HITO and Te Pūkenga

April 2025 update from Kay Nelson – Work-based learning reforms.

Hi All,

I am sending you this as a very valued member of the HITO family of salons, shops and clinics who deliver apprenticeships. I am contacting you with some very important information on Government decisions about the future of apprenticeship training in NZ. It is vital that as an industry we own the future and get engaged in the outcomes. I would love it if you could take the time to provide the Government with feedback on the attached links. We are once again going to be embroiled in change for a couple of years at least.

For the first part of these changes, the proposed number and grouping of the standard setting functions for industries are being consulted on. The Tertiary Education Commission (TEC) is asking for feedback on a proposed model that would set up seven Industry Skills Boards (ISB’s) that would look after the standard setting functions for industries. Hairdressing, Barbering and Beauty Therapy would be part of the Service industries group, along with other industries such as retail, tourism and hospitality.

You can find more information about this on the TEC website at this link Consultation on Industry Skills Boards’ coverage| Tertiary Education Commission including a consultation document, webinars times for 1, 2, 6 and 7 May, and a survey link to provide your feedback. Your views will help inform final decisions by the government on the number and coverage of Industry Skills Boards. Consultation is open until 5.00pm, Tuesday 20 May.

TEC are also looking for industry professionals, nominated by industry bodies, who are interested in setting up these Industry Skills Boards. You can find out more at Help Establish Industry Skills Boards | Tertiary Education Commission.

You will see that a lot more changes are being proposed once the Industry Skills Boards are established. As always, I will ensure that you are kept updated about changes and any opportunities to provide input. Please, if we want to return to industry owned, industry led and industry governed we must have a strong voice.

Kind regards,

Kay Nelson | HITO Division Director

April 2025 update – Work-based learning reforms. Release: A better path for apprentices and trainees

Hon Penny Simmonds via beehive.govt.nz on 24 April 2025

The Government is making changes to work-based learning so that industries have more influence over how they train apprentices and trainees, Vocational Education Minister Penny Simmonds says.

“Whether you’re a carpenter building the warm, dry homes of tomorrow, or a mechanic working to keep us safe on the roads, it’s important you have the right skills to do your job effectively,” Ms Simmonds says.

“However, industry representatives have made it clear that the current work-based learning model is not delivering because it has become overly centralised through Te Pūkenga. As a result, the training of apprentices and other workers is often disconnected from the realities of the jobs they are working towards.

“We are fixing this by giving industries more control over how they train people.

“Beginning next year, the Government will introduce a new, independent, and industry-led model for work-based learning.

“This means vocational education and training providers will be able to manage all aspects of an apprenticeship or traineeship at an industry level, rather than taking direction from a centralised behemoth.

“This is great for learners because it makes their learning more relevant to their employment, and it is beneficial to businesses who will gain access to more capable workers to boost their productivity and deliver economic growth.

“Public and industry consultation clearly showed that this model was the preferred option, and this Government is proud to deliver the changes that we called for,” Ms Simmonds says.

From 1 January 2026:

• New Industry Skills Boards (ISBs) will be set up to set training standards, endorse programmes and moderate assessments.
• Apprentices and trainees currently with Te Pūkenga will move to the ISBs for up to two years.
• New students will enrol directly with new work-based learning private providers, polytechnics, or Wānanga.
• ISBs will be able to enrol new learners until other providers are set up to deliver work-based learning.

“So, if you’re a learner or an employer — keep going. Your qualifications are essential, and your training is valuable. There will be no disruption, your training stays on track,” Ms Simmonds says.

“We’re building a better system — for learners, for industry, and for the future of New Zealand.”

February 2025 update – Work-based learning reforms – consultation meeting with Minister

HITO Executive Director Kay Nelson recently attended a meeting with Hon. Penny Simmonds, Minister for Vocational Education, on behalf of our industries to learn more about the proposed future of work-based learning in New Zealand.

A consultation is currently underway where the Minister has proposed two options:

• Independent work-based learning – key features:
  • Focus for Industry Skills Boards’ (ISBs) is independent standard-setting (including endorsing provider programmes)
  • Work-based learning is managed by providers
  • Providers will enrol learners, provider pastoral care, arrange education and assessment
  • Providers are responsible for learner success
  • Providers receive tuition subsidies and charge enrolment fees
• Collaborative work-based learning – key features:
  • Industry Skills Boards’ (ISBs) functions will expand to include pastoral care of learners and co-ordination with employers
  • Any provider can offer work-based learning
  • Providers will enrol learners, arrange education and assessment
  • ISBs provide pastoral care to learners
  • Shared responsibility for learner success
  • Tuition subsidy funding is split between providers and Industry Skills Boards (split to be decided)
  • Industry Skills Boards cannot charge fees to learners or employers

The Minister is seeking feedback on the following questions, and we encourage industry to engage and provide feedback:

• Which of the two models – Independent or Collaborative work-based learning – does your business prefer?
• Why will your preferred model work best for employers and learners in work-based learning?
• What do you think are the main benefits, costs and risks of each option for employers and learners in your industry?
• Both models will involve a transition process but this will be different for each. What will be the critical factors in making transitions work for your industry?

Written submissions addressing the four consultation questions can be submitted by email to the Ministry of Education at vocationaleducation.reforms@education.govt.nz. Written submissions will be accepted until 5pm on 21 February.

To view the full presentation from the Minister, click the button below.

January 2025 update – Work-based learning reforms – targeted consultation

Ministry of Education on 27 January 2025 via education.govt.nz 

The Tertiary Education Commission have contacted stakeholders on 27 January to begin a targeted consultation process for the future of work-based learning in New Zealand.

Stakeholders are being invited to provide feedback on two options for work-based learning in New Zealand and to identify which option they feel will best meet the needs of their industry.

If you would like more information about the consultation, click here to download the consultation document.

via education.govt.nz

December 2024 update – Release: Vocational education and training decisions support return to regions

Hon Penny Simmonds via beehive.govt.nz on 20 December 2024

The Government will reshape vocational education and training to return decision making to regions and enable greater industry input into work-based learning Tertiary Education and Skills Minister, Penny Simmonds says.

“The redesigned system will better meet the needs of learners, industry, and the economy. It includes re-establishing regional polytechnics that are financially sustainable,” Ms Simmonds says.

“A strong vocational education and training system contributes to New Zealand’s economic prosperity, and improves work opportunities and wellbeing for individuals, their families, and communities.

“Vocational education and training is crucial to support economic growth in regional economies, and helps retain young people and workers within those regions.”

The Government has agreed to amend the Education and Training Act 2020 to disestablish Te Pūkenga and allow institutes of technology and polytechnics (ITPs) to be established as autonomous entities. These may be standalone or as part of a federation.

“Decisions on which polytechnics will be established, and in which form, will be taken in the first half of next year. These decisions will consider the needs of local communities, learners and industry,” Ms Simmonds says.

“The ITPs’ financial difficulties have been decades in the making, and the establishment of Te Pūkenga has not resolved these financial issues. It is important for the sustainability of the sector for this work to be undertaken prior to the re-establishment of individual polytechnics.

The Government’s aim is to ensure learners across New Zealand have access to vocational education and training with regional provision, and that important industry and national needs are met.

“There are still important decisions to be made regarding the design of the work-based learning system. The standard setting functions currently delivered by Workforce Development Councils (WDCs) will be taken over by Industry Skills Boards, but further input is sought from industry on how work-based learning should be structured. WDCs will continue to operate in the interim.

“When I consulted on options for work-based learning earlier in 2024, the feedback I received led to a new option being developed.  As it is essential that the design meets the needs of industry, I intend to hold a targeted consultation on two work-based learning options very early in 2025,” Ms Simmonds says.

Information on the options and the consultation process will be provided to industry bodies in January 2025.

“I plan to take decisions on the establishment of polytechnics, the design of the work-based learning system and coverage of Industry Skills Boards; and funding for the new system to Cabinet in the first half of 2025,” Ms Simmonds says.

“It is my intention that the new system will start to be implemented from 2025, with the first standalone polytechnics in place on 1 January 2026. This is a tight timeframe but one that supports the earliest possible return to certainty for the sector after years of instability and change. Every effort will be made to ensure that education and training are not disrupted.”

Throughout this time, learners should continue to enrol and study for qualifications, and employers keep taking and supporting apprentices and trainees.

“Although there may be some changes to how ITPs are organised, and to how and where programmes are delivered, learners can continue to have confidence in their courses and qualifications,” Ms Simmonds says.

“I acknowledge, too, that these changes may be unsettling for those working in the sector. All of those affected by the changes will be kept informed and supported through this process.”

About vocational education and training (VET)

• Vocational education and training helps learners to acquire the skills and knowledge needed to perform a specific role or to work in a specific industry. It can include not just traditional trades like plumbing or electrical apprenticeships, but areas such as healthcare, service industries, information technology, and community care.
• Vocational education and training can be provided in a classroom or simulated workplace environment (provider-based or ‘off-job’) or directly by employers in the workplace (work-based or ‘on-job’). Apprenticeships and traineeships are the most well-known form of ‘on-job’ vocational education and training.

Plan for implementation – including timeframe

• The changes to the VET system are intended to come into effect during 2026.  Implementation activity will be carried out through 2025 to prepare for the new system.
• This includes consultation with industry, learners and others interested in industry-led vocational education and training; as well as supporting the key decisions that will be made by Cabinet in the first half of 2025, including the number and location of standalone ITPs, the provision of work-based learning, and changes to the funding system to support the redesigned system.

Te Pūkenga programme and course delivery

• The continuation and delivery of programmes and courses at individual institutes of technology and polytechnics (ITPs) is a Te Pūkenga business decision.
• Te Pūkenga ITP business divisions are currently undertaking financial analysis to improve their financial performance, and this includes working through potential changes to provision and resourcing.
• The Government has received information on potential programme closures across Te Pūkenga’s ITP business divisions. This is part of advice on the financial improvement work Te Pūkenga is undertaking with assistance from specialist financial advisors. This work remains ongoing and decisions about which of these programmes are retained or closed remain the responsibility of Te Pūkenga.

via Beehive.govt.nz

HITO and Te Pūkenga: Background and timeline

February 2019

Government announces a Reform of Vocational Education (RoVE) with the key purpose to create a strong, unified, sustainable vocational education system that delivers the skills that learners, employers, and communities need to thrive.

April 2020

Te Pūkenga | New Zealand Institute of Skills and Technology is created, bringing together 16 Institutes of Technologies and Polytechnics (ITPs) and 9 Industry Training Organisations (ITOs) into a single unified and integrated network of vocational education, supporting work-based, on-campus, and online learning across Aotearoa New Zealand.

June 2022

HITO’s decision to transition into Te Pūkenga announced at HITO AGM.

September 2022

HITO becomes the HITO Business Division of the Work Based Learning Limited (WBL) subsidiary of Te Pūkenga | New Zealand Institute of Skills and Technology

January 2023

HITO becomes part of national Te Pūkenga network.

December 2023

Government announces it’s intention to disestablish Te Pūkenga.

August 2024

Hon. Penny Simmonds, Minister for Tertiary Education and Skills, releases the proposed plan for the future of vocational education and training (VET) system in New Zealand, including a six-week consultation period between 1 August and 12 September 2024.

December 2024

Hon. Penny Simmonds, Minister for Tertiary Education and Skills, confirms the plan for the future of regional institutes of technology and polytechnics (ITPs), and announces a further consultation for decisions around the future of work-based learning to be conducted in early 2025.

January 2025

The Tertiary Education Commission begins a targeted consultation process for the future of work-based learning in New Zealand.