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Third parties

Standards: Clause 2.3, 2.4, 5.4, 8..2, 8.3

2.3. The RTO ensures that where services are provided on its behalf by a third party the provision of those services is the subject of a written agreement.

2.4. The RTO has sufficient strategies and resources to systematically monitor any services delivered on its behalf, and uses these to ensure that the services delivered comply with these Standards at all times.

5.4. Where there are any changes to agreed services, the RTO advises the learner as soon as practicable, including in relation to any new third party arrangements or a change in ownership or changes to existing third party arrangements.

8.2. The RTO ensures that any third party delivering services on its behalf is required under written agreement to cooperate with the VET Regulator a) by providing accurate and factual responses to information requests from the VET Regulator relevant to the delivery of services; and b) in the conduct of audits and the monitoring of its operations.

8.3. The RTO notifies the Regulator a) of any written agreement entered into under Clause 2.3 for the delivery of services on its behalf within 30 calendar days of that agreement being entered into or prior to the obligations under the agreement taking effect, whichever occurs first; and b) within 30 calendar days of the agreement coming to an end.

Standards glossary

Third party means any party that provides services on behalf of the RTO but does not include a contract of employment between an RTO and its employee.

QCI considerations

Third-party policy
Does your RTO have a documented policy related to the use of third parties? Even if the policy states that your RTO does not use third parties to recruit or deliver training and assessment on behalf of your RTO, it is good practice to have a statement acknowledging that in the event of third party involvement, there would be a written agreement.

Third-party agreement
Minimum inclusions for a written agreement:

requirement that the third party cooperate with your RTO’s monitoring of their compliance with the Standards, including a documented schedule of monitoring activities
requirement that the third party cooperates with ASQA by providing accurate and factual responses to ASQA’s information requests
requirement that the third party cooperates with ASQA in the conduct of audits and the monitoring of its operations.
information about how and when learners will be notified of any changes in services being delivered by a third party
requirement for the agreement to be signed by an authorised signatory for your RTO and an authorised signatory for the third party, with signatures to be witnessed.

Third-party monitoring
If your RTO uses the services of a third-party, is there a document that sets out:

what will be included in compliance monitoring and when such monitoring will occur
How monitoring activities are recorded and what evidence is retained
What happens if a non-compliance with Standards is identified during monitoring activities
grounds for termination of the agreement
who has management responsibility for these activities

ASQA notification
If your RTO uses the services of a third party, then who has responsibility for notifying ASQA prior to commencement and also after finalisation of the agreement?