JSCs are established as not-for-profit companies, limited by guarantee, incorporated under the Corporations Act 2001. They are required to operate in accordance with the principles of good corporate governance.
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As part of the Government’s commitment to delivering a collaborative, tripartite VET system, JSCs are required to have strong governance arrangements in place to support a high level of industry engagement for the sectors within their remit. This will be demonstrated by employer organisation and union representation on JSC governance (Board composition, membership structures), and operational arrangements (strategic taskforces, sub-committees and technical committees). Participation by employer organisations and unions is intended to be fair and equitable.
The members of the JSCs exercise ultimate control over the company through the appointment or removal of the Board, and play an important role in holding the Board accountable. The members typically have control over key decisions such as appointment of directors, amending the company constitution and winding up of the company.
Strategic taskforces, sub-committees and technical committees will deliver a broad range of functions of the JSCs, providing strategic advice to the Board to support their decision-making.
The Australian Government is responsible for administering the JSC Program, with Skills Ministers collectively having a critical role as stewards of the VET system.
The diagram below provides an overview of how the JSC program operates.
In late February 2023, Skills Ministers endorsed the Integrity Framework, which establishes clear expectations, guidance and good practice for the conduct and oversight of industry engagement in the VET Sector, is now available, along with supporting documentation for the JSCs.
As part of the Integrity Framework, the following program documentation is now available: