Ewen Jones (Herbert, Liberal Party) Share this | Hansard source

On behalf of the House of Representatives Standing Committee on Education and Employment, I present the report of the committee entitled TAFE: an Australian asset, together with the minutes of proceedings and evidence received by the committee.

On 24 February 2014 the Minister for Industry asked the committee to inquire into and report on the role of the technical and further education system and its operation. In undertaking this inquiry, the committee continued the work of the education and employment committee of the previous parliament, although with slightly revised terms of reference.

The TAFE sector is the largest education and training provider in Australia, with 61 government-owned institutes and university TAFE divisions. TAFE is also a major public provider of vocational education and training, or VET, accounting for just over 70 per cent of equivalent full-time VET students in 2010.

The committee has spent the best part of this year taking evidence on TAFE, and this report is the culmination of the committee's work. The report considers the commonwealth's involvement in VET; the development of skills in the Australian economy; the pathways that TAFE provides to employment and university; and TAFE's place in the competitive VET market.

Wherever the committee went, strong support was expressed for TAFE's role in vocational education and training, both during formal evidence and more informally. Our report acknowledges the positive impact that TAFE can have on people's lives and the critical role that TAFE plays in the Australian community.

Yet there is no foundational statement in the Council of Australian Governments framework that recognises the crucial importance of TAFE in the VET sector. The committee recommends that the Australian government should make such a statement through COAG defining the role of TAFE within the sector and acknowledging the unique functions that TAFE can contribute. The statement should also set the future direction of TAFE in the competitive training market, and recognise that the affordability and accessibility of this market is underpinned by a strong public sector provider.

As the major public provider of vocational education and training, TAFE plays a vital role in the development of skills for the Australian economy. A broader issue that emerged here was the wide variability of training quality in the VET sector—something noted last year by the Australian Skills Quality Authority (ASQA) in its review of the important aged and community care training sector. The committee recommends that this be addressed, either through increased prescription and precision around national training packages, or through the development of measures for assessing skills acquired.

A range of evidence, including the committee's online survey and personal stories, highlighted TAFE's importance as a provider of pathways to employment and university. Related to this is TAFE's significant role as a provider of opportunities for those in positions of disadvantage and vulnerability. TAFEs are often the main provider of VET for those in remote and rural areas, and have a higher ratio of disabled and disadvantaged students compared to private providers. For those who are disadvantaged or vulnerable, TAFE can be life-changing: its courses can help people to gain confidence and skills and can lead to better employability and access to mainstream education.

This important function is a particular issue for TAFE—one of several—as it operates in the competitive training market, and the committee recommends that the Australian government should seek to ensure that VET funding takes into account TAFE's role in providing opportunities for those in positions of disadvantage or vulnerability.

Another factor for the TAFE sector in the competitive market is the level of capital investment TAFEs require. The committee was particularly interested in the capital costs needed to run some TAFE courses such as those requiring large lathes, computer-programmed sheet metal cutters and 3D printers. It is concerning that the current Australian government VET funding structure does not appear to take these capital requirements into account. Capital costs should be taken into account, and the committee recommends accordingly.

Over the course of its inquiry the committee became aware of poor marketing practices in the VET sector and other practices of concern such as the collection of fees in advance. The committee is encouraged by ASQA's recent work in this area, and recommends that the Australian government should continue its current actions through ASQA and other regulators to address loopholes that allow high-risk and unscrupulous practices.

The committee also heard that Australian government VET funding provided for TAFE via the states and territories is not currently quantified at the federal level. This is unsatisfactory, and the committee recommends that reporting should be put in place to capture the exact federal financial contribution made to TAFE.

I would like to thank everyone who participated in this, and the secretariat. The committee also appreciated the positive engagement of the TAFE sector itself—Hunter TAFE in Newcastle, Regency TAFE in Adelaide, Central TAFE in Perth and the Barrier Reef Institute of TAFE in Townsville.

I commend the report to the House.

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