Workplace training gets $85 million

10.30am

The Government is to invest almost $85 million in workplace training to boost business productivity and improve workers' skills, Tertiary Education Minister Steve Maharey said today.

In the pre-budget announcement, Mr Maharey said the $84.34 million over four years would be invested in the Industry Training Fund to increase the number of workers participating in workplace learning to 150,000 by 2005.

The extra money would increase the government contribution to industry training from $60 million a year in 1999, to $120.6 million a year by 2006.

"More and more New Zealand businesses agree that training is an investment that pays off in increased productivity and highly motivated staff. Workers know that becoming more skilled is key to improving wages and conditions," Mr Maharey said in a statement.

It was hoped the number of workers in on the job training would increase to 250,000 by 2007. Last year there were just under 107,000 workers involved.

Industry training organisations were this week attending workshops on identifying skill needs and promoting training to both employees and employers.

About $800,000 of the new funding has been set aside for developing a Skill New Zealand promotional campaign to show the benefits of workplace learning.

The campaign is to include a focus on the importance of learning in the workplace, building capacity of small and medium sized business, adult literacy in the workplace and promoting unit standards for key and generic skills.

The campaign will be run in conjunction with Business New Zealand and the Council of Trade Unions.

An unspecified amount of the $84.34 million would also go towards a proposed national centre for research into vocational education and training.

The centre would aim to guide investments and assist in expanding workplace training schemes.

Industry Training Federation chairwoman Marilyn Brady welcomed the money, saying it was important for developing a knowledge society.

"The Government's investment in industry training, in partnership with industry, is a vital component to New Zealand's economic agenda," Ms Brady said in a statement.

But she said more funding was needed if 250,000 people were to be involved in workplace training by 2007.

Ms Brady said a promotional campaign was overdue.

"The economic return on investment in training, and the economic and social dividends which result when people are provided with pathways to life-long learning need to be more widely promoted," she said.

She also applauded the national centre of vocational education and training, saying it would add to business capacity.

The Government later said $50,000 of the new money would be invested in the centre proposal.

- NZPA