A survey of registered training organisations (RTOs), commissioned by ReadyTech, has revealed a snapshot of the who, what, where and how of a sector that expects continued growth this year despite challenges including compliance and community perceptions.
The Voice of VET RTO Industry Australia 2018 Report independently surveyed CEOs, directors and senior managers at 444 leading RTOs, who form part of a vocational education and training (VET) sector that trains more than 400,000 Australians into the skilled workforce each year.
“The report provides a unique insight into a sector that Australia relies on to provide the skilled workers of today and tomorrow,” VETtrak general manager Trevor Fairweather says. “A nation doesn’t build itself. The nation-defining infrastructure projects we are seeing across Australia like Sydney’s WestConnex or Melbourne’s Metro Tunnel require access to very highly skilled workers with VET qualifications. Giving this sector a voice through Voice of VET helps us all.”
The key findings of the Voice of VET RTO Industry Australia 2018 Report include:
- 78% of RTOs expect to see revenues improve over the next 12 months
- 63% report that revenues either increased or remained level in the previous 12 months
- New growth is expected to come from expansion into ‘new markets’ (15%) ‘new products’ (10%) and through providing more online training (6%), rather than organic industry growth (4%)
- Positive changes expected in the status of their RTO in the next 12 months would come from areas including the number of student enrolments (>70%), training and maintaining staff capabilities (>62%), and investment in IT systems and resources (>52%)
- Fees and profit margins the least expected to result in positive status improvements (28-31%)
Among the biggest challenges expected over the next 12 months are:
- Compliance administration (39%)
- The community reputation of the VET sector (39%)
- Issues related to government funding (36%)
Download the full Voice of VET report here.