Vocational education and training (VET) plays an important role in providing employees with the skills they require to be effective in the modern workplace and contribute to Australia's economic growth. But how well does the VET system meet the needs of employers?

This study examines employers’ views on the three ways they can engage with the VET system: by having vocational qualifications as a job requirement; employing apprentices and trainees; and using nationally recognised training. In particular, the authors focus on employers’ suggestions for improvement to the VET system and, for those employers who are dissatisfied with the system, their reasons for dissatisfaction.

Key messages

• Employers are generally satisfied with the VET system. Across the three types of engagement with the VET system, the level of satisfaction ranged between 77% and 83%.
• Those dissatisfied with the VET system point to the relevance of skills taught: that training is too general and not specific enough, and there is insufficient focus on practical skills for employees.  
• Employers’ suggestions for improving the VET system revolve around providing more practical skills and experience, tailoring training to specific industries, increasing flexibility in training provision, improving access to training in regional areas, and increasing government funding.

The challenge is to use these findings to improve the VET system, noting that the level of satisfaction among employers is very high.