Global economic uncertainty is resulting in decreasing spending on training, particularly in companies that employ over 100 people, according to research published by the National Centre for Vocational Education Research (NCVER).

 

Data released by the NCVER shows the proportion of business using the vocational education and training (VET) system to meet their skill needs has fallen by 2.8 percentage points to 53.9% since 2009.

 

This decline was due to the drop in employers’ use of nationally recognised training, which fell by 4.4 percentage points. The greatest decrease was among large enterprise (11.1 percentage points).

 

Dr Tom Karmel, Managing Director, NCVER said low business confidence, caused by the economic downturn in 2008-2009, could explain the drop in training.

 

“When times are tough there is usually less money available to invest in aspects of a business such as staff training,” Dr Karmel said.

 

“Overall, employers’ satisfaction with the VET system remains high. This suggests that the decline in training has more to do with the economy than anything else.”

 

The 2011 Survey of Employers' Use and Views of the VET System also found:

  • The use of unaccredited training fell by 6.2 percentage points to 46.5% since 2009, with the largest decrease being among small and medium employers.

 

Copies of Australian vocational education and training statistics: employers’ use and views of the VET system 2011, are available from www.ncver.edu.au/publications/2409.html