Financial Advice Association Australia has flagged concerns over draft changes to the Australian Bureau of Statistics’ occupation classifications.

In a submission, the association says there is a “critical need” for the classifications to be consistent with legislated education requirements for financial advisers, as outlined in the Corporations Act.

It warns one of the ABS’ proposed changes to the structure of the Australian and New Zealand Standard Classification of Occupations is incorrect because it does not reflect the act’s section 921B.

It says the last point in the skill level requirement that states “or at least five years of relevant experience” should be removed.

“We are aware that education providers use the ANZSCO occupations to promote their courses to prospective students, particularly international students,” the submission says.

“It is essential that such individuals are aware of the strict legal requirements they must meet to fulfil the occupation of financial adviser. Incorrect skill requirements on the ANZSCO could result in a person who relies on this information not meeting the legislated requirements to practice.”

The ABS is reviewing the classifications to reflect the contemporary labour market. It expects the updated classification will be released in December, in time for use by the 2026 census.

FAAA says the provision of personal financial advice is heavily regulated. As such, the titles of the occupations that can legally provide it are protected by law and must be used only by people who meet the mandated education, registration and professional standards set in the Corporations Act.

Click here for the submission.