As we enter 2025, the landscape of work continues to evolve at a rapid pace. Transformational breakthroughs, particularly in generative artificial intelligence (GenAI), are reshaping industries and tasks across all sectors. These technological advances, however, are converging with a broader set of challenges, including economic volatility, geoeconomic realignments, environmental pressures, and evolving societal expectations. The World Economic Forum has published its fifth edition of the Future of Jobs Report, and in this article, I will interpret its outcomes within the Australian context.
Perhaps the most striking revelation from the report is the prediction that 39 per cent of workers’ skills will need to transform—or risk becoming obsolete—by 2030. This forecast represents both a challenge and an opportunity for Australia’s vocational training system.
Changing Skill Requirements in the Australian Context
The discussion around future jobs often centres on technology’s disruptive potential, and in particular, the role of AI in automating routine tasks. However, that is only part of the story. The broader consensus is that many roles will pivot, not necessarily vanish. Skills such as digital fluency, problem-solving, and creativity will hold increasing value. Traditional qualifications may struggle to keep pace if they are too narrowly defined or updated too slowly.
Within Australia’s Registered Training Organisations (RTOs), there is growing awareness that existing qualifications—while foundational—must expand to include these emerging competencies. Some RTO CEOs and trainers recognise that just adding a single “tech” unit isn’t enough; the integration of digital skills needs to permeate entire courses to ensure learners can adapt throughout their careers. Yet, this requires not only curriculum updates but also a cultural shift in how we view and deliver vocational training.
RTO Readiness for a Rapidly Shifting Workforce
Many RTO leaders are confident in their capacity to teach job-ready skills efficiently; vocational training, after all, is designed to meet industry needs. However, recent conversations in the sector suggest mixed levels of readiness. While some RTOs have embraced online and blended learning and updated their curricula to align with current industry technologies, others remain reliant on outdated practices and struggle in the face of sudden economic or technological shifts.
At the heart of the challenge is speed and whether vocational education can produce the necessary skills to support Australia’s economy and maintain our unique lifestyle. Changes to training packages and qualifications can be slow, making it difficult for RTOs to pivot when industries undergo rapid transformation. Additionally, while trainers may be experts in their specific fields, they too require ongoing professional development to ensure they can teach the emerging skills demanded by industry. The emphasis is no longer just about imparting knowledge; it’s about cultivating adaptability, resilience, and forward thinking among learners.
Evolving the Qualifications
Framework
Recent recommendations to update the Australian qualifications framework acknowledge the need for greater flexibility and responsiveness. By reducing unnecessary complexity and promoting clearer, more modular structures, our system can remain relevant in an era of fast-changing skill demands. Micro-credentials, skill sets, and innovative assessment approaches all play a role in ensuring that training remains current and learner-centred.
However, effective reform goes beyond mere structural adjustments. For real impact, any new framework must embed core transferable skills such as teamwork, digital literacy, and critical thinking within every qualification. To fulfil that goal, we also need to streamline how often—and how quickly—these qualifications can be revised in alignment with industry insights. If new credentials are introduced only after a long approval cycle, the system may still lag behind the marketplace.
A Path Forward for Australian VET
Balancing global trends with local realities means that Australian RTOs must be proactive in crafting courses that look beyond immediate compliance obligations. Industry collaborations, continuous professional development for trainers, and the widespread adoption of new delivery methods can all contribute to stronger alignment with future job demands. The question is not whether the vocational education sector can respond, but rather how effectively and swiftly it can do so.
By focusing on adaptability and ensuring the reform of qualifications keeps pace with these changes, RTOs have an opportunity to lead rather than follow. The goal is to create a system in which every learner not only masters the technical competencies of today but gains the resilience and agility needed to thrive in the workplaces of tomorrow.
In a climate marked by rapid technological progress and a swirl of global forces, vocational education stands as a critical pillar for Australia’s economic and social wellbeing. With foresight and determination, our VET sector can ensure the 39 per cent of potentially endangered skills are transformed into new capabilities—equipping learners with the tools they need for careers that continue to evolve long after graduation.
Author Profile
-
With over 24 years of transformative experience in vocational and tertiary education, Javier Amaro stands as a leading figure in shaping the landscape of learning and development in Australia and internationally. As the CEO of Insources Institute (RTO 30122), a premier Registered Training Organisation established in March 2000, he has spearheaded an institution renowned for its exceptional impact on educational outcomes and its commitment to delivering top-tier training solutions.
Javier’s career commenced in electrical engineering, but his dynamic expertise quickly expanded to encompass business management, learning management, auditing, and training and assessment, supported by qualifications in these critical areas.
Latest entries
VETJanuary 27, 2025Preparing Australian VET for Rapidly Evolving Skills Demands- VETDecember 11, 2024VET Qualifications Reform: The End of Training Packages as We Know Them
- VETDecember 3, 2024Why Every RTO Needs an Instructional Designer on Their Team
- VETDecember 3, 2024The Role of Australia’s VET Sector in the Era of Industry 4.0
