Agreement reached at skills summit
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State and federal ministers are attempting to overhaul Australia's vocational future.
Australia’s Skills and Training Ministers have launched the inaugural National Skills Plan, a component of the broader five-year National Skills Agreement.
The plan will seek to strengthen the country's vocational education and training (VET) system, and ensure a workforce capable of meeting the demands of a rapidly changing economy.
At last week’s Skills and Workforce Ministerial Council meeting, federal, state, and territory ministers signalled a focus on collaboration and stewardship, and explored issues central to the national agenda, including workforce adaptation to net zero, higher-level apprenticeship models, and support for Aboriginal and Torres Strait Islander communities.
The National Skills Plan sets out a framework for collaboration among governments, unions, employers, and the VET sector.
This “shared stewardship” model aims to expand the VET system, with TAFEs recognised as “valued and trusted public institutions at the heart of our VET sector”.
The Plan will guide national training priorities, promote investment in skills development, and seek to maximise the impact of increased government funding for VET.
“A shared system of collaboration and stewardship will strengthen and expand the VET system across the country,” the ministers said in a joint statement after the meeting.
Australia’s net zero transformation was a major point of focus too.
The ministers discussed strategies for managing workforce transitions in industries affected by this shift.
Dr Iain Ross, acting Chair of the Net Zero Economy Agency, presented updates on Commonwealth initiatives, emphasising the importance of “careful planning, coordination and stewardship across all levels of government”.
The ministers acknowledged the need for targeted support to ensure workers in regions affected by the transition, such as coal-dependent areas, have access to new employment opportunities, qualifications, and training programs.
They say this effort is supported by the National Energy Workforce Strategy, which aims to build a skilled clean energy workforce.
Additionally, ministers agreed it is critical to address disparities in education and employment outcomes for Aboriginal and Torres Strait Islander people.
Pat Turner, Lead Convenor of the Coalition of Peaks, emphasised the need for immediate funding to support the Aboriginal Community Controlled and First Nations Owned training sector.
In response, the ministers agreed to accelerate funding under the Closing the Gap initiative and to develop a long-term sector strengthening plan.
In the first nine months of the National Skills Agreement, six TAFE Centres of Excellence have been established, each focusing on priority industries.
The centres aim to drive innovation and training in critical sectors, including clean energy, healthcare, manufacturing, and early childhood education. The initiatives are intended to boost Australia's ability to meet future skills demands and strengthen its sovereign capability.
For example, the CIT Electric Vehicle Centre of Excellence in the ACT will focus on training for Australia's growing electric vehicle industry. Similarly, the Clean Energy Skills National Centre of Excellence in Western Australia will address workforce needs in solar, hydrogen, and battery technologies.
The meeting also addressed the need for a common definition of higher-level apprenticeships across VET and higher education.
Ministers agreed to form a working group to explore issues such as regulation, funding, and industry relations, with a final report due by July 2025.
Additionally, the ministers approved a preamble to revised Standards for Registered Training Organisations (RTOs), recognising the central role of TAFEs in ensuring quality within the VET system.
These revised standards are expected to be implemented in July 2025, alongside a new regulatory framework that takes into account the diverse nature of the VET sector.
The Ministers' meeting concluded with a commitment to continue prioritising the delivery of key policy initiatives under the National Skills Agreement.
These initiatives include measures to improve access to foundation skills training, support for priority groups such as First Nations students, and efforts to strengthen the VET workforce.
The Ministers will meet again in December 2024 to further progress the national agenda, with a particular focus on housing supply, as the government looks to address shortages in skilled construction labour.