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This issues paper reports on the findings from the first year of a three-year program of research by the University of Sydney's Workplace Research Centre. The overarching aim of the research is to investigate how, if at all, vocational education and training (VET) can make a difference in improving productivity and workforce participation. The authors describe four domains of social and economic practice in which to frame the second and third year's research, and the key challenges for workforce development in two particular industries: meat processing, and early education and care.