Australia's national vocational education and training (VET) system and nationally funded technical and further education colleges were established in the 1970s. In the 1980s, traineeships complementing traditional apprenticeships and competency-based training were instituted. An industry-led training system was established in the 1990s. Total VET participation reached 1.5 million (12% of the working-age population) in 1998, and apprentices and trainees totaled 250,000 in 1999. Australia's public system of formal VET receives some $4 billion in public funding annually, with employers investing an additional $4.7 billion in structured and unstructured training. The following are among distinguishing features of Australia's VET system: a clear national policy for VET; movement toward lifelong learning; development of advanced and high-level skills training; development of an industry-led training sector; flexible delivery and modularization of training delivery; competition among training providers; a strong system of public training institutions; a framework for national recognition of VET; and focus on outputs and outcomes. Issues expected to have a significant impact on Australia's VET system in the near future include the changing nature of work, a trend toward customizing VET, the aging population, and movement toward a lifelong learning culture. (Twenty-seven tables/figures are included. The bibliography lists 36 references.) (MN)