Julia Gillard (Lalor, Australian Labor Party, Deputy Prime Minister) Share this | Hansard source

in reply—Can I thank everybody who spoke on the Skills Australia Bill 2008 in the course of this debate. Whilst I obviously do not necessarily agree with every comment made by every member of the House during the course of the debate, I thank all members for their input. I think the large number of speakers from the government side shows just how seriously the Rudd Labor government takes the skills agenda. The Skills Australia Bill 2008 will establish Skills Australia, a statutory body that will provide the Australian government with independent, high-quality advice to assist us in targeting government investment in training. It will give the Australian government advice that we can use to assist businesses and workers across the country.

Skills Australia is a key plank in the Australian government’s five-point plan to fight inflation. This is a plan that addresses both the demand side and supply side pressures on inflation. Establishing Skills Australia is the first of many steps this government will take as part of a comprehensive approach to overcoming the challenges our nation faces in securing a prosperous and productive future for Australian working families. Skills Australia will provide advice on the causal factors and impact of future and persistent skill shortages. Skills Australia will be comprised of experts drawn from a range of backgrounds, including economics, industry, academia and education and training provision. It represents an intellectual as well as a financial investment in the skills agenda.

Skills Australia will play a pivotal role in boosting productivity and participation in the economy by providing high-quality advice to the government. This will ensure that policies can be directed towards closing the skills gap—the gap between demand for and supply of skilled workers. Our Skilling Australia for the Future policy will increase and deepen the skills capacity of the Australian workforce and ensure demand for skills and training is better matched to training opportunities.

The Australian government’s plan for our future skilled workforce will help close the skills gap in the Australian economy in three ways. First, we will fund an additional 450,000 training places over the next four years. The government will take the advice of the Reserve Bank of Australia—the advice ignored by the former government—and we will act seriously and with urgency to make 20,000 of these new training places available from April 2008. These initial places will be directed to those outside the workforce and will help many Australians gain employment and stimulate workforce participation rates. Secondly, we will ensure that most of the 450,000 places lead to a higher level qualification, such as at certificate III level or above. Thirdly and most importantly, we will place industry demand at the heart of the skills training system. The Australian government will align skills development policies and training delivery with industry priorities and position the training system to better meet the needs of individuals and industry. New training places under the Skilling Australia for the Future policy will therefore be allocated according to industry demand.

These measures, combined with other initiatives being progressively announced and implemented by the Australian government, represent a significant investment in addressing skill shortages, reducing inflation and securing a prosperous future for all Australians. I commend the bill to the House.

Question agreed to.

Bill read a second time.

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