Victorian Skills Commission market effectiveness report

The Victorian Skills Commission (VSC) monitors the effective operation of the training system in Victoria. The effectiveness of the training system depends on its capacity to align the supply of skills with the demands of the labour market. Achieving this alignment requires applying a clear understanding of the skills and employment needs of industry to enabling the training system to respond to future labour and skills requirements. While the VSC believes the training market is operating effectively for the most part, there will always be areas of market provision that could be improved. Improvements to market provision can come from government, from training providers and ideally from industry itself. Indeed, industry and training providers coming together to optimise market provision is the ideal scenario. Where this does not occur, government can have a role to play in facilitating a more efficient and effective market. This report provides an overview of the training market in Victoria over the period January to December 2011. To focus the report strategically, the VSC has concentrated on five industries and one region. Focus industries were chosen on the basis of: (1) level of economic contribution; (2) skills needs; (3) industries in transition; and (4) sectors that deliver essential services. Gippsland region was selected because of the high level of industry transition and demographic changes being experienced in the region. The report's purpose is to outline the factors the VSC see as important for each area and to recommend actions for industry and the Victorian Government. It explores the alignment between industry needs and employment opportunities, and addresses three key questions: (1) do trends suggest training is on track to meet demand; (2) do workforce projections highlight specific training requirements, and are these being met; and (3) is training delivery responding to specific identified gaps, including skills shortages?

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