Vocational Education Reforms Disappoint
Minister Penny Simmonds announced the decision to disestablish the Workforce Development Councils and replace these with 7 x Industry Skills Boards. "They [the councils] had a lot of extra requirements on them that the ISBs won't have. They had a lot of co-governance, co-management, some things like that that won't be required and also the ISBs will only be operating for industries that have apprenticeships and traineeships," she said.
In a nutshell - The creative and digital technology sectors have issued the statement below because of what’s happening right now with vocational education reform risks doing real damage to New Zealand’s future.
Despite being two of New Zealand’s fastest-growing and highest-value sectors, we risk being completely sidelined under the new model — simply because we don’t fit the outdated apprenticeship mould.
If these reforms go ahead as proposed, New Zealand will choke off the very industries we need to drive future productivity, innovation, and growth. We’re already losing skilled workers offshore. Now we’re about to lose the ability to build the next generation here at home.
This statement has been issued jointly by IT Professionals, WeCreate and TUANZ.
Creative and Tech Industries Warn of Economic Growth Risks in Vocational Education Reforms
Leading organisations representing New Zealand’s creative and technology sectors have expressed growing concern that the Government’s vocational education reforms risk sidelining two of the fastest-growing and most vital parts of the New Zealand economy.
While supporting efforts to strengthen vocational education, industry leaders say yesterday’s announcement of the proposed new Industry Standards Boards (ISBs) prioritises industries with existing apprenticeships and traineeships. This highlights a fundamental flaw: the digital and creative sectors are locked out of the future VET system and the innovation in work-based-learning that would have come from these sectors will be lost.
“Our sectors are high-growth, high-value industries critical to New Zealand’s future prosperity,” said Victoria Blood of the creative sector alliance, WeCreate. “If creative and digital industries are not directly supported through the new model, we risk stalling their momentum — and the impact will be felt across every part of our economy.”
The technology sector alone generates $13.4 billion in exports annually and contributes more than $17 billion to GDP. Meanwhile, the creative industries contribute approximately $17.5 billion to the economy, generate $4.1 billion in export revenue, and support over 117,000 jobs. Both sectors are growing two to three times faster than the wider economy.
“Digital and creative skills aren’t optional extras — they are foundational to every industry’s productivity and competitiveness,” said Craig Young, CEO of TUANZ. “Without structures that support skills development in these areas, New Zealand risks being left behind.”
Leaders warned that VET reforms focused only on industries with existing apprenticeship systems could entrench gaps in the workforce. The creative and technology industries have been actively working to develop new forms of work-based learning, including cadetships, internships, and apprenticeship-style pathways — but without recognition and investment, that development risks grinding to a halt.
“We are concerned that focusing solely on industries with apprenticeships today will mean there is no vocational education focus — and no development of future pathways — for fast-growing industries like ours,” said Vic MacLennan, Chief Executive of IT Professionals NZ. “We don’t just need support for what exists now; we need a system that actively enables industries like digital and creative to build the structured pathways New Zealand desperately needs for a more productive future.”
Since 2020, Workforce Development Councils (WDCs) like Toi Mai have played a crucial role in working alongside the creative and tech sectors to develop new models of work-based learning and advocate for faster, more responsive qualification approvals. This momentum is now at risk.
The industry bodies are jointly calling for:
A dedicated Industry Standards Board (ISB) for the creative and digital technology sectors that continues Toi Mai’s work.
Recognition of the needs of the self-employed and small businesses across the tertiary system.
Accelerated responsiveness in the qualification approval process to match the pace of technological change.
Recognition that creative and digital capabilities are vital for all industries, not just within creative and tech companies.
Active support for the development of apprenticeships, cadetships, internships, and work-based learning pathways for creative and digital industries.
“We have engaged constructively with Minister Simmonds and the reform process, but we cannot afford to lose the progress we’ve made,” the joint statement concluded. “Creative and digital technologies are fundamental to New Zealand’s future. They must be recognised, supported, and resourced — not left behind.”
END