VET Qualification Reform

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A new approach to VET qualifications

On 6 December 2024, Skills Ministers agreed to a new, purpose-based approach to VET qualifications design that is guided by design principles and will improve quality, simplify course designs and reduce complexity. This represents a shift away from a one size fits all approach to qualification design and marks a step towards lifting the relevance and value of VET qualifications for learners and employers. The model is a key element to meeting the objectives and priorities outlined in the National Skills Agreement (NSA).

Skills Ministers reaffirmed that under these reforms current qualifications arrangements for traditional trades, as developed and agreed by industry, remain unchanged. The reforms provide industry with opportunities for new approaches for qualifications linked to a broader industry or vocational education purpose. 

A revised Training Package Organising Framework will give effect to the model. The new model was developed by the tripartite Qualification Reform Design Group and informed by research, consultations and Jobs and Skills Council demonstration projects. Skills Ministers agreed to a phased implementation approach, with the new model coming into effect from 1 July 2025 for all new projects. 

What are the key changes introduced by the reform?

The reform introduces several key changes to Australia’s system of VET qualifications:

  • Moving to a qualification-first approach, based on designing a coherent body of knowledge and skills, rather than the traditional approach focused on developing a large range of units of competency to reflect all functions and tasks, which are then packaged into qualifications with lengthy lists of electives of varying use.
  • Providing choice to qualification developers when designing qualifications – through new templates – to either describe job functions and tasks, or to describe the knowledge and skills outcomes obtained from training to support greater adaptability.
  • Consistently embedding foundation skills as a holistic outcome of a qualification, rather than as a narrow component of every individual unit of competency.
  • Strengthened principles to underpin development of VET qualifications, including drawing on data and evidence, removing duplication and unnecessary specification to enable flexible and high-quality delivery, and drawing on broad industry and educator expertise when developing qualifications. 

When will reform occur?

Reforming Australia’s system of VET qualifications will be undertaken through a phased approach, with new templates becoming available for use by developers from 1 July 2025.

Jobs and Skills Councils will be able to utilise these as part of their training product development activity, which is set out in their respective annual training product development plans developed in May each year, and which will be bought together into a national schedule in July 2025. It is anticipated that reformed qualifications will be available for delivery from 2026.

Implementation of new approaches will move at different speeds for different industries – some industries may opt to continue to use existing unit of competency templates, while others will look to new models that deliver better outcomes for their particular circumstances. 

Qualification Reform Design Group

On 6 December 2024, the Qualification Reform Design Group presented their final advice for consideration by the Skills and Workforce Ministerial Council, developed through a tripartite lens and in collaboration with Jobs and Skills Councils, states and territories, and key stakeholders, on how to make progress on advancing VET qualification reform.

Expanding on initial advice delivered in March 2024, the proposed model shifts away from the current ‘one size fits all’ approach, to a purpose-driven system guided by design principles and informed by data and evidence to support the development of each qualification.

Jobs and Skills Councils’ Demonstration Projects

Throughout 2024, the Qualification Reform Design Group, Jobs and Skills Councils (JSCs), and state and territory officials worked closely to road-test the proposed approach to ensure it can deliver high-quality qualifications to VET students, industry and educators.

As part of this work, JSCs were invited to undertake Demonstration Projects, using first principles and existing Training Package Organising Templates, to explore opportunities and implications for their sectors, and potential changes to better support the objectives of reform.

A summary of each JSC demonstration project, and a copy of their final reports are available.