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Skills and Capability5.1 Education and Workforce

5.1.1 Adults with school and non-school qualifications

The progression from secondary education to both tertiary academic studies and vocational qualifications is an important step towards the formation of specialised skills and capabilities in a variety of fields and disciplines. Three in 10 Australian adults have attained a University degree in 2020, rising from 23 per cent in 2010. The share of those with a Certificate or diploma has remained relatively stable in the same period at 26.6 per cent. Consequently, the share of adults with Year 12 or Year 11 or below qualifications have fallen over this period. All four measures are affected by a change to the age range question that was introduced in the 2014 survey. This change added older people (aged 65–74 years) to the survey population and consequently increased the share of adults with Year 11 or below qualifications, whilst decreasing the other categories.[136]

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5.1.2 Adults with non-school qualifications by field of study

Students’ choice of field of study is guided by a range of factors, such as personal aspirations, previous experience, education assessment results, or perceptions of future employment prospects. In 2020, the top three successfully attained fields of study represented in the adult population with non-school qualifications in Australia were Management and commerce (23.1 per cent), Engineering (16.1 per cent) and Society and culture (14.2 per cent). The proportions of different fields of study represented in the adult population with non-school qualifications remained broadly unchanged between 2015 and 2020.[137]

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5.1.3 Adults studying for a non-school qualification by field of study

The number of people studying for non-school qualifications represents those who are developing their skills at work, while in the workplace and in preparation to start working. In 2020, there were 1,974,378 students studying for a non-school qualification. This represents a 14.1 per cent decrease from 2,298,735 in 2016. The most popular fields of study were Management and commerce (414,401 students or 21 per cent of total), Society and Culture (357,874 or 18 per cent of total) and Engineering (293,470 students or 15 per cent of total).[138]

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5.1.4 Apprentices and trainees by occupation

The labour force in a modern economy requires diverse skills and qualifications. However, evidence suggests that the occupations of apprentices and trainees (i.e. labour force in the pipeline) have become less diverse in recent years. In 2020, over half of all apprentices and trainees worked in just three fields: Construction (57,000 in 2020), Automotive and engineering (49,000) and Electrotechnology and telecommunications (42,000). Construction and Automotive and engineering have been very popular since at least 2000, while Electrotechnology and telecommunications has gradually gained popularity over time. Other occupations peaked in 2012 and have fallen since then, particularly Sales assistants (from 40,000 in 2012 to 11,000 in 2020), Specialist managers (from 37,000 in 2012 to 526 in 2020) and Office managers (32,000 in 2012 to around 3,200 in 2020). This is partly driven by changes to the financial incentives under the Australian Apprenticeships Incentives Program since 2012. These changes have primarily affected non-National Skills Needs Lists apprenticeships and traineeships.[139]

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5.1.5 Apprentices and trainees by employer industry

Vocational study is most useful when students can work in the same field as their studies. The great majority of apprentices and trainees (in training) work in the Construction industry (93,000 in 2020). This has been the most popular industry of employment since 2007, and the only employer industry not to shrink significantly since 2012. All other major employer industries peaked in 2012 and have declined since then. Manufacturing declined by more than 60 per cent (from 61,000 in 2012 to 23,000 in 2020) and Accommodation and food services fell by almost 60 per cent (47,000 in 2012 to 20,000 in 2019). The peak in 2012 and subsequent decline were partly driven by changes to the financial incentives under the Australian Apprenticeships Incentives Program since 2012. These changes have primarily affected non-National Skills Needs Lists apprenticeships and traineeships. The Construction industry was not affected, and its numbers have continued to climb since 2012.[140]

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