Govt Unveils Reshaping of Vocational Education to Empower Regional Decision-Making

Tertiary Education and Skills Minister Penny Simmonds revealed the comprehensive plan, which includes reestablishing regional polytechnics as autonomous entities.

The New Zealand Government has announced a significant reshaping of the vocational education and training (VET) system, aimed at returning decision-making powers to regions and fostering greater industry collaboration. Tertiary Education and Skills Minister Penny Simmonds revealed the comprehensive plan, which includes reestablishing regional polytechnics as autonomous entities.

“The redesigned system will better meet the needs of learners, industry, and the economy. It will ensure that regional polytechnics are financially sustainable and more attuned to local and industry needs,” said Ms. Simmonds. Key Changes to the Vocational Education and Training System:

Reestablishing Regional Polytechnics:

The Government plans to amend the Education and Training Act 2020 to disestablish Te Pūkenga, the national polytechnic network.

Standalone institutes of technology and polytechnics (ITPs) or federations will replace Te Pūkenga by January 1, 2026.

Decisions regarding the structure and location of these polytechnics will be made in the first half of 2025, based on community, learner, and industry needs.

Enhanced Industry Collaboration:

Workforce Development Councils (WDCs) will transition their standard-setting functions to newly formed Industry Skills Boards.

Two work-based learning options will be presented to industry stakeholders in January 2025 for consultation.

Financial Sustainability:

Financial performance improvements across Te Pūkenga’s divisions are underway, with the Government monitoring potential programme closures to ensure a balanced approach to resourcing and delivery.

Strengthened Regional Economies:

VET is identified as pivotal for retaining young talent and supporting economic growth in regional communities.

Support for Learners and Employers

Ms. Simmonds emphasized that the changes would not disrupt current education and training. “Learners should continue enrolling in courses with confidence that their qualifications will remain valid. Employers are encouraged to keep supporting apprentices and trainees during this transition,” she said.

Consultation and Implementation Timeline

January 2025: Industry consultation on work-based learning options begins.

First Half of 2025: Key Cabinet decisions on polytechnics’ structure, Industry Skills Boards, and funding models.

2025 Implementation Phase: Preparatory work for system-wide changes, including detailed consultations.

2026 System Rollout: Autonomous polytechnics and a redesigned work-based learning system come into effect.

Addressing Sector Challenges

The Government acknowledged the instability and financial difficulties within the sector. Ms. Simmonds stated, “The ITPs’ challenges have been decades in the making. It’s essential we rebuild a system that’s financially sustainable and better meets the needs of all stakeholders.”

About Vocational Education and Training

VET encompasses skills development for specific roles across diverse sectors, from traditional trades to healthcare, IT, and service industries. Delivery methods include classroom-based learning, workplace training, apprenticeships, and simulated environments.

As the Government’s ambitious overhaul progresses, further updates will outline the final structure of regional polytechnics and the work-based learning system, ensuring the VET system supports New Zealand’s economic and social needs.