 Australian Government Department of Education

90 Victorian Student Representative Council

• 90.1 Supplementary to submission 90


91 National Union of Students (NUS)

• 91.1 Supplementary to submission 91

186
92 Minerals Council of Australia

93 Business Council of Australia

94 The WorldSkills Australia

95 Queensland Government

96 Central Coast Apprenticeship and Traineeship Advisory Committee

97 Western Australian Government

98 Alan Sparks, AM, BEM

99 DaV'ange Group Pty Ltd

100 The Management Edge

187
B. Public Hearings
Wednesday, 22 March 2023
Committee Room 1R2, Parliament House, Canberra

Department of Employment and Workplace Relations

• Clare Sharp, Acting Deputy Secretary, Skills and Training Group


• Laura Angus, First Assistant Secretary, Careers and International Division
Jobs and Skills Australia

• David Turvey, First Assistant Secretary


• Professor Peter Dawkins AO, Director

Wednesday, 29 March 2023


Committee Room 1R2, Parliament House, Canberra

TAFE Directors Australia

• Jenny Dodd, Chief Executive Officer


Australian Council of Trade Unions

• Christopher Watts, Senior Policy Adviser

Wednesday, 19 April 2023


Committee Room 1R3, Parliament House, Canberra

Motor Trades Association of Australia

• Rodney Camm, Chief Executive Officer (Queensland)


• Darrell Jacobs, Chief Executive Officer (South Australian and Northern Territory)
• Ian Price, General Manager, Training (New South Wales)
Master Electricians Australia

• Chris Lehmann, National Advocacy Manager


National Australian Apprenticeships Association

• Ben Bardon, Chief Executive Officer

189
Minerals Council of Australia

• Ben Davies, General Manager, Workplace and Safety


• Karolina Szukalska, General Manager, Workforce and Innovation

Wednesday, 26 April 2023


Committee Room 1R3, Parliament House, Canberra

Australian Manufacturing Workers’ Union

• Mark Dean, Research and Planning Officer


Australian Nursing and Midwifery Federation

• Annie Butler, Federal Secretary


• Jodie Davis, Federal Education Officer
National Union of Students (NUS)

• Bailey Riley, President


• Salwa Kilzi, Vocational Education Officer
Victorian Student Representative Council (VicSRC)

• Julia Baron, Chief Executive Officer


• Isabelle Holmes, Student Executive Advisory Committee Member
• Billy Lister, Student Executive Advisory Committee Member
Australian Education Union

• Maxine Sharkey, Federal TAFE Secretary, Federal Office

Wednesday, 3 May 2023


Committee Room 1R3, Parliament House, Canberra

Mr Robin Shreeve, Private capacity

Dr Karen O'Reilly-Briggs, Private capacity

Dr Rochelle Fogelgarn, Private capacity

Dr Jacolyn Weller, Private capacity

Professor Erica Smith, Private capacity

Dr Stephen Billett, Private capacity

Dr Sarojni Choy, Private capacity

Griffith University

190
• Dr Steven Hodge, Deputy Head of School (Research), School of Education and
Professional Studies
• Dr Anh Hai (Leah) Le, Research Felow, School of Education and Professional
Studies

Tuesday, 16 May 2023


Main Committee Room, Parliament House, Canberra

National Centre for Vocational Education Research

• Simon Walker, Managing Director


SkillsIQ

• Yasmin King, Chief Executive Officer


Career Industry Council of Australia

• David Carney, Executive Director


Australian Centre for Career Education

• Penne Dawe, Chief Executive Officer


• Helen Madden, Member, Committee of Management

Wednesday, 24 May 2023


Committee Room 1S5, Parliament House, Canberra

National Rugby League

• Tain Drinkwater, Executive General Manager, Performance and Pathways


• Tiffany Slater, General Manager, Wellbeing, Diversity and Performance
Independent Tertiary Education Council Australia

• Troy Williams, Chief Executive


• Felix Pirie, Deputy Chief Executive Officer, Policy and Research

Wednesday, 31 May 2023


Committee Room 1S5, Parliament House, Canberra

The Monash Centre for Youth Policy and Education Practice (Video Conference)

• Professor Lucas Walsh, Director


Electrical Trades Union of Australia

• Reagan Agar, National Policy Officer

191
• Jessie Caisley, National Policy Officer
• Trevor Gauld, National Policy Officer

Wednesday, 7 June 2023


Cranbourne Secondary College, Stawell Street, Cranbourne

Secondary college students


• Ankido
• Annabelle
• Bianca
• Casper
• Emily
• Eman
• MacKenzie
Staff
• Mr George Massouris, Assistant Principal
• Ms Alison Wall, VET Pathways Coordinator

Wednesday, 21 June 2023


Committee Room 1R2, Parliament House, Canberra

Department of Employment and Workplace Relations

• Anna Faithfull, Deputy Secretary, Skills and Training


• Laura Angus, First Assistant Secretary, Careers and International Skills
Jobs and Skills Australia

• David Turvey, First Assistant Secretary


• Natasha Yemm, Director
Department of Education

• Brett Nordstrom, Assistant Secretary, Tertiary Policy Branch


• Kelly Pearce, First Assistant Secretary, Higher Education Division

Monday, 17 July 2023


Seminar Room 1 & 2, Caboolture Hub, Moreton Bay Regional Council, Level 1, 4 Hasking
Street, Caboolture

192
Industry roundtable - Loveday Electrical and Katrina's School of Hair and Beauty

• Katrina Gilligan, Chief Executive Officer


• Kira McKenna, Principal
Justine Gaske

Wednesday, 26 July 2023


Chisolm Institute Frankston Campus, Fletcher Road, Frankston

Advance Community College

• Mark Darragh, Registered Training Organisation Manager


Nepean Industry Edge Training

• Samantha Gillick, Lead Trainer


South-East Melbourne and Peninsula Region, Workforce Australia

• Sean Teer, Employment Facilitator


Frankston Mornington Peninsular Local Learning and Employment Network
• Angela Byatt, Executive Officer

Thursday, 27 July 2023


Brighton Council Chambers (top floor Library), Corner Wilson St and Boxhall St, Brighton

Women in Adult and Vocational Education (WAVE)

• Kit McMahon, National Co-Convenor


Brotherhood of St Laurence

• Kira Clarke, Principal Research Fellow, Skills and Training, Education, Skills and
Training Team, Social Policy and Research Centre
Fashion Industry Roundtable

• Leila Hibra, Chief Executive Officer, Australian Fashion Council


• Courtney Knight, Sustainability Lead, Viktoria & Woods
• Vicki Nicola, Lead Educator, Kangan Institute
• Belinda Paul, Founder and Director, RCYCL
• Katrina Rose, Program Manager, Fashion and Textiles, Creative Industries, RMIT
University
Ashley Beeby, Private capacity

Nathan Carolus, Private capacity

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Ebony Pacey, Private capacity

Raelene Stockton, Private capacity

Monday, 14 August 2023


Committee Room 2S2, Parliament House, Canberra

National Youth Commission Australia

• Keith Waters, Chief Executive Officer


Isolated Children’s Parents’ Association (ICPA) of WA

• Sally Brindal, Immediate Past President


• Kym Ross, State Councillor
Laureate Professor Jenny Gore, Director, Teachers and Teaching Research Centre,
University of Newcastle

Wednesday, 16 August 2023


Room M4.07, Level 4, M Block See Street, Meadowbank

TAFE NSW, Macquarie University and University of Technology Sydney

• Professor Anne Gardner, Associate Dean, Teaching and Learning, Faculty of


Engineering and IT, University of Technology Sydney
• Professor Grant Hose, Associate Dean, Innovation, Faculty of Science and
Engineering, Macquarie University
• Dr Raffaele (Raf) Marcellino, Executive Director, Education and Skills, TAFE NSW
• Stephen Brady, Managing Director, TAFE NSW
• Matt Bushby, Director, Commercial and University Partnerships, TAFE NSW
• Janet Schorer, Chief Delivery Officer, TAFE NSW
The Institute of Technology Education (ITE)

• Grant Byrne, President


• Andrew Brooks, Committee Member
• Matthew Stanley, Committee Member
New South Wales Department of Education

• Samantha McMurdo, Classroom Teacher

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C. Reviews and policy context
1.1 As set out in chapter 1, several reviews and inquiry processes relating to the VET
sector are either ongoing or have been recently completed. The outcomes of these
reviews—and particularly the new National Skills Agreement (NSA), Employment
White Paper, and Australian Universities Accord (AUA)—are directly relevant to the
views and recommendations outlined in this report.

1.2 Key reviews and reform processes are outlined below. Stakeholders emphasised that
reviews of the sector should not be considered in isolation. There must be holistic
consideration of stakeholder input, as well as efforts to ensure that implementing
recommendations of one review do not adversely impact on implementation of the
recommendations set out in another.1

1.3 Stakeholders also noted that there have been many reforms to the VET system, and
raised concern that students, providers, employers, and other stakeholders have little
time to adjust to reforms and implement meaningful, lasting change.2

National Skills Agreement


1.4 A National Agreement for Skills and Workforce Development (NASWD) was agreed
by Commonwealth, state, and territory governments in 2009, under the auspices of
the Intergovernmental Agreement of Federal Financial Relations. The NASWD was
updated in 2012.

1.5 The NASWD was a high-level agreement that identified long-term policy objectives in
areas of skills and workforce development, recognising the importance of ensuring
the skills of the Australian people are developed and utilised in the economy. Its
objectives were to ensure the VET system delivers a productive and highly skilled
workforce; enables all working age Australians to develop the skills and qualifications
needed to participate effectively in the labour market and contribute to Australia’s
economic future; and supports increased rates of workforce participation.3

1.6 Progress towards targets in the NASWD were reported through a public dashboard
maintained by the Productivity Commission.

1 See, eg, Australian Chamber of Commerce and Industry, Submission 43, p. 1; Australian Academy of
Technical Sciences and Engineering, Submission 49, p. 3; Integrated Information Service, Submission 53,
p. 1; Minerals Council of Australia, Submission 92, pages 12–13.
2 See, eg, Western Australian Government, Submission 97, p. 6; Ms Yasmin King, CEO, SkillsIQ, Committee
Hansard, 16 May 2023, p. 8.
3 Department of Employment and Workplace Relations (DEWR), National Agreement for Skills and Workforce
Development (NASWD).

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Productivity Commission review of the NASWD
1.7 On 15 November 2019, the Australian Government requested that the Productivity
Commission review the NASWD. Government requested that the Commission have
regard to current and potential funding arrangements, existing skills programs and
contemporary policy settings and labour market needs.4

1.8 The Commission provided a final report to government in January 2021. Key matters
outlined in the report included:
• A lack of evidence for a VET system in crisis. The measures recommended were
to address some acknowledged weaknesses of the system and to continue
building on its strengths.
• Recognition that the NASWD was overdue for replacement.
• Support for making the intergovernmental agreement to replace the NASWD
principles-based and modular, with review of the agreement every five years.
• Support for the continuing development of a more efficient and competitive VET
market through informed user choice and a focus on quality.
• Recognition that there was capacity for governments to achieve better returns on
the $6.4 billion spent via changes to subsidies and fees; greater contestability and
transparency in public funding for TAFEs and enhancements to the autonomy of
private providers; and by enabling state and territory funding to follow students
enrolled with an interstate provider.
• Support for expanding VET Student Loans (VSL) to more Diploma and above
courses and to most Certificate IV courses.
• Recognition that reforms to the trade apprenticeship system are best focused on
improving completion rates through better screening and matching of prospective
apprentices, making pathways more flexible, and adjusting employer incentives.
• Support for a coordinated national strategy to improve school education, ‘second-
chance’ learning in the VET sector, and other adult education services to reduce
the number of Australians with low language, literacy, and numeracy skills.5

1.9 The report made 32 recommendations focused on enhancing the VET system and
setting the groundwork for a new national agreement.

Development of a new National Skills Agreement


1.10 Following the Commission’s report, governments agreed a Heads of Agreement for
Skills Reform in July 2020. This outlined a series of priorities for a new National Skills
Agreement (NSA) to replace the NASWD. These included:

4 Productivity Commission, National Agreement for Skills and Workforce Development Review—Study Report,
21 January 2021, p. v.
5 Productivity Commission, National Agreement for Skills and Workforce Development Review—Study Report,
21 January 2021, p. 2.

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• Adopting a new funding model
• Developing and funding nationally accredited micro-credentials and individual skill
sets, in addition to full qualifications,
• Providing stronger support for foundation skills and ensuring access for all
Australians with low levels of language, literacy, numeracy. and digital literacy
• Promoting apprenticeships and other employment-based training,
• Strengthening VET pathways for secondary school students and improving the
quality and vocational relevance of VET in schools.
• Working with the National Careers Institute (NCI) to reduce the proliferation of
careers information available and supporting the NCI to provide access to career
information that enables people to make decisions about their learning, training
and employment pathways.
• Enhancing transparency and accountability.
• Supporting a viable and robust system of public, private, and non-profit providers.
• Increasing real investment in VET, while undertaking agreed reforms needed to
ensure this investment will improve outcomes for Australians and the economy.6

1.11 The Heads of Agreement also outlined measures that governments could implement
in the shorter term, including simplifying, rationalising, and streamlining qualifications
and strengthening quality standards. Parties also committed to the establishment of a
$1 billion JobTrainer Fund, to enable a rapid increase in low- or no-fee training
places for young people in areas of genuine and identified skills needs.7

1.12 Following the Heads of Agreement for the new NSA, a vision and principles for the
NSA were agreed by the Skills Ministers and endorsed by the National Cabinet on
31 August 2023. Key principles included providing a supply of skilled labour to key
industries; rebuilding TAFEs; supporting historically disadvantaged cohorts to access
education, training, and support to obtain secure and well-paid jobs; supporting
economic transitions; and pursuing greater national consistency while respecting the
autonomy of the states and territories.

1.13 The new NSA was endorsed by the National Cabinet on 16 October 2023. It provides
states and territories with access to Commonwealth funds of up to $3 billion over five
years, taking total Commonwealth investment in state and territory training systems
to $12 billion over five years. According to the Department of Employment and
Workplace Relations (DEWR), the new NSW also represents a ‘fundamental shift’ in
the way that governments work together to address shared challenges and capitalise
on shared opportunities in the VET system. This is underpinned by a greater focus
on stewardship and national collaboration. It is also proposed to develop an

6 Department of Prime Minister and Cabinet (PMC), Heads of Agreement for Skills Reform, 5 August 2020,
pages [1–2], https://www.pmc.gov.au/resources/heads-agreement-skills-reform, viewed 5 February
2024.https://www.pmc.gov.au/resources/heads-agreement-skills-reform
7 PMC, Heads of Agreement for Skills Reform, 5 August 2020, p. [2],

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outcomes framework for the sector and a National Skills Plan. It is anticipated that
the National Skills Plan would be published in June 2024.8

1.14 An additional $1.3 billion in Commonwealth funding is also committed for priority
reforms, including:
• $325 million to establish nationally networked TAFE Centres of Excellence and
strengthen collaboration between TAFEs, universities, and industry $32 million
has also been committed in the Employment White Paper. Among other matters,
the Centres will provide national leadership in the delivery of skills, education, and
training; bring together employers, unions, universities, and other stakeholders to
develop and implement solutions to meet skills needs; develop innovative and
more advanced training offers such as higher apprenticeships; and disseminate
best practice across the TAFE network. According to DEWR, up to six Centres will
be ‘turbocharged’ for rapid establishment in the areas of net zero, the care and
support sector, and digital skills. The first Centres of Excellence are expected to
commence operation in 2024.9
• $100 million to support, grow and retain a quality VET workforce—supported by a
new VET Workforce Blueprint. The development of the Blueprint is being guided
by a tripartite expert steering group, with the Blueprint expected to be finalised in
early 2024 following consultation with sector and industry representatives.10
• $155 million to establish a National TAFE leadership Network to promote cutting
edge curriculum. It is envisaged that the Network will foster collaboration between
the teachers and administrators of TAFEs and public training providers to develop
curriculum resources, improve the quality of teaching and learning practice, and
enhance the status of TAFE. The Network will share innovation and best practice
from TAFE Centres of Excellence with the broader TAFE network.11
• $214 million for Closing the Gap initiatives to be designed in partnership with and
led by First Nations peoples. Initiatives will include partnering with First Nations
organisations to provide genuine engagement and agency in policymaking;
expanding investment in the capability, sustainability, and growth of the Aboriginal
Community-Controlled and First Nations Owned training sector; growing the Frist
Nations VET workforce and boosting the cultural capability of mainstream RTOs;
and boosting data and evaluation capacity in the First Nations VET sector.12
• $250 million to improve VET completions for people who face completion
challenges. Among other measures, this initiative will include supporting employer

8 PMC, Heads of Agreement for Skills Reform, 5 August 2020; See also DEWR, Stewardship in the National
Skills Agreement, 17 October 2023, pages [1–3], https://www.dewr.gov.au/skills-reform/resources/
stewardship, viewed 5 February 2024.
9 DEWR, TAFE Centres of Excellence, 17 October 2024, pages [1–2], https://www.dewr.gov.au/skills-reform/
resources/tafe-centres-excellence, viewed 5 February 2024.
10 DEWR, Measures to strengthen the VET workforce,17 October 2023, pages [1–2], https://www.dewr.gov.au/
skills-reform/resources/vet-workforce, viewed 5 February 2024.
11 DEWR, National TAFE Network, 17 October 2023, pages [1–2], https://www.dewr.gov.au/skills-reform/
resources/national-tafe-network, viewed 5 February 2024.
12 DEWR, Closing the Gap, 17 October 2023, pages [1–2], https://www.dewr.gov.au/skills-reform/resources/
closing-gap, viewed 5 February 2024.

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and apprentice relations to improve retention rates and refreshing the National
Code of Good Practice for Australian Apprenticeships. Projects which aim to
support specific cohorts including women, First Nations peoples, and people with
disability will be prioritised in funding arrangements.13
• $142 million to improve the quality and accessibility of foundation skills training.
This will include supporting states and territories to enable no- or low-fee access
to foundation skills training through VET and/or Adult and Community Education
(ACE) providers. A 10-year national foundation skills strategy will also be
developed to strengthen the quality and sustainability of the sector.14
• $116 million to improve VET evidence and data. This will support measures to
simplify reporting pathways, improve data quality, and increase reporting
timeliness throughout the VET system. Key reforms include improving cyber
security, supporting collaboration with States and Territories and the NCVER in
the new VET Information Standard, and the National ICT capability for sharing
VET data and information.15

Australian Universities Accord


1.15 On 16 November 2022, the Minister for Education announced a comprehensive
review of the Australian higher education system, and the appointment of an Expert
Panel to conduct the review.16

1.16 The Panel was tasked with reviewing the higher education system against seven
priority areas: current and future skills needs; access and opportunity; investment
and affordability; governance and accountability; links between university and VET;
quality and sustainability; and innovation and capability. The Panel was also tasked
with engaging across all sectors and groups affected by higher education policy in
the conduct of the review.17

1.17 An interim report for the review was provided to government in June 2023. It set out
the following priority actions to reform the higher education sector:
• Extending visible, local access to tertiary education by creating further Regional
University Centres and establishing similar concepts for metropolitan areas
• Ceasing the 50 per cent pass rule and requiring increased reporting on student
progress.

13 DEWR, Improved Completions – especially for priority groups, 17 October 2023, pages [1–2],
https://www.dewr.gov.au/skills-reform/resources/improved-completions, viewed 5 February 2024.
14 DEWR, Ensuring Access to Foundation Skills, 17 October 2023, pages [1–2], https://www.dewr.gov.au/skills-
reform/resources/foundation-skills, viewed 5 February 2024.
15 DEWR, Enhanced VET Data and Evidence, 17 October 2023, pages [1–2], https://www.dewr.gov.au/skills-
reform/resources/vet-data-and-evidence, viewed 5 February 2024.
16 Department of Education, Australian Universities Accord, https://www.education.gov.au/australian-
universities-accord, viewed 6 February 2024.
17 Department of Education, Review of Australia’s Higher Education System—Terms of Reference,
17 November 2022, https://www.education.gov.au/australian-universities-accord/resources/terms-reference,
viewed 6 February 2024.

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• Ensuring all First Nations students are eligible for a funded place at university, by
extending demand driven funding to metropolitan First Nations students.
• Provide funding certainty through the extension of the Higher Education Continuity
Guarantee into 2024 and 2025.
• Immediately engaging with state and territory governments and universities to
improve university governance.18

1.18 The Interim Report also sets out the Panel’s initial views about larger issues to be
covered in a final report, and which will be tested through further consultation and
engagement with stakeholders.

1.19 The Final Report for the AUA was presented to government on 28 December 2023,
and released to the public on 25 February 2024.19

1.20 According to the report, significant changes are needed in higher education to
produce the skills, knowledge and intellectual ambition needed to meet current and
emerging social, economic, and environmental challenges and to respond to skill
shortages and areas of critical demand.20

1.21 The Final Report makes 47 recommendations, including a national tertiary education
system with the objective of underpinning a strong, equitable and resilient democracy
and driving national economic and social development and environmental
sustainability. Recommendations with relevance to the current inquiry include:
• A more flexible and responsive skills system, achieved through initiatives
including a National Skills Passport to give all Australians a record of their formal
qualifications, skills, prior learning, and work experience.
• A comprehensive system of modular, stackable, and transferable qualifications
• New accreditation arrangements for micro-credentials in the higher education
sector, setting conditions so these credentials are funded as Commonwealth
supported places.
• Supporting methods of ramping up skills delivery, including through collaborative
infrastructure such as TAFE Centres of Excellence
• Outreach programs to build the aspiration and capacity of students from
underrepresented groups to participate in tertiary education, including a consistent
national framework for career advice across all life stages and a national
communications campaign to build aspiration for tertiary education.

18 Department of Education, Australian Universities Accord—Interim Report, 19 July 2023, pages 11–13,
https://www.education.gov.au/australian-universities-accord/resources/accord-interim-report, viewed
5 February 2024.
19 Department of Education, Australian Universities Accord—Final Report, 25 February 2024,
https://www.education.gov.au/accord-final-report, viewed 27 February 2024.
20 Department of Education, Australian Universities Accord: Summary of the Final Report, 23 February 2024,
p. 3, https://www.education.gov.au/australian-universities-accord/resources/australian-universities-accord-
final-report-summary-report, viewed 27 February 2024.

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• Developing a national student charter setting out a shared, national commitment
to the welfare, safety and wellbeing of all students and establishing a National
Student Ombudsman to respond to student complaints.
• An Australian Tertiary Education Commission as a statutory, national body to plan
and oversee the creation of a high quality and cohesive tertiary education system
to meet Australia’s future needs.
• Develop a fit for purpose, integrated and timely tertiary education data capability,
with the Australian Tertiary Education Commission to produce an annual State of
the Tertiary Education System Report
• A pathway for TAFEs to become self-accrediting in VET at the Australian
Qualification Framework (AQF) Level 5 and above in areas of national priority.21

Employment White Paper


1.22 As an outcome of the 2022 Jobs and Skills Summit, the Australian Government
announced the development of an Employment White Paper. The Development of
the White Paper sought to provide a comprehensive blueprint for Australia’s future
labour market, including a bigger, better-trained and more productive workforce to
boost incomes and living standards and create opportunities for Australians.22

1.23 The White Paper was released in September 2023.

1.24 The White Paper explains that building a competitive economy relies on investments
in the skills and capabilities of the current and future labour force. This is increasingly
the case as the Australian economy shifts from hydrocarbons to renewables; with the
development of artificial intelligence (AI); with an increasingly older workforce; with
increasing growth in the care and support economy; and as global fragmentation puts
pressure on supply chains.23

1.25 The White Paper sets out a roadmap to achieve the Australian Government’s vision
for the future labour market, focused on 10 key policy areas. Of direct relevance to
the current inquiry is a focus on investing in skills, tertiary education, and lifelong
learning by increasing the share of Australians studying in areas of high skills need.
This includes measures to:
• Broaden opportunities for people to study in areas of skills shortage.
• Enhance the tertiary education sector in priority areas.
• Support partnerships with industry.

21 Department of Education, Australian Universities Accord: Summary of the Final Report, 23 February 2024,
pages 28–32.
22 Department of the Treasury, Terms of Reference, https://treasury.gov.au/review/employment-whitepaper/tor,
viewed 6 February 2024.
23 Australian Government, Working Future: The Australian Government’s White Paper on Jobs and
Opportunities, 25 September 2023, pages xi, 214, https://treasury.gov.au/employment-whitepaper/final-
report, viewed 5 February 2024.

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• Grow and strengthen the VET sector.
• Broaden access to university.
• Promote study in areas of high skills need.
• Boost collaboration in the tertiary sector.
• Remove barries to lifelong learning.24

Review of the Australian Qualifications Framework


1.26 In June 2018, the Minister for Education and Training and the Assistant Minister for
Vocational Education and Skills announced the appointment of an Expert Panel to
undertake a review of the Australian Qualifications Framework (AQF). The review
was announced in the 2017-18 Budget.25

1.27 Terms of Reference for the AQF Review tasked the Expert Panel with reviewing the
AQF structure and components to ensure the AQF was: flexible and responsible;
reflected the knowledge, skills and capabilities required for economic and social
participation; facilitated access to learning pathways and mobility within and between
education sectors, AQF levels and AQF qualifications; and reflected international
good practice.26

1.28 The review recognised that formal qualifications would continue to be important in the
labour market. It aimed to ensure the AQF was adapted to support widening access
to education and employment. The AQF review was closely linked to other review
and policy reform processes, including the 2018 Council of Australian Government
(COAG) review of senior secondary pathways, and the Strengthening Skills review of
the VET system (Joyce Review—discussed below).27

1.29 The review was presented to government in September 2019. While finding that the
(then) current AQF was more comprehensive and complete than earlier versions of
the framework, the Panel nevertheless argued that the AQF should be significantly
reformed. Among other matters, the panel found that too much weight was placed on
levels within the AQF relative to the qualifications with which the qualifications align,
and that the 10-level structure of the AQF was too rigid and overly hierarchical. The
Panel also found that the outcome statements in the AQF were not meaningful, and
that the AQF Qualifications Pathway Policy provides only limited guidance on credit

24 Australian Government, Working Future: The Australian Government’s White Paper on Jobs and
Opportunities, 25 September 2023, pages xi, 214.
25 Department of Education, Australian Qualifications Framework Review, https://www.education.gov.au/higher-
education-reviews-and-consultations/australian-qualifications-framework-review, viewed 6 February 2024.
26 Australian Government, Review of the Australian Qualifications Framework Final Report, 24 October 2019,
p. 17, https://www.education.gov.au/higher-education-reviews-and-consultations/resources/review-
australian-qualifications-framework-final-report-2019, viewed 5 February 2024.
27 Australian Government, Review of the Australian Qualifications Framework Final Report, 24 October 2019,
pages 17–20.

202
recognition between some qualifications and was not designed to recognise shorter
form qualifications such as micro-credentials.28

1.30 The Expert Panel made 21 recommendations to underpin a comprehensive set of


reforms to the AQF. These included:
• A less complex AQF structure with a primary focus on qualification types.
• A single and clearer taxonomy comprising eight bands of knowledge and six
bands of skills more flexibly applied.
• The use of contemporary definitions of knowledge and skills
• Refocusing the AQF on the design of qualifications linked to learning outcomes.
• Providing additional information to help define qualification types—particularly for
qualifications linked to nationally recognised training, apprenticeships, and
research-oriented qualifications.
• The identification of general capabilities such as digital literacy and ethical
decision making in individual qualifications.
• Revision of the AQF Pathways Policy to broaden guidelines for credit recognition
and to provide for recognition of shorter form credentials.
• Development of a prototype national credit points system for voluntary adoption
by institutions and sectors.
• Realignment of qualification types against a revised taxonomy, including the
addition of a higher diploma qualification.
• Clearer definitions around the Senior Secondary Certificate of Education (SSCE)
• Volume of learning is expressed in terms of hours, not years, and applied as a
benchmark for compliance and quality assurance.
• Establishment of a governance body for the AQF
• Update of AQF policies and assignment of policies to the governance body.29

1.31 On 9 December 2019, the Australian Government accepted recommendations of the


AQF Review related to higher education, and accepted the aims of recommendations
relating to VET, subject to further discussion with state and territory governments.30

28 Australian Government, Review of the Australian Qualifications Framework Final Report, 24 October 2019,
pages 8–9.
29 Australian Government, Review of the Australian Qualifications Framework Final Report, 24 October 2019,
p. 9.
30 Department of Education, Australian Qualifications Framework Review.

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Expert Review of Australia’s Vocational Education
and Training System
1.32 On 28 November 2018, the Prime Minister announced an independent review of the
VET sector to examine ways to deliver skilled workers for a stronger economy. The
review was led by the Hon Steven Joyce, a former New Zealand Minister for Tertiary
Education, Skills, and Employment. Mr Joyce delivered a final report to Government
in March 2019.31

1.33 The Joyce Review found that some good work had been done, particularly in setting
up the key elements of an integrated framework for VET, establishing a national
regulator, and providing for nationally portable qualifications. Creation of a universal
student identifier and the new VET Information Strategy were identified as ‘further
steps in the right direction’, as were the reforms to address VET FEE-HELP issues.32

1.34 However, it was unclear to many stakeholders that (then) current VET systems and
processes could deliver flexible work-based learning models to ensure Australians
could obtain the necessary skills for the future of work. Key concerns identified in the
review were slow qualification development, complex and confusing funding models,
and ongoing quality issues with certain. Careers education, VET in schools, and
access for disadvantaged learners were also raised as areas for improvement.33

1.35 Ultimately, the review found that significant upgrades to the architecture of the sector
were needed to ensure that VET could deliver the skills needed for Australia’s future.
The review proposed a roadmap for reform, underpinned by 71 recommendations
across the following six key areas:
• Strengthening quality assurance.
• Speeding up qualification development.
• Simpler funding and skills matching.
• Better careers information.
• Clearer secondary school pathways.
• Greater access for disadvantaged Australians.34

1.36 The review emphasised that implementing the roadmap would require strong and
sustained inter-governmental cooperation. It also proposed several actions that the
Australian Government could pursue in the shorter term, including reforms to ASQA,

31 The Honourable Stephen Joyce, Strengthening Skills: Expert Review of Australia’s Vocational Education and
Training System, 2 April 2019, https://www.pmc.gov.au/publications/strengthening-skills-expert-review-
australias-vocational-education-and-training-system, viewed 5 February 2024.
32 The Honourable Stephen Joyce, Strengthening Skills: Expert Review of Australia’s Vocational Education and
Training System, 2 April 2019, p. 2.
33 The Honourable Stephen Joyce, Strengthening Skills: Expert Review of Australia’s Vocational Education and
Training System, 2 April 2019, p. 2.
34 The Honourable Stephen Joyce, Strengthening Skills: Expert Review of Australia’s Vocational Education and
Training System, 2 April 2019, pages 2, 4.

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piloting a new business-led model of training development, establishing the National
Skills Commission (NSC—now Jobs and Skills Australia (JSA)) and the NCI; creating
VET pathways for secondary schools, and enhancing foundational skills training.35

1.37 As an initial response to the Joyce Review, the Australian Government committed
$585.3 million to enhance the sector through the Delivering Skills for Today and
Tomorrow package. Since then, government has made further investments and is
working with state and territory governments to further strengthen the VET sector.36

Parliamentary inquiries
1.38 The Commonwealth Parliament has conducted and continues to conduct inquiries
into the VET sector and related matters. Some of the relevant inquiries are outlined
below. State and territory governments have also conducted their own inquiries into
VET within their jurisdictions. These include:
• The Queensland Parliament’s inquiry into the delivery of VET in regional, rural,
and remote Queensland.37
• The NSW Parliament’s inquiry into VET in NSW.38
• The ACT Legislative Assembly inquiry into VET in the ACT.39

Inquiry into Australia’s tourism and international education sectors


1.39 On 11 October 2022, the Minister for Trade and Tourism, requested the Joint
Standing Committee on Foreign Affairs, Defence and Trade, through its Trade
Subcommittee, to inquire into Australia’s tourism and international education sectors.

1.40 The Committee presented an interim report on 19 October 2023. The report focused
on Australia’s international education sector post COVID-19.

1.41 Of direct relevance to the current inquiry, the Committee highlighted ‘overwhelming’
evidence of persistent and deep-seated issues in the private VET sector. It stated
that at least some providers had systematically exploited Australia’s education
system and broken migration law to funnel vulnerable international students who are
unwilling participants into sophisticated operations that in almost all cases lead to
exploitation, and in some cases to slave labour and sex trafficking.

35 The Honourable Stephen Joyce, Strengthening Skills: Expert Review of Australia’s Vocational Education and
Training System, 2 April 2019, p. 2.
36 DEWR, Expert Review of Australia’s VET System, https://www.dewr.gov.au/expert-review-australias-vet-
system, viewed 6 February 2024.
37 See Queensland Parliament, Education, Employment and Training Committee, Inquiry into the delivery of
VET in regional, rural, and remote areas.
38 See NSW Parliament, General Purpose Standing Committee No. 6 (Transport and the Arts), Vocational
education and training in NSW, 15 December 2015.
39 See ACT Legislative Assembly, Standing Committee on Education, Pathways to the Future: Inquiry into
Vocational education in the ACT, 28 August 2003.

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1.42 The Committee made 29 recommendations aimed at strengthening and enhancing
the competitiveness of Australia’s international sector, with a lead recommendation
focused on the development of a ‘Team Australia’ program to build a stronger
international education brand and support market diversification.40 The Committee
also made a specific recommendation focused on addressing unscrupulous practices
by VET providers:
The Committee recommends the Government take firm action to address
persistent and deep-seated integrity issues in the private Vocational Education
and Training (VET) sector, understanding this will be a difficult and long-term
reform program. Actions may require legislative changes to strengthen regulatory
oversight and tough decisions and could include: •
• structural reforms to improve the monitoring and assessment of current
providers and increase vetting of new providers including a fit and proper
person test to operate a VET provider.
• a pause for at least 12 months by Australian Skills Quality Authority
(ASQA) in processing new provider applications for Commonwealth
Register of Institutions and Courses for Overseas Students (CRICOS)
registered VET providers, with limited exceptions for legitimate
applications such as industry linked entities, high economic value
proposals or those endorsed by state and territory governments.
• requiring new providers seeking CRICOS registration to have operated
and delivered to domestic students for at least 12 months.
• suspension of recruitment of international students to CRICOS VET
courses identified with persistent quality and integrity issues and/or of
limited value to Australia’s critical skills needs, such as management and
leadership courses.
• automatic suspension of new international student intake for providers
under serious regulatory investigation.
• cancellation of a provider’s CRICOS registration if no training is delivered
for a period of 12 months or more.
• an ongoing boost to the resources available to ASQA for compliance and
enforcement of VET regulatory and quality requirements over time.41

Select Committee on Workforce Australia Employment Services


1.43 The Select Committee on Workforce Australia Employment Services (WAES
Committee) was established by a resolution that passed the House on

40 Joint Standing Committee on Foreign Affairs Defence and Trade, ‘Quality and Integrity – the Quest for
Sustainable Growth’: Interim Report into International Education, October 2023, pages xvii–xxvii.
41 Joint Standing Committee on Foreign Affairs Defence and Trade, ‘Quality and Integrity – the Quest for
Sustainable Growth’: Interim Report into International Education, October 2023, pages xxii–xxiii.

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2 August 2022. The WAES Committee was tasked with a first principles review of the
Workforce Australia employment services system.

1.44 The Committee presented an interim report in February 2023, and its final report on
30 November 2023.

1.45 The Committee was clear in its assessment that the employment services system
and broader human services ecosystem was fragmented and difficult to navigate,
and that the employment services system had little connection with education and
training. This was notwithstanding that quality training is widely recognised as one of
the most effective ways of improving employability and of gaining and keeping a job.

1.46 The Committee made 75 recommendations to underpin an ambitious blueprint for a


rebuilt Commonwealth Employment Services System. Recommendations with
particular relevance to the current inquiry include:
• Establishing formal intergovernmental agreement(s) setting out key roles and
responsibilities for coordination with skills, training, and related human services.
• Establishing a network of regional hubs and service gateways responsible for
local service system coordination and mapping, jobseeker assessment and
referrals to services, and industry and employer engagement and support. This is
likely to include direct engagement with the training sector.42

1.47 Introducing new objectives for the employment services system, including a specific
focus on growing the skills and capabilities of the Australian workforce, advancing the
productivity of the Australian economy, responding to the needs of business and
industry, and providing adaptive and flexible responses to energy and industry
transitions. Findings and recommendations of the WAES Committee were also
consistent with the findings of the Employment White Paper (discussed above).

Inquiry into school to work transition


1.48 On Wednesday 31 May 2017, the Minister for Employment, Education and Training,
referred to the Standing Committee on Employment, Education and Training an
inquiry into how students are supported from school to work. The Committee
presented its final report in May 2018.

1.49 The report found that while many students had been successful in their transition
from school to further education and employment, more must be done to improve the
transition process—especially for disadvantaged cohorts. Key concerns included
poor perceptions of VET pathways, issues with the PaTH internships program, and
insufficient support for students facing disadvantage, including First Nations students
and students with disability.43

42 Select Committee on Workforce Australian Employment Services, Rebuilding Employment Services: Final
Report on Workforce Australia Employment Services, November 2023, pages xxv–xxvi.
43 House of Representatives Standing Committee on Employment, Education, and Training, Unique Individuals,
Broad Skills: Inquiry into school to work transition, May 2018, pages 68–70, 90–91.

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1.50 The report made 35 recommendations. Recommendations with specific relevance to
the current inquiry include:
• Updates to initial teacher education (ITE programs).
• Significantly enhanced industry engagement with schools, and a review of the
way that industry connections are organised in schools compared with
connections in the VET and higher education sectors.
• Support for trades training in schools, including school-based apprenticeships.
• Increased marketing activity around apprenticeships and traineeships.
• Measures to ensure that VET and higher education policy take into account the
distinct needs of students from CALD backgrounds.
• Greater support for VET providers to offer enhanced English language training.
• Investment in the development and implementation of a national career education
framework or strategy, including measures to provide tailored career advice to
students with disability.44

Inquiry into the operation, regulation and funding of private VET providers
1.51 On 24 November 2014, the Senate referred the inquiry into the operation, regulation,
and funding of private VET providers in Australia to the Education and Employment
References Committee. The Committee tabled two interim reports before presenting
its final report in October 2015.

The final report raised several concerns regarding the behaviours of and funding for
private VET providers, with a strong focus on the VET-FEE-HELP scheme. It made
16 recommendations, including:
• An immediate review into the operation and regulation of VET FEE-HELP, which
should consider the most effective way to control course costs under the scheme
and the most effective way to limit provider access to the scheme.
• The rejection of proposals to lower the payment threshold under the VET-FEE-
HELP scheme to $30,000 or $40,000.
• Urgent and concerted efforts to further raise awareness of the rights of students
and existing Standards relating to providers in the VET sector.
• A concerted and urgent ‘blitz’ of all providers by the Department of Education and
ASQA, to ensure providers are consistently complying with the national standards.
• Government providing a brief to the Department of Public Prosecutions to launch
prosecutions against providers engaged or benefiting from fraud and taking steps
to recover monies lost.

44 House of Representatives Standing Committee on Employment, Education, and Training, Unique Individuals,
Broad Skills: Inquiry into school to work transition, May 2018, pages xv–xxiii.

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• ASQA be given powers to directly regulate brokers or marketing agents in the
VET sector, and to protect students.
• The government caps or otherwise regulates the level of brokerage fees paid for
VET FEE-HELP students to a maximum of 15 percent of the loan amount.
• Government applies minimum hours standards to VET FEEHELP eligible courses.
• ASQA be given the powers to take swift and strong action against RTOs found to
be providing inadequate training to their students.
• Government be required to approve any instances of RTOs subcontracting out
components of their VET FEE-HELP eligible training.
• ASQA maintains its close scrutiny on and gives priority to the Early Childhood and
Aged Care training sectors,
• Underpinning legislation for ASQA be revamped in order to give the regulator
sufficient powers to adequately regulate the VET sector.
• ASQA improves its processes to enable it to swiftly share information with other
levels of government, regulators, and law enforcement agencies.
• An Ombudsman focused on domestic students in the VET sector be created.45

Inquiry into TAFE and its operation


1.52 On 21 March 2014, the Senate Standing Committee on Education and Employment
adopted an inquiry into the role of the TAFE system and its operation. The
Committee presented its final report in October 2014.

1.53 The report emphasised the value of TAFE in the Australian community, as well as its
critical role in developing skills that are essential to the economy. However, the report
also identified issues associated with the quality of training, as well as the need to
provide sustainable funding for TAFE which takes into account the contributions of
governments at all levels. In addition, the report identified some instances of poor
practice by private providers which were jeopardising the reputation of the VET
sector as a whole, and which it was critical to address.

1.54 The report made six recommendations. These focused on defining the role of TAFE,
lifting the quality of training, defining pathways from TAFE to higher education and
employment; addressing regulatory loopholes and unscrupulous practices; gathering
additional data on funding arrangements; and ensuring funding for TAFE captures
capital requirements and support for disadvantaged learners.

45 Senate Education and Employment References Committee, Getting our money’s worth: the operation,
regulation and funding of private vocational education and training (VET) providers in Australia,
15 October 2015, pages vii–ix.

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Additional comments from
Coalition members
1.1 Coalition members are concerned about the Employment, Education and Training
Committee’s Perceptions and Status of Vocational Education and Training report.

1.2 Members are concerned that the recommendations overlook the role of private
registered training organisations (RTOs). For example, zero of the report’s 34
recommendations mention the inclusion of private RTOs. This goes against the will of
secondary education providers who stated in paragraph 4.133 that they preferred to
engage with private RTOs due to their ability to be flexible and more cost effective.

1.3 Furthermore, in discussing the Government’s recent Australian Universities Accord,


the Minister for Education almost exclusively refers to university and TAFE while
refusing to recognise the substantial number of students who choose to study with an
RTO.

1.4 As such, members are concerned that private RTOs have been forgotten about in the
recommendations of the final report where there is a strong emphasis on government
providers and Members request that RTOs be considered alongside TAFE as part of
the report’s recommendations. Doing so will provide choice for students and
secondary schools between public and private education providers.

1.5 We believe that Government should be supporting both public and private RTOs
equally to provide the best outcomes for all.

Terry Young MP Zoe McKenzie MP


Deputy Chair Federal Member for Flinders
Federal Member for Longman

Gavin Pearce MP
Federal Member for Braddon

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