A case study in addressing local skills shortages Australian Technical College - Geelong Welcome John Weichert

Historically the large State & National Government Departments trained 60% of Apprentices (Railways, Housing Departments, Water Authorities, Local Councils, Telstra etc) (Locally Shell, Ford, Alcoa)Historically the large State & National Government Departments trained 60% of Apprentices (Railways, Housing Departments, Water Authorities, Local Councils, Telstra etc) (Locally Shell, Ford, Alcoa) Privatisation, contracting and modern business practices has changed levels of commitment to and number of ApprenticesPrivatisation, contracting and modern business practices has changed levels of commitment to and number of Apprentices Focus on University education has de-valued traditional trades and tradespeopleFocus on University education has de-valued traditional trades and tradespeople Demographic with Population AgingDemographic with Population Aging What skills shortage? National

Region workforce aging. 20% will retire in 2010 (Office of Training & Tertiary Education June 2006)Region workforce aging. 20% will retire in 2010 (Office of Training & Tertiary Education June 2006) In the construction industry this translates to 50% of the workforce by 2010In the construction industry this translates to 50% of the workforce by 2010 Broad range of surveyed employers identifying current or pending skills shortages, Construction, Engineering, Boiler-making, Automotive, Hairdressing, Plant operators, NursesBroad range of surveyed employers identifying current or pending skills shortages, Construction, Engineering, Boiler-making, Automotive, Hairdressing, Plant operators, Nurses What skills shortage? Local

Who enters when?Who enters when? How successful are they?How successful are they? What incentives are there?What incentives are there? How effective are they?How effective are they? What is the attraction of entering into an apprenticeship?What is the attraction of entering into an apprenticeship? Apprenticeships

2006 Early Leaver Destinations – by Year Level of Exit – Barwon South Western

Is it worth while investing in School Based Apprenticeships? NCVER 2007

Unemployment rates for Victorians aged by educational attainment With post- school qualifications Without post- school qualifications Without Year 12 With Year 12 Source: ABS 2006 Setting the Scene – Volkoff, V & Walstab, A (2007) Figure 10, p16.

The Australian Technical Colleges Program Federal Election promise Nov Colleges as part of addressing National skills shortage Most significant educational initiative in Australia in the last 20 years (Jim Davidson, Deputy Secretary DEST 2007) Focus on the Traditional Trades (ASCO4) Students to become School Based Apprentices within the first 6 months

Australian Technical College Models Percentage of training directly provided Geelong Tasmania Sunshine Northern Adelaide Gippsland Spencer Gulf Perth South Adelaide South Northern Tasmania Northern Queensland Northern Brisbane Illawarra Hunter Port Macquarie Gladstone Registered Training Organisation Secondary School Wannon Bendigo Darwin Western Sydney Gold Coast East Melbourne

ATC-G Our Objectives To provide the Geelong region with a focused Technical/Trade College dedicated to the development of young adults wanting to enter trade and vocational callings, that match the local skills shortages. Give Geelong industry and employers a focal point to participate and contribute to the development of young adults wanting to enter trades and vocational callings. Provide Geelong students and their parents’ a Technical/Trade College that specifically facilitates vocational training pathways into trade and other vocational careers and provides direct links to employers.

College Overview Funding agreement in June 2006 First year of operation – 2007 –Offered carpentry, fitting, fabrication & Automotive trades, –60 Students –41 Participating workplaces –5 teaching, 2 industry liaison + 5 administration staff Second year of operation – 2008 –Offered in addition, diesel, bricklaying, cabinet making, plumbing & electrical trades. –155 Students –140 participating workplaces, either structured workplace learning or ASBA –10 teaching, 2 industry liaison + 6 administration staff

ATC Apprenticeship Model

ATC-G Program Model

Operations Student selection –Demonstrated practical skills and interests –Commitment to employment within industry –Previous academic achievement Employer recruitment –ATC will assist students gain employment positions –Support job application and negotiated process –Timelines and framework to give due consideration to equity

Regional Demographic 2008 achieved intake of average Secondary School yr 11 in the region Outside the ATC there were no Cert 111 ASBA’s in these Trades 60% of employers state ASBA’s did not replace hiring of a full time employee therefore we are growing the number of Apprentices in the region 2008 Student Origin

Regional Participation

Geelong City Participation

If your son/daughter was not attending the ATC-G, they would be: 2008 yr 11 parent survey

By attending the ATC-G, your son/daughter's interest and commitment to education has: 2008 yr 11 parent survey

Australian Technical College - Geelong 2007 – 2008 Total Students FT App21 ASBA80 Structured Workplace Learning62 Ret to School4 Other Employment2 Other6 Total175

Belief in the value of SBA’s?

Contribution of ATC’s to addressing skills shortages? Doesn’t replace existing Apprenticeship model potential Increasing employer take up Lower drop out rate Increased participation Earlier start

Fabricator or Accountant? Having commenced at the ATC or remained at school at age 17 at the age of 30 years, who has the largest total earnings? Assumptions Fabricator works 20% overtime, C10 base trade rate with CPI factored. No additional increase for post trade qualification. Accountant works for 2 years before completing CPA requirement (paid for by his employer) No allowance for other work or value adding Current industry local rates and case studies RH Fabricator, LH Accountant 1 Finger per $100,000 Income Solutions (David Ramsay & Associates)