Smart and Skilled

1. NSW Vocational Education and Training Reform Managed by NSW State Training Services for implementation in 2014 Smart and Skilled TAFE NSW - Sydney Institute Head Teachers Forum St George College, 29 May 2013 TAFE Strategy and Finance

2. NSW VET reform: Smart and Skilled • major VET reform being implemented by NSW Government • to improve outcomes and workforce participation. • Smart and Skilled will: • move funding for the NSW training system to a market based approach • create a demand driven rather than supply-led system. • NSW has committed to: • entitlements for entry level training up to and including Certificate III • a focus on informed choice – better information for consumers • greater contestability and improved quality measures • increased availability of income contingent loans • support for TAFE as the public VET provider • targets for completions.

3. NSW VET reform: Smart and Skilled

4. Smart and Skilled — 1 July 2014 • —Certificate IV to Advanced Diploma and skill sets in priority skills areas through TAFE NSW and other private providers. • —Funds to TAFE NSW and approved ACE providers for disadvantaged students, rural and remote and thin markets. • Place Based • Funding • Community • Service

5. NSW Smart and Skilled timeline

6. Smart and Skilled: recent developments • 2014 NSW Skills List • industry and employer body consultations in metropolitan and regional areas in May-June 2013 • NSW Skills List consultation via the haveyoursay.nsw.gov.au – main avenue for feedback about specific qualifications and occupations until 14 June 2013. • Independent Pricing and Regulatory Tribunal (IPART) will: • determine student fees and prices to be paid to approved RTOs for training under Smart and Skilled • consider loadings for students with specific needs, rural and remote delivery and thin markets • report by 31 August 2013. • VET Budget and Funding Model • to determine budget for CSOs and operational base funding for TAFE NSW.

7. Smart and Skilled: draft Quality Framework • All RTOs will need to be based in NSW and demonstrate: • effective compliance with National Regulator • financial viability • validation of assessment • teaching and leadership – professional development • continuous improvement • strength of industry partnerships • record of contractual compliance.

8. Smart and Skilled : transforming TAFE NSW • Governance changes gradually being introduced to TAFE NSW: • separation of Managing Director TAFE NSW and • NSW DEC Director-General roles • greater Institute financial and asset control • Institute local decision making to tailor training to skills growth area, develop centres of excellence • more consultation with employers to ensure industry is central, more industry partnerships • reformed employment model to increase workforce productivity. • TAFE NSW will have a separate and distinct budget to guarantee training for rural and remote areas, disadvantaged groups and thin markets.

9. Entitlement funding: key considerations • Funding ‘follows the student’— enrolment in courseand with providerof choice • Factors impacting on student choosing TAFE NSW: • the quality of information provided • information about student satisfaction levels and job outcomes • cost to the student • availability of delivery models that match student’s work and personal commitments • delivery partnerships – with industry, other sectors, other RTOs • TAFE NSW’s strengths and outcomes.

10. Student ‘entitlement’ decisions can be bewildering

11. Enrolments by level of qualification – Sydney Institute

12. What can TAFE NSW staff do to prepare for Smart and Skilled? • Student choice • provide a quality experience for students from their first TAFE contact • promote examples of student success and the value of TAFE NSW pathways • nurture partnerships with everyone who may refer students (JSAs, enterprises, employer and industry groups). • Increased contestability • know your competitors • build return business • focus on student enrolment in full qualifications - and completions • work with employers so they understand the use of entitlements for staff. • Government subsidies for selected qualifications on NSW Skills List • examine the Skills List when finalised • investigate new markets.

13. What can TAFE NSW staff do to prepare for Smart and Skilled? • Complex payments to RTOs • analyse delivery costs for current courses to be able to compare with subsidies when announced • identify ways course delivery costs can be more competitive, while maintaining quality. • Changes to student fees • help students and staff understand the changes • analyse student fees when they are announced for impact on course demand • familiarise staff with VET FEE-HELP loan arrangements. • Support for disadvantaged students • consider how services can be streamlined to best meet • students’ needs • once Community Service Obligations funding is announced, • identify the most strategic use of available funding.

14. Be prepared! Check the STS website for fact sheets, frequently asked questions. Join a subscription list for alerts when new information is available:www training nswgovau/vet/skills_reform/index.html Check the TAFE Strategy and Finance intranet sitefor this Smart and Skilled presentation and updates as NSW STS releases information:https://detwww detnsweduau/tafe/strategy/index.htm Check the terms of reference for the IPART review:www ipartnswgovau/Home/Industries/Other/Reviews Access the Smart and Skilled draft Quality Framework:www.training.nsw.gov.au/forms_documents/vet/skills_reform/draft_quality_framework.pdf Smart and Skilled is being introduced by NSW State Training Services (STS). TAFE Strategy and Finance