Realising Relevance: Leading Workplace Skills Development Hon Pete Hodgson 6 th Industry Training Federation Annual Conference 15 July 2004

Recent Growth in Industry Training

2001 Industry Training Review Decisions arising from the review positioned ITOs as: –Providing strategic leadership in proactively identifying and responding to skill needs in their industries –Promoting training to employers and employees –Developing strategic partnerships with other education organisations

Recent Achievements 2003 Over 126,000 people participated in industry training compared with the 106,000 who participated in ,181 National Certificates were completed – an impressive 45% increase on 2002 numbers Over 29,000 employers provided industry training to their employees compared to 24,576 in 2002

Budget 2004 Single STM Rate $ 25 million Industry Training – Single STM Rate initiative to fund the transition to a single STM rate of $3,200 for funding ITOs, while maintaining volume growth in industry training This represents an increase in the STM rate for the majority of ITOs

Budget 2004 Youth Transitions $8 million to expand Gateway to all decile 1-6 schools by 2008 and $11 million to fund an additional 500 Modern Apprentices. These proposals are part of the $ million Youth Transitions package

Budget 2004 Learning Representatives $1.12 million skill new zealand Learning Representatives initiative to fund the identification and training of 100 learning representatives from work sites to encourage and facilitate further education and training in the workplace

skill new zealand A joint initiative between government, Business New Zealand and the New Zealand Council of Trade Unions to raise awareness of how to increase skills levels in New Zealand and promote the benefits of workplace learning Driven by the needs of employers and workers in business and industry

Building Relevance 127% increase in National Certificates completed between 2000 and 2003 through industry training arrangements Bite-size training packages relevant to the unique conditions of an individual company

Leading Skill Development Industry training needs to maximise its contribution to skill development: –Improve linkages of workplace learning to other parts of the tertiary sector –Highlight learning pathways within and across the sector –Improve conections between the benefits for the individual learner and business, and benefits for society

Foundation Learning Foundation skills are crucial to our economic success Adult Literacy Strategy Over 800 participants in ITO and employer facilitated workplace literacy programmes (2003/04 year)

Keeping Up With Progress Strong technical and specialist skills Continual upskilling required to keep up with the changes in technology and work practices Upskilling makes dollars and sense

Ensuring Sustainability Retaining and upskilling existing staff Maintain competitive advantage and customer reputation The value of training and of a skilled person Training is an investment in industry “The only thing worse than a trained employee who leaves is an untrained employee who stays”

Conclusion Government values its positive relationships with ITOs –Member of the tertiary education sector –Problems of success –Shared vision –The way forward