The National Charter for TAFE
TAFE NSW Managers Conference 8 June 2012
David Williams
Executive Director, Victorian TAFE Association for TDA
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Why a National TAFE Charter?
TDA believed it was time to go beyond the rhetoric and
for the Federal, State and Territory governments to:
 affirm the significance of TAFE in delivering on the
Government’s productivity and participation agenda
 define the role, scope and responsibilities of TAFE
 commit to administrative and funding arrangements that
will enable TAFE providers to perform this role effectively
4 key principles were developed.
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Principle 1
Funding of public VET provides value for money and is sufficient for
the comprehensive educational and training services necessary to
achieve COAG goals. 1
The continued viability of public TAFE institutions as ‘full
service providers’ is an integral component of the
‘Implementation Plans’ of all jurisdictions in a national VET
entitlement system. This requires fair and adequate funding
of TAFE services, to meet community service obligations,
and ensure accessible and equitable programs, with support
service available to individuals, industries and communities.
1. National Partnership Agreement on Skills Reform, April 2012, Clause 28 and 29
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Principle 2
Quality criteria are substantially enhanced as the basis of value for
money in public funding for a competitive VET system.
Government funding decisions require the application of
coherent and nationally consistent quality criteria that assure:
• Enhanced standards for national registered training
organisations, beyond minimum registration requirements;
• Contractual obligations for all Registered Training
Organisations (RTOs) receiving public funding for VET
programs including the requirement for full and continuing
compliance with the quality standards required by the SNVR,
the AQF and agreed validation measures.
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Principle 3
Governance enables flexibility and responsiveness.
Healthy competition depends on transparency, accountability and
devolution of governance.
An equal and transparent regulatory framework for all providers is
a fundamental cornerstone of national competition policy.
• Sufficient authority must be devolved to TAFE Institutes to
enable them to respond flexibly in competitive training markets.
• Equivalent standards of transparent reporting and accountability
should be required of all VET providers in receipt of public
funds.
• Additional and specific functions, including statutory functions of
TAFE Institutes, to receive supplementary funding.
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Principle 4
Recognition of the innovation and leadership roles of TAFE,
including its pivotal position in rural and regional Australia.
The public provider network of TAFE institutions
underpins employment, productivity, regional
communities and future workforce development. To
achieve COAG economic goals, governments should
engage with TAFE providers as the VET industry
leaders.
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Victorian TAFE
Association Inc
Key features of Skills Reform in Qld
• Qld below national average for VET participation across all
age demographics (in NSW about 9.5% of 15 to 64 year
old participate in VET, in Qld about 7%).
• Peter Noonan undertook a review in 2011 that was then
referred to a Ministerial Taskforce.
• Newman government elected and reviewing future VET
policy.
• Government has just announced it will join National
Regulator ASQA and legislation is being drafted.
• Entitlement system is proposed to provide a guaranteed
VET place for qualifications up to and including Cert III,
other details yet to be determined.
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Victorian TAFE
Association Inc
Key features of Skills Reform in Qld
(Continued)
• Governance will probably include a broad transition to
Statutory Bodies for all Institutes (Southbank and Gold
Coast already have this status).
• IR reform at the moment being considered in the form of
transitioning employment powers to new statutory entities
with a transition of existing salaries and conditions and
consideration to move to each entity developing its own
EAs.
• Details of quality assurance standards for entry into
contestable market and role of public provider still being
developed.
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Victorian TAFE
Association Inc
Skills for All in SA
• TAFE SA has been created as a statutory authority whose CEO
reports to a governing Council (which happens to be the senior
exec team of the Department). The 3 TAFE Providers in SA.
South, North and Regional CEOs report directly to the CEO of
TAFE SA.
• SA quality assurance is through ASQA the National Regulator
• All SAs aged 16 and over will be eligible for a government
subsidised place.
• Certs I & II no student fees, above these levels fees apply and are
very complex, based upon units of study not qualification being
studied. There will be minimum and maximum fees and
concessions will continue to apply.
• Diploma and above qualifications will have access to VET Fee
Help income contingent loans through the Commonwealth, trial of
loans at Cert IV.
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Victorian TAFE
Association Inc
Skills for All in SA (contd.)
• Eligibility criteria to subsidised places are complex but
students do get second chances to study at the same or
lower level than the qualification level they currently hold.
• Priority quals attract additional funding.
• Contestability of TAFEs with Private RTOs. Over 200 private
RTOs expressed interest in being approved for SA
government subsidised training – as at mid May 2012 only 6
providers approved – quality bar is quite high.
• Public TAFE average SCH rate is $17 per hour. Private RTOs
average SCH will be funded at $9 per hour.
• Staff transferred to employees of the Statutory Body TAFE
SA.
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Victorian TAFE
Association Inc
Victorian Skills Reform
• Current version of policy on the run involves eligibility
criteria that provides a government subsidised place for
under 20 year olds or those studying at a qualification
level higher than currently held for students over 20
years of age - exclusions are foundation skills and
apprenticeships. Non eligible students automatically full
fee paying.
• Maximum of 2 courses per student that can be enrolled
in during a Calendar year.
• Fees charged to students now uncapped, no hourly or
yearly maximum.
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Victorian TAFE
Association Inc
Victorian Skills Reform (contd.)
• VET Fee Help income contingent loans available for
Diploma level and above and trial at Cert IV level in
2013/2014.
• 5 bands of funding provided to RTO / TAFE with level Band
A (apprenticeships) funded @ greater than $10 per SCH
and Band E funded @ less than $2.00 per SCH (e.g. many
hospitality programs Cert I to III - non apprentice, business
& business administration Certs I to III, Sport & Recreation
Cert II to IV, Cert III and IV Fitness).
• The revised funding Bands result in 20% of programs
getting a SCH funding increase and 80% getting a
decrease.
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Victorian TAFE
Association Inc
Victorian Skills Reform (contd.)
• 5% loading for all RTOs for training delivered in nonmetropolitan area.
• New 1.3 loading for low SES youth but methodology of
determining SES status yet to be designed.
• RPL funded at 100% for Band A and 50% for Bands B to
E.
• 18 TAFEs and 410 private RTOs now all funded at same
$ rate, no differential. Community Service and statutory
obligation funding previously paid to TAFE as ‘full service
providers’ to be discontinued as of 1 January 2013
(equates to about $170M per annum).
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Victorian TAFE
Association Inc
Victorian Skills Reform (contd.)
• Approximately ½ of RTOs regulated by ASQA (those
delivering across State borders or international) and the
other ½ by Vic Registration and Qualifications Authority.
• State ITBs all defunded from 1 July.
• Vic Skills Commission disbanded from 1 July.
• New Industry Skills Consultative Committee and Annual
Industry Skills Conference.
• TAFEs will be allowed flexibility to negotiate individual
EAs rather than MBA preference the government held in
the past.
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Victorian TAFE
Association Inc
Victorian Skills Reform
The case study of what not to do!
Do not build a skills reform agenda on foundations laid
in quicksand.
Solid and sound modelling, informed industry and
students, high level quality criteria and performance
standards are a mandatory pre-requisites for moving
from a progressively contracted for delivery market to a
managed market. Certainly not an open slather market.
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Victorian TAFE
Association Inc
Coming back to TDA National Charter and the Federal / State
National Partnership Agreement on Skills Reform, it makes
sense to have a nationally consistent approach to:
• Eligibility criteria for access to government supported place
• Quality standard for entry into government supported
training market
• Minimum support requirements for TAFEs operating in a
more contestable market
• Clear recognition and support for TAFEs as public providers
delivering a broad range of training and support services to
a wide range of students including in regional and remote
locations
• Support services for employers and students to allow for
them to make informed choices.
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Victorian TAFE
Association Inc
Thank you
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