2026 Victoria Report

Victoria Skills & Careers Outlook

392,000 new workers needed by 2027. This data-driven report maps Victoria's workforce transformation — priority industries, regional growth hotspots, and what it means for school career pathway programs. Sourced from the Victorian Skills Authority, Victorian Skills Plan, and Transforming Career Education.

Key Findings

The headline numbers from Victoria's workforce transformation and education strategy.

392,000
New workers needed by 2027
Victoria needs approximately 392,000 new workers over 3 years — 168,000 in new jobs plus 224,000 replacing workers who leave the workforce.
Source: VSA Employment Projections Dashboard 2024-34
1.42M
New workers needed by 2034
Over the next decade, around 1,421,000 new workers are expected to gain employment in Victoria.
Source: VSA Employment Projections Dashboard 2024-34
143
Occupations in shortage
Victoria has 143 occupations classified as in shortage, with shortages more pronounced in regional areas.
Source: State of the Victorian Labour Market 2024
$459M
Skills & training investment
The Victorian Budget commits $459 million for skills and training, including 20,000 Free TAFE places.
Source: Victorian Budget 2025-26
4 in 5
New workers in metro Melbourne
Metropolitan Melbourne accounts for approximately 315,000 of the 392,000 new workers expected by 2027 — four in every five.
Source: VSA Employment Projections Dashboard 2024-34
60%
Jobs in 4 industries
Health Care, Construction, Professional Services, and Education & Training together make up close to 60% of new workers expected in Victoria.
Source: State of the Victorian Labour Market 2024

Priority Industries

Six industries are growing faster than Victoria's 5.8% state average. Health Care & Social Assistance leads at 8.2%, creating 42,500 new jobs.

Employment Growth Rate by Industry (3-Year Projection)

Priority industry
Other industry
State average (5.8%)

Victorian Skills Plan Priority Sectors

The Victorian Skills Authority identifies priority industries based on projected growth, skills shortage severity, and economic importance. The Skills First program concentrates subsidised training in these sectors — meaning more free or subsidised qualifications, apprenticeships, and career pathways for students entering these fields.

Regional Growth Hotspots

Not all regions are growing equally. Melbourne's western and outer corridors are leading growth, while regional centres like Geelong and Ballarat show strong momentum.

Employment Growth Rate by Region (VSA Employment Projections)

Above state average
Below state average
State average (5.8%)

Melbourne's Western & Outer Growth Corridors

Melbourne West (7.8%), North West (7.2%), and South East (6.5%) are the fastest-growing metro SA4 regions. These corridors are seeing rapid population growth, new housing developments, and major infrastructure investment — driving demand for health, education, and construction workers.

Regional Victoria Opportunities

Geelong (6.8%), Ballarat (6.5%), and Latrobe–Gippsland (5.2%) show strong regional growth driven by decentralisation, healthcare expansion, and energy transition investment. Schools in these regions have a unique opportunity to align VET offerings with local employer needs.

Transforming Career Education

Victoria's career practitioner ratio is approximately 900:1 — nearly double the recommended 1:500 benchmark. The DET mandate is clear: every government secondary school needs a qualified career practitioner.

Victoria's Ratio

900:1

Estimated student-to-career-practitioner ratio. Many Victorian schools still lack a dedicated, qualified career practitioner — meaning career education is shared across multiple staff with competing priorities.

Recommended Benchmark

500:1

Professional Standards for Career Practitioners recommend one qualified career practitioner per 500 students. At this ratio, practitioners can deliver structured career education across all year levels as required by Transforming Career Education.

On Track Survey Data

School-Level

Victoria's On Track Survey provides school-level post-school destination data — showing where Year 12 completers go after school. This data is a powerful tool for evaluating and improving career pathway programs, yet many schools under-utilise it.

Qualifications in Demand

Not all pathways require a university degree. 140,000 of the projected new workers need Certificate III/IV or Diploma-level qualifications — exactly what school VET and Free TAFE deliver.

Additional Workers Needed by Qualification Level (State-wide)

Bachelor Degree or Higher
Certificate III / IV
Postgraduate Qualification
Diploma / Advanced Diploma
Certificate I / II
Top 10 fastest-growing occupations across priority industries
OccupationIndustryGrowth RateQualification Level
Registered NursesHealth Care & Social Assistance15.2%Bachelor
Aged & Disabled CarersHealth Care & Social Assistance18.5%Cert III/IV
Child Care WorkersHealth Care & Social Assistance14.8%Cert III/IV
Medical PractitionersHealth Care & Social Assistance12.2%Postgrad
Allied Health ProfessionalsHealth Care & Social Assistance13.6%Bachelor
Secondary School TeachersEducation & Training7.8%Bachelor
Primary School TeachersEducation & Training6.5%Bachelor
Education AidesEducation & Training10.2%Cert III/IV
Early Childhood TeachersEducation & Training16.8%Bachelor
Software & Applications ProgrammersProfessional, Scientific & Technical14.2%Bachelor

Key Career Programs

Victoria has multiple programs supporting school-to-work transitions — Skills First, Free TAFE, Head Start, and the VCE Vocational Major provide interconnected pathways for students.

Victorian career pathway programs
ProgramTargetStatusDescription
Skills FirstAll learners — prioritised VET subsidiesOngoing (refreshed annually)Government-subsidised training in priority areas with Skills First funding. Training providers must be contracted under Skills First to deliver subsidised qualifications aligned to industry needs.
Free TAFE for Priority CoursesNew students enrolling in priority qualificationsOngoing (expanded 2024)Tuition-free TAFE courses in 80+ priority qualifications across health, construction, early childhood, digital, and community services. Removes cost barriers for school leavers entering high-demand fields.
Career Education Funding InitiativeGovernment secondary schools2024 school yearDedicated funding for government secondary schools to employ qualified career practitioners, deliver structured career education programs, and build employer engagement aligned to Transforming Career Education.
Head Start Apprenticeships & TraineeshipsYear 10-12 studentsOngoing (expanded 2025)Paid school-based apprenticeships and traineeships allowing students to begin earning while learning. Students complete a nationally recognised qualification alongside their VCE or VCE Vocational Major.
VCE Vocational MajorYear 11-12 students pursuing vocational pathways2023 (replaced VCAL)An applied learning pathway within the VCE for students planning vocational careers. Combines VET qualifications, structured workplace learning, and literacy/numeracy units.

Free TAFE — What Schools Need to Know

Free TAFE removes tuition fees for 80+ priority qualifications including early childhood, aged care, nursing, construction, and digital technology. Schools can help students access these pathways through structured career education, Head Start apprenticeships, and VCE Vocational Major programs that build directly into Free TAFE qualifications.

What This Means for Schools

Six data-driven actions school leaders can take to align with Victoria's workforce transformation.

1. Audit Your VET Offerings

Compare your current VET qualifications against VSA priority qualifications. Are you training students for the jobs that actually exist in your region?

2. Use Regional Data

The VSA publishes free regional employment projections. Use these to inform which subjects and pathways you prioritise — not just what has always been offered.

3. Leverage On Track Data

Your school's On Track Survey results show where graduates go after school. Use this data to evaluate whether your pathway programs are leading to successful outcomes.

4. Promote Vocational Pathways

The VCE Vocational Major and Head Start apprenticeships should have equal visibility to traditional VCE. Challenge the perception that university is the only successful outcome.

5. Build Employer Partnerships

Connect with employers in VSA priority industries for structured workplace learning, industry immersions, and Head Start placements. These partnerships are essential for Transforming Career Education.

6. Invest in Career Education Technology

With a 900:1 career practitioner ratio, technology is essential to deliver personalised career education at scale. Tools like TEX help schools manage complex pathway programs efficiently.

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Data Sources & Methodology

This report aggregates publicly available data from Victorian Government bodies, the Victorian Skills Authority, and federal agencies. We are deeply grateful for their work.

Data Sources & Attribution
  1. Victorian Skills Plan 2025 into 2026VSA's annual strategic roadmap identifying priority workforce needs, skills shortages, and VET reform priorities.
  2. Employment Projections Dashboard 2024-343-year and 10-year employment projections by region, industry, and occupation. Downloadable CSV on Data.Vic.
  3. State of the Victorian Labour Market Report 2024Comprehensive annual analysis of Victoria's labour market conditions, 143 occupations in shortage, and regional trends.
  4. Snapshot of the Victorian Labour Market 2025Updated labour market snapshot covering latest trends and insights on future workforce needs.
  5. Employment Projections Dashboard Dataset (Data.Vic)Downloadable CSV of employment projections by region, industry, and occupation.
  6. Transforming Career EducationVictoria's major career education reform — comprehensive career education from Year 7, career action plans, practitioner training.
  7. Victorian Careers Curriculum Framework (VCCF)VCAA's scaffolded career education model: Self Development → Career Exploration → Career Management.
  8. On Track SurveyAnnual survey of Year 12 completers' post-school destinations — school-by-school data, downloadable on Data.Vic.
  9. VCAA Senior Secondary Certificate Statistical Information 2024Grade distributions, VCE VET results, enrolment numbers, and completion rates.
  10. Senior Secondary Completion and Achievement Information (SSCAI)School-level VCE/VET performance: studies offered, VET participation rate, median study score.
  11. Regional Economic Development Strategies (REDS)Evidence-based strategies with interactive dashboards for Victoria's 9 Regional Partnership regions.
  12. Victorian Budget 2025-26$459M skills investment, 20,000 Free TAFE places, 9,600 Learn Local places.
  13. Clean Economy Workforce Development Strategy 2023-203310-year framework for net-zero workforce transition — five strategic priorities for clean economy skills.
  14. Jobs and Skills Australia — Employment ProjectionsNational 5-year and 10-year employment projections by occupation, industry, and state. CC BY 4.0.
  15. Jobs and Skills Australia — NEROMonthly employment estimates for 355 occupations across 88 SA4 regions. CC BY 4.0.
  16. NCVER — VET in SchoolsAnnual VET participation by school students — state-filterable via DataBuilder.
  17. Apprenticeships Victoria85,000+ apprentices/trainees, 500+ occupations, 90% employed post-completion.

This report is published by TEX for informational and educational purposes. All data is sourced from the organisations listed above and is used with attribution. Employment projections are based on Victorian Skills Authority modelling and the Victorian Skills Plan 2025 into 2026. Actual outcomes may vary. For corrections or updates, contact hello@tex.inc.

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