This paper investigates a novel way of improving the labour market attachment of older Australian workers. The paper employs a transitional labour market approach to investigate the best method governments may use to support people to actively engage in skill development. The paper looks to the U.K. Sweden and the US to examine individual learning accounts in addressing skill gaps and supporting older workers to acquire new skills. The paper argues that additional funding for training needs to come from industry, individuals and government. The paper proposes that a learning account pilot be run in the Victorian public service to establish learning accounts as a best practice model.