While the majority of employers recognise workforce skill levels are fundamental to the success of the business, their understanding and support of the national vocational education and training sector varies markedly, Giselle Mawer and Elaine Jackson report. Employers and employees tend to prefer informal, on-the-job training because the returns to the enterprise are more immediate. Accredited training which is supported by employers and employees is mainly driven by external mandates, such as occupational health and safety, licensing and contractual requirements and industrial awards.