Commissioners Information Bulletin 349
Issued: 26 March 2008

Financial Services - Amended Financial Services Vocational Training Order (VTO) for the recognised traineeship vocation of Financial Services

At the request of the NSW Property and Financial Services Industry Training Advisory Body (ITAB), the Commissioner for Vocational Training has approved the variation to the existing Vocational Training Order (VTO) for the recognised traineeship vocation of Financial Services, under section 6 of the Apprenticeship and Traineeship Act 2001.

The revised VTO reflects FNS04 Financial Services Training Package (Version 2) category two changes, endorsed by the National Quality Council on 10 May 2007. These changes included:

• revised qualifications - FNS30107 Certificate III in Financial Services and FNS40107 Certificate IV in Financial Services
• deletion of qualifications - FNS30204 Certificate III in Insurance Services, FNS40404 Certificate IV in Insurance Services and FNS40504 Certificate IV in Financial Services (Insurance Assessment Services).

Vocational Training Order standard format

The VTO in each instance specifies:

1. the appropriate term or terms for apprenticeships or traineeships in that vocation,
2. the appropriate probationary period or periods for apprenticeships or traineeships in that vocation, having regard to the term or terms specified for them under paragraph (a),
3. the appropriate qualification or qualifications that may be awarded in relation to an apprenticeship or traineeship in that vocation,
4. any other training to be provided in addition to the training required for an appropriate qualification,
5. such other matters relating to the training of apprentices or trainees in that vocation as the Commissioner considers appropriate.

A copy of the relevant VTO supporting the recognised traineeship vocation of Financial Services is at Attachment A.

FNS04 Financial Services Training Package (amendments)

The FNS04 Financial Services Training Package was endorsed on 7 October 2004 and provides qualifications from Certificate I to Advanced Diploma.

On 10 May 2007, the National Quality Council endorsed category two changes to FNS04 that included:

• new specialisations for the bookkeeping, insurance services and workers compensation sectors
• skill sets for superannuation fund trustees
• removal of duplicated qualifications arising from rationalisation of insurance services specialisations
• integration of employability skills.

While the industry coverage remains essentially the same, the additional industry specialisations, skill sets and enhanced representation of employability skills provide improved options for training and assessment in the Financial Services industry. Australian Securities and Investment Commission (ASIC) licensing units remain unchanged.

Five qualifications were revised, including FNS30107 Certificate III in Financial Services and FNS40107 Certificate IV in Financial Services.

As FNS30107 Certificate III in Financial Services now includes options for learners to undertake a specialised outcome in Insurance Services, FNS30204 Certificate III in Insurance Services has been deleted from the revised Training Package.

Also, as FNS40107 Certificate IV in Financial Services now includes options for learners to undertake a specialised outcome in Insurance Services or Insurance Assessment Services, FNS40404 Certificate IV in Insurance Services and FNS40504 Certificate IV in Financial Services (Insurance Assessment Services) have been deleted from the revised Training Package.

Qualifications framework

For the purpose of the revised VTO, Financial Services trainees in New South Wales will now be able to gain the following qualifications:

• FNS20104 Certificate II in Financial Services
• *FNS30107 Certificate III in Financial Services
• FNS30304 Certificate III in Financial Services (Accounts Clerical)
• FNS30404 Certificate III in Financial Services (Mercantile Agents)
• *FNS40107 Certificate IV in Financial Services
• FNS40204 Certificate IV in Financial Services (Personal Trust Administration)
• FNS40304 Certificate IV in Financial Services (Credit Management)
• FNS40604 Certificate IV in Financial Services (Accounting)
• FNS40704 Certificate IV in Financial Services (Financial Practice Support)
• FNS40804 Certificate IV in Financial Services (Finance/Mortgage Broking)
• FNS40904 Certificate IV in Financial Services (Superannuation).

* Revised qualification

Units of competency

The packaging and structure requirements for each qualification to which this VTO applies are outlined at Attachment B.

Industrial arrangements

Employment in the finance industry is governed by a range of industrial arrangements including awards (such as the Clerical Administrative Award), enterprise agreements and Australian Workplace Agreements.

Each industrial instrument will need to be verified for traineeship provisions, as applicable.

Note - Applications under the Apprenticeship and Traineeship Act 2001 to establish any traineeship or apprenticeship will not be approved unless the Commissioner is satisfied that appropriate industrial arrangements are in place.

Vocational Education in Schools

The ITAB has advised that these traineeships are recommended as suitable for delivery in schools:

• FNS20104 Certificate II in Financial Services
• FNS30107 Certificate III in Financial Services
• FNS30304 Certificate III in Financial Services (Accounts Clerical)
• FNS40107 Certificate IV in Financial Services.

For school based part-time traineeships currently being delivered in New South Wales, refer http://www.sbatinnsw.info/traineeships.php?trpg=travailable&t=rto

Licensing arrangements

ASIC requires that organisations wishing to use the FNS04 Financial Services Training Package (Version 2) for ASIC compliance should ensure that the units chosen cover the knowledge and skill requirements described by ASIC for that level (Tier 2).

As FNS30404 Certificate III in (Mercantile Agents) covers the functions of process serving and debt collection, NSW Police Force licensing requirements apply. Trainees must hold a current Commercial Agents and Private Inquiry Agents (CAPI) licence, which authorises these commercial agent activities. CAPI licences are issued by the Security Industry Registry. In accordance with CAPI legislation, only persons aged 18 years and above can hold a CAPI licence. This restriction effectively precludes applicants younger than 18 years from being approved for a FNS30404 Certificate III in (Mercantile Agents) traineeship.

Further information about CAPI licensing requirements is available from the Security Industry Registry, NSW Police Force – refer www.police.nsw.gov.au/sir

Note - When a training contract for a Certificate III in (Mercantile Agents) traineeship is being lodged with a State Training Centre for approval, the contract must be accompanied by evidence of the CAPI licence.

Learning resources and assessment materials

The following resources are available in relation to FNS04 qualifications:

• Accounting Resources (Covering Certificate III in Financial Services (Accounts Clerical) and Certificate IV in Financial Services (Accounting) are on CD
• ASIC Competency Units – Certificate III and Certificate IV in Financial Services - Resources Workbooks
• Certificate IV Financial Services (Financial Planning Support) Core Competencies (Contains Development & Assessment and Sample Fact Finder on CD)
• Insurance Self Assessment Kit – CD
• Self Assessment Kit for Credit Management/Mercantile Agents – CD.

These resources are available from either Australian Training Products - http://www.atpl.net.au/ - or the ITAB.

Availability of Registered Training Organisations

A list of Registered Training Organisations in New South Wales who can deliver training from the FNS04 Financial Services Training Package (Version 2) may be found on the National Training and Information Website (NTIS) web site: www.ntis.gov.au

Note -This Commissioner’s Information Bulletin includes relevant arrangements that apply to earlier Financial Services traineeships. It supersedes Commissioner’s Information Bulletins 080, 192, 241, 255, 255a and 309.

For any enquiries regarding this CIB, please contact the Vocational Training Tribunal Unit on (02) 9266 8579.

PHILLIP MOORE
Commissioner for Vocational Training