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Historic coming together of peak business and union groups present united front on skills

Three of the biggest business, industry and union organisations in Australia have come together for the first time to ensure the voice of both employers and employees are heard at this week’s Jobs and Skills Summit.

by | Aug 28, 2022

Historic coming together of peak business and union groups present united front on skills

The Australian Council of Trade Unions (ACTU), Ai Group, Australian Chamber of Commerce and Industry (ACCI) and the Business Council of Australia (BCA) have made a united front in launching their “Statement on Common Interests on Skills and Training”.

The statement said Australia must tackle today’s workforce and skills shortages and must modernise skills and training systems to respond to current and future opportunities and challenges.

And to do this effectively, differences must be put aside, and unions and business groups must work together to outline reforms for the mutual benefit of learners, employers and employees, and the Australian economy and society at large.

In the joint statement, the ACTU, ACCI, Ai Group and BCA said they recommend that the Albanese government work with industry (both unions and employers) and state and territory governments to:

  1. Urgently establish Jobs and Skills Australia, as the agency responsible for producing advice to government and industry partners on economy-wide workforce needs to guide the allocation of skilling investments.
  2. Invest in vocational education and training (VET) by providing real and sustained funding increases to ensure the system meets labour market needs and increases accountability, with reforms focussing on learner outcomes.
  3. Reinvigorate and adapt Australia’s apprenticeship system by increasing funding from the October 2022 budget. Investment must increase apprentice wage subsidies, provide incentive completion payments for both employers and apprentices, and payments for mentoring programs for apprentices.
  4. Guarantee foundational skills, including digital literacy, for all Australians. This should be done through updating the National Foundation Skills Strategy for Adults to recognise the impact of digital disruption; refreshing national language, literacy, numeracy, and digital skills strategies to include tangible and realistic key performance indicators (KPIs) to ensure accountability; and expanding funding for initiatives to deliver relevant training.
  5. Support lifelong learning to ensure the workforce adapts to ever-changing needs through incentives to upskill and increasing the delivery and integration of more flexible training options.

Ai Group chief executive Innes Willox said the Ai Group has long advocated for action to create a revitalised and appropriately funded vocational and education training system.

“VET is the bedrock of the skills for our nation. Never before has the demand for skills been more urgent or more important,” he said.

“The establishment of Jobs and Skills Australia is a critical step in driving a high performing training sector with industry engagement at every level. The task ahead is large, achievable and urgent.”

ACCI chief executive officer Andrew McKellar said that “the joint statement is a powerful demonstration by peak business and union organisations that there is a genuine willingness to work together where we share common ground”.

“The best way to grow our workforce and future-proof against recurring shortages is by training Australians. Skills reform is needed to provide consistent funding increases to vocational education and training, and grow apprenticeship numbers, ensuring the system is in lockstep with industry needs,” he said.

Meanwhile, Business Council chief executive Jennifer Westacott said the workforce challenge ahead is monumental, but with a shared purpose, businesses, unions and government can put Australians in the box seat for good jobs in new and developing industries and make Australia a world leader in education, skills and lifelong learning.

ACTU president Michele O’Neil said the ACTU, Ai Group, ACCI and the BCA are working together in the national interest to expand, modernise and make more accessible our skills and training system.

“We must do everything possible to stop inequality growing in Australia — by investing in skills and training we can give workers in Australia greater opportunities, end skill shortages and be ready for the jobs of today and of the future,” she said.

“Our economy and workforce never stop growing and changing, and neither should education. Through investment in VET and TAFE, national foundational skills strategies, apprenticeships, and lifelong learning we can ensure no worker is left behind.”

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