This morning, a webinar, hosted by the NZ Vocational Education and Training Research Forum (NZVETRF), facilitated by Josh Williams (Skills Group, NZ and Global Apprenticeship Network (GAN) with Gary Workman ( Executive Director, Apprentice Employer, Victoria, GAN Australia ) and Peter Canavan (Senior Policy Officer, Australian Industry Group).
Josh began with introducing himself, then the speakers.
Josh presented following comparisons: NZ has 3.7% of employed workforce in training, 108,000 == in training, 2.9 million in workfo5ce. Australia, 2.1, 300000++ and 14.7 million in workforce. 27% of NZ school leavers into training and 40+% mature entrants, but in Australia, 51% do so, with 30% mature entrants. More females in NZ - 23% with 15% in Australia as new entrants. Both countries have decline of apprentices and trainees, with trend still going down. In NZ 25% decline between 2024 and 2025 :( Completions in NZ across 6 years 62% to 50%; for Australia 56% to 58%.
Gary presented on the 'Return of Investment (ROI) in supporting Australian Apprenticeships' (see report). When through definitions of ROI and also the reasons for the importance of ROI. Generally tries to measure and evaluate whether the time, financial investment, and resources dedicated to training result in tangible benefits. All of these are very variable across industries, businesses etc. both from government and wider community, employer and apprentices. Encourage audience to check through the report which provides link to online tool/calculator to try to work out the ROI. Shared examples provided through the calculator. In general, by the beginning of the 2nd year of the apprenticeship, employers start to even out and ROI rises for employers.
Summarised the key messages on ROI. Longer apprenticeships provide better ROI. 93% of apprentices who complete find full-time work in the same occupation. Group Training seen to provide good ROI. If apprentices change employers within the Group Training, there is a need to rotate the apprentices equitably so that employers are not always taking on novices and not obtaining the ROI.
Peter then presented on the employer perspective on apprenticeships and traineeships. (see report). Australian Industry Group is an employer collective which also has a Centre of Education and Learning. Survey of employers finds 8 out of 10 employers see the importance of apprenticeships. 96% face barriers hiring apprentices. Around 1/2 indicate that they will employ apprenticeships if financial incentives were available - reduction of this will lead to less apprenticeships.
Therefore, employers weight up the economic equation, as per the ROI presented by Gary. Summarised barriers for hiring apprentices and the larges challenge was finding suitable candidates. Electrical and Plumbing have less difficulties but manufacturing has major difficulties. 1/3 indicate difficulty in training, and costs too high. Then shared how financial incentives are used for apprentices - mostly to offset costs/ reduce productivity associated with employing the apprentice.
Warned that declining apprentice/trainee commencements are a lead indicator of future shortages.
Discussion followed with questions around the employer/apprentice match. Why some apprenticeships struggle to attract apprentices? and trades are not promoted much at school as the general direction is still to prepare students for university. Better recruitment practices need to be supported with small businesses. Many do not have the resources to recruit and then have difficulties provisioning the training required. Chat also provided for interesting conversation within the Aotearoa context.
