INCREASED FUNDING FOR VOCATIONAL EDUCATION AND TRAINING TO MEET SKILLS SHORTAGES IN THE ACT

The Stanhope Government has allocated an additional $3 million over the next two years to fund vocational education and training to meet the increasing level of skills shortage in the ACT.  

This is in addition to the $3.1 million provided in the 2nd Appropriation and the $2 million increase in the previous budget, bringing the additional funding to $14.1 million over four years.

Vocational education and training (VET) is a key driver in addressing skills shortages. The ACT VET sector has been addressing the majority of skills shortages as they have emerged with significant growth in training in identified skill shortage areas.  These industries include:

•	automotive and transport (48% growth in commencements of apprenticeships and traineeships over the last four years); 
•	building and construction (46% growth); 
•	community services and health (70% growth); 
•	finance, banking and insurance (44% growth); and 
•	tourism and hospitality (101% growth).  

Despite the increases, skills shortages still exist in some industry areas. 

“The CIT is a major trainer of apprentices in the traditional trades, and participates in this competitive training market, which is independent of other CIT funding.  It is necessary to keep training funding at current levels so that there is sufficient flexibility to adjust allocations to meet existing and emerging skills shortages,” the Minister for Education and Training, Ms Katy Gallagher said.  

“There are approximately 6,700 people in the ACT undertaking training through the New Apprenticeships system and other programs addressing skills shortages and equity needs.  The ACT Government training funding is a major driver of job creation and a powerful tool for addressing skills shortages in the ACT,” Ms Gallagher concluded.
Statement ends