Media Releases

 Federation advocates sectoral qualifications in schools

29 July 2010

The Industry Training Federation (ITF) is promoting broad sectoral-based qualifications in schools, that will provide clearer pathways to vocational study and work.

ITF Executive Director Jeremy Baker used his keynote address at this week’s ITF Annual Conference to promote real and practical vocational pathways in schools and beyond. Industry Training Organisations (ITOs) are proposing to work together, with schools and tertiary providers to develop broad sectoral qualifications that would provide clear and visible pathways into different industries.

“We have initially identified five broad qualifications that senior secondary school students could work towards.  These broad qualifications would help students to identify career choices, but would not limit their options. These qualifications would complement the NCEA, and help remove confusion about vocational education and training options.  They would also help students see the relevance of core subjects like English, maths, and science to the working world, which would motivate achievement in these subjects.”

The Federation is suggesting that qualifications be developed covering the services; building and construction; manufacturing and technology; primary; and social and community sectors.

“This proposal is a smart use of the opportunities created by the NCEA. It does not change anything for those students heading to university but provides real and valuable options for the 70% of secondary students who choose not to go to university. These students will be the vast majority of our future skilled workers. This proposal would help them find pathways to vocations that suit their interests and strengths.”

Mr Baker said the Federation was continuing to work with ITOs, government, and sector groups to develop the proposal.

“So far though, we believe there is significant interest and goodwill for this proposal and the time is right for it to be discussed publicly,” Mr Baker said.

 ITF media statement pathways (230KB) 
 

ITF calls for a more coherent vocational education and training sector

  28 July 2010

 Media reease conference (230KB)

Employment outcomes matter for industry-relevant qualifications

15 July 2010

“Employment outcomes are highly relevant for industry-related vocational education and training qualifications, and industry supports the greater focus the Minister for Tertiary Education plans to give to this in future”, said Jeremy Baker, Executive Director of the Industry Training Federation.

The Minister for Tertiary Education, Hon Steven Joyce, indicated that the government would be looking to put greater emphasis on the employment outcomes of tertiary qualifications in a speech at Victoria University of Wellington yesterday.

“More than half of all tertiary education and training qualifications can be clearly and directly linked to industry and occupational purposes. Another quarter of all qualifications are vocationally orientated, but have application in a broad range of sectors and occupations. For all of these programmes, measuring the employment success of education and training is extremely important”, Mr Baker added.

 “Only a quarter of tertiary education and training can be described as ‘general’ in that it is not designed to meet the specific needs of an industry or occupation. And even for these programmes, employment outcomes are at least one way of assessing whether these programmes are delivering value”, said Mr Baker.

 “Industry and industry training organisations look forward to working with the Minister, officials and tertiary education providers to develop appropriate measures for the employment outcomes of tertiary education and training – particularly for vocational education and training programmes.”

 ITF Media Release Employment outcomes matter... (231KB) 

Industry input into new qualifications framework essential

 6 July 2010

Qualifications on the New ZealandQualifications Framework need to be developed and approved with nationalindustry input, Industry Training Federation Executive Director Jeremy Bakersaid today.

Mr Baker was responding to the launch ofthe New Zealand Qualifications Framework by Minister for Tertiary EducationSteven Joyce. 

“Employers want a qualifications systemthat is simple to understand and that guarantees that qualifications carry theindustry seal of approval” Mr Baker said. 

“Industry Training Organisations (ITOs) arethe national standard setting bodies for New Zealand industries, and we lookforward to that role being given full effect in the new system.” Mr Baker said.

“We have far too many qualifications in NewZealand because of the rampant proliferation of local and provider-basedqualifications that has been allowed to develop.”  Mr Baker said.

“It is essential that the new NZQF onlygives national recognition to qualifications that have genuine industry supportand meet industry standards. Otherwise learners get a raw deal, and employers don’t get the rightskills.” added Mr Baker.

“The NZQF is an opportunity to learn fromthe mistakes of the past.  NewZealand is a small country in a global market for skills so we need far greatercollaboration and efficiency across the education sector, and far strongersupport for the role of standards in the system.”

 ITF Media release qualifications framework (231KB)  

University not the only option

2 June 2010

“Secondary students considering their options for next year and beyond might be forgiven for thinking that university was their only option, if recent media reports were to be believed”, said Jeremy Baker, Executive Director of the Industry Training Federation.

 University not the only option - 2 Jun 2010.pdf (236KB)

Budget shows commitment to training

20  May  2010

Today’s Budget shows a firm commitment to the role of training in supporting the country’s economic and social development.

Maintaining increases to the Industry Training Fund is welcome at a time when we are well aware that the purse strings are being tightened, Industry Training Federation Executive Director Jeremy Baker said.

“It shows that the Government sees the value that industry training delivers and it signals that it has faith in the sector to deliver even more,” Mr Baker said.

“We hope that over the next few years, that will translate into significant policy changes to focus the education system more on the needs of industry.

“I look forward to working with the government to advance some of these issues,” Mr Baker said.

  ITF Media release - budget 2010 (226KB)

Industry Training - Delivering Value

23  April  2010

Qualifications gained through Industry Training Organisations (ITOs) cost taxpayers about a quarter of the cost of equivalent qualifications gained through other tertiary education organisations.

The Industry Training Federation says the figures released today are part of a body of work compiled to support its view that industry training is the most cost-effective part of the tertiary education and training sector.

“Industry Training delivers value for taxpayers, individuals and industry,” Federation Executive Director Jeremy Baker said today.

New figures, verified by economic agency BERL, show that the average cost to taxpayers of each qualification completion arranged by an ITO is $5600.  This compares favourably with the average cost per qualification completion at polytechnics and private providers of more than $20,000.

Mr Baker said ITOs are cost effective largely because of the significant input from workplaces and industry organisations through both cash and in-kind support.

“And because trainees are also working while they are training, they do not access student loans and allowances, which is a significant drain on taxpayer funds.

“We’re proud of what industry training achieves for the industries they serve and the New Zealand economy.

“This work is about helping government and the wider public to better understand how industry training is able to deliver such good value,” Mr Baker said.

 ITF Media release Industry Training Delivering... (231KB) 

 Cost per completions April 2010 (349KB)  

Forum highlights value of skills

12 April  2010

Federation response to TEC Audits

6 April  2010

The audit process outlined in some recent media stories and blogs is part of an overall review by the Tertiary Education Commission (TEC) of operational policy for Industry Training Organisations (ITOs).

The Industry Training Federation was alerted by the TEC that this operational review would include an audit of some ITOs.

The Federation is currently seeking evidence from TEC to substantiate some of the claims it made in relation to the policy review.

However, the TEC has informed the Federation that the 12 ITOs that are to be part of the audit were selected to provide a cross section of ITOs and not because of concerns particular to that ITO.

The TEC has informed the ITOs that are part of the audit directly. It has not provided the Federation with a list of these ITOs.

The Federation does not expect this audit process to expose any significant issue in the way ITOs conduct their business to meet their responsibilities to both government and their industries.  ITOs are subject to regular review by the NZQA and formal audits by Audit New Zealand in addition to their own business processes. 

 ITF Media release - forum highlights value of... (234KB) 
 

Federation part of international skills network

26 March 2010

 ITF Media statement INSSO launch 26 March 2010 (226KB)

Qualifications Review overdue

9 March 2010

 ITF Media release qualifications review (230KB) 
 

Thumbs up to more relevant tertiary education

9 February 2010

John Key is right to say that the country needs to improve the value it gets from tertiary education and Industry Training Organisations (ITOs) can help, Industry Training Federation Executive Director Jeremy Baker said today in response to comments the Prime Minister made in his opening speech to Parliament.

“It is our long held belief that much can be done to better match what is funded in tertiary education with the skills that are needed by industry,” Mr Baker said.

“Under the current system there is no process to ensure that funding committed to tertiary education is targeted to the areas where there is a clear skill demand.  ITOs have developed approaches that would ensure that money invested in tertiary education was towards courses and qualifications our workforce needed.

“ITOs are also keen to work with government to provide better connections between schools, tertiary education and the workplace.  We can provide clear vocational education and training pathways linked to qualifications that have real value.

“What’s more, industry training is the most cost effective part of the tertiary education system and therefore can provide excellent value for money,” Mr Baker said.

More than 35,000 businesses and more than 180,000 apprentices and trainees are involved in industry training every year.

 ITF media Statement response to John Key's speech (228KB)

26 January  2010

The Industry Training Federation has welcomed the appointment of Steven Joyce to the role of Minister for Tertiary Education.

“Tertiary education, and particularly Industry Training, is closely linked to economic development and Mr Joyce has considerable experience in this area, which will be invaluable in his new role,” Federation Executive Director Jeremy Baker.

“His pragmatic and practical approach to issues aligns with the way the industry training sector operates.  We work closely with industries and individual workplaces to ensure the government’s investment in vocational education and training supports workforce development and improved productivity.”

Mr Baker said the Federation looked forward to continuing to work with Education Minister Anne Tolley on the important issue of ensuring the secondary school sector provided good pathways into the workforce for young people.

 ITF Media Release New Minister 26-1-10.pdf (229KB) 
 

TEC Releases Partial and Misleading Industry Training Data  

12 December 2009

The Tertiary Education Commission (TEC) has released misleading and partial data about the performance of Industry Training Organisations (ITOs) and industry trainees.

“The Commission’s release this week of incomplete data gives an inaccurate portrayal of the achievement of ITOs and their trainees,” Industry Training Federation Executive Director Jeremy Baker said today.

“ITOs arrange training for more than 190,000 people working in 35,000 businesses each year, at a cost to the taxpayer of about $1,000 per trainee. Equivalent training delivered by tertiary education providers, such as polytechnics, costs the taxpayer at least three times as much in tuition costs, as well as the cost of student fees, loans and allowances.

“Industry trainees have an average qualifications completion rate of 37% over a five year period. This is directly comparable to the completion rate for tertiary education providers offering the same kinds of programmes. Part-time university students have a 40% completion rate after six years, despite being funded at up to eight times the rate of industry trainees.

“Reports released by the TEC this week ignore the 3.6 million credits on the National Qualifications Framework that industry trainees attain each year. All industry trainees are engaged in part-time study, so it is to be expected they will take longer to complete their programmes than full-time students. On average each industry trainee attains 20 credits each year of industry-relevant learning.  For many it is the first formal attainment they have ever received yet TEC seems to be ignoring this.

Mr Baker said the data on ITOs’ assets, released for the first time by the Commission, also needed to be looked at in a wider context.

“The data shows that net ITO assets have risen more slowly than the number of trainees over the last six years, reflecting the prudent management of taxpayer and industry funds. Running prudent reserves has allowed many ITOs to use those reserves to offer packages to support trainees and employers during the recent downturn.

“It is irresponsible and misleading for the TEC to have released this data without wider sector context. The reality is the current cash assets of the 20 polytechnics, at $250 million, is more than the total of all the assets available to the 39 ITOs.

“ITOs welcome robust discussion about performance in tertiary education, including their own performance. Every part of the sector can do better. But it is vital that all of the relevant information is released, so that the public can make an accurate assessment of the relative performance of different parts of the system. Releasing partial and incomplete information does not help this process, and is undermining of the achievements of industry trainees and employers,” Mr Baker said.

Contact: Jeremy Baker 021 377 791

The Industry Training Federation is a voluntary membership organisation representing all ofNew Zealand’s 39 Industry Training Organisations.

An analysis of the relative resources available to ITOs and ITPs (polytechnics), which both provided training to around 190,000 people in 2008, is attached.

Also attached is a full picture of the attainment of industry trainees, and the benefit these achievements return to workers, industry and the nation.

 TEC releases misleading and partial industry... (243KB) 

 ITPs and ITOs resources and finances compared.pdf (51KB)

 Industry Training Achievement - October 2009.pdf (239KB)

Innovations in Qualifications

3 December 2009

Getting the qualifications system to work better for learners, and for New Zealand’s society and economy is at the centre of the first New Zealand qualifications forum being held in Wellington tomorrow.

The sold-out forum is being organised by the IndustryTraining Federation in response to a need for a cross sector professional opportunity to discuss issues around qualifications.  Attendees include those from the secondary and tertiary education sectors as well as unions, professional and business associations andgovernment departments.

“The fact that the forum filled up in just a couple of weeks indicates to me that there is a widespread desire to improve the qualification system,” Federation Executive Director Jeremy Baker said today.

“While people’s ideas on how to achieve that might differ, I don’t think there is any doubt that we have too many qualifications.  There are around 6000 qualifications in New Zealand, which is far too many for most countries let alone one with fewer than 5 million people.

 “There is duplication and confusion.  However, there are also aspects that work well and widespread agreement that better collaboration can only benefit learners.

 “This is the first time in more than ten years that such across sectoral group has met on this issue and I am hopeful that it will result in improvements,” Mr Baker said.

 ITF Media Release Qualifications Forum (229KB)

The nugget in the Brash Report

1 December 2009

The Industry Training Federation would support any move to review areas within the government education agencies that have become overly prescriptive with an insufficient focus on the needs of the labour market.

A review of education agencies was recommended in the first report of the 2025 Taskforce released yesterday.

“This surely must be one of the nuggets in the report which the Prime Minister has indicated the government would support,” Executive Director Jeremy Baker said today.

“Industry Training Organisations work closely with their industries to ensure that the standards they set and the training they arrange meet the skill needs of industries now and in the future.  Each year they work with more than 35,000 workplaces and 180,000 trainees to deliver relevant training and qualifications at a fraction of the cost of elsewhere in the tertiary education system.

“A more coherent approach to vocational education and training would enable ITOs and tertiary education providers to better meet the needs of industry.   That does require a review of how the education agencies are organised and how they work more constructively with key labour market agencies.”

  ITF media release 2025 report (228KB)

Increase in ITO completions a good sign 

9 November 2009

An increase in the number of completions of qualifications and programmes by people signed up to training agreements with Industry Training Organisations (ITOs) in 2008 is a good sign for the New Zealand workforce.

Figures just released by the Tertiary Education Commission (TEC) indicate that 35,958 qualifications were completed by workers with the support of ITOs in 2008. This is a 22% increase on thenumber of qualifications attained in 2007. Similarly, a total of  40,042 industry training programmes were successfully completed in 2008, a 20% increase on 2007.

Furthermore, workers signed into training agreements with their employers and ITOs achieved over 3.7 million credits worth of national industry skill standards in 2008 – an average of 20 credits per employee.

“That these improvements occurred in themidst of a major economic recession is a testament to the resilience of the NewZealand workforce, the commitment of NZ employers to training, and the dedication of ITOs working with their industries”, said Jeremy Baker, Executive Director of the Industry Training Federation (ITF).

Overall numbers of people engaged intraining through ITOs grew to 194,516 in 2008; a 4% increase on 2007. This is the smallest increase in overall numbers for a number of years, and reflects both the economic situation and the growing maturity of the industry training system.

Copies of the 2008 Industry Training Statistics can be obtained from the TEC’s website: http://www.tec.govt.nz/templates/StandardSummary.aspx?id=1203

•   Increase in ITO completions are good sign (230(230KB))

Trade academies show welcome link to industry

 Trade Academies show welcome link to industry (228KB)

Survey points to need to keep up with training

9 September 2009

The Manpower Employment Survey which shows potential labour market recovery points to the need for businesses to retain an interest in training and skill development of their staff.

Industry Training Federation Executive Director Jeremy Baker said that Industry Training Organisations (ITOs) were encouraging workplaces to maintain levels of training despite tough economic times.

“It is important that when we are through the recession, we are left with a skilled and productive workforce to help drive our economy forward,” Mr Baker said.

 “We have been heartened that so many employers have chosen to keep up training levels despite the difficult times.    I hope that today’s glimmer of hope provides them with the confidence to keep that up.

“While addressing training needs will seem harder in those industries and regions where there are not signs of recovery, it still remains essential and can help lead recovery,” Mr Baker said.

  Survey points to need to keep up with training (228KB)

Youth opportunities plan needs to incorporate training 

2 August 2009

 Employers and community groups taking advantage of the government’s new youth opportunities scheme should work with Industry Training Organisations to ensure that a training element is incorporated into the arrangement.

Industry Training Federation Executive Director Jeremy Baker said that such an approach could signal the difference between a sticker plaster approach and an initiative that supported long-term economic and social development.

“If the government is serious about making this more than something to keep young people occupied in the short term, they will work with ITOs to ensure that relevant training is part of the package and accessible to both the individual and to the workplace,” Mr Baker said.

“Industry training works because it links workplace learning to national qualifications and standards.  It supports training that helps productivity in the workplace as well as supporting trainees in career development.

“In particular, this provides an opportunity to include young people in some of the excellent workplace literacy and numeracy initiatives that ITOs have been leading,” Mr Baker said.

  ITF Media Statement Youth Opportunities (224KB)

Matching tertiary spend with what we need

22 July 2009

Government needs to ensure that the tertiary education system better matches what is needed in the workforce.

A new report and tool released today by the Industry Training Federation matches up the government’s spend on vocational education and training with the industries that uses those skills.

“More than half of funding for tertiary education is industry-related vocational education and training and can be matched to about 90% of the workforce,” Federation Executive Director Jeremy Baker said today.
 
“It is the first time this information has ever been available in this way and we are advocating that where there is a direct relationship between the training and education and a particular industry, the government should have processes to ensure that those industries have a much greater say on what is made available.

“This would benefit government, industry, and individuals, as well as give providers of tertiary education a greater guidance on what courses and training they should be focusing on.

•    Government benefits by a more efficient use of taxpayer funds
•    Industries benefits by graduates and trainees gaining more useful and relevant skills
•    The individual benefits by gaining more certainty that the money and time they invest in their education and training is more likely to lead to meaningful career options.

 “We take it for granted that government spending on tertiary education should have relevance to the country’s social and economic well being.  This cannot be achieved unless the allocation that relates directly to particular jobs and industries is what workplaces need.

“Currently, there is no system in place to achieve that.”

“Industry is keen to work with government to develop a more responsive system.  It does not necessary require more funding, but it does require a significant shift in how decisions are made for the way that funding is allocated,” Mr Baker said.

The report released by the Federation today outlines how an industry-led vocational education and training system could operate.  It is complemented by a software-based tool which links publicly funded tertiary education and training throughout the country, with the related industries.

 Matching supply media statement (230KB) 
 

 Matching Supply and Demand Report (1067KB) 
 

Productivity taskforce should focus on training

22 July 2009

The 2025 Taskforce looking at productivity needs to include a focus on the role of skill development in contributing to improved productivity.

Industry Training Federation Executive Director Jeremy Baker said today that there was a growing body of evidence to show that training was of major benefit to productivity levels.

“For example, research by the New Zealand Institute of Economic Research (NZIER) in 2004 found that recipients of industry training were likely to be between 5 and 20 percent more productive after industry training than before.

“That is backed up internationally.  Just last year, Canadian research which included New Zealand found that workplace learning linked to industry training is effective in resulting in actual productivity gains.

“Businesses that train are less likely to fail and training has benefits for both the individual employee in terms of earnings as well as the business.”

Already ITOs are working with their industries on ways in which training can improve productivity and we look forward to working with the new taskforce to help achieve its goals.

Mr Baker said the Federation would be writing to Mr Hide to ensure that at least one of the taskforce members had a solid understanding of the link between skill development and productivity gains.

 Productivity taskforce should focus on training (226KB)

Increase in training numbers heartening
25 June 2009

News that industry training numbers and modern apprenticeships are slightly up is heartening, Industry Training Federation Executive Director Jeremy Baker said today.

He was commenting on news today from Tertiary Education Minister Anne Tolley that trainee numbers had increased by 151 between December 2008 and March 2009. Trainee numbers had also increased from the same time last year, with there being 190 more trainees than in March 2008.

“It is encouraging that, overall, businesses appear to be recognising that it is important to maintain training to ensure that when the recession is over, we are not left with an underskilled workforce.

“Many ITOs have also come up with packages and initiatives to help their industries maintain training levels.

“The increase in itself is not spectacular, but when it could have so easily been a decrease, this is good news,” Mr Baker said

 Training increase welcome (224KB) 
 

Industry Training Federation elects new chair

24 June 2009

Agriculture ITO Chief Executive Kevin Bryant is the new Chairman of the Industry Training Federation.

Mr Bryant was elected unopposed to the position at today’s Annual General Meeting replacing Retail Institute Chief Executive John Meeuwsen.

Wayne Smith, Chief Executive of Tranzqual ITO was also elected to the board and Greg Durkin, Chief Executive of the Flooring ITO and Austen Banks, Chairman of Competenz, were re-elected.

Mr Bryant said he looked forward to the role in what was an exciting time for industry training.

“Not only is the role of Industry Training Organisations expanding, but we have a major role to play in working with our industries to drive the country through this economic recession,” he said.

ITF Executive Director Jeremy Baker welcomed the new board members and paid tribute to outgoing chairman John Meeuwsen and outgoing board member Elizabeth Valentine.

“They have brought passion and energy to their roles and committed long hours to ensuring that industry training is a high performing and cost effective part of the tertiary education and training sector.” 

 ITF New Board Chair (227KB) 

ITF Response to Budget

28 May 2009
The Government’s Budget flies in the face of its own statementsrecognising the importance of industry training to helping the countrythrough the recession, the Industry Training Federation said today.

“Less than three months ago, we attended the Prime Minister’s JobSummit where he stated that he was keen to determine what could be doneto keep up or increase levels of industry training during thisrecession,” Executive Director Jeremy Baker said today.

“Today the government formally responded by in effect cutting fundingto industry training while passing on significant increases in fundingto polytechnics and universities whose qualifications cost the taxpayeraround three times as much as the industry training sector and oftencontain only a tenuous link to the country’s economic and socialneeds. 

Full statement   ITF Response to Budget 2009 (225KB)

A Realistic Budget for Real Skills

20 May 2009

In times of economic recession, investing in industry training becomeseven more crucial, Industry Training Federation Executive DirectorJeremy Baker said today.

While next week’s Budget was expected to be tight, he was hopeful thatthe government would still see the benefit of investing in industrytraining.

“Industry training is the most cost effective part of the education andtraining sector. Added to that, it is closely aligned with industries,who also make financial and in-kind contributions, so it is more likelyto lead to direct economic gain through productivity improvement.  TheNational government has stated its support for industry training,including at the Prime Minister’s Job Summit earlier this year.  Wewill be looking for how it plans to turn its stated support intopractical reality.”
 

 Full statement  A Realistic Budget for Real Skills (217KB)

Good news in industry training data

24 April 2009

The Industry Training Federation (ITF) has welcomed the release this week of government data on industry training.

Full statement  Good news in industry training data (228KB) 

 Full statement  Extension for apprenticeship support (231KB)