House debates

Monday, 13 November 2023

Private Members' Business

Vocational Education and Training

4:45 pm

Photo of Matt BurnellMatt Burnell (Spence, Australian Labor Party) Share this | | Hansard source

I move:

That this House:

(1) acknowledges the Government's commitment to transform access to the vocational education and training sector, support quality training and implement reforms to address critical skills needs, by delivering:

(a) a landmark five-year National Skills Agreement, that will take effect from January 2024, unlocking billions of dollars to build Australian skills and prosperity, including by:

(i) establishing nationally networked TAFE Centres of Excellence;

(ii) establishing a National TAFE Network to promote cutting edge curriculum;

(iii) growing the capability of the vocational education and training (VET) workforce;

(iv) implementing Closing the Gap initiatives to be designed in partnership with First Nations peoples and led by them;

(v) improving VET completions and access to foundation skills training; and

(vi) increasing women's participation and gender equality;

(b) 300,000 further Fee-Free TAFE and vocational education places from 2024, following the 180,000 Fee-Free TAFE places allocated in 2023; and

(c) investment in the creation of TAFE Centres of Excellence, to strengthen the collaboration between TAFEs, universities and industry, and the creation and delivery of higher apprenticeship qualifications, in critical areas of the economy;

(2) congratulates the Government along with state and territory governments on the historic five-year National Skills Agreement which will be delivered through a new National Stewardship model to coordinate strategic investment in skills across the economy and support delivery of skills needed in national and regional priority areas; and

(3) condemns the Liberal and National parties for their opposition to important skills policies such as Fee-Free TAFE and the former Government for their decade of neglect, and for failing to reach a National Skills Agreement with any state or territory government.

I'm extremely proud to be here moving this motion in this place as the member for Spence today, and that pride is extended by the fact that I'm doing so on a matter that is vitally important to Australia, vitally important to South Australia and, I would firmly argue, vitally important to those in the northern suburbs—namely, in my electorate of Spence. That matter is vocational education and training.

In large part, over the relatively short life span of this parliament, I have had the opportunity to speak to the importance of education, whether that be about child care or preschool, primary and secondary school education, vocational education, higher education or the educators that help to nurture future generations of Australians. I know that a strong education sector means a stronger Australia. It means stronger outcomes for our kids when they go out into their chosen professions later in life. Upskilling, or the decision to upskill, can be the crossroad moment in someone's life. It can unlock a pathway to stable employment. It can unlock pathways to promotions within their current job or field. It can unlock someone's ability to find employment in an entirely different industry—one in demand not just today but tomorrow and for many years to come.

Education is what can uplift people, uplift families and uplift communities out of poverty, which is why any good government, state or federal, treats education as a cornerstone underpinning many areas of policy. It is one that pays out almost immediately, but the real dividends are gained in the long term. The Albanese Labor government realised this whilst it was still in opposition. In doing so, Labor announced a suite of policies and ideals that eventually became the Jobs and Skills Summit, which has led to the establishment of Jobs and Skills Australia, which has led to many of us incorporating the word 'tripartite' into our vocabularies. Starting with the Jobs and Skills Summit, it identified short-term and long-term challenges that exist within Australia's labour market and it identified vocational education and training as one of the key means of addressing these challenges head on.

The National Skills Agreement is a partnership between the federal government and state and territory governments, a joint commitment between governments across Australia to expand and transform our vocational education and training sectors. The National Skills Agreement means a $12.6 billion investment from our government into the VET sector over five years. Namely, in comparison to higher education, vocational education and training has often been seen by many as the poorer cousin, a consolation prize for some school leavers who are told they aren't cut out for higher education. The National Skills Agreement, I hope, will go a long way to changing perceptions of how TAFE and other vocational education and training providers are seen as part of our education system and as part of the delivery of strategic shifts within our labour market.

A good example of this is the South Australian defence industry workforce and skills report and the prominent role that TAFE and VET has within the overall success of South Australia to grow an already flourishing defence industry into an industry that will continue to provide jobs in our state for many decades to come—a plan that was unveiled on Friday with the Minister of Defence, alongside Premier Peter Malinauskas just this Friday gone. It's the product of many months of hard work across government, industry and the education sector, with stable and well-paying jobs for our future workforce, some of whom may not even be in school yet or even been born.

But without possessing a long-term vision and a plan to grow and adjust our skills base to reflect the needs of the future, we will forever be attempting to fix challenges and issues within our labour market one day at a time. From the year preceding May 2023, 91 per cent of total employment growth occurred in occupations requiring post-school qualifications, with VET accounting for over half of that growth. Challenges such as three million Australians currently lacking fundamental skills required to participate in training, leading to secure work. Challenges like nine out of 10 new jobs requiring post-secondary school education, and four out of 10 of those jobs requiring VET qualifications.

These are the challenges that the Albanese Labor government aims to address from day one, although though it has not done so alone. In addition to state and territory governments, this process has been assisted by the industries themselves, businesses and unions working alongside each other to make a real difference for our future growth. (Time expired)

Photo of Terry YoungTerry Young (Longman, Liberal National Party) Share this | | Hansard source

Is there a seconder for the motion?

Photo of Shayne NeumannShayne Neumann (Blair, Australian Labor Party) Share this | | Hansard source

I second the motion.

4:51 pm

Photo of Julian LeeserJulian Leeser (Berowra, Liberal Party) Share this | | Hansard source

():  I have many criticisms of this government, given its ongoing failings—its failure to have a plan to cut interest rates and drive down inflation, its inability to get spending under control, its decision on national security to play footsies with the Corbynite Left—but there's one area where this government operates in a rarefied air, where it has no peer or equal, where it excels beyond anywhere imaginable, and that is in the area of self-congratulations. This is a government that believes what it wants to believe even when the facts tell a different story. As a government, it's all talking points and no answers. It's a government that either blames others or congratulates itself, and this motion is typical of the self-congratulation genre.

The government prides itself on the establishment of Jobs and Skills Australia, it says. As opposition leader, Anthony Albanese said:

We will create a new and independent agency to be called Jobs and Skills Australia which will research workforce trends and provide impartial advice about what skills are needed now and what skills will be sought after in the future.

It sounds like a great idea, except the Morrison government was already doing it. Jobs and Skills Australia is just a rebranding of the National Skills Commission established by the Morrison government: same staff in the same department in the same building drawing the same pay cheques with a new logo. It's like an episode of Utopia.

This motion of self-congratulation celebrates the new National Skills Agreement. The government boasts that through the National Skills Agreement it's providing an increase of over $3.7 billion over the next five years. That would have been paid through the previously operating agreement; that amount would have been $12.6 billion. High fives all round, except this is the same funding level as committed to by the coalition in 2022. So if you want to offer praise, I say start with the member for Cook, his Skills Commission and his funding envelope.

Of course, this is the same funding envelope that caused Labor to say—erroneously—that the coalition was cutting money out of TAFE. Now Labor celebrates the fact it has a National Skills Agreement with the states and territories. It secured one because it gave away the fundamental bargaining position of a Commonwealth, namely that arrangements needed to be tied to outcomes.

If you believe this motion, Australia is entering a new nirvana when it comes to skills. The first year of the government's performance says that's not the case. Data from the National Centre for Vocational Education Research shows that in Labor's first year of government, new training starts have declined by more than 37 per cent. Of even greater concern is the decline in commencements for female trainees in apprenticeships. It's about 43 per cent. We are witnessing a collapse in commencements. That means there are 37,000 fewer Australians commencing training than when Labor took government. That means in only one year the supply of new electricians, mechanics, childcare workers, cooks and carpenters will slow, and in a country already facing skills shortages that's terrible news. It's a warning of darker days to come. And labour shortages and supply chain pressures all feed into higher inflation, with shortages harming those areas where we need significant growth, particularly in the care sector and in the digital economy.

This motion also contains the obligatory condemnation of the last coalition government. These motions are a sort of standard cocktail formula with three parts self-congratulation, one part condemnation, shaken not stirred. Yet the facts disprove the condemnation. In the final months of the last coalition government, trade apprentices in training hit record highs with over 415,240 apprentices and trainees in training. That was up 21.6 per cent for the same time in 2021. Under Labor, we've seen trade apprentices in training numbers fall to 387,500, a 6.6 per cent fall in one year. This from a government who promised they had all the answers for skill and trade shortages.

All we get from this government is marketing and rebadging. We've had TAFE centres of excellence promised. Like most Albanese government announcements, it has been announced and re-announced many times. But still, halfway through the term, we don't know where the centres are going, we don't know what they're going to do and we don't know what their role will be.

This is a government with no sense of urgency. This is despite the fact that the Skills Priority List found that 36 per cent of occupations are experiencing shortages. That is 332 occupations out of 916. That's up five percentage points, or 66 occupations. And those shortages are occurring across vital areas such as health care, ICT and the trades. There are shortages across the construction sector and outside it, with persistent shortages in occupations like chefs, motor mechanics, fitters, hairdressers and metal fabricators.

Australia needs a robust, vibrant economy that doesn't suffer from these skill shortages. And so what do we on this side of House want to see? We want to see the government stop congratulating itself on a job not done and get back to working on removing the skills blockages that are hindering national productivity and economic growth.

4:56 pm

Photo of Maria VamvakinouMaria Vamvakinou (Calwell, Australian Labor Party) Share this | | Hansard source

I want to thank the member for Spence for bringing this motion to the House. Indeed, I'd like to congratulate him for doing so. I know the member is a passionate advocate for working people and fights hard to not only protect the conditions of workers in his electorate but also to create real opportunities for the future. I want to thank the Minister for Skills and Training, Brendan O'Connor, the member for Gorton, for the government's introduction of a suite of policies to help address this nation's significant skills and labour shortages.

A future made in Australia must mean that we make things locally and that we make them here. The landmark five-year National Skills Agreement will embed national cooperation and strategic investment in our vocational education and training sector. The Albanese government is prepared to invest $12.6 billion to expand and transform access to the VET sector, support quality training and implement reforms to address critical skills needs. If states and territories access all the Commonwealth funding available under the National Skills Agreement, the combined investment by governments would exceed $30 billion over five years.

In an historic first, a new national stewardship model will coordinate strategic investment in skills across the economy and support delivery of skills needed in national priority areas, as well as providing states and territories with flexibility to meet local industry skills needs. The agreement places TAFE at the heart of the VET sector with TAFEs to be supported by baseline funding commitments. Ours is a government that believes in a whole-of-government approach to governance so that industries are secured, so that supply chains are revived, so that families can once again have the job security that has allowed so many people in my electorate to build a life for themselves and their family, and so that we can secure our nation's economic security through a sovereign capability that can help our economy become crisis proof.

That's why I am proud of our government's efforts with policies that include the Australian Skills Guarantee, which will ensure one in 10 workers on major federally funded government projects is an apprentice, trainee or cadet—this translates to a commitment to training thousands of workers. Our Fee-Free TAFE places are delivering 465,000 fee-free TAFE places, including 45,000 new places, and includes those for students studying in industries of national importance and those facing skills shortages. And the TAFE Technology Fund ensures that at least 70 per cent of Commonwealth VET funding is for public TAFE.

Calwell is home to the Kangan Institute of TAFE in Broadmeadows, an institution that is doing great work towards skills training in key sectors of our local and national economy, whether it be in trades, business, IT, justice, community, children's services, hospitality, animals, plants and sciences. I also want to thank them for their collaboration and support at the Kangan Institute Skills and Jobs Centre, with their on-the-tools experience facilitated by the AMWU and Women Onsite.

Our Future Made in Australia Skills Plan, covering a number of commitments made as part of the government's $1.2 billion Future Made in Australia Skills Plan, is helping close the gap on key areas of skills shortage. New energy apprenticeships will encourage Australians to train in the new energy jobs of the future and provide the additional support they need to complete their training. That's a funding commitment of $100 million to support 10,000 new energy apprenticeships and a new energy skills program to develop fit-for-purpose training pathways for new energy industry jobs.

We've seen the success of this government's policies and their real-world impact. Fee-free TAFE and VET has been such a success that we're committing a further $414.1 million to deliver an additional 300,000 places nationally to begin next year. The fee-free TAFE initiative has had overwhelming success in its first year, exceeding the 180,000 enrolment target by almost 40,000 students, hitting nearly 215,000 enrolments. Fee-free TAFE is providing substantial savings to students and providing post-secondary education to students who might not otherwise have had the opportunity to pursue it. It's been a real game changer across Victoria and in my electorate, with more than 152,000 students saving more than $384 million in tuition fees since the program began in 2019. The Albanese Labor government's strong commitment to skills and training towards productive employment means that we invest in the skills and the workforce of the future.

5:01 pm

Photo of Andrew WallaceAndrew Wallace (Fisher, Liberal National Party) Share this | | Hansard source

When I left school, I went to TAFE. I was an apprentice carpenter. I'm very pleased to say that I had a great career in the building industry as a carpenter and then as a builder. I often tell young people at any schools to get a trade. So many young people now—and I'll confess to doing this because otherwise my kids will hold me to account—have it impressed upon them that they've got to go to university, and I think we have done our kids a disservice in doing that. There's nothing wrong with going to university. We obviously need people to go to university. But not everybody has to go to university. I think we've lost the plot in this country to an extent because we push so many young people to university education. I know that, if you go to TAFE and get a trade in this country, you can basically work anywhere in the world. TAFE training in this country is very well regarded across the world. If you are a carpenter in Australia, you'll get a job in Canada, and, if you are an electrician in Australia, you'll get a job in the United States et cetera. It is very, very highly regarded.

When we were in government, we acknowledged the importance of young people not necessarily going to university but going and doing a trade. How many times have you tried to ring a plumber or an electrician or a plasterer? We've all been there. Trades are in such short supply, and—

A division having been called in the House of Representatives—

Sitting suspended from 17 : 04 to 17 : 15

It took the former coalition government nine years to repair the damage that those members opposite inflicted upon the vocational education sector. In those nine years, we delivered JobTrainer, which provided low-fee or no-fee training before the states did. We incentivised apprenticeship commencements and completions, with a record 387,830 apprentices and trainees, building a skilled workforce. We reformed the recognition-of-prior-learning schemes and we backed skilled sectors. We made training more accessible and affordable for young Australians, first responders, veterans and senior career professionals alike. Without fanfare—as was our wont—the coalition delivered on vocational education and training.

On the other hand, take Labor's approach. Labor flung mud, slogans and union-drafted talking points over the parapet right up until the Prime Minister moved into the Lodge. Now their great boast is that they've sold the Australian economy down the river, and for what? For a national skills agreement which is weaker than ever, more expensive and, frankly, without much substance at all. They announced so-called TAFE centres of excellence—they've rebranded them and re-announced them a couple more times, but we still don't know what they'll do, where they'll be or what purpose they'll have. It's all the more curious given TAFEs are state government responsibilities. This federal government is all at sea when it comes to vocational education and training. In 12 months, we've seen that photo-ops, jetsetting and big announcements are all that Labor has to offer. They are now tearing the sector apart once again.

I want to encourage young people to pursue a path with a trade. Go to TAFE, or go and get some private vocational education and training. Become a tradesperson— (Time expired)

5:17 pm

Photo of Jerome LaxaleJerome Laxale (Bennelong, Australian Labor Party) Share this | | Hansard source

When the Albanese government came to power, it was confronted with a number of alarming situations, none more pressing than an economy on the ropes and a staggering skills deficit that threatened to undermine our nation's future prosperity. Upon taking office, the government had to deal with a genuine skills crisis. Occupations on the skills shortage list had skyrocketed from 153 to a staggering 286. According to the OECD, Australia was facing the second-most-severe labour shortage in the developed world—a stark reminder of the urgency of the situation we then faced.

Never forget the decade of cuts to TAFE and the VET sector administered by state and federal Liberal governments. Those opposite have never shown a commitment to TAFE and the VET sector during their tenure, and they were on an ideological mission to destroy TAFE through cuts, sales and privatisation. Their longstanding opposition to TAFE and vocational education speaks volumes about their priorities and their commitment to addressing the pressing skills shortage we face today.

That's why I'm proud to be a part of a government that understands that a strong and accessible higher education and vocational education and training sector is crucial not only to tackling this skill shortage but to creating a better future for all Australians. To fix our skills shortage and grow our economy, the Albanese government is investing in our country's greatest resource—our people. The cost-of-living stress that Australians face today is immense. The rising cost of housing, utilities and groceries, coupled with stagnant wage growth, has cast a shadow over the household budgets of many.

Fee-free TAFE is a critical measure in the suite of policies this government is implementing against the cost-of-living crisis. Its impact extends beyond the classroom, offering a lifeline to individuals seeking to re-skill and redefine their careers. When the cost of living soars, individuals often find themselves at a crossroad, contemplating the daunting prospect of balancing expenses versus a desire to re-skill or upskill. Through fee-free TAFE, this government has removed the financial barrier that holds many back from accessing education, upskilling and getting a better paid job.

As industries evolve and technological advancements reshape the employment landscape, staying relevant in the workforce requires adaptability. Fee-free TAFE not only opens the door to reskilling but also widens the avenues for securing better employment opportunities. Because of fee-free TAFE, Australians now have the opportunity to get better jobs with higher pay. One of the most significant achievements of this policy is its contribution to addressing skills shortages in various sectors. Whether it's in the care sector, agriculture, hospitality, construction, technology or defence, this government is delivering essential skills at a time when they are most needed, and the numbers back it up. There were over 214,300 enrolments in the first six months, surpassing the 2023 target of 180,000 by nearly 35,000 places. It has been a resounding success.

I've got an example from Bennelong. I met Claire, a mother of two, who is the perfect example of what this policy was designed to deliver. Claire's fee-free TAFE journey is real, and it shows how good government and good policies can help good people. For years, Claire had worked tirelessly in the media industry to provide for her kids. It was a path she had chosen, but over time Claire began to yearn for a change—a change that would not only enrich her life but also offer greater opportunities for her kids and her family. However, Claire found changing careers to be hard. The financial barriers to changing careers are daunting. The costs of reskilling, and balancing that with the family budget, can become too much of a burden. However, thanks to this policy, Claire is now on a different path. With our policy, she not only enrolled in an accounting course but also gained the confidence and skills needed to change her career. When she finishes her fee-free TAFE course, she wants to open a small accounting practice.

Claire's story reminds us all that fee-free TAFE is not merely about statistics and numbers; it's about real people and their dreams, and it's also about growing our economy. This policy is a lifeline that has opened doors for many individuals from all walks of life and from different backgrounds and experiences. It has fuelled the aspirations of mothers, fathers, young Australians, jobseekers, people with disabilities and First Nations Australians. It's about providing a ladder of upward mobility and, importantly, it's about productivity and growing our economy.

5:22 pm

Photo of Nola MarinoNola Marino (Forrest, Liberal Party, Shadow Assistant Minister for Education) Share this | | Hansard source

There's no question about the value of a trade or vocational education, and, given the problems with both worker and skill shortage in Australia, the government should be supporting and respecting both state government TAFE and private providers to meet the shortages of appropriately skilled workers, which are so desperately needed. Despite the claims made in this motion, Jobs and Skills Australia advice clearly shows that the number of Australians taking up new training has declined by 37.4 per cent, in spite of the new National Skills Agreement by Labor. According to those opposite, the Labor government's TAFE proposal promised a revolution in Australian skills, but we actually see the opposite. There's been a devolution in the take-up of Australian skills. In spite of the government's much vaunted five-year agreement with the states, it actually comes on the back of the Murray-Darling Basin Plan, where the government couldn't get the Victorian Labor government to sign onto it at all.

As well as this, the Albanese government has been spruiking the TAFE centres of excellence as a key component of the skills commitment, with $325 million over five years to be invested federally. The centres, in the words of the government, will strengthen the collaboration between TAFEs, unis, industries and higher apprenticeship qualifications. However, South Regional TAFE, in my electorate, already offers business development services, which is an industry-focused unit providing services to local businesses. Where will the centres of excellence be in WA, and how will they impact on the business development services already being provided by that TAFE? Equally, if the government bothered to meet with the private RTOs around the country, they would be well aware that many of the benefits that these centres of excellence are intending to provide are already being delivered by the private VET sector. I met a range of RTOs that are currently doing much of the heavy lifting, and they feel as though they've been abandoned by the Labor government at a critical time of skills shortages, when all they are seeking is a level playing field. They have an important role to play in training and skills development and offer choice for those seeking that training. Data compiled by the Independent Tertiary Education Council of Australia has found that independent schools not only provide courses that have significantly higher completion rates—and that will be the key to what the government is doing here—but also do so with higher satisfaction rates among the students.

The number of Australians taking up skills training is in freefall under the Albanese government. Trade apprentices in training hit record highs in the final months of the coalition government. As of June 2022, there were more than 415,240 apprentices and trainees in training, which was 21 per cent higher than at the same time in 2021. Under Labor, this number has now fallen to 387,505. We see those skills shortages in industries right across the country. I see and hear of this shortage every single day in my electorate in the south-west of Western Australia. We should have apprentices lining up to take on the amazing opportunities a trade provides them. The latest data demonstrates that while the Prime Minister talks a big game on skills, he just isn't delivering. In fact, he has overseen an almost 40-per-cent decline in new training starts in his first year alone. The skills shortages have worsened, and 36 per cent of occupations assessed were five per cent higher on the skills priority list than in 2022.

Now, I support students getting the best education and training they possibly can—training that meets the career choices that they have—but we do need to see the benefits of what the government is spending, and I am concerned that the TAFE certificate completion rates are well below their private RTO counterparts. Certificate I has a 16 per cent discrepancy, and what we can't afford is taxpayers' funding being wasted or going down the drain without completion and without qualification, and with no benefit to the individual, the businesses that desperately need skilled and trained workers, or the broader economy and to productivity. Every single bit of public funding needs to be effective, particularly when we see such skills shortages and productivity continuing in freefall—it's now down 6.6 per cent.

Photo of Rebekha SharkieRebekha Sharkie (Mayo, Centre Alliance) Share this | | Hansard source

There being no further speakers, the debate is adjourned and the resumption of the debate will be made an order of the day for the next sitting.