Vocational Education Minister Penny Simmonds Photo: RNZ / Samuel Rillstone
The workplace training parts of mega-institute Te Pūkenga look set to become private training providers under an overhaul announced this morning.
Vocational Education Minister Penny Simmonds told RNZ it would create six to eight Industry Skills Boards which would set standards and oversee training from the start of next year, replacing the current six Workforce Development Councils.
Simmonds said the boards would temporarily take over the the workplace learning division of mega-institute Te Pūkenga and decide whether to turn the training providers into stand-alone private institutes.
"It's for them to make a decision about whether they want to set up their own industry PTE [Private Training Establishments] or whether they want to use PTEs that are already operating or polytechnics or wananga," she said.
Simmonds said the boards would not be allowed to own a training provider, ensuring separation of the roles of setting and monitoring industry qualifications and teaching them.
The decision was part of the government's move to disestablish Te Pūkenga which was set up to combine polytechnics and work-based learning.
Government-subsidised industry training involves about 120,000 learners a year.
Simmonds said the skills boards would have six industry-appointed representatives and two government appointees.
She said the change would ensure industries had greater say over their qualifications and training.
"Industry will decide what qualifications they want the apprentices to have. They will decide who will be delivering those programmes to meet those qualifications. They will be quality assuring those programmes. It will be industry in the driving seat rather than a centralised government entity," she said.
Simmonds said the skills boards would be funded through the Tertiary Education Commission.
She said they would cost less than the Workforce Development Councils and would have fewer responsibilities.
"They [the councils] had a lot of extra requirements on them that the ISBs won't have. They had a lot of co-governance, co-management, some things like that that won't be required and also the ISBs will only be operating for industries that have apprenticeships and traineeships," she said.
Backing for changes
Some industry bodies were positive about the plan.
Master Electricians chief executive Alexandra-Vranyac Wheeler said the changes would be "a significant and positive shift for industry training".
However, she said electrotechnology should have its own Industry Skills Board rather than being included in a Building and Construction skills board.
"For too long, the Electrotechnology sector has been underserved in vocational training, particularly when grouped with broader construction pathways. This has resulted in a lack of focus on the specialist skills, safety requirements, and future-focused technologies that define the electrical industry," she said.
Motor Trade Association chief executive Lee Marshall said it had been assured the former motor trades industry training organisation that became part of Te Pūkenga would be split off to become an industry-owned organisation.
"We have spoken directly with the minister, and she has assured us that initially MITO will sit temporarily within a specific Motor Industry Skills Board, with minimal government influence, then be carved out as a privately owned training organisation," he said.
"While the Minister's announcement this morning was short on detail, we are cautiously optimistic that she has listened to industry and landed on the best outcome for learners, employers and industry."
Business New Zealand chief executive Katherine Rich said the changes appeared to recognise the importance of industry leadership in vocational training, but the timeframe for standing up a new system was very tight.
The Tertiary Education Union said it was appalled by the announcement, which it said would cripple polytechnics in favour of private training providers.
It said the existing system already provided a strong voice for industry and the union was unsure what advantages the change would bring.
