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Policy initiatives > Budget highlights > Victoria 2023-24
The 2023-24 budget was released by the Andrews Labor Government on 23 May 2023. Budget highlights relating to skills and training are provided below. Direct links to relevant budget papers are provided for quick and easy access.
Funding of $3.9 million is allocated over four years ($700 000 in 2023-24) to develop and deliver an apprentice mental health training program for apprentices. This includes support for apprentices at smaller employers to access employee assistance programs and for employers to improve their mental health and suicide prevention literacy (Budget paper no. 3: Service delivery, pp. 71 and 79).
$1.5 million is provided in 2023-24 to support the establishment of an Apprenticeships Taskforce with employee, union, and industry representatives. The Taskforce will consider measures to improve safety and fairness for apprentices, including an assessment of existing regulation and options for reform (Budget paper no. 3: Service delivery, pp. 71 and 80).
$10 million is being provided to expand the motor vehicle registration discount for eligible trade apprentices from 50 per cent to 100 per cent (Budget paper no. 2: Strategy and outlook, p. 48).
The estimates of tax expenditures include $4 million in 2023-24 and in 2024-25, with $5 million in 2025-26 and in 2026-27, for the 'Discounted registration fee for trade apprentices' initiative. The expansion of the initiative is included in the estimates (Budget paper no. 5: Statement of finances, pp. 189 and 191).
More than $12 million ($4.5 million in 2023-24) is allocated over four years for local councils to create traineeships and apprenticeships in the local government sector. The Government will also expand coverage of the Gender Equality Act 2020 to include library corporations and create a tailored Fair Jobs Code for local governments (Budget paper no. 3: Service delivery, pp. 51 and 52).
Funding of $3.2 million ($1.6 million each year) over two years from 2023-24 is allocated to support the delivery of an expanded state nomination visa program. This program intends to improve productivity, attract a wider range of skills and talents to Victoria and increase Victoria's capacity to meet demand for skilled migrants (Budget paper no. 3: Service delivery, pp. 70 and 74).
$25.1 million in 2023-24 and $10 million in 2024-25 is provided to support disadvantaged jobseekers in Victoria to improve their labour market outcomes through the extension of Jobs Victoria Mentors. This program will reduce barriers to employment for jobseekers in areas experiencing entrenched disadvantage. Funding is also provided to support Ready Set to support them to provide clothing and coaching services to jobseekers struggling to get into the workforce (Budget paper no. 3: Service delivery, pp. 70 and 75).
$7.2 million is provided in 2023-24 to continue the Latrobe Valley Authority's operations, supporting the management of economic transition in the region. Funding is also provided for the Ladder Step Up program to provide employment support for young people in the Latrobe Valley and for delivery of the Inclusive Employment Program by the Gippsland Trades and Labour Council (Budget paper no. 3: Service delivery, pp. 70 and 76).
$100 000 is allocated in 2023-24 to SisterWorks Richmond to provide skills-based learning programs for migrant, refugee and asylum-seeker women and expand the Employment Pathways program to connect more women to paid employment opportunities (Budget paper no. 3: Service delivery, pp. 41 and 48).
$204.4 million is provided to continue preparation activities for day one operations of the Metro Tunnel, including recruitment and training of train drivers and other critical staff, trial operations, developing wayfinding and customer information, and bus network changes to align with the Metro Tunnel station locations (Budget paper no. 3: Service delivery, pp. 102 and 106).
$11.8 million is provided over four years ($4.1 million in 2023-24) to continue the Earn and Learn and Aboriginal Traineeship programs, attracting new workforce by providing concurrent opportunities for education and on the job learning. This initiative contributes to activity that attracts Commonwealth Government funding under the National Health Reform Agreement (NHRA), and estimates of the Commonwealth Government's contribution are included (Budget paper no. 3: Service delivery, pp. 55 and 64).
$17 million over four years ($3.1 million in 2023-24) is provided to upgrade and revitalise business and cultural hubs in Victoria's multicultural precincts (including in Box Hill, Chinatown, Dandenong, Oakleigh, Elsternwick, Footscray and Richmond), provide grants to 10 peak multicultural trader associations to ensure their members have access to services they need, and deliver $10 000 scholarships to help train 500 staff to fill jobs and support small business owners in multicultural precincts (Budget paper no. 3: Service delivery, pp. 70 and 74).
In 2023-24, the Australian Government will provide estimated funding of $468 million to support Victoria's skills and workforce development services through the National Skills and Workforce Development Specific Purpose Payment (SPP) and National Partnership and Project payments.
Funding from the Commonwealth Government under the National Agreement for Skills and Workforce Development is estimated at $424 million in 2023-24 (Budget paper no. 5: Statement of finances, p. 180).
$44 million is allocated in 2023-24 for Commonwealth TAFE, which includes Commonwealth funding to deliver fee-free TAFE places in agreed areas of priority (Budget paper no. 5: Statement of finances, p. 182).
The Victorian Registration and Qualifications Authority (VRQA) is Victoria's education and training regulator. It is an independent statutory authority that registers education and training providers in vocational education and training (VET) that operate in Victoria only or Victoria and Western Australia only, school education, school and non-school senior secondary education and overseas secondary student exchange programs. It also registers children for home schooling in Victoria, accredits courses and registers qualifications, investigates complaints against the providers registered by the VRQA and regulates apprenticeships and traineeships in Victoria.
The Strategy, Review and Regulation output group has been removed from the Department of Education output structure due to machinery of government changes that came into effect 1 January 2023. New performance measures have been introduced for 2023-24 in relation to Vocational Education and Training Delivered to School Students (VDSS) within the School Education - Secondary output (Budget paper no. 3: Service delivery, p. 124 and 132).
The Training, Higher Education and Workforce Development output of the Department of Jobs, Skills, Industry and Regions includes the functions of training system design, industry engagement, contracting and monitoring of quality and training services including accredited and pre-accredited vocational education and training through to adult community education (Budget paper no. 3: Service delivery, p. 258).
For the 2021-22 financial year, the VRQA annual report shows receipts from the government of nearly $17 million (p. 60), and reimbursed the Department of Education and Training nearly $11 million for administration expenses that comprise all employee entitlements (p. 62).
Funding of $3 million is provided in 2023-24 (and a further $3.1 million across the forward estimates) to introduce a clean energy VET pathway to the Victorian Certificate of Education (VCE) Vocational Major from 2024. This will support students to develop job-ready skills in the renewables sector. An electronic marketplace will also be developed to streamline enrolment and course planning for VET Delivered to Secondary Students (Budget paper no. 3: Service delivery, pp. 11 and 16).
$91.8 million is provided in 2023-24 and $51.9 million in 2024-25 to amend training subsidy eligibility criteria to make subsidised training courses, including Free TAFE, more widely available to people returning to study. This also includes a change to the once-in-a-lifetime limit on enrolling in a Free TAFE course, to allow students to access multiple Free TAFE courses along priority training pathways. This initiative will also receive $42.3 million in 2022-23 (Budget paper no. 3: Service delivery, pp. 71 and 80).
To support high-quality teaching and learning outcomes, funding of $3.8 million ($1.7 million in 2023-24 and $2.1 million in 2024-25) is allocated for the commencement of a more consistent, coordinated approach to curriculum development by reviewing and updating curriculum and assessment resources across the Victorian TAFE network (Budget paper no. 3: Service delivery, pp. 71 and 80; Media release 23 May 2023).
Around $170 million over four years ($26.1 million in 2023-24) is provided for the following five TAFE projects through the Building Better TAFE Fund:
Allocations from the TAFE Clean Energy Fund will support the following new and upgraded facilities:
$19.1 million over five years from 2022-23 ($2.9 million in 2023-24) is provided to support 10 000 students to undertake work experience placements in clean energy and other priority pathways. In addition, high-quality career education will continue with more training for school staff and new targeted investments for disadvantaged students who are currently missing out on these opportunities. Skilling the Bay will continue to engage students in the Geelong community in VET experiences (Budget paper no. 3: Service delivery, pp. 11 and 17; Budget paper no. 2: Strategy and outlook, p. 14).
$16 million over four years ($500 000 in 2023-24) is allocated to the Department of Energy, Environment and Climate Action for the establishment of two worker training centres for the emerging offshore and onshore wind industry, and the hydrogen industry (Budget paper no. 3: Service delivery, pp. 28 and 33).
$19.9 million over three years ($5.3 million in 2023-24) is provided to enhance data infrastructure to identify and support early school leavers who are lost or disengaged from the education and training system. It will also improve pathways for young people to complete year 12 and to help track life outcomes for young Victorians as they transition to adulthood, including targeted supports for Koorie students and students with disabilities. Funding is also provided for the Education Benalla Program and non-school senior secondary and foundation secondary providers. This initiative delivers on the Firth Review recommendations to enhance supports for students who are not engaged in education or training (Budget paper no. 3: Service delivery, pp. 11 and 15).
$116 million ($31.7 million under the Department of Education output initiatives and around $84.3 million under its asset initiatives) is provided over four years to build and operate six new Tech Schools (Frankston, Hume, Warrnambool, Dandenong, Brimbank, and Wangaratta) and establish a Clean Energy Equipment Fund for new and existing Tech Schools. This initiative will improve students' skills and knowledge through immersive and hands-on science, technology, engineering and mathematics learning experiences (Budget paper no. 2: Strategy and outlook, p. 14; Budget paper no. 3: Service delivery, pp. 11, 22 and 23).
An extra $90.5 million ($30.9 million in 2023-24 and $59.6 million in 2024-25) is provided to meet expected demand for subsidised accredited training, including Free TAFE. The funding also includes additional literacy, numeracy and digital literacy support for Free TAFE students, support for pre-accredited learners and to transition to a new national system for reporting training activity (Media release 23 May 2023; Budget paper no. 3: Service delivery, pp. 71 and 80).
$12 million is allocated over three years ($3.5 million in 2023-24) to the Department of Energy, Environment and Climate Action to develop a business case for a State Electricity Commission (SEC) Centre of Training Excellence to provide training in the latest energy skills. Funding is also provided for new VET certificates and other qualifications focused on renewable energy and achieving the Victorian Energy Jobs Plan (Budget paper no. 3: Service delivery, pp. 28 and 34).
The 2022-23 state capital program includes existing projects with an estimated total of $178.271 million that were transferred from the former Department of Education and Training to the Department of Jobs, Skills, Industry and Regions due to the machinery of government changes which came into effect on 1 January 2023. The estimated expenditure for the projects in 2023-24 is $37.735 million, with around $1.414 million remaining expenditure. The projects include redevelopment for Bendigo Kangan Institute's Broadmeadows, Chisholm Institute Frankston, GOTAFE's Archer Street, and Melbourne Polytechnic Collingwood campuses. The Gordon Culinary School, South West TAFE Library and Learning Hub (Warrnambool), and the statewide TAFE Equipment and Facilities Fund for apprentices and trainees projects reached financial completion during 2022-23 (Budget paper no. 4: State capital program, pp. 76-77).
$47.4 million in 2023-24 and $42.3 million in 2024-25 is provided for TAFEs to continue delivering services for Victorian students, employers and communities, including student support services, Jobs and Skills Centres, support for broad access to training including in regional Victoria, and coordinating practical placements (Budget paper no. 3: Service delivery, pp. 71 and 80).
The Training, Higher Education and Workforce Development output of the Department of Jobs, Skills, Industry and Regions supports Victorians to gain the skills and capabilities essential for success in employment and further training or study. The Department works with the TAFE and training sector to deliver quality training that strongly supports industry to meet the evolving needs of the economy, promotes equity and addresses disadvantage, with an emphasis on growth sectors of the economy. This output includes the functions of training system design, industry engagement, contracting and monitoring of quality and training services including accredited and pre-accredited vocational education and training through to adult community education. The total cost for the output in 2023-24 is estimated at $2462.4 million (Budget paper no. 3: Service delivery, p. 258).
Prior year budget highlights can be accessed by clicking on the buttons below.
NCVER (National Centre for Vocational Education Research) 2023, Budget highlights: Victoria 2023-24, VET Knowledge Bank, NCVER, Adelaide, <https://www.voced.edu.au/vet-knowledge-bank-policy-initiatives-budget-highlights-victoria-2023-24>.
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