The State Government and the Commonwealth have reached an agreement to deliver a $2.29 billion investment to invigorate South Australia’s skills sector.
This investment is the most significant in the state’s history and will deliver 150,000 training places in the next five years- an additional 50,000 to what would have been achievable without this agreement.
This initiative was ratified by the National Cabinet as part of the National Skills Agreement. The financial contributions for this project will see the State Government inject more than $1.4 billion into skills training, along with an additional $850 million from the Commonwealth.
Drawing from research on sectors with in-demand skills and insights from stakeholders, the investment has outlined specific industries that will see an influx of training places, including Building and Construction, Health and Community Services, Electrotechnology, Early Childhood Education, Tourism and Hospitality, and Mining and Engineering.
This investment will cater to key priority areas such as defence, clean energy transition, early childhood education, building and construction, and ICT. This will support South Australians to complete training so they can transition into stable, well-paid jobs, helping build the workforce of priority state projects including AUKUS, three-year-old preschool schemes, getting more homes on the ground, and hydrogen.
TAFE SA will also receive an annual boost of $90 million to fund extra training places, capital works upgrades and enhanced student support services. The investment is poised to cater to the demand for over 90,000 new TAFE and vocational training qualifications essential for meeting the state’s labor market requirements over the next 5 years.
Included within this agreement is funding to grow the VET workforce, offering complimentary foundational skills training and funding to ‘Bridge the Gap’ faced by Aboriginal communities in accessing and completing TAFE courses.
The agreement will also look to improve completion rates with a $37 million commitment to support students and help them finish their studies with further supports such as mentoring and wellbeing support.
“The National Skills Agreement is significant milestone for South Australia, delivering the extra funding we need now and over the next 5 years,” Premier Peter Malinauskas says.
“We have a bold ambition for South Australia with AUKUS, three-year-old preschool, and our hydrogen plant and we are setting the foundations now, for the future, to ensure we have the highly qualified workers needed for these complex projects.”
Minister for Education, Training and Skills Blair Boyer says this is a huge investment in tackling South Australia’s skills shortages and ensuring clear pathways for the workers of the future.
“A $2 billion investment in skills is the largest increase we have ever seen in South Australia and it’s critical we are creating the foundations now for the pathways of the future. This significant agreement will be backed by a new South Australia Skills Plan and our continued commitment to building a stronger TAFE SA,” Minister Boyer says.
Federal Minister for Skills and Training Brendan O’Connor says this agreement will kickstart real change.
“The TAFE sector has endured periods of underfunding, impacts of deregulation, loose rules of VET market entry, a lack of national cohesion and an obsession for competition at the expense of collaboration. A high performing and world class VET sector is crucial for achieving a fairer society and a stronger economy,” he says.
To find out more about the National Skills Agreement, click here.
