"Sydney" left Fremantle on 27 October 1953 for a second deployment to Korea, to support United Nations enforcement of the July 1953 armistice. This deployment, which concluded in January 1954, was mostly uneventful compared to the first, with flight operations limited to patrols along the demilitarised zone established by the armistice. During operations in Korea, one pilot died when his Sea Fury crashed into the ocean, while another pilot was killed and an aircraft handler seriously injured in separate deck accidents. "Sydney" returned to Fremantle on 2 June 1954. A planned upgrade of "Sydney" to a similar standard as modified sister ship "Melbourne" was cancelled in 1954, and she was prepared for service as a training ship. The carrier's embarked aircraft were flown off for the last time on 22 April 1955, and "Sydney" underwent a brief reorganisation during 26–29 April. Not long after, she departed for New Zealand waters on her first training cruise on 2 May. This was followed by a refit and then a quick trip from Sydney to Adelaide, thence Melbourne, and back to her home port in Sydney. A visit by Earl Mountbatten of Burma was a highlight at this time - especially when, after his presentation to the ship's company, they were all granted a 'make and mend.'