Registered Training Organisations: Who is who?

Australian Apprenticeships are a combination of work and study that culminates in a qualification, which can then be used to enter the Australian workforce. There are many individuals and organisations involved in the lifespan of an Australian Apprenticeship, ensuring that apprentices and trainees receive the support and training needed to achieve certification. Australian Apprenticeships combine on-the-job learning with formal training, which is to be undertaken at a Registered Training Organisation (RTO).

The Australian Skills Quality Authority (ASQA) define RTOs as the only organisations in the Australian Vocational Education and Training (VET) system authorised to deliver and assess nationally recognised training, issue nationally recognised qualifications and statements of attainment, and apply for government funding to provide vocational education and training services.

There are roughly 4,000 RTOs across Australia, ranging from large scale technical and further education (TAFE) institutions to smaller privately owned training providers. With so many organisations and institutions working in this space, understanding how each type of RTO works can be challenging.

According to the ASQA website, RTOs can be separated into these categories:

  • Technical and further education (TAFE) or similar public institutes
  • Private training providers, often referred to as independent RTOs
  • Not for profit community-based adult education providers, often referred to as Australian adult and community education (ACE) or community education
  • Enterprise RTOs that deliver training to their staff
  • Schools and universities

To understand how each of the key players in the VET system operate, it is important to define each of these categories.

Technical and further education (TAFE)

TAFE is a government-run system that is designed to offer post-school education and training in vocational areas such as construction, beauty, childcare, business, and much more.

While university teaches a broad range of theories, TAFE focuses on specific skills for a particular workplace. For example, a Certificate IV in Aged Care teaches all the skills needed to work in aged care – either at a client's home or an aged care facility.

TAFEs work closely with employers of apprentices to ensure training is customised to their local environment, while at the same time delivering training that adheres to national training standards.

"TAFEs offer the full suite of Australian Apprenticeships."

CEO of TAFE Directors Australia, Jenny Dodd, helped us to define TAFEs and the role they play in the Australian Apprenticeship sector.

"TAFEs offer the full suite of Australian Apprenticeships. With their investment in contemporary and substantial infrastructure, TAFEs provide over 70% of the training for Australian critical apprenticeship industries such as providing qualified electricians and plumbers into the marketplace. TAFEs are fundamental to the delivery of apprenticeship training for the emerging clean energy industry where they are partnering with employers to develop the training that this industry needs.

As Australia develops the skills needed for the clean energy economy, TAFE is at the heart of that development, in areas such as wind energy, solar batteries, electric vehicles."

Private training providers (independent RTOs)

Private training providers, often referred to as independent RTOs, are privately owned training organisations. Private training providers range in size, from small family businesses to the local operations of large national companies. They can be non-profit organisations (e.g., community colleges or industry associations), a training college run by a church or a for-profit organisation, a community college or an enterprise training organisation. They share a commitment to excellence and to deliver the quality outcomes that students and their employers look for.

Private training providers may also be called 'private sector providers', private providers', 'non-government providers', 'registered private providers' or more simply as 'non-TAFE providers' or 'providers other than TAFE'.

The Independent Tertiary Education Council Australia (ITECA) is the peak body representing independent providers in the higher education, vocational education, training and skills sectors. ITECA proudly claim that "Australia's independent tertiary education system has a strong track record of providing the educational outcomes and skills required by Australia's changing economy."

Not for profit community-based adult education providers (ACE, community education providers)

"Just under 400 ACE providers are also registered training organisations, often with a focus on vulnerable, marginalised and disadvantaged learners."

To help us define the role of not-for-profit community-based adult education providers, we spoke with CEO of Community Colleges Australia, Dr Don Perlgut. Don was able to provide the below statement that summarises the relationship between not-for-profit community-based adult education providers and Australian Apprenticeships.

"The Australian adult and community education (ACE) sector is a large and diverse part of Australia's post-secondary education and training landscape. There are about 2,000 not-for-profit community-based ACE providers in Australia, which are called "community education" providers by NCVER, with names such as "community colleges" (New South Wales) and Learn Locals in Victoria.

Just under 400 ACE providers are also registered training organisations, often with a focus on vulnerable, marginalised and disadvantaged learners (see, for instance, the NSW "ACE Program"). They frequently focus on foundation skills (Certificate levels I and II) and pre-vocational programs, which provide pathways into traineeships. They focus on meeting the education and training needs of their communities and are known for their work supporting language, literacy, numeracy and digital skills for students across all AQF levels and across industry classifications. Many ACE providers play a particularly strong role in community services, delivering Certificate III in Individual Support and Early Childhood Learning.

The ACE sector is characterised by learner-centred and place-based education, in which student support, mentoring and outreach are highly valued. While ACE providers are not well-known for delivering apprenticeships, NCVER data shows that 17,830 students undertook an apprenticeship or traineeship through a community provider in 2021, almost half of them in NSW. This includes providers that specialise in trades such as Teq-NQ (Townsville) and Hunter Trade College; a number of others, particularly in regional and rural areas, deliver apprenticeships, including MADEC, Skillset, VERTO, Kiama & Shoalhaven Community Colleges and Community College Northern Inland."

Enterprise RTOs

Enterprise RTOs are companies and non-training related organisations who mainly deliver training to their own employees. In many cases, enterprise RTOs will work in partnership with other RTOs such as private training providers or TAFE institutes. In order to function as an RTO, the enterprise must be approved by ASQA to administer nationally recognised training and issue nationally recognised qualifications and statements of attainment.

There are many benefits for organisations considering becoming an enterprise RTO. They may be eligible for training related funding and incentives, the added training and professional development might attract higher quality staff, and skilling the workforce may lead to improved productivity and output.

Schools and universities

Some schools and universities also operate as RTOs, meaning they are approved by ASQA to deliver nationally recognised training and issue nationally recognised qualifications and statements of attainment. There are more than 400 secondary schools across Australia and a small number of Australian universities that operate as RTOs. Schools and universities make up a small amount of Australian Apprenticeship commencements, when compared to TAFEs, private training providers and not for profit community-based adult education providers.

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