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Operating environment and key challenges

Within our operating environment, there are drivers and challenges that require the department to adjust its planning, implementation and delivery of services and system reform.

The economy

While the Victorian economy has strong foundations, there are challenging economic conditions to be navigated with high inflation, rising interest rates and weakening national and global growth.

The department will actively manage the impacts of rising costs of services, products and labour as it continues to deliver its infrastructure programs and provide service delivery.

Climate change

Our recent experience with responding to natural disasters has improved our resilience and readiness to ensure continuity of learning, so that the impacts of future events can be reduced. This is being achieved by making use of our digital teaching capabilities, quickly establishing alternative arrangements when necessary and supplementing transport networks where required. 

The department, all schools and early childhood education settings have a role to play in delivering on the Victorian target of net zero emissions by 2045, for example, through improving energy efficiency, reducing energy consumption and drawing energy from renewable sources. The department will embed renewable energy career pathways into the government’s core offering of vocational education and training (VET) in schools.

Aboriginal self-determination

With the Victorian Government’s commitment to deliver all elements of the Uluru Statement from the Heart – Voice, Treaty and Truth – the coming years offer the opportunity for significant positive change, along with many potential challenges for the social and emotional wellbeing of Aboriginal children and young people.

The Yoorrook Justice Commission is uncovering difficult and traumatic truths about the impacts of colonisation on First Peoples in Victoria that need to be told and heard. Hearings and deliberations will continue up until June 2025 following a recent extension of the Yoorrook Justice Commission’s work. 

Later in 2023, a national referendum will be held on constitutional recognition and the Aboriginal and Torres Strait Islander Voice to Parliament.

Victoria’s commitment to self-determination in education will continue and will work with First Nations people and communities, building on our successes to realise the ambition of Marrung: Aboriginal Education Plan 2016–2026.

Digital disruption and transformation

The release of artificial intelligence (AI) applications, such as ChatGPT, has sparked significant debate about AI’s productive potential and associated risks. Understanding how educators can best use AI in the classroom, with appropriate instruction, supervision and critical assessment of AI-generated outputs will be important in the future. 

How technology can be used within the classroom and at home is evolving quickly. Children and young people have greater access to internet-connected devices and social media. These are parts of contemporary life and present significant learning and teaching opportunities. However, they also carry potential negative consequences, such as online bullying, which can impact mental health. Appropriate protections, instruction and monitoring will help to keep children safe online.

Population change

Our state is growing quickly, with Victoria’s population expected to reach 11.2 million by 2056. The rate of overseas migration is increasing after a temporary slowdown during the COVID-19 pandemic. This is being driven by the return to the state of international students and skilled migrants. Population growth is highest in the new suburbs and developments along the urban fringe as well as in regional shires close to the city and regional centres.

Such rapid growth creates a need for additional schools, new kindergartens and early learning centres, and the expansion of existing facilities to cater for more children and young people. Identifying shifting growth patterns quickly and planning effectively for future needs will be critical to keep pace with increasing demand.

Workforce availability and capability

Victoria needs to attract, recruit and retain more teachers, educators and staff to address the significant demand within our schools and kindergarten settings. There is significant growth projected in early childhood and school education requirements for Victoria. Supporting this growth will require more highly skilled teachers to deliver quality education to children and students.

There is an additional challenge to attracting and retaining educators in rural and regional areas, in specialist schools and in Melbourne’s urban growth corridors.

There are also specific subject areas such as digital technology and science, technology, engineering and mathematics (STEM) subjects where demand is very high.

Addressing workforce supply challenges requires departmental efforts on multiple fronts and key initiatives are already underway. Comprehensive supports have been invested in to address key areas of staff concern, including workload management, and improved career development and progression.

Information security and privacy

Information security and privacy vulnerabilities are affecting all areas of society with significant implications for organisations large and small. High-profile data breaches are occurring more frequently, and this presents critical challenges for the school and early childhood education sectors, which deal with sensitive private information.

The department must be able to effectively prevent, detect and respond to inappropriate access to and use of information and technology, as must other employers in our sectors. This requires robust security protocols and protections being in place. It also relies on capability and understanding of the responsibilities for appropriate handling of personal information and accurate and timely notifications of issues and breaches to and from affected services. 

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