Recognition of the need for lifelong learning that is accessible to all Australians underpins the Australian vocational education and training (VET) system. The Australian Qualifications Framework is a nationally consistent framework that allows for credit transfer and articulation between Australia's schools, VET, and universities. The Australian system of VET has been moving toward lifelong, competency-based training designed to equip Australians for the world of work, enhance their labor market mobility, achieve equitable outcomes in VET, increase investment in training, and maximize the value of public VET expenditure. Achievement of these objectives is being supported by the Australian Recognition Framework and Training Packages. Emerging challenges for the Australian system of lifelong skill training include the following: globalization, rapidly advancing information and information and communication technologies, market reform and the need for greater quality and flexibility, and restructuring of the labor market. To assist in achieving the central objectives outlined in Australia's National Strategy for Vocational Education and Training 1998-2003, Australia is taking the following actions to improve and enhance community and industry attitudes toward training: (1) developing seamless pathways that link the sectors of postsecondary education; (2) raising and improving awareness of VET; (3) raising the National Qualifications Profile; (4) expanding flexible delivery; and (5) making a strong commitment to research, development, and innovation. (MN)