Early in 2009, Minister for Education, Ms Julia Gillard, announced the decision to allocate the automotive industry advisory arrangements to Manufacturing Skills Australia (MSA). Prior to this decision, the automotive industry was the only industry not to have coverage by an industry skills council.

While the decision was welcomed by some industry stakeholders it was met with concern by others. Consequently a round table, chaired by Mr Steve Bracks, was held in November 2009 to discuss the automotive industry training advisory arrangements with key industry stakeholders. CVIAQ had a seat at this round table.

Mr Bracks has since written to all key industry stakeholders involved advising that a recommendation to form a wholly owned subsidiary of MSA, to be responsible for the automotive industry training advisory arrangements, has been put forward to Ms Gillard’s office.

Mr Bracks’ reasoning is that the formation of a wholly owned subsidiary will:
* Provide a high degree of autonomy to the automotive industry
* Retain the unity of the automotive sector by not splitting the advisory arrangements across industry skills councils
* Allow closer links with the Automotive Industry Innovation Council

While industry is still waiting on formal advice from Ms Gillard’s office it is understood that Mr Bracks’ recommendations will be supported. CVIAQ will keep members posted of further developments when they become available.

STOP PRESS
CVIAQ has just received notice from the Deputy Prime Minister, Hon Julia Gillard MP, that she has endorsed Steve Bracks' recommendations and has instructed the department to assist Manufacturing Skills Australia (MSA) to the transition to the new arrangements. It is our understanding that this will not take effect until 2011 until which time MSA will continue to serve the automotive industry under the current contract arrangements.