Peter Canavan National Manager, Apprenticeship Project

Reforming the apprenticeship system

• Competency based completion

• National harmonisation

• Mentors and advisers

• Review of wages and conditions

• Competency based wage progression

Apprentice commencements are low Trade and non-trade commencements, seasonally adjusted and smoothed, September 2003 – December 2013

Source: NCVER Apprentices and trainees Early trend estimates December quarter 2013, Commonwealth of Australia, 2013

Slow growth for engineering apprentices …

70

80

90

100

110

120

130

140

2005 2006 2007 2008 2009 2010 2011 2012

Ind

ex

va

lue

(2

00

5 =

10

0)

Engineering trades All trade occupations

Source: NCVER Apprentice and Trainee Collection, June 2013 estimates, reported in ACIL Allen Consulting 2013, Review of Qualification Completions in Engineering Trades Apprenticeships

Apprenticeship commencements index, engineering trades and all trade occupations, 2005-2012

Completion rates are poor across the board … Occupation (ANZSCO) group

Average annual

adjustment factor

Contract

completion

rate (%)

Individual

completion

rate (%)

Engineering tradesa 1.18 52 62

31 Engineering, ICT and science technicians 1.03 58 60

32 Automotive and engineering trades workers 1.20 50 60

33 Construction trades workers 1.33 43 57

34 Electrotechnology and telecommunications trades

workers 1.24 55 68

35 Food trades workers 1.39 30 42

36 Skilled animal and horticultural workers 1.09 46 51

39 Other technicians and trades workers 1.18 45 53

391 Hairdressers 1.44 38 54

392 Printing trades workers 1.07 57 60

393 Textile, clothing and footwear trades workers 1.13 48 54

394 Wood trades workers 1.22 39 48

399 Miscellaneous technicians and trades workers 1.03 61 63

Total trade occupationsb 1.23 46 56

Source: NCVER (2013) and NCVER Apprentice and Trainee Collection, June 2013 estimates, reported in ACIL Allen Consulting 2013, Review of Qualification Completions in Engineering Trades Apprenticeships

State Priority 1

• fitter (general)

• fitter and turner

• fitter – welder

• metal machinist (1st class)

• pressure welder

• sheetmetal trades worker

• welder (1st class)

Apprentices are getting older

0

50

100

150

200

250

300

350

400

2005 2006 2007 2008 2009 2010 2011 2012

Ind

ex

va

lue

(2

00

5 =

10

0)

19 years and under 20 to 24 years

25 to 44 years 45 years and over

Age group of engineering trades commencements index, 2005-2012

Source: NCVER Apprentice and Trainee Collection, June 2013 estimates, reported in ACIL Allen Consulting 2013, Review of Qualification Completions in Engineering Trades Apprenticeships

Some relevant decisions … • competency based completions

(COAG 2006)

• competency based completion and wage progression for engineering trades (Fair Work Commission 2006)

• competency based wage progression for building and construction and printing trades (Fair Work Commission 2013)

• employers required to respond to written RTO notification within 21 days (Fair Work Commission 2014)

Apprentice wages are based on 4 stages, not 4 years

Stage 1 entry level wage

Stage 2 once 25% of competencies achieved

Stage 3 once 50% of competencies achieved

Stage 4 once 75% of competencies achieved

Trades wage (C10) once ALL competencies achieved

Manufacturing and Associated Industries and

Occupations Award 2010

(previously the Metals and Engineering Award)

What are competency based apprenticeships?

• Apprenticeship completed when all competencies achieved

• 4 year terms no longer mandated

• Determination of competency is by agreement between the RTO, the employer and the apprentice

• Wage progression based on competency achievement not years completed

Competency based progression is NOT

• Doing away with the 4th year

• Tied to a TAFE’s 3 year delivery timetable

• Signing off apprentices as they finish subjects at TAFE

• Rushing apprentices through before they are ready

What are competency based apprenticeships?

• Apprenticeship completed when all competencies achieved

• 4 year terms no longer mandated

• Determination of competency is by agreement between the RTO, the employer and the apprentice

• Wage progression based on competency achievement not years completed

How do we make this work for employers?

• jargon-free information.

• training plans that reflect their workplace.

• help to determine competent performance.

• help to know the stage their apprentices are at.

• clear procedures for confirming competency.

Engineering Excellence Project

… is about implementing competency based progression and completion that reflects the performance of apprentices in the workplace as well as with their RTO.

• 10 pilots in 6 states

• Each pilot runs for 2 years

• Every engineering apprentice is included

The 10 Pilots

Kangan Institute Vic Metropolitan

The Gordon Vic Regional

TasTAFE Tas Metropolitan

TAFE SA Whyalla SA Regional

Training Prospects SA Metropolitan

SkillsTech Australia Qld Metropolitan

Careers Australia Qld Regional & Metropolitan

South Western Sydney Institute NSW Metropolitan

Hunter Institute NSW Regional

Challenger Institute WA Metropolitan

How do we make this work for employers?

• jargon-free information.

• training plans that reflect their workplace.

• help to determine competent performance.

• help to know the stage their apprentices are at.

• clear procedures for confirming competency.

jargon-free information

• wage progression arrangements

• employer’s obligations

• RTO’s obligations

• Training Plans

• assessment arrangements

• monitoring progress

• confirming competence in the workplace

• resolving issues

training plans that reflect the workplace

• what should go in the Training Plan?

• which units can the workplace support?

• how can competency be confirmed without the relevant machine or tool?

training plans that reflect the workplace CODE STAGE 1 POINTS HOURS CODE STAGE 3 POINTS HOURS

MEM13014A Apply Principles of Occupational Health and

Safety in the Work Environment Core 1 10 MEM16007A

Work with others in a Manufacturing,

Engineering or Related Environment Core 1 10

MEM14004A Plan to Undertake a Routine Task Core 1 10 MEM15024A Apply Quality Procedures Core 1 10

MEM14005A Plan a Complete Activity Core 2 20 MEM15002A Apply Quality Systems Core 2 20

MEM16008A Interact with Computing Technology Core 2 20 MEM18005B Perform Fault Diagnosis, Installation and

Removal of Bearings 4 40

MEM16006A Organise and Communicate Information Core 2 20 MEM18007B Maintain and Repair Mechanical Drives and

Mechanical Transmission Assemblies 4 40

MEM09002B Interpret Technical Drawing 4 40 MEM07006C Perform Lathe Operations 4 40

MEM18001C Use Hand Tools 2 20 MEM07007C Perform Milling Operations 4 40

MEM18002B Use Power Tools/Hand Held Operations 2 20 MEM05050B Perform Routine Gas Metal Arc Welding 2 20

MEM07005C Perform General Machining 8 80 MEM05012C Perform Routine Manual Metal Arc Welding 2 20

16 240 20 240

CODE STAGE 1 POINTS HOURS CODE STAGE 4 POINTS HOURS

MEM12024A Perform Computations Core 3 30 MEM17003A Assist in the Provision of on the Job Training Core 2 20

MEM12023A Perform Engineering Measurements Core 3 30 MSAENV272B Participate in Environmentally Sustainable Work

Practices Core 3 30

MEM18006C Repair and Fit Engineering Components 6 60 MEM18009B Perform Levelling and Alignment of Machines

and Engineering Components 4 40

MEM18055B Dismantle, Replace and Assemble Engineering

Components 3 30 MEM18004B Maintain and Overhaul Mechanical Equipment 4 40

MEM18003C Use Tools for Precision Work 4 40 MEM18012C Perform Installation and Removal of Mechanical

Seals 2 20

MEM05006C Perform Brazing and/or Silver Soldering 2 20 MEM18013B Perform Gland Packing 2 20

MEM05007C Perform Manual Heating and Thermal Cutting 2 20 MEM18018C Maintain Pneumatic System Components 4 40

17 230 MEM18020B Maintain Hydraulic System Components 4 40

20 250

TOTAL 73 960

Help to determine competent performance

Help to determine competent performance

Help to determine competent performance

Help to determine competent performance

Hours - 32 Supervision level - Partial Description – Navy Frigates Notes – Click to view File attached – Click to view

Help to determine competent performance

Help to determine competent performance

Help to determine competent performance

help to know the stage their apprentices are at

help to know the stage their apprentices are at

clear procedures for confirming competency

clear procedures for confirming competency

clear procedures for confirming competency

3. Supervisor confirms workplace standard met

4. Supervisor gets a check message and selects who is to be notified. Eg Teacher and or GTO.

5. Unit turns green.

Confirming Workplace Standards

1. Checks the right unit has been selected

2. Checks the range of tasks

Properly implemented, competency based progression and completion will give employers more confidence in the apprenticeship system.

Properly implemented, more people will be attracted to apprenticeships and completion

rates will improve.