POLYTECHNICS SHAKE-UP CONFIRMED

The Government has announced it will merge the country’s 16 polytechnics into a single institute in 2020, and replace Industry Training Organisations (ITOs) with Workforce Development Councils over the next three years

Education Minister Chris Hipkins confirmed that the new institute, provisionally known as the New Zealand Institute of Skills and Technology, will provide both on and off-the-job learning.

Eleven existing ITOs will be replaced by four to seven Workforce Development Councils, which will advise on the vocational education and training programmes.

Hipkins said the changes are being made to address what he believes is a system that hasn’t kept up with industry needs.

“The plain truth is that while there are some bright spots, the current system is not set up to produce skilled people at the scale we need.”

“Vocational education, trades training and on-the-job training have been allowed to drift for too long. These are long-term challenges that this government is committed to fixing.”

“The comprehensive changes we are making will address the widespread skills shortages across most industry sectors. These shortages highlight the limitations of the current vocational educational system,” Hipkins said.

Industry response

One of NZ’s biggest ITOs, Building and Construction Industry Training Organisation (BCITO), was disappointed at the decision to remove industry control of on-the-job learning.

BCITO chief executive Warwick Quinn said “our enrolments have steadily increased over the past five years to where we now have nearly 13,000 construction apprentices learning on the job. The sector was very clear in its view that the status quo was performing well and should be maintained.

“[The sector is] concerned the reforms have the potential to undermine the confidence of construction employers and apprentices at a time when construction is booming, and skills are more critical than ever.”

Quinn was, however, pleased to see BCITO’s recommendation on minimising risk when transitioning to the new model.

“We are not going to rush the implementation of the changes. To ensure continuity for learners and employers and to allow time to build new capacity, the transition will take three to four years to get fully under way,” Hipkins said.

BCITO also had its advice on the Workforce Development Councils (WDCs) taken into consideration. Previously, there was no limit in how many WDCs could be established, but now the Government has signalled there will be four to seven council’s based on the six vocational pathways, as suggested by BCITO.

BCITO was also successful in having its advice heard on the creation of interim agencies to allow the NZIST time to get fully operational. The ITO said it was important these agencies ensure stability in the system until apprentices are transitioned into the NZIST.

“Our focus now is on supporting our staff, apprentices and employers through these changes. We must ensure employers and apprentices encounter no disruption, and the only thing they notice is a change of the branding on the shirt from the person coming to visit them,” said Quinn.

“We are looking forward to working proactively with the Government to ensure a smooth transition. It is essential that employers and apprentices understand it is business as usual, and they should not hold off entering into an apprenticeship for fear of not completing it, or what the changes might mean.

“We need just as many skills in construction today as we did yesterday and we will continue to do everything we can to address the shortfall,” says Quinn.

Other key changes rolling out with the reform 

• A Regional Skills Leadership Group will be set up to represent regional interests and will work across education, immigration and welfare systems to identify skills needs.
• The dual funding system will be unified and simplified to encourage integrated on and off-the-job learning.
• Centres of Vocational Excellence (CoVEs) will be established at regional campuses to drive innovation and expertise, while providing a network between education, industry, and research.