APTC Stage 3

APTC Stage 3

APTC Stage 3 DESIGN Presentation to APTC Board Fiji March 3, 2017 Virginia Simmons Design Team Leader APTC Stage 3 DESIGN Disclaimer

This presentation contains preliminary thoughts immediately following the Design Teams in-country mission. It does not necessarily represent a final position of the Design Team. The views represented here are from the Design Team and do not represent those of the Australian Government. Issues to be Covered APTC Stage 3 DESIGN Achievements and limitations of APTC to date Overview of the approach to the Design

Initial findings and issues from the in-country mission Discussion APTC Stage 3 DESIGN Achievements and Limitations of APTC to Date: Brief Overview APTCs Key Achievements APTC Stage 3 DESIGN

Quality heightened awareness of characteristics of sound TVET practice: teaching practices, curriculum, learning materials, management and policy recognition of gap between APTC and local training, especially by graduates and employers demonstration of high quality trainers and training facilities successful transferring of skills to national trainers Equity access for women (students and trainers) access for people with disabilities Brand high brand recognition in many countries APTCs Key Limitations

APTC Stage 3 DESIGN Enclave Operations APTC has operated as an enclave in some countries, not integrated into Pacific TVET - complex underlying political, strategic and operational reasons why this is the case Availability of fully-funded scholarships a key differentiator Labour Mobility Stated policy intent of APTC and expectations of students have not been met (250+ out of 10,000 graduates) Cost High unit cost per student draws criticism in some quarters APTC

Stage 3 DESIGN Overview of the Approach to the Design Investment Concept Note (ICN) APTC Stage 3

DESIGN Development commenced May 2016 Two meetings of Design Reference Group May and July Field Mission July Draft completed September Draft approved October 16 Investment $192m over 6 years (constant level) APTC Key Changes Foreshadowed in ICNStage 3 DESIGN 1. 2.

3. 4. 5. Embedding APTC into Pacific TVET systems Gradual introduction of co-investment (cost-sharing) Increased labour mobility Incentives for reform Changes reflected in APTC name CHANGES CONCEIVED OVER 6-10 YEAR PERIOD Embedding APTC into Pacific TVET systems Gradual movement away from enclave operations Greater alignment with priorities for national economic growth

Forming of coalitions (reform/change groups) in combinations of industry, government, other donor programs and APTC to achieve national TVET development and reform Areas of reform potentially include: Better match between skills of TVET graduates and employer needs Training delivery and management Improving labour mobility without skills drain Policy and legislative change Financing TVET Greater delegation to, and engagement at country level, including with DFAT Posts and bi-lateral programs APTC Stage 3 DESIGN

Gradual introduction of coinvestment APTC Stage 3 DESIGN Moving away from aid-dependent approach progressive reduction of scholarships Testing real demand through willingness to pay, including in-kind growth in government and employer sponsorship of training and tuition-paying individuals greater opportunities for students other than existing workers to access training, subject to links to employment responding to service requirements of other donor programs

Labour Mobility APTC Stage 3 DESIGN Two tracks: (1) home track - students intending to remain in the home country (2) away track - those intending to migrate given specific support APTC sticks to its core business of training Separate Pacific labour mobility facility under consideration Facility would have responsibility for establishing links to employers and facilitating the migration process, including for APTC graduates

Incentives for reform APTC Stage 3 DESIGN Performance-based approaches to investment/co-investment Funding withdrawn or re-allocated where performance is beneath agreed standard Competitive arrangements between countries/national governments Preference systems for those supporting change. For example: tuition-paying students get preference for places over scholarship students) companies involved in coalitions get preference for graduates RE-THINK? NOT CONSISTENT WITH A GENUINE PARTNERSHIP

Changes Reflected in APTC name APTC Stage 3 DESIGN Strong existing brand acronym Alter meaning of acronym to reflect change proposed Move to Australian Pacific Training Consortium Flow-on nomenclature changes Whats different? APTC Stage 3

DESIGN Reduce scholarships over time Assist more APTC graduates to migrate for work if they want to, without causing skills drain Get more APTC graduates in good jobs through enterprise partnerships Help to lift the quality of Pacific TVET so more employers want to give jobs to local graduates in place of foreign workers What doesnt change? APTC Stage 3 DESIGN

1,000 Pacific Islanders will graduate with Australian qualifications each year High quality standards will be rigorously maintained APTC should APTC will not take on a mainstream training role that rightly stay in its belongs to national governments lane APTC will not compete with national TVET institutions APTC Stage 3 will only provide opportunities to students other than existing workers where there is a clear employment pathway ICN: End of Program Outcomes APTC

Stage 3 DESIGN 1. APTCs skills training is demand-led and inclusive 2. APTC graduates qualified for, and connected to, labour migration pathways 3. Enterprise and industry partnerships improve TVET pathways, employment outcomes and workplace productivity 4. Increased quality, relevance and cost-effectiveness of Pacific partner TVET provision. Design Plan APTC Stage 3 DESIGN

Commenced October 16 for completion by June 30, 2017 Briefings for seven DFAT country Posts in November December on proposed consultation process Team membership confirmed by end of 2016 Field mission February, 2017 Design includes Transition Plan APTC Design Team Members and Advisers Stage 3 DESIGN Virginia Simmons Emele Duituturaga Jonathan Hampshire

Peter Baki Richard Curtain Tony McGee Daniel Harris Damien Sweeney Assoc Prof Richard Brown Team Leader Pacific & Gender Specialist Design Specialist Pacific Specialist Labour Mobility Specialist DFAT Political Economy Analyst Monitoring, Evaluation & Learning Value for Money Specialist

APTC Sub-Team 1 Stage 3 DESIGN Virginia Simmons Jonathan Hampshire Peter Baki Daniel Harris Team Leader Design Specialist Pacific Specialist

Political Economy Analyst FIJI PNG SAMOA TONGA APTC Sub-Team 2 Stage 3 DESIGN Richard Curtain Emele Duituturaga Tony McGee

Damien Sweeney Labour Mobility Specialist Pacific & Gender Specialist DFAT Monitoring, Evaluation & Learning FIJI SOLOMON IS VANUATU KIRIBATI Consultation Process 3 components 1. Strategic Dialogues - high level discussions with senior government officials (Ministers and Permanent Secretaries) hosted by senior DFAT Post

officials 2. Stakeholder Forums structured workshops for industry and government stakeholders, exploring future workforce development needs 3. Individual and small group discussions with selected stakeholders APTC Stage 3 DESIGN APTC Stage 3 DESIGN Initial findings and issues from

the in-country mission Response to ICN APTC Stage 3 DESIGN Positive response to APTC continuing and at current investment level Support for maintaining APTCs current strengths General support for proposed directions Endorsement of embedding APTC into Pacific TVET Conditional endorsement of co-investment Conflicting responses to increased labour mobility Industry often opposed, especially in trade occupations

Governments often in favour (e.g. remittances represent 24% of Tongas GDP, 20% of Samoas) APTC Common Issues across the Pacific Stage 3 DESIGN 1. 2. 3. 4. Inappropriate entry requirements for TVET teachers Absence of quality TVET teacher training Lack of dedicated TVET teacher training institutions

Need for supervisory and management training generally and for TVET institutions 5. Multiple national qualification frameworks (inc. Australia and NZ) impeding mobility 6. Need for strategy to lift national qualifications to international standard 7. Need for pathway to initial qualifications for highly experienced but unqualified workers recognition of current competence Common Issues across the region (2) 8. Lack of engagement with industry by TVET institutions 9. Lack of confidence in TVET institutions by industry 10. Need to focus on entrepreneurship/innovation/creativity job creators rather than job seekers 11. Need for greater emphasis on soft skills

12. Policy gaps or vacuum for TVET in some countries 13. Poor resourcing and recognition of TVET 14. General lack of reliable labour market data 15. Apprenticeship and licensing APTC Stage 3 DESIGN Other Observations APTC Stage 3 DESIGN Growth in DFAT-funded TVET bilateral programs since APTC

commenced Multiple donor arrangements in some countries Tonga Example (POPN 103,000): Tonga Skills ($AU7.5m over 3 years) World Bank ($US15m over 5 years) NZ-funded partnership between Manikau Institute of Technology and Tonga Institute of Science and Technology (TIST) APTC partnership with TIST Different levels of engagement by DFAT Posts with APTC Potential to review APTCs breadth of country activity Summary APTC Stage 3

DESIGN Gradual evolution of APTC from technical college focussing on training delivery to facilitator/broker of coalitions with common interest in TVET development and reform consistent with but formalising and strengthening emerging trend APTC Stage 3 DESIGN Discussion Comments Questions

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