Vocational education and training (VET) in Australia has been subject to a range of major policy reforms aimed at making it more effective and competitive in response to global pressures. Those reforms have raised significant ethical challenges for teachers in the sector. A recent study of ethical dilemmas faced by vocational trainers in Australia investigated the experiences of Australian vocational education teachers working registered training organizations (RTOs) using qualitative research. The author drew primarily on discursive interviews with 18 VET teachers in South-East Queensland, from which she identified four different dilemmas: responding flexibly to heightened student diversity; limiting educational engagement; constraining teacher responsiveness; manipulating learning assessment. The impacts of these dilemmas were identified as disappointment, confusion, anxiety, discomfort, and distress. While this study focuses on the ethical impact on VET teaching, the dilemmas themselves could be seen as a basis for positive change and a stimulus to improve teaching practices.