Future focus:
2013 National Workforce
Development Strategy

Australian Talent Conference
May 2013

© This information is t...
The Australian Workforce and
Productivity Agency
•

Began as Skills Australia. Expert independent
Board with expertise in ...
The world of work is changing

3
Where work is being outsourced to and supplied from
What we are doing and why
What challenges
face our workforce
now and over the
years to 2025?

Changing
work
arrangements

...
Our three conceptual pillars in our response to aligning
skills, qualifications and the economy’s needs
Specialised
occupa...
Approach to the 2012 strategy
Scenario

Modelling

Plausible
worlds
(but not
predicting
the
future!)

Projections
of deman...
The four scenarios
Flexible
migration

Varying fiscal capacity

Commonalities
• Ageing population
• Importance of Asia
• T...
Positioning the Australian workforce for the future
Increasing qualifications to meet growing demand for higher skills
Imp...
Australia will need a more highly skilled and
qualified workforce
Total qualifications held by persons employed, unemploye...
Education qualifications forecasts
Share of those employed with post-school qualifications, by 2025

Long Boom
Proportion ...
Projected qualification supply less demand (based on
labour force) annual average 5 years to 2025
Qualification
Postgradua...
A knowledge economy through skills
development and targeted planning
• Skills are part of the solution to participation, s...
Why do we need to improve our productivity?

14
Achievement in education and training
has considerable effect on employment
Employment by highest qualification, persons 2...
Higher qualifications = higher rate of
return
Earnings, employed persons 15-64 by level of qualification, Australia
2009

...
Gender segregation

17
Student returns – VET and HE

Source: KPMG Econtech , Economic Modelling of Improved Funding and Reform Arrangements for U...
How can we improve productivity?

• Workforce development integrates business
strategy, work organisation and job design
W...
Improving productivity in the workplace

Skills in the
workplace
• Skills are used
effectively
• Skills are continuously
d...
Improving productivity in
the workplace

Recommendations:
2.1 – Adjust NWDF guidelines to allow other workforce developmen...
Participation improves social inclusion
Improving social inclusion

Benefits

People with
low skills

Focus on
upskilling
...
Building labour force participation to
meet current and future needs
Recommendations:
3.1 – Adopt aspirational goal of 69%...
Raising language, literacy, and numeracy
skills is critical

We know there is a strong relationship between LLN skills and...
Raising language, literacy, and numeracy
skills is critical
Recommendations:
4.1 – Regular national sample survey assessin...
Work integrated learning can bridge the gap
between education and training and work

Government

Providers

Industry

Prac...
Enabling individuals and the tertiary system to
be more adaptive
Career advice

Work ready graduates

Training packages

N...
Enabling individuals and the tertiary
system to be more adaptive
Recommendations:
5.1 – Align and strengthen career develo...
Strengthening quality in the tertiary sector
Commonwealth and state government recurrent expenditure, funding per full-tim...
Strengthening quality in the tertiary sector
• Between 2006 and 2010, government real recurrent
expenditure on VET increas...
Strengthening quality in the tertiary sector
External assessments

More stringent requirements for
RTOs in high-risk areas...
Strengthening quality in the tertiary sector

Recommendations:
6.1 – Commission a review of funding in the VET
sector to d...
Investing in skills will pay for itself

Industry demand
for qualifications
is projected to
increase by
between 3% and
3.9...
Investing in skills will pay for itself

Recommendations:
7.1 – Extend start-up scholarships to
full time VET students rec...
Thank you

@AWP_Agency
www.awpa.gov.au
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Australasian Talent Conference 2013 - National Workforce Development Strategy

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Robin Shreeve presents a keynote at the 2013 Australasian Talent Conference in Sydney. Robin is Chief Executive of the Australian Workforce and Productivity Agency (AWPA) and presented "Future Focus: 2013 National Workforce Development Strategy". Find out more about the Australasian Talent Conference at www.atcevent.com

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  • The scenarios represent possible, plausible futures. They are not meant to be projections of the future nor are they based on past trends. Rather, they help us deal with the uncertainties and risks of the future as well as those developments we can be reasonably certain of. Modelling of the supply and demand for skills and qualifications has been developed on the basis of these scenarios.
  • Commonalities Ageing PopulationUnder all scenarios the ageing of the Australian workforce will be a critical factor, both in terms of dependency ratios of taxpayers to people who are no longer working, and in impacts on the healthcare and services sectors. The growing importance of AsiaThe continuing growth of Asian countries, especially China and India, is an area of relative certainty across the scenarios. Critically, this means a high-skilled future for Australia as services to Asia develop, and highlights the importance of developing the skills and knowledge to support Australia’s capability to participate in ‘the Asian Century’. The Australian workforce will need skills in Asian languages and cultures, as well as business skills for these environments.Technology and innovationTechnology and innovation are important considerations across all scenarios (though to differing degrees) and also have important implications for the tertiary sector. The VET sector plays an important role in incremental innovation. Upskilling and reskilling of existing workers would also be important to avoid skills obsolescence in the face of new technologies. Climate change/sustainabilityAll the scenarios incorporate some impacts from and responses to climate change, although the scenarios have been distinguished by the severity of the impacts. The carbon price is assumed as common to all scenarios. Key differencesMigration One of the greatest uncertainties across the scenarios is migration. Skilled migration expected to act as a shock absorber in times of strongest growth. Permanent migration makes the most significant contribution to building Australia’s skills base. However temporary migration, which is more flexible and able to meet changing needs, is a key element in ensuring flexibility regardless of what the future holds for Australia to 2025. Fiscal capacityFiscal capacity is a critical uncertainty – and risk - across the scenarios. This is important for funding and investment in education and training, and in particular government’s capacity to pay. In a long boom scenario it could be expected that there is funding more easily available to fund tertiary education. However when government budgets are constrained, this may result in greater responsibility shifted to employers and individuals.
  • These are the seven themes of the strategy
  • The modelling shows Australia will need to develop a more skilled and qualified workforce to meet increasing industry demand for higher skills. Australia needs to grow its supply of tertiary qualifications by at least 3 per cent per annum to 2025 to keep pace with this demand. This demand for qualifications is driven by the increasing size of the labour market, changing employment composition, retirements, skills deepening and skills broadening.Recommendation 1.1That Australian governments support the achievement of a minimum annual increase of 3 per cent in tertiary education qualifications to 2025 to meet national demand for skills and qualifications, recognising that higher level qualifications will grow relatively faster.
  • These figures include people employed as well as those who have post-school qualifications but are unemployed or not in the labour force. In terms of the overall balance of demand and supply for qualifications, the projections show that under the Long Boom, Smart Recovery and Terms of Trade Shock we will have a deficit of higher level qualifications (i.e. Diploma and above) of from around 160,00 to 240,000 per year in the 5 years to 2025. The deficit in the ring of fire is 26,473. Certificate III/IV is close to being in balance in the long boom (9,000 oversupply), with a higher oversupply in the other scenarios ranging from 22,900 (Terms of Trade Shock) to 59,311 (Ring of Fire). There is an oversupply of certificate I/II in all scenarios. The oversupply is similar regardless of scenario, ranging from 64,236 (Long boom) to 66,657 (Smart Recovery). Interpretation of the data by level of qualifications needs to be seen against the COAG commitment of introducing a national training entitlement for a government-subsidised training place to at least the first Certificate III qualification. In this context the apparent oversupply of Certificates I/II could be seen as providing the first post school qualification and a pathway to qualifications in greater demand.
  • Skills part of solution to participation, skills shortage and productivityModelling shows demand for qualifications expected to increase on average between 3-3.9%pa (for 3 high growth scenarios)Strongest at higher qualification levelsBUT lower qualifications important to increasing participation and pathway to higher qualificationsStudent demand-led system in HE and increasingly VET make anticipating future supply of qualifications more difficultDevelopment of workforce development plans for priority sectors and monitoring skills supply critical
  • Source: Burke, G, Skills, Brotherhood, 14 August 2012 (Draft paper)Pg 2 of paper...Achievement in education and training has considerable effect on employment. The table shows that just under two thirds of the Australian population aged 25-64 in 2011 had a non-school qualification. Persons with qualifications were much more likely to be employed. E.g. 83% of persons with qualifications were employed and only 69% of those without qualifications. For females, 77% of those with qualifications were employed compared with 59% of those without.VET qualifications at Cert I and II do not have a large impact on average but they can be shown to provide considerable benefits in employment for those person who had left school at year 10 or earlier.
  • Source: Burke, G, Skills, Brotherhood, 14 August 2012 (Draft paper)Pg 3 of paper...The table shows the relation of qualifications to earnings among those who are employed. The variation of income for all adults (the employed plus those not employed), is greater than the variation in earnings because of the higher proportion of those with qualifications who are employed. Rate of return studies using data on education and earnings show for most levels of qualifications that there is a high private rate of return (e.g. Lee and Coelli 2010). This appears to have changed little in recent years despite the considerable growth that has occurred in the % of employed persons with qualifications.
  • The workplace needs to be ensure that:existing skills are used effectivelyskills are continuously developed on and off the jobskills, techniques and improvements (old and new) are shared SMEs face barriers to innovation and need support to develop and implement innovative workforce development plans The strategy’s modelling shows increased demand for managers across all scenarios (334,800-641,500 or 23-44% between 2011 and 2025)Research and stakeholder consultation agreed that management’s ability to develop effectively use the skills of workers is a strong influence on innovation and productivity.
  • Recommendation 4.1That the Australian Government fund and develop a national sample survey for the assessment of literacy and numeracy levels of the adult population based on Australian Core Skills Framework levels, with a view to introducing a five-yearly assessment (commencing in 2015) to provide a mechanism to more regularly monitor and report on progress towards the 2022 target.Recommendation 4.2That the Australian Government fund a national public awareness campaign to promote the development of LLN skills as a mainstream issue and showcase the assistance available.Recommendation 4.3That the Australian Government fund a new, comprehensive national LLN information service underpinned by an interactive website to better link Australians with the range of LLN assistance available.Recommendation 4.4That the Australian Government fund a Workplace Champions Program to help foster a culture of lifelong learning and promote training in the workplace.Recommendation 4.5That the Australian Government upscale the Language, Literacy and Numeracy Practitioner Scholarships Program and fund it beyond 2014 to address current and anticipated skills shortages in the LLN practitioner workforce.Recommendation 4.6That the Australian Government undertake a national pilot of an online foundation skills assessment following an evaluation of online LLN assessment models such as the Cores Skills Profile for Adults and the RU Ready? program.
  • Employers are demanding work-ready graduates. In workplace surveys, employers routinely rank work experience as among the most important attributes they need in their staff. One way of bridging the gap between higher education and work is via work-integrated learning such as professional cadetships, where an employer agrees to contribute to, or subsidise the cost of, an employee’s education. There is benefit in collaboration between government, providers and industry to expand opportunities for work-integrated learning and to support further development of professional cadetships in identified higher education occupations and higher level VET qualifications.
  • Remove restrictions on entitlement fundingIndustry demand for qualifications is not static, and we caution against the use of a ‘firstness’ approach, limiting access to public funding for more than one VET qualification. This approach may prevent people from retraining in crucial areas, especially due to structural adjustments in the economy. We propose that jurisdictions review their approaches to entitlement to ensure people are supported to undertake a further qualification in areas in need of skilled workers or to develop foundation skills, regardless of whether they have already ‘used’ their entitlement in a different field of study.
  • Remove restrictions on entitlement fundingIndustry demand for qualifications is not static, and we caution against the use of a ‘firstness’ approach, limiting access to public funding for more than one VET qualification. This approach may prevent people from retraining in crucial areas, especially due to structural adjustments in the economy. We propose that jurisdictions review their approaches to entitlement to ensure people are supported to undertake a further qualification in areas in need of skilled workers or to develop foundation skills, regardless of whether they have already ‘used’ their entitlement in a different field of study.
  • Introduce external assessments AWPA welcomes the review of national standards for the regulation of VET. This is considering issues we have previously supported, including lifting entry barriers for new registered training organisations (RTOs) and provisional registration. However, we believe the review should also consider introducing a requirement for externally set and administered assessments for identified high-risk qualifications and more stringent requirements for RTOs delivering high-risk qualifications such as the Training and Education Training Package.Introduce more stringent requirements for RTOs in high-risk areasIn Skills for prosperity we argued for more stringent requirements for applicants seeking to deliver the Training and Education Training Package (TAE), because it provides the central qualifications for teachers in the VET sector and there was persistent evidence of systemic and widespread concerns about quality in this area. We continue to advocate that entry to this market should be subject to more rigorous requirement specifically, they must:demonstrate a track record in delivery of nationally recognised qualifications in an industry area other than the TAE for a period of at least two yearsnot be a holder of provisional registrationdemonstrate a track record in ongoing formal professional development of their staffmeet a requirement for an external validation conducted by an expert validation panel before initial and renewal registration.The requirements should also apply to those RTOs currently registered to deliver TAE and other identified high-risk qualifications, once they seek renewal of registration.
  • Australasian Talent Conference 2013 - National Workforce Development Strategy

    1. 1. Future focus: 2013 National Workforce Development Strategy Australian Talent Conference May 2013 © This information is the property of ATC Events and may not be reproduced or used without attribution
    2. 2. The Australian Workforce and Productivity Agency • Began as Skills Australia. Expert independent Board with expertise in industry, economics, education and academia • Provides independent advice to the government on current, emerging and future skills needs and workforce development needs • Remit expanded in March 2009 to look at full scope of labour market and give advice on HE & VET • 2011 Budget announcement -extended role as Australian Workforce and Productivity Agency. Responsible for National Workforce Development Fund. Legislation passed June 2012. • 1 July 2012 – became the Australian Workforce and Productivity Agency Back row (L to R): Dr John Edwards, Heather Ridout, Keith Spence Middle row: Prof. Gerald Burke, Peter Anderson, Ged Kearney Front row: Marie Persson, Philip Bullock (Chair), Dr Michael Keating AC 2
    3. 3. The world of work is changing 3
    4. 4. Where work is being outsourced to and supplied from
    5. 5. What we are doing and why What challenges face our workforce now and over the years to 2025? Changing work arrangements How should we address them? Participation Evolving technology Asian Century Restructuring Industries Productivity Skills underutilisation Innovation 2025 5
    6. 6. Our three conceptual pillars in our response to aligning skills, qualifications and the economy’s needs Specialised occupations • Apply concept of specialised occupations - those occupations with greatest risk of market failure Scenarios • Develop, test and model multiple scenarios to achieve flexible policy responses • Fund users rather than Demand Driven providers – but only after you have sorted out Funding quality and regulation 6
    7. 7. Approach to the 2012 strategy Scenario Modelling Plausible worlds (but not predicting the future!) Projections of demand & supply side implications of the scenarios Analysis Strategy Analysing the uncertainty, commonality, differences and risks of the scenarios The policy recommendations balance aspirational goals and risks, after assessing key differences between the scenarios Each process informs the next 7
    8. 8. The four scenarios Flexible migration Varying fiscal capacity Commonalities • Ageing population • Importance of Asia • Technology Fluctuating labour participation • Sustainability challenge Slightly differing industry structures 8
    9. 9. Positioning the Australian workforce for the future Increasing qualifications to meet growing demand for higher skills Improving productivity in the workplace Building labour force participation to meet current and future needs Raising language, literacy, and numeracy skill levels Enabling individuals and the tertiary system to be more adaptive Strengthening quality in the tertiary sector Investing in skills will pay for itself 9
    10. 10. Australia will need a more highly skilled and qualified workforce Total qualifications held by persons employed, unemployed and not in the labour force, by scenario and qualification level (‘000) Qualification held 2011 2025 (‘000) Long boom Average annual change 2011–25 (%) Smart Terms of Ring of recovery trade shock fire Long Smart Terms of boom recovery trade shock Ring of fire Postgraduate 1,588.0 3,104.7 2,714.9 2,941.4 2,187.5 4.9 3.9 4.5 2.3 Undergraduate 4,126.3 7,256.9 6,475.3 6,877.5 5,435.7 4.1 3.3 3.7 2 Advanced diploma/Diploma 2,299.5 3,842.3 3,428.2 3,632.4 2,920.1 3.7 2.9 3.3 1.7 Certificate III &IV 3,597.6 6,195.8 5,323.0 5,671.9 4,441.9 4 2.8 3.3 1.5 Certificate I & II 1,563.1 2,079.2 1,914.9 1,961.2 1,774.6 2.1 1.5 1.6 0.9 21,084.5 16,759.8 3.9 3 3.4 1.7 Total 13,174.6 22,479.0 19,856.4 Derived from Deloitte Access Economics, 2012, Economic modelling of skills demand and supply, Tables 5.10–5.17. 10
    11. 11. Education qualifications forecasts Share of those employed with post-school qualifications, by 2025 Long Boom Proportion with post school qualifications Annual number of additional qualifications required to 2025 Smart Recovery Terms of Trade Shock Ring of Fire 75.4% 70.3% 73.7% 65.0% 831,900 643,800 726,100 411,500 In 2011 the share of employed persons with a post-school qualification was 59.8% Source: Deloitte Access Economics (2012) ‘Economic modelling of skills demand and supply’ - derived from p.iv and tables 5.18-5.21 11
    12. 12. Projected qualification supply less demand (based on labour force) annual average 5 years to 2025 Qualification Postgraduate Long Boom Smart Terms of Trade Ring of Fire Recovery Shock -71,180 -43,579 -57,939 -725 Undergraduate -106,109 -65,394 -90,628 -2,458 Adv. Diploma/ Diploma -61,180 -49,539 -55,818 -23,290 9,004 38,111 22,909 59,311 64,236 66,657 65,493 64,351 -165, 229 -54,745 -115,982 97,189 Certificate III/IV Certificate I/II Total 12
    13. 13. A knowledge economy through skills development and targeted planning • Skills are part of the solution to participation, skills shortage and productivity challenges • Demand for higher level qualifications is strongest. • But lower level qualifications are necessary to increase participation and are a pathway to higher level qualifications. • The increasingly demand-led tertiary system means workforce development plans in priority sectors and monitoring skills supply is critical. Recommendation: 1.1 – Minimum annual increase of 3% in tertiary education qualifications to 2025 13
    14. 14. Why do we need to improve our productivity? 14
    15. 15. Achievement in education and training has considerable effect on employment Employment by highest qualification, persons 25-64, Australia 2011 (% of population in each group) 15
    16. 16. Higher qualifications = higher rate of return Earnings, employed persons 15-64 by level of qualification, Australia 2009 16
    17. 17. Gender segregation 17
    18. 18. Student returns – VET and HE Source: KPMG Econtech , Economic Modelling of Improved Funding and Reform Arrangements for Universities (2010) 18
    19. 19. How can we improve productivity? • Workforce development integrates business strategy, work organisation and job design Workplace • Skills development as investment not cost • Improving skills utilisation indicative of highperforming workplaces National Strategy • Closer alignment between government programs to facilitate workforce development Benefit • Improved profitability, innovation, productivity and retention • Positive impact on employee motivation and job satisfaction 19
    20. 20. Improving productivity in the workplace Skills in the workplace • Skills are used effectively • Skills are continuously developed • Skills, techniques and improvements are shared SMES • Australia has a high proportion of SMEs • SMEs face barriers to innovation • SMEs need support to develop and implement innovative workforce development plans Management and leadership • modelling shows increased demand for managers across all scenarios • management’s ability to effectively use the skills of workers is a strong influence on innovation and productivity 20
    21. 21. Improving productivity in the workplace Recommendations: 2.1 – Adjust NWDF guidelines to allow other workforce development activities that complement training delivery 2.2 – Explore joint funding between Enterprise Connect & Skills Connect to support workforce development for SMEs 2.3 – Extend Enterprise Connect services to other labour-intensive industries 2.4 – Commission review of leadership and management, including front line management 2.5 – Co-fund proposals that support regional employment and workforce development partnerships 21
    22. 22. Participation improves social inclusion Improving social inclusion Benefits People with low skills Focus on upskilling Older workers Focus on retention People with disadvantage Focus on access and support to build sustainable pathways to work Expanding tertiary places is not enough • People with qualifications 20%* more likely to be in labour force • Qualification completions assist in lift participation rates and meeting projected labour demand • Increasing skills of existing workers improves job advancement, opening opportunities for job seekers Align job services and training providers Expand wraparound services *ABS, 2011, Education and work, Cat no. 6227.0, May, Canberra 22
    23. 23. Building labour force participation to meet current and future needs Recommendations: 3.1 – Adopt aspirational goal of 69% labour force participation by 2025 3.2 – Co-contribution funding for industry-led initiatives supporting employment in non-traditional occupations 3.3 – Up-scaling successful approaches to help workers over 45 to re-enter the workforce 3.4 – Additional funding for expansion of training delivery strategies and wraparound services 3.5 – Better align JSA contractual arrangements to promote training for disadvantaged job seekers that is more flexible, fit for purpose and aligned to job outcomes; provide additional funding to incentivise provision of longer support for disadvantaged job seekers 23
    24. 24. Raising language, literacy, and numeracy skills is critical We know there is a strong relationship between LLN skills and employment – those with higher levels of LLN skills are more likely to be employed YET… 44%* of Australians have literacy scores below level 3 55%* of Australians have numeracy scores below level 3 Many employers report they are impacted by low LLN skills yet most employers are unaware of existing programs LLN development for adults continues to be stigmatised despite being a widespread issue *Source: ABS, 2013, Program for International Assessment of Adult Competencies Survey, cat. no. 4228.0, Canberra 24
    25. 25. Raising language, literacy, and numeracy skills is critical Recommendations: 4.1 – Regular national sample survey assessing LLN of adults based on ACSF 4.2 – Fund and develop national public awareness campaign to promote LLN skills 4.3 – Fund and develop comprehensive interactive national LLN information service 4.4 – Fund Workplace Champion program to promote lifelong learning and workplace training 4.5 – Upscale LLN Practitioner Scholarships Program to develop LLN practitioner workforce 4.6 – National pilot of foundation skills assessment following evaluation of online LLN assessment models 25
    26. 26. Work integrated learning can bridge the gap between education and training and work Government Providers Industry Practical work experience Formal learning Work ready graduates 26
    27. 27. Enabling individuals and the tertiary system to be more adaptive Career advice Work ready graduates Training packages New learning paradigm Integrated tertiary sector ICT in teaching and learning • facilitate lifelong career development • support transition from study and training to work • investigate how to best build individuals’ adaptive capacity • support innovation and professional development to develop a flexible, adaptable workforce • improve interface between HE and VET to provide consistency in funding and articulation • embed new technologies to reflect international best practice 27
    28. 28. Enabling individuals and the tertiary system to be more adaptive Recommendations: 5.1 – Align and strengthen career development advice services 5.2 – Review entitlement systems to ensure responsiveness to change is not limited by restrictions 5.3 – Government, tertiary education providers and industry to collaborate to support transition to work through work-integrated learning and cadetships 5.4 – The NSSC and ISCs to investigate how training packages can best build adaptive capacity 28
    29. 29. Strengthening quality in the tertiary sector Commonwealth and state government recurrent expenditure, funding per full-time equivalent student (schools and higher education) and per annual hour (VET) indexed to 1999 (1999=100) 140 130 120 110 100 90 80 70 60 50 40 Primary Govt (a) Secondary Govt (a) VET (b) Higher Ed (c) (a) Schools Average Government School Recurrent Costs data. Includes state and territory expenses. (b) VET Government Recurrent Expenditure per annual hour sourced from Productivity Commission, Report on government services, Table 5A.19. Includes state, territory and Commonwealth government expenditure. (c) Published and unpublished higher education data from the Department of Industry, Innovation, Science, Research and Tertiary Education. Operating Grant and Commonwealth Grant Scheme funding only. 29
    30. 30. Strengthening quality in the tertiary sector • Between 2006 and 2010, government real recurrent expenditure on VET increased by 10% but expenditure per student annual hour decreased by 14% during the same period. • The Productivity Commission found: unlike most of their counterparts in other education sectors, VET teachers, trainers and assessors are ‘dual professionals’, with a range of capabilities variously recognised in either the education or industry spheres • The background of VET learners is varied and complex. • There has also been a diminished academic focus on VET. • Continue to recommend a new national body and program to emphasis quality improvement in teaching, learning and assessment. 30
    31. 31. Strengthening quality in the tertiary sector External assessments More stringent requirements for RTOs in high-risk areas for identified high-risk qualifications not hold provisional registration externally set and administered track record in ongoing formal professional development track record in delivery of nationally recognised qualifications undertake an external validation 31
    32. 32. Strengthening quality in the tertiary sector Recommendations: 6.1 – Commission a review of funding in the VET sector to determine a price for high quality delivery 6.2 – NSSC to consider developing additional assessment and registration requirements for identified high risk qualifications 6.3 – Establish a VET equivalent of the Office for Learning and Teaching to drive excellence in VET 32
    33. 33. Investing in skills will pay for itself Industry demand for qualifications is projected to increase by between 3% and 3.9% pa We recommend the expansion of qualification enrolments by a minimum of 3% pa Public and private funding for tertiary education needs to expand by a little more than 3% pa Increased funding is in line with projected long term economic growth The benefits far outweigh the cost: •the additional public funding in 2025 projected by AWPA exceeds that in the IGR 2010 projection by $2.1 billion •the additional public revenues from the effect of increased qualifications on labour force participation, employment and GDP is estimated at between $6.7 billion and $24.8 billion 33
    34. 34. Investing in skills will pay for itself Recommendations: 7.1 – Extend start-up scholarships to full time VET students receiving income support 7.2 – Support expansion of public and private tertiary education funding of at least 3 per cent per annum to meet industry demand and commit further funds to support the implementation of the suite of measures outlined in the strategy 34
    35. 35. Thank you @AWP_Agency www.awpa.gov.au

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