1. VET terrific or terrifying E-Oz Conference 22 October 2013 Pam Caven Director Policy & Stakeholder Engagement, TAFE Directors Australia

2. TDA Policy Papers 2013 Employment and economic benefits of additional investment in technical and further education Quality in open market ‘national entitlement ‘system Maintaining a commitment to skills funding especially in regional areas TAFE leadership in international education Educational leadership in the delivery of green skills Pathways in tertiary education and funding

3. My presentation The role of TAFE Directors Australia TAFE- a big footprint The National Charter for TAFE The contestable market A review of VET funding Conclusion

4. TAFE Directors Australia represents 61 publicly funded TAFE institutions: represents its members on key government policy bodies organises an annual conference & seminars keeps members informed via a weekly email newsletter; and makes submissions to key government enquiries. The role of TAFE Directors Australia

5. TAFE institutes have demonstrated expertise across the full range of AQF qualifications a disproportionate share of the benefits to society a major exporter of education and training services the lion’s share of skills development in advanced technical areas and in apprenticeship training Industry understands and values this capability of TAFE TAFE a big footprint big

6. National Charter for TAFE. Fair and adequate funding of TAFE services Quality criteria are substantially enhanced as the basis of value for money in public funding in a competitive VET system Governance enables flexibility and responsiveness Recognition of the innovation and leadership roles of TAFE, including its pivotal position in rural and regional Australia

7. Smart & Skilled policy January 2013 Fees in TAFE rose by 9.5% & the student concession fee from $53 to $100 A reduction of around 800 positions in central support functions for TAFE NSW over the next 4 years Further cuts to the TAFE budget to offset the implementation of the Gonski reforms. The entitlement model is to be introduced in 2014, but is to be ‘budget neutral’ NSW

8. TAFE SA a statutory authority; Chief Executive, Jeff Gunningham Skills for All –All South Australians aged 16 and over eligible for a government subsidised place. –Eligibility available to individuals significantly reduced 4 November –Majority of individuals will have only two course options subsided –Priority Courses –“Fee Free” will only be available to those Registered Unemployed –Access to VET Fee Help income contingent loans –“Uncapped” nature of the market is now being tightly controlled South Australia

9. A limited entitlement system from July 2014 Entitlement is envisaged to apply to areas of skills shortage eg engineering/nursing Only about 15% of government subsidised training is currently opened up to contestability WA government is “on record” in wanting to ensure only high quality contracted providers Western Australia

10. Competition for Government funding Only a government subsidised place if student does not hold higher level qualifications Uncapping of student fees Expansion of income contingent loans 5 bands of funding, resulting in 20% of SCH funding increase and 80% getting a decrease 18 TAFEs and 311 private RTOs (down from 411 in 2012) now all funded at the same level CSOs, TAFE operational base funding discontinued from January 2013 Victoria

11. Cost-benefit analysis and returns from additional investment in Vocational Education and Training (VET –Specifically, TDA contends from the analysis that there needs to be –A systemic review of tertiary education funding –Support for pathways funding, –Greater emphasis on funding for skills sets –More transparent and accountable arrangements for the National Workforce Development Fund Employment and economic benefits of additional investments in technical and further education

12. Thank you… pcaven@tda.edu.au