- Legislation aims to return education decisions to regional polytechnics and industry leaders
- Industry Skills Boards to replace Workforce Development Councils from January 2026
- Te Pūkenga to be phased out as changes roll out over two years
The government has started a major overhaul of New Zealand’s vocational education and training system with the passing of the first reading of a new bill in Parliament.
Vocational Education and Training Minister Penny Simmonds announced the Education and Training (Vocational Education and Training System) Amendment Bill, which aims to shift decision-making back to regional polytechnics and industry.
“Today, we’ve taken a major step forward toward a vocational education and training system that works for learners, employers, industries and local communities,” Ms Simmonds said.
The bill sets out plans to disestablish Te Pūkenga and create a network of regional polytechnics. These new institutions would either stand alone or join a federation model. Te Pūkenga will continue to operate as a transitional body for one year to manage any remaining programmes and activities.
Another key change is the replacement of Workforce Development Councils with Industry Skills Boards starting 1 January 2026. These new boards will be led by industry representatives and will take charge of setting standards, workforce planning, and advising the Tertiary Education Commission on funding decisions.
Work-based learning responsibilities currently held by Te Pūkenga will gradually move to the Industry Skills Boards over a two-year period. During this time, new delivery systems involving polytechnics, private training providers, and Wānanga will be put in place.
The legislation also includes an update to training levy rules, allowing the new Industry Skills Boards to collect levies from industry members — but only if there is industry support.
“Industry knows the skills it needs. That’s why we’re putting them back in charge of standard setting and qualification development for their industry,” Ms Simmonds said.
She added that implementation of the changes will take up to two years, with the first group of regional polytechnics and Industry Skills Boards starting from January 2026.
“This is about building a stronger, more relevant system — one that sets our people and our economy up for future success.
“We look forward to hearing what New Zealanders think during the select committee process so that we can get on with the changes.”