A fresh vision for training
The VET system needs to be more productive and high performing — currently around 1.7 million Australians study in public VET each year but fewer than 30 per cent complete their course.
It needs to:
- be more efficient so that effort and funding is better matched to areas of skills shortage, as well as future jobs and innovation
- be more transparent, so that employers and students can be confident about training providers and the skills they get from the system
- provide opportunity to all Australians — including those outside the labour force so that they can have the opportunity to experience the benefits of work
- be more responsive to the needs of industry and students.
Building a training system focused on participation and productivity
A strong vocational education and training (VET) system is fundamental to a strong economy. We need a system capable of driving the next wave of productivity and innovation.
The Budget delivers a major reform in VET through a new partnership between the Government and industry to lift the skills and capacity of Australia's workers.
The Government will set new benchmarks for improved quality, transparency and outcomes from the states and territories as a condition for its base agreement on VET, worth $7 billion over the next five years.
In addition, the Government will offer an additional amount of up to $1.75 billion from 2012‑13 for those jurisdictions that are prepared to sign up to more ambitious reform to the performance and quality of their respective public training systems.
Over the coming months we will consult with states and territories, industry, students and providers about the structure and principles that should underpin the new agreement and National Partnership.
