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In 2002 the Victorian Certificate of Applied Learning (VCAL), a new postcompulsory school education certificate, was trialled at 15 government secondary colleges, five Catholic secondary colleges and two TAFE institutes. This certificate was designed to expand the choice of pathways available to young people making the transition from school to work and/or further education and training. The VCAL trial pilot was evaluated in 2002 and the potential for the application of adult learning principles in the development of 'new pedagogies for young people' was identified, particularly in the teaching of literacy and numeracy to youth and in the development of employability skills. Schools and TAFE institutes will be challenged in accommodating applied and vocationally oriented learning courses for young people in ways that make a significant break with past institutional practices and norms. However, despite these challenges, in 2003 in excess of 200 secondary schools, the majority of TAFE institutes and a number of adult and community education (ACE) providers are offering VCAL learning programs.