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TAFE Back to
Work Fund
Guidelines
March 2015
$50 million TAFE Back to Work Fund
Overview
The $50 million TAFE Back to Work Fund has been developed to support the Victorian Government’s
Back to Work Plan to grow jobs and get people back to work, while improving the financial viability of
TAFE Institutes and supporting the skills needs of local communities.
The $50 million Back to Work Fund provides one–off funding and is additional to the Victorian
Training Guarantee (VTG) funding and the $320 million TAFE Rescue Fund.
Getting Victoria Back to Work
Victoria’s economy is facing a number of key challenges including an unemployment crisis. Victoria
has the highest rate of youth unemployment of all mainland states, with regional areas hardest hit.
The State is also experiencing the fastest rate of economic adjustment in Australia, and associated
industry downturns.
A clear and direct plan for supporting the Victorian economy to transition is critical, which is why the
Victorian Government is investing in a Back to Work Plan that sets out a clear agenda to create at
least 100,000 jobs and support the Victorian economy at this time. The Back to Work Plan outlines six
key growth sectors and initiatives for jobs growth:
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Medical technology and pharmaceuticals
New energy technology
Food and fibre
Transport, defence and construction technology
International education
Professional Services.
A cornerstone of the Plan is the Back to Work Scheme which will provide $100 million in payroll tax or
grants relief to businesses hiring unemployed youth, the long-term unemployed, out-of-trade
apprentices and retrenched workers.
The Back to Work Scheme will be enhanced by access to affordable, high quality and industryspecific training.
Through the $50 million TAFE Back to Work Fund, TAFE institutes will play a key role in developing
partnerships that will support employers to hire those priority cohorts and to benefit from the available
payroll exemptions. Institutes will provide training initiatives that address skills needs in the six key
industry growth sectors, help businesses boost productivity, and ultimately lead to real jobs.
Rebuilding the TAFE sector
While Victoria’s public TAFE institutes have a key role to play in helping the Government meet its
objectives, they currently face some limitations in their ability to contribute to the success of the Back
to Work Plan.
TAFE institutes have experienced a significant reduction in Victorian Government investment in
recent years. Total State Government funding to TAFE institutes declined from $733 million in 2011 to
$468 million in 2014. The TAFE sector’s operating result has declined dramatically, from an operating
surplus of $109 million in 2011, to an expected deficit of $59 million in 2014. At the same time, the
TAFE sector’s market share of Government funded enrolments across the training system declined to
25 per cent in 2014.
TAFE institutes’ deteriorating financial position has affected their capacity to invest in services and
programs that align to industry and community needs. Consequently, this has led to a mismatch
between the programs Institutes currently offer and what industry and communities need, and where
jobs will be in the future.
The Victorian Government’s commitment to rebuilding the TAFE sector is underpinned by the
$320 million TAFE Rescue Fund, from which the Government has already allocated $20 million in
emergency funding to vulnerable TAFE institutes.
While the $20 million emergency funding has strengthened TAFE institutes capacity to offer courses
at the beginning of 2015, their ongoing poor financial position detracts from their capacity to meet the
skills and jobs needs of communities across Victoria.
The TAFE Back to Work Fund will assist in the financial repair of the TAFE sector and lay the ground
work for a more solid financial footing. It will improve the financial sustainability for the longer term
and ensure ongoing support to local industry and communities with training that aligns to industry
skills needs that directly support the Back to Work Program.
“Skills transform lives, generate prosperity and promote social inclusion. Without the right
skills, people are kept at the margins of society, technological progress does not translate into
economic growth, and enterprises and countries can’t compete in today’s globally connected
and increasingly complex world.”
OECD (2013), OECD Skills Outlook 2013: First Results from the Survey of Adult Skills, OECD Publishing, p.2
Eligibility
Applications can be made by individual TAFE institutes or as collaboration between multiple institutes.
TAFE institutes are also encouraged to partner with the Learn Local sector, including pre-accredited
providers, and job service agencies where relevant to meeting the objectives of the Fund.
Eligible applications must align with Victorian Government policy, including the Back to Work Plan and
Back to Work Scheme.
What will not be funded?
Funding will not be provided for asset projects. However, funding will be considered for operational
expenses associated with strategic assets aligned to the Fund’s objective.
Application requirements
TAFE institute proposals need to demonstrate how the funding will:
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Deliver training and skills development that will help Victorians get and keep jobs
Build the institutes’ capacity and capability to better align training delivery and expand and
grow in emerging areas of industry and community needs, including the six key growth sectors
identified in the Back to Work Plan.
 Meet the objectives of the Back to Work Scheme, including :
o an increase in the number of forecast apprentice and trainee commencements; and
o training support for employers seeking payroll tax exemptions.
 Assure the financial sustainability of TAFE institutes now and in the future.
A financial forecast that includes budget impacts, one-off and on-going cost and revenue impacts in
the funding year and across the forward estimates should also be included in all proposals.
N.B. TAFE institutes can submit more than one proposal, however these should be prioritised.
Important additional information
 The Fund provides a one-off grant payment only which can be expended over two years.
Funding requested must be sufficient to complete project(s). There is only one round of
applications for the Fund.
 If submitting more than one application, please rank them in order of priority.
 The reasonable costs of developing proposals, including supporting market analysis
studies (to understand industry and community needs), should be included in the
proposal’s budget. Successful proposals will have these costs reimbursed.
 TAFE institutes will be required to participate in an independent evaluation of the Fund.
Proposals should include expenses associated with any additional data collection
requirements such as the number of job placements or conducting graduate or employer
surveys. TAFE institutes may be required to participate in focus group discussions to
help evaluate the Fund.
Assessment criteria
Applications will be assessed against the criteria below:
Criteria
Deliver training and skills development that will help Victorians get and keep jobs
Support the financial sustainability of TAFE institutes now and in the future
Build capacity to better alignment and/or growth of courses in areas of local industry and
community needs, including in the six key growth sectors identified in the Back to Work
Plan, and to eligible employees for the Back to Work Scheme
Forecast number of apprentice and trainee commencements
Expected benefits relative to costs, quantified where possible and timing for when they will
be realised
Readiness of the project
The quality of supporting evidence and likely employment targets will be a key consideration in
assessing each proposal.
Assessment Team
The assessment team will:
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Request further information from applicants if required
Make comparative assessments of projects
Present a shortlist of applications and accompanying advice to the Minister for Training and
Skills on the relative merits of the submissions received.
The Department of Education and Training will be responsible for:
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administration of the fund
negotiating, monitoring and managing the funding agreements for successful projects.
Reporting requirements for successful applications
TAFE institutes approved for funding will be required to report against the requirements detailed in the
assessment criteria as well as any other agreed output and outcomes indicators and measures for
each of the successful projects
The TAFE Back to Work Fund Evaluation Plan will provide guidance on process and outcomes
measures.
Where appropriate, the Department of Education and Training will use existing reporting mechanisms
to monitor progress of grants.
Sending applications
The closing time and date for submission of applications is 5pm, Monday 27 April 2015.
Applications should be submitted electronically at the following email address:
TAFE.funding@edumail.vic.gov.au.
Key dates
The following table outlines the anticipated timeline for the program. The Department of Education
and Training reserves the right to invite applications after applications close.
Date
Steps
24 March 2015
27 April 2015
late April to early May
2015
mid to late May 2015
Guidelines are released/applications open
Closing date for applications
Assessment and recommendation to Government
30 June 2015 and
beyond
Successful projects announced
Funding agreements signed and grant payments made
Monitoring of implementation of projects, including tracking
of project-level process and outcome measures and final
evaluation of Fund.
Contact us
All questions and applications should be directed to the TAFE funding email:
TAFE.funding@edumail.vic.gov.au.