RTO Superhero πŸŽ™οΈ Empowering RTOs to Thrive!

The New RTO Standards 2025: What You Need to Know

β€’ Season 5 β€’ Episode 7

🚨 The wait is over! The New Standards for RTOs 2025 are finalised and come into effect on 1 July 2025. If you’re an RTO owner, compliance manager, trainer, or assessor, this episode is a must-listen!

In this episode of the RTO Superhero Podcast, host Angela Connell-Richards breaks down everything you need to know about the new compliance framework, including:

βœ… Why these changes are happening – What was wrong with the 2015 Standards, and why the overhaul?
βœ… What’s actually changing – A deep dive into the four Quality Areas:

  • Training & Assessment – Risk-based validation, stricter RPL rules, and stronger industry engagement.
  • VET Student Support – Mandatory pre-enrolment assessments, LLND support, and wellbeing services.
  • VET Workforce – Stricter credentialing for trainers, new PD requirements, and rules for industry experts.
  • Governance – Stronger financial oversight, risk management, and Fit & Proper Person requirements.

βœ… What RTOs must do before 1 July 2025 – A step-by-step action plan to get audit-ready.

βœ… FAQ Round – Angela answers your biggest compliance questions, including:

  • Will there be a transition period?
  • Do I need to reapply for RTO registration?
  • How will ASQA audit RTOs under the new rules?

Read about the changes yourself, go to Preparing for the revised Standards | Australian Skills Quality Authority (ASQA) for more details.

πŸ’‘ Need expert guidance? We’ve got you covered!

πŸ“… Register for our live webinar: Mastering the New Standards
πŸ–₯ Sign up here: Mastering the New Standards Webinar
πŸ’¬ Get your compliance questions answered in real-time!

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 Join host Angela Connell-Richards as she opens each episode with a burst of insight and inspiration. Discover why compliance is your launchpad to success, not a limitation. 

Wrap up with gratitude and guidance. Subscribe, leave a review, and join our community as we continue supporting your compliance journey in vocational education. 

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Thank you for tuning in to the RTO Superhero Podcast!

We’re excited to have you join us as we focus on the Revised Standards for RTOs in 2025. Together, we’ll explore key changes, compliance strategies, and actionable insights to help your RTO thrive under the new standards.

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Angela Connell-Richards:

Hey superheroes, welcome back to another episode of the RTO Superhero Podcast. If you're an RTO owner, trainer, compliance manager or anyone working in vocational education, this episode is a must listen. We have huge news After almost three years of waiting, the new standards for RTOs 2025 are finalised and will come into effect on 1 July 2025. I know many of you have been wondering would these changes actually happen? Would the upcoming federal election delay them? Would there be last minute adjustments to the credential policy? Well, the wait is over. The outcome standards, compliance requirements and credential policy are locked in. So what does this mean for you? It means it is time to take action. What will I be covering in this episode? Today, I'll be breaking down everything you need to know, including one why these changes are happening, what was wrong with the old standards and why did the government decide to overhaul them. Two what's actually happening. A deep dive into the new outcome standards, compliance requirements and credential policy and what they mean to you. Three what you need to do before 1 July 2025, a step-by-step compliance action plan to help your RTO get ready for the transition. Four common questions and concerns. I'll tackle some of the biggest FAQs, including will there be a transition period. Do I need to reapply for RTO registration? What happens if my RTO doesn't comply? Number five next steps and how to stay ahead. I'll share practical tips on how to prepare, what resources are available and how to make compliance your superhero rather than a headache. So grab your coffee, or maybe something a bit stronger. It's compliance, after all, and let's dive into everything you need to know about the new standards for RTOs 2025.

Angela Connell-Richards:

Segment one why are these changes happening? Let's start with a simple but very important question why do we even need new standards? Here's the honest truth. The 2015 standards were flawed. They were overly complex, too many grey areas leading to inconsistencies in compliance process. Heavy focus, more to inconsistencies in compliance Process. Heavy focus, more on paperwork than real training. Outcomes Not aligned with modern industry needs. Our workforce has changed, but compliance hadn't caught up. The government saw this and said enough is enough. We need to reset the 2025 standards. Aim is to improve training and assessment quality so students actually gain jobs, ready skills, strengthen governance and accountability to prevent dodgy RTO practices, reduce red tape. Fewer unnecessary admin burdens, more focus on student success. So, instead of just ticking compliance boxes, the new framework is about proving that your training deliverers real value. It's a major shift, but, honestly, it's one that is well overdue. Well overdue.

Angela Connell-Richards:

Segment two what's changing? The new standards explained All right, superheroes. Now that we know why these changes are happening, let's talk about what's actually changing. The standards for RTOs 2025 have been completely restructured. Gone is the old 2015 framework. Now we have a clearer, more structured approach built over four key quality areas.

Angela Connell-Richards:

These aren't just minor tweaks. This is a full compliance reset designed to put the focus back on quality, training, student success and accountability. Let's break them down. One training and assessment raising the bar on quality. Let's start with the heart of your RTO training and assessment. The 2025 standards are tightening the screws on quality delivery to eliminate poor practices and ensure real industry alignment.

Angela Connell-Richards:

Here's what's changing. Industry engagement must be meaningful and ongoing, no more one-time tick and flick sign-offs from industry reps. Rtos must show evidence of real, continuous industry consultation that shapes their training delivery and assessment and assessment. Assessment validation is now risk-based. High-risk courses like construction, aged care or aviation require more frequent validation cycles. All training products must go through structured validation every five years, but RTOs must have a risk-based approach to prioritising high-risk areas.

Angela Connell-Richards:

Accelerated learning and clustering must be justified If your RTO offers condensed courses, you need to prove that students receive adequate learning and assessment time. If you are clustering, you must document why it's appropriate and how it meets training package requirements. Rpl, or recognition of prior learning, is now much stricter. Rtos must prove that RPL evidence is current, authentic and sufficient. No more paper-based referrals. Trainers must assess workplace competency through real evidence. Simply holding a qualification is no longer enough. This means that if your RTO has relied on loose industry consultation, rushed assessments or lenient RPL approvals, now is the time to tighten up your processes.

Angela Connell-Richards:

Two vet student support, a more holistic approach to student success. Next up is student support and, trust me, this area is getting a major upgrade. The government is putting students first, ensuring they receive better guidance, support and fair treatment throughout their learning journey. So what's changing? Pre-enrolment assessments are now mandatory. All students must go through pre-enrolment screening to assess suitability for their chosen course.

Angela Connell-Richards:

This isn't just about meeting entry requirements. It's about making sure students are set up for success LLND, so Language Literacy, numeracy and Digital Skills and Support must be part of the student support services. Rtos must have clear strategies to support students with LLND needs. Digital literacy is now recognised as a core requirement for most courses. Wellbeing services must be tailored to the training product. Different courses require different levels of support. A student in nursing will have different wellbeing needs than someone in cyber security. Rtos must customise their wellbeing programs to match the course demands. Cultural safety and inclusion policies are now required. Staff must complete First Nations cultural safety training to ensure inclusive learning environments.

Angela Connell-Richards:

Complaints and appeals must drive continuous improvement. Our school wants evidence that feedback, complaints and appeals are being used to improve training and operations. A student complaint can no longer just be noted and closed. Rtos must act on trends and risks. The bottom line is, if your RTO has weak student support services, lacks LLND strategies or treats complaints as a formality, you must fix them now.

Angela Connell-Richards:

Three vet workforce raising the standards for trainers and staff. Now let's talk about the people delivering the training your trainers, assessors and support staff. There's been a huge shift in this area. Every staff member, not just trainers, now has compliance obligations. Here's what's changing. All staff must complete ongoing professional development. This isn't just for your trainers anymore. All RTO staff, including admin, compliance and management, must have annual professional development records. Trainers working under supervision must have clear oversight. If an unqualified trainer is delivering a course, the supervising trainer must be actively involved. Just signing off is no longer enough. New rules for industry experts in training delivery If you engage industry experts to train students, they must be clearly documented in your training and assessment strategies. Asqa is looking for structured oversight and evidence of their contribution. If you've been operating with underqualified trainers or minimal industry engagement, it's time to tighten your workforce compliance.

Angela Connell-Richards:

Four governance and risk management. No more dodgy RTO practices. Well, we can always hope. Finally, let's talk about governance, because compliance starts at the top. Here's what's changing in RTO leadership risk management and financial accountability. Stricter, fit and proper person requirements. Rto owners, directors and high managerial agents must meet stricter compliance standards. Asco will now require detailed compliance records to prove your team meets regulatory expectations. Financial monitoring and cash flow tracking are now required. Rtos must have financial oversight mechanisms to track cash flow and long-term sustainability. Conflicts of interest must be disclosed and managed. If you have related business interests, third-party training partners or potential biases, you must have a documented conflict management plan. Biases you must have a documented conflict management plan. Stronger oversight of third-party training providers ASCA wants to eliminate dodgy third-party training deals. If you use a third-party provider, you must have a formal agreement outlining compliance responsibilities. Clear monitoring procedures, evidence of regular quality reviews. If you're an RTO owner or executive, this is your wake-up call. Asqa is watching and they expect stronger leadership accountability. So there you have it the new standards for RTOs 2025 completely changed the game. These changes bring greater accountability, transparency and student-focused learning Coming up.

Angela Connell-Richards:

Next, we'll talk about what you need to do before 1 July 2025 to stay compliant. Segment three what RTO? About what you actually need to do. Here's your compliance action plan.

Angela Connell-Richards:

1. Revamp your training and assessment strategies. Review industry consultation processes and document everything. Validate assessment tools. Make sure they align with the new validation cycles. Ensure student competency assessments are rigorous. Tick and flick won't cut it anymore. Two strengthen student support and pre-enrolment processes. Lln and digital literacy assessments must be standard practice. Student wellbeing and inclusion policies need to be explicit and enforceable. 3. Ensure trainer and assessor compliance. Every trainer must have documented proof of industry currency and PD. Review assessment validation procedures. They must align with the new compliance framework. Number four improve governance and risk management. Self-assurance is now a must. You need to proactively manage compliance. Strengthen third-party agreements. They must be more detailed and auditable. Review your risk management and financial viability plans. Asqa is watching. The earlier you start, the easier. The transition will be Segment four FAQs what RTOs need to know.

Angela Connell-Richards:

All right, superheroes, I know this is a massive amount of information, so let's go through some of the biggest questions RTOs are asking right now about the new standards. And, before we dive in, if you want ongoing updates and a place where we can tackle your questions in detail, make sure you subscribe to our EduStream YouTube channel. We're launching an FAQ series on the new standards for RTOs 2025, where we'll break down key compliance topics, one question at a time. The link is in the show notes, so please go check it out. Now let's get into those burning questions. Question one will there be a transition period for RTOs? This is a big one. The official answer is yes, but don't get too comfortable. Asqa has confirmed that there will be support during the transition period, but full compliance is expected from 1 July 2025. What does this mean for you? Asqa will work with RTOs during the first 12 months to help them adjust, but you are expected to be compliant from day one. This isn't a soft launch. Non-compliance will still be a risk, especially if you fail to make an effort to implement the changes. So, while ASQA isn't planning to immediately penalise RTOs that are actively transitioning. They will not accept excuses from providers who haven't even started preparing Action item.

Angela Connell-Richards:

Start now. Join our Mastering the New Standards webinar to get a clear roadmap. Question two do I need to reapply for RTO registration? No, you don't need to reapply for registration just because of the new standards. However, there are some critical admin updates you need to complete. Every RTO must submit an updated self-assurance declaration in 2025. Your training and assessment strategies must be fully aligned with the new rules. If your governance or key personnel have changed, you may need to update your fit and proper person declarations. Action item Review your internal documentation now. If you're unsure, watch our FAQ series on Edustream, where we'll break this down in detail.

Angela Connell-Richards:

Question three how strict is the new risk-based assessment validation requirement? This is one of the biggest changes coming in with the new standards. Here's what's different. Every training product on your scope must be validated at least once every five years. High-risk training products must be validated more frequently. This includes courses in construction, aged care, aviation and other regulated industries. Validation must be led by someone who is independent from the training and assessment process. You need evidence of how validation outcomes have improved training delivery. Rtos that have been doing tick and flick validations will be caught out. This is now a high-risk compliance area and ASQA has made it clear that assessment integrity is a top priority Action item. Made it clear that assessment integrity is a top priority Action item. Watch our EduStream FAQ series for a deep dive into how to set up a compliant validation process.

Angela Connell-Richards:

Question four what happens if an RTO doesn't comply by 1 July 2025? Look, I'll be honest Non-compliance is going to have serious consequences. Asqa has said they will take a risk-based approach to enforcement, meaning if you are clearly making an effort to transition, you'll likely be given support and time to rectify minor issues. If you ignore the new standards and keep doing things the old way, you risk audits, rectifications or even deregistration. Serious breaches like poor training quality, failing to validate assessments or inadequate governance will lead to compliance actions. This is your warning. Rtos that don't prepare now will be scrambling when audits start rolling out. Action item get compliant now. Start with our Mastering the New Standards webinar, then subscribe to Edustream for weekly compliance insights.

Angela Connell-Richards:

Question five how will ASCA audit RTOs under the new standards? Audits will look very different under the 2025 standards. Here's what's changing ASCA is shifting to a self-assurance model. This means RTOs must continuously improve and prove their compliance, not just at audit time. Auditors will be checking risk-based validation, student support policies and governance structures more closely. Training delivery and assessment evidence will be heavily scrutinised, especially for RTOs that have accelerated courses or flexible delivery models. If you can't show self-assurance processes, you will be flagged for further investigation.

Angela Connell-Richards:

If your RTO has only been preparing for spot audits, you need to change your strategy. I know this has been a lot of information and, trust me, we're just scratching the surface. Want to go deeper? Subscribe to edustream on youtube for our faq series on the new standards. We're covering how to implement risk-based assessment, validation, what to include in your self-assurance declaration, the biggest compliance risks RTOs face under the new rules, and live Q&As where I answer your questions. The link is in the show notes. Go, subscribe now and, if you haven't already, register for our Mastering the New Standards webinar to get a detailed breakdown of everything you need to do before 1 July 2025. Let's get ahead of the changes together and make compliance our superpower. Don't forget to subscribe to the RTO Superhero podcast and share this episode with your network.

Angela Connell-Richards:

Well, that's a wrap for today's episode. We've covered a lot, but the key takeaway is this the new RTO Standards 2025 are big, but they're manageable if you start preparing now, need expert guidance. Come and join me at the Mastering the New Standards webinar expert guidance. Come and join me at the Mastering the New Standards webinar, where I will cover a detailed breakdown of every major change in the standards and have a live Q&A to get your burning compliance questions answered, and I'll also be providing a step-by-step roadmap to get your RTO fully compliant before the deadline. My final thought compliance isn't just about ticking boxes. It's about delivering high quality training that meets industry needs and supports learners. If we embrace these changes now, we'll be stronger, smarter and more successful as an industry. Let's get ahead of these changes together. Don't forget to subscribe and share this episode with your RTO network. Spread the word. This affects every RTO in Australia. See you in the webinar and see you next time on the RTO Superhero Podcast.

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