WA Skills Training signs multimillion dollar Malaysian deal

WA Skills Training has secured an estimated $2 million per year deal with the Malaysian government to deliver training for both Malaysians and Australians seeking work on major resource projects.

A memorandum of understanding will be signed in Perth on March 3, with the Malaysian government’s Construction Industry Development Board agreeing to pay for training at six Malaysian ABMs, equivalent to Australia’s Tafe colleges.

WA Skills Training founder and owner Bob Butson told Business News the deal was primarily for training workers for high-risk work such as rigging and dogging.

He said the MOU would allow the Welshpool-based business to offer cheaper services to Australians who undertook training in Malaysia, as well as improve the safety standards of Malaysia’s training programs.

The deal represents about $2 million per year in additional revenue for WA Skills Training, which Mr Butson said would add 20 per cent to its annual turnover and facilitate the hiring of some new staff, bolstering its current total of about 80 employees.

Negotiations surrounding the MOU with Malaysia began in earnest about six months ago.

Mr Butson anticipated the arrangement would continue for years to come and had scope to be expanded into further training opportunities for other resources projects.

It is understood WA Skills Training is in early stage discussions with the Indonesian government to set up a similar agreement. 

In December 2013 the organisation invested in a new $5 million premises.

Editor's note: an earlier version of this article included a reference to an arrangement between WA Skills Training and Shell. Both entities have confirmed that such an arrangement does not exist.