Report on Government Services 2015 Vocational Education and Training

Productivity Commission      |     6 February 2015


This chapter (chapter 5) reports on government funded vocational education and training (VET) services delivered by government and private Registered Training Organisations. It includes training activity funded under the National Agreement for Skills and Workforce Development (NASWD). The scope of this chapter does not extend to VET services provided in schools (which are within the scope of School education, chapter 4) or university education.
• In 2013, the Australian and State and Territory governments provided $5.8 billion of recurrent expenditure for vocational education and training (VET) (p. 5.3).
• Nationally in 2013, 1.5 million people participated in government funded training. The national participation rate in government funded training for 15–64 year olds was 8.4 per cent (p. 5.5). (These figures do not include all students undertaking accredited training. For example, many students undertake training not funded by government).
• In 2013, government funded students participated in 460.1 million hours of VET (p. 5.6) delivered by technical and further education (TAFE) institutes, other government providers, universities, community organisations and private providers, at 25 027 locations (p. 5.6).
• The Student Outcomes Survey identified that nationally in 2013, 83.0 per cent of all government funded VET graduates indicated that the course helped or partly helped them achieve their main reason for doing the course (p. 5.61).
• Nationally in 2012, 587 755 VET qualifications were completed by both government and
non-government funded VET students (p. 5.68), and 77.6 per cent of qualifications completed by students aged 15–64 years in 2012 were at the certificate III level or above (p. 5.70).
Objectives for VET
• The objective for the VET system, as outlined in the NASWD, is a system that delivers a productive and highly skilled workforce and which 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 the achievement of increased rates of workforce participation.
• Success in meeting the objective for the VET system is underpinned in the NASWD by the following target outcomes:
– the skill levels of the working age population are increased to meet the changing needs of the economy
– all working age Australians have the opportunity to develop skills
– training delivers the skills and capabilities needed for improved economic participation for working age Australians (p. 5.13).



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