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RTO Third-Party Arrangements

The Australian Skills Quality Authority (ASQA) has allowed Registered Training Organisations more time to bring their third-party relationships into order.

RTOs now have until January of next year to review their existing relationships; however, any new third-party relationships should be meeting requirements of the National Vocational Education and Training Regulator (NVR) 2011.

The skills regulator drew attention to its recent General Direction publication of guidance surrounding third-party arrangements.

The NVR is aimed at ‘restricting the conduct’ of non-RTOs when it comes to the delivery of vocational and training (VET). It is hoped this will help improve inconsistencies in the VET space, as well as clarifying any confusion student consumers might have.

ASQA has listed the VET courses that have given them cause for concern:

  • TAE40116 Certificate IV in Training and Assessment

  • TAE50216 Diploma of Training Design and Development

  • TAE50116 Diploma of Vocational Education and Training

  • TAESS00013 Enterprise Trainer—Mentoring Skill Set

  • TAESS00015 Enterprise Trainer and Assessor Skill Set

  • TAESS00014 Enterprise Trainer—Presenting Skill Set

  • TAESS00011 Assessor Skill Set.

Those RTOs that don’t review their third-party arrangements with non-RTOs run the risk of incurring civil penalties:

94 Civil penalty—providing all or part of VET course outside scope of registration

An NVR registered training organisation contravenes this section if:

(a) the organisation provides all or part of a VET course; and

(b) the VET course, or part of the VET course, is not within the organisation’s scope of registration.

A single Breach of the of section 94 of the VET Act will amount to 240 penalty units.

117 Civil penalty—providing, or offering to provide, all or part of a VET course without registration

(1) A person contravenes this subsection if:

(a) the person provides, or offers to provide, all or part of a VET course in a referring State or a Territory; and

(b) the person is not an NVR registered training organisation.

Breach of section 117 of the VET Act amounts to 600 penalty units.

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