Australia’s Skills Ministers have identified the opportunity to reshape Australia’s qualifications system to better support the different users of vocational education and training (VET) and their diverse needs. 

Australia’s VET qualification design will be transitioning to a new approach, as agreed to by Skills Ministers on 6 December 2024. The updated model is designed to improve quality, reduce complexity and provide opportunities for new and adaptable approaches to qualifications, representing a shift away from a one size fits all approach to qualification design.

A revised Training Package Organising Framework (TPOF) will be available to support the new model, with new templates and updated processes and policies coming into effect from 1 July 2025.

The new model features: ​

  • qualification design based on the qualification’s purpose and industry needs​
  • more flexible ways to address skills challenges, rather than defaulting to training package changes
  • a focus on identifying transferable skills, so learners can understand their various career pathway options
  • support for RTOs through better information on how to use the qualifications
  • a new alternative template for units that describe how knowledge and skills are applied in a workplace setting (in addition to the current template for units that describe job functions and tasks)
  • a consistent approach to foundation skills, which are now mandatory in qualifications and must align to the Australian Core Skills Framework (ACSF)
  • a greater emphasis on high quality data and meaningful stakeholder engagement to justify qualification reviews and development.

Our approach

Skills Insight will continue to participate in qualification reform activities as we embed the new requirements into our future work through the recommended phased transition approach. We will be preparing an implementation and transition plan to guide updates to training packages within Skills Insight’s remit so that they meet the new TPOF and template requirements. Consideration will be given to aligning these updates with other relevant concurrent activities, where possible, to minimise the overall impact on stakeholders.

We understand that many of the industry training packages we work with face unique challenges, including: ​

  • a large proportion of the workforce located in rural, regional and remote Australia​
  • no defined apprenticeship pathways or defined occupations
  • low enrolments and lack of delivery options.​

Qualification reform provides an opportunity to consider how these factors might be better supported by the national training packages and we are committed to making sure these factors are considered in how the new framework is implemented.

Read the VET Qualification Reform Fact Sheet

Qualification reform-aligned approaches will be incorporated into the Veterinary Nursing Review project, which is currently underway.

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Background

Recognising that a robust qualifications system is crucial to workforce development and a resilient economy, in 2024 the Skills Ministers established the Qualification Reform Design Group to undertake Qualification Reform.  

With agreement from all Skills Ministers, the Qualification Reform Design Group asked Jobs and Skills Councils (JSCs) to ‘be a co-designer and co-owner of reform as well as the main driver of implementation’. 

Each JSC undertook a categorisation project to test the design group’s purpose-led approach to VET qualification design on a selection of existing qualifications within the industries they support. Some JSCs, including Skills Insight, undertook demonstration projects to show how qualification reform could be achieved, and collaborated to identify the commonalities between them. 

Skills Insight’s final report about this work was submitted to the Qualification Reform Design Group in September 2024. Information from reports submitted by the JSCs was then used to inform final advice to the Skills Ministers, who agreed to the new approach to VET qualifications design.

‘Skills Insight welcomes the opportunity to contribute to the qualifications reform process. It is important that qualifications are responsive, agile and flexible to address the evolving needs of the workforce, and that they are also attractive to deliver. Our industry needs the support of a wide range of training organisations to skill people and provide the knowledge needed for success in their chosen occupations and beyond.’

Michael Hartman, CEO of Skills Insight

Proposed purpose-based approach 

In its initial advice to Skills Ministers the Qualification Reform Design Group acknowledged that a ‘one size fits all’ approach doesn’t work for qualification design, proposing a system in which qualifications are recognised as having three distinct purposes. In their Final Report they outline a refined approach that recognises a ‘continuum of purposes informed by three archetypes’:

Purpose 1  – Occupation
Qualifications leading to a specific occupation (for example a licensed trade). 

Purpose 2 – Industry
Qualifications to prepare learners for multiple occupations within an industry.

Purpose 3 – Vocational Learning and Cross-sectoral
Qualifications that develop cross-sectoral or foundation skills and knowledge which may be applied across industries or lead to tertiary education and training pathways. 

Timeline

March
Publication of Qualification Reform Design Group’s advice to Skills Ministers 

April
JSC Network, DEWR and Design Group workshop 

June – September
All JSCs undertake Categorisation projects and select JSCs undertake Demonstration projects 

September 27
JSC submit project findings to DEWR  

End of 2024 / Early 2025
Design Group refines new model and timeline based on JSC findings 

  • The new qualification model was developed by the tripartite Qualification Reform Design Group and informed by research and consultations undertaken by Jobs and Skills Councils. You can read more about the process by clicking the accordions below

Undertaken in 2024, Skills Insight’s demonstration project involved the development of a proposed concept for a Purpose 3 qualification. The proposed qualification reform concept was developed to consider the goals of the Qualification Reform Design Group and Skills Ministers. It aims to reduce duplication in the system, moving away from task-based units and qualifications with job roles attached to them (where appropriate), and to allow for better transferability of skills and capabilities, with the learner in mind.  Our concept is based on research and collaboration with industry, training providers and other stakeholders in the VET system over the past eight years (through our work at Skills Impact and Skills Insight).

Key features of our proposed concept

Recognises Competency is a Journey
Our proposed concept acknowledges the unique roles that registered training organisations (RTOs), industry, and the workplace play in a learner’s journey to competency. Competency has multiple dimensions; while some aspects can be effectively trained and assessed by an RTO, it is essential to recognise that further competency development continues in the workplace, where real-world application and ongoing learning takes place.

Removing Duplication of Learning
Our proposed concept centres around Learning and Assessment Modules (LA-mods), which focus on transferable and foundational knowledge and skills, such as ‘Operate a vehicle’ as one example. These are complemented by Application Modules (App-mods), which apply those skills to specific contexts, like operating a tractor. This approach allows learners to build on their transferable foundational skills, streamlining the learning process by eliminating the need to duplicate similar learning across multiple units of competency. 

Transferable Skills Across Sectors
Instead of tying qualifications to specific job roles, this concept emphasises transferable capability and training outcomes. This shift enables learners to transfer relevant parts of their training and skills across qualifications, workplaces and industries. Our proposed concept is built around Learning and Assessment Modules (LA-mods) that transcend industry or occupational boundaries, with the ability to select Application Modules (App-mods) for specific work contexts. 

Testing the concept

The proposed concept was tested on the existing Certificate II in Rural Operations, which provides learners with transferable and foundational skills required for many roles across rural and regional industries. This work was supported by a Steering Committee of stakeholders with experience in VET delivery and/or the rural operations qualification.  The existing Rural Operations Training Package Project has been paused throughout the demonstration project, so that the qualification can be reviewed efficiently.   

Project outcomes

A final report about the demonstration project was submitted to the DEWR at the end of September. Feedback from the Steering Committee and other stakeholders helped inform this final report, which outlined the proposed concept, including examples of how it could work using the Certificate II in Rural Operations, and recommendations for implementation, such as how the concept could integrate with policy and the National Training Register. The project’s findings will be used alongside contributions from the other JSCs to inform the future direction of Qualification Reform.   

An interim report was submitted to Department of Employment and Workplace Relations (DEWR) in late June to provide a progress report on Skills Insight’s demonstration project activities. The proposed qualification reform concept and early draft templates were also tested with the qualification reform project’s Steering Committee in a workshop in Brisbane in late July.

Timeline

April – June 2024
In-depth analysis of Design Group’s recommendations  
Early concept template development 

June 28 2024
Interim report submitted to Design Group & DEWR 

July – September   2024
Steering Committee workshops 
Refinement of concept template/s 
Testing templates with Certificate II in Rural Operations 

27 September  2024
Findings submitted to Design Group & DEWR 

In 2024, Skills Insight reviewed available data to create a model for categorising each qualification into one of the three purposes. We then used this model to assign purposes to a test group of qualifications. A manual check of the categorisation outcome was performed to analyse the success of the model and inform further adjustments.   


JSC reports to the Design Group sought to answer the following questions:   

  • Are the three qualification purposes adequately defined?   
  • Do JSCs have sufficient capability (resources, tools, data analysis) to map existing qualifications to the proposed purpose-led model and to undertake future training package development work using the purpose-led model? 
  • Are the Qualification Development Quality Principles clear and comprehensive and will they enable JSCs to drive reform to meet Skills Ministers ambitions?   
  • What is needed that is different from, or additional to, the current training package development process to successfully reshape qualifications using the proposed purpose-led model (e.g. changes to Training Package Organising Framework, including templates, development of resources and guidance to assist JSCs)?   
  • What are the potential barriers to implementation and are there potential solutions? 

There was also space for JSCs to provide additional observations and insights.

Timeline

April – June 2024
Data analysis 
Qualification selection & initial categorisation 

June 17  2024
Preliminary report submitted to DEWR & the Design Group 

July – September   2024
In-depth review & categorisation of qualifications 
Review & checking with key stakeholders 
Identification of opportunities for future reform 

27 September  2024
Findings submitted to Design Group & DEWR