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Skills shortage to worsen as Labor slashes funding from VET

Reading a Newspaper

Thursday 9 February 2023

Victoria will struggle to curb growing skill shortages as tens of millions of dollars are cut from Vocational Education and Training (VET) programs.

Report on Government Services data shows the Andrews Labor Government slashed more than $55 million in funding from VET in 2021, the biggest cut of any state or territory. Federal funding for VET programs remained steady in the same period.

Less has been invested in VET per person in Victoria than in any other state or territory.

This comes after the Parliamentary Budget Office post-election report revealed there was no new funding from Labor beyond next year to deliver its free TAFE program.

Victoria is experiencing a skills crisis, with the government’s own data showing Victoria will face a shortage of nearly 400,000 workers by 2025 in critical industries including health, disability care, teaching, plumbing, and mechanics.

Shadow Minister for Skills and Training, Bridget Vallence, said Labor’s cuts to VET funding made no sense.

“With Victoria facing a skills crisis, why has the Andrews Labor Government slashed nearly $56 million in funding from vocational education and training?”

“Daniel Andrews needs to explain why Victoria has invested less per student than any other state or territory.”

“Labor has no plan. It’s time the government gets serious about addressing the skills shortage in our state, and that starts with proper investment in training.”

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