WARNING:
This Digest is prepared for debate. It reflects the legislation as
introduced and does not canvass subsequent amendments.
This Digest was available from 2 August 1996.
CONTENTS
Employment, Education and Training Amendment Bill
1996
Date Introduced: 27 June 1996
House: Senate
Portfolio: Employment, Education, Training and
Youth Affairs
Commencement: Royal Assent
To abolish the:
- National Board of Employment, Education and Training;
- Schools Council;
- Employment and Skills Council; and
- Australian Language and Literacy Council.
Origin of NBEET
In October 1987 the then Minister for Employment, Education and
Training (Mr Dawkins) announced that there would be a
rationalisation of advisory structures in his portfolio. He argued
that the creation of the department had brought together an array
of advisory bodies and program arrangements that were over-lapping
and inappropriate. The changes followed a Task Force report under
Mr Charles Halton.
The structure and functions of the National Board of Employment,
Education and Training (NBEET) would appear to have been, in part,
a reaction to the experience of Governments with both the Schools
Commission and the Tertiary Education Commission (TEC). These
bodies were different from NBEET in several important ways:
- their membership was largely representative of the sectors they
dealt with;
- they were responsible for program administration and thus had
larger staffs and a greater capacity to set their own research and
reporting agendas;
- the statutory conditions under which they operated also gave
them greater scope for independent action.
These characteristics were seen as positive by education bodies
and their absence was criticised when the NBEET was established.
However, the perspective of Government was somewhat different.
Ministers were concerned to receive advice that had some utility in
policy terms: this generally meant that the financial implications
of the advice did not conflict with the overall Budget strategy. In
the mid 1970s both Labor and Liberal Governments felt it necessary
to issue the education commissions with guidelines stipulating the
overall level of expenditure available for their programs and
indicating the broader policy objectives they wished to pursue.
It soon became apparent that if Governments were to define the
scope of the major programs (ie. the general recurrent grants) in
the annual guidelines, then there was little to be gained by having
these programs administered by statutory authority. In September
1985 the responsibility for the general recurrent and capital
grants programs was transferred from the Schools Commission to the
Department.
In higher education, the abolition of the TEC and the creation
of the Unified National System made institutional funding a direct
Ministerial responsibility, and established a structure to ensure
that institutions were responsive to policy guidelines (the
'education profiles' process). Under this process, individual
institutions negotiate agreements with the Department which form
the basis for their funding. These agreements must be approved by
the Minister.
The new system was open to the charge that it could be subject
to political manipulation and a lack of accountability. Unlike
Commonwealth funding for schools, which is governed by known
formulae and public processes, grants for higher education
institutions were to be determined largely in confidential
negotiations without the benefit of fixed arithmetic criteria. To
safeguard against possible abuse of this process the Senate amended
the Employment, Education and Training Act 1988 to require
the Higher Education Council to report annually on the operation of
the education profiles process after consulting with
institutions.
Structure of NBEET
The new advisory arrangements were established by the
Employment, Education and Training Act 1988. Their
essential features were as follows:
- a National Board to report directly to the Minister on all
related employment, education and training issues taking into
account any written directions or guidelines from the Minister on
the Government's broad social, economic and budgetary
policies;
- four Advisory Councils reporting to the Board (the Schools
Council, Higher Education Council, Employment and Skills Formation
Council and the Australian Research Council).
- unlike previous Commissions, the new Board to have no
responsibility for program delivery, which was to be left to the
Department.
- the Board and Councils' main focus to be the preparation of
responses to specific inquiries from the Minister. The Board and
Councils can initiate work on their own motion, but only if such
work did not interfere with Ministerial requests.
- a community-based membership of the Board and Councils.
- the Board could refer matters to the specialist Councils for
the preparation of draft advice, but the Board was responsible for
drawing together and integrating the operations and advice of the
Councils.
- the position of the Australian Research Council was somewhat
different to that of the other Councils. It makes direct
recommendations to the Minister on the allocation of funds for
Commonwealth research support programs, as well as providing policy
advice on the same basis as the other Councils (ie. through the
Board).
The Employment, Education and Training Amendment Act
1995 added the Australian Language and Literacy Council to the
NBEET structure. This body had been operating as a Committee of the
Board for several years. Another body within the NBEET umbrella,
the Australian International Education Foundation Council, is not a
statutory Council but remains a Committee of the Board established
under Part IV of the Act.
Funding and Staffing
NBEET is currently funded under Division 222 of
Appropriation Act (No.1) 1995-96. Its appropriation for
running costs in 1995-96 is $5.949m. According to the Portfolio
Budget Statements, its 1995-96 running costs can be broken down
into $3.113m for salaries and $2.846 for non-salary costs. Its
estimated staffing for 1995-96 was 50.7 Staff Years.
Of the terms of the twelve current members of the Board, eight
expire before the end of 1996, three expire in 1997 and one at the
end of 1998. Of the terms of Council members, 29 expire in 1996, 12
in 1997 and 13 in 1998.
Abolition of NBEET
This Bill fulfils the commitment made in the Government's Higher
Education Election Policy which stated that it would wind up the
NBEET, while maintaining the Higher Education Council as an
independent body reporting directly to the Minister. The Australian
Research Council was also to be restructured as an independent
body.
Amendments to the Employment, Education and Training
Act 1988
Item 7 of Schedule 1 of the Bill
repeals Part II of the Employment, Education
and Training Act 1988 (the Principal Act). The effect of the
repeal is to abolish the National Board of Employment, Education
and Training (NBEET).
Note: Currently, Part II of the Principal Act contains
provisions providing for the establishment, functions, powers,
constitution and meetings of NBEET.
Item 8 of Schedule 1 of the Bill
repeals paragraphs 23(a), (c) and (e) of the
Principal Act. The effect of the repeals is to abolish the Schools
Council, Employment and Skills Council and Australian Language and
Literacy Council.
Note: Currently section 23 of the Principal Act provides
for the establishment of the Schools Council, Higher Education
Council, Employment and Skills Council, Australian Research Council
and Australian Language and Literacy Council.
Item 9 of Schedule 1 of the Bill
repeals section 24 of the Principal Act. Section
24 of the Principal Act lists the functions of the Schools
Council.
Item 10 of Schedule 1 of the Bill substitutes a
new paragraph 25(1)(a) in the Principal Act which
makes it a function of the Higher Education Council to inquire into
and provide information and advice to the Minister on:
- any matter relating to higher education referred to it by the
Minister; or
- any other matter that may reasonably be required by the
Minister in conjunction with such information or advice.
Note: Section 25 of the Principal Act provides the
functions of the Higher Education Council. Currently, paragraph
25(1)(a) makes it a function of the Higher Education Council to
inquire into and provide information and advice to NBEET on any
matter referred to it by the Minister or NBEET relating to higher
education and in particular:
- the general development of higher education in Australia;
- the marketing overseas of higher education programs developed
in Australia;
- the establishment of the priorities to be given in dealing with
the needs of higher education institutions and other institutions
providing higher education;
- the funding, planning and implementation of programs aimed at
meeting such priorities referred to above as have been, or may be,
established;
- the granting of financial assistance by the Commonwealth for
higher education institutions and other institutions offering
higher education; or
- any other matter that may reasonably be required by the
Minister or NBEET in conjunction with such information or
advice.
New paragraphs 25(1)(e), (f) and (g) are
inserted in the Principal Act by item 15 of Schedule
1 which accord the Higher Education Council the functions
of
- preparing reports for the Minister under section 30 (see item
32 below);
- publishing , or arranging for publication of reports, papers
and periodicals on matters dealt with by the Higher Education
Council in performing its functions; and
- collecting, assessing and disseminating information on matters
dealt with by the Higher Education Council in performing its
functions and promoting and assisting in the collection, assessment
and dissemination of such information.
Note: Proposed paragraphs 25(1)(e), (f) and (g) are akin
to paragraphs 7(1)(c), (d) and (e) of the Principal Act which
impose similar functions on NBEET. Paragraphs 7(1)(c), (d) and (e)
are being repealed by item 7 of Schedule 1 of this Bill.
Item 17 of Schedule 1 of the Bill substitutes a
new subsection 25(3) in the Principal Act which
requires the Minister to table in Parliament reports of the Higher
Education Council on Commonwealth priorities in higher education,
the Higher Education Contribution Scheme and education
profiles.
Note: Currently, subsection 25(3) of the Principal Act
requires NBEET to provide the Minister with Higher Education
Council reports on Commonwealth priorities in higher education, the
Higher Education Contribution Scheme and education profiles, who in
turn must table those reports in the Parliament.
Item 18 of Schedule 1 inserts a new
subsection 25(4) in the Principal Act which lists specific
matters which may be referred to the Higher Education Council by
the Minister. Matters which may be referred to the Higher Education
Council include:
- the general development of higher education in Australia;
- the granting of Commonwealth financial assistance for higher
education institutions;
- the provision of assistance for persons have difficulty in
obtaining higher education;
- the creation and development of educational materials and
curricula;
- the overall allocation of financial assistance by the
Commonwealth for higher education; and
- the promotion of public debate on higher education through
involvement of employers, trade unions and the community.
Item 19 of Schedule 1 of the Bill
repeals section 26 of the Principal Act.
Currently, section 26 of the Principal Act lists the functions of
the Employment and Skills Council.
Item 22 of Schedule 1 of the Bill substitutes a
new paragraph 27(1)(b) in the Principal Act which
makes it a function of the Australian Research Council to inquire
into and provide information and advice to the Minister on:
- any matter relating to national research priorities or the
coordination of research policy referred to it by the Minister;
or
- any other matter that may reasonably be required by the
Minister in conjunction with such information or advice.
Note: Section 27 of the Principal Act provides the
functions of the Australian Research Council. Currently, paragraph
27(1)(b) makes it a function of the Australian Research Council to
inquire into and provide information and advice to NBEET on any
matter referred to it by the Minister or NBEET relating to national
research priorities or the coordination of research policy and in
particular:
- the support to be given to fundamental research and research
that will contribute directly to the economic or social development
of Australia;
- the development and implementation of research programs, or the
establishment and maintenance of special research centres or key
centres of teaching and research, by institutions and funds to
achieve an appropriate concentration of research effort in
institutions ;
- measures aimed at enhancing the training of research
personnel;
- measures aimed at improving interaction among the higher
education sector, private research sector, government research
sector and industrial sector; or
- any other matter that may reasonably be required by the
Minister or NBEET in conjunction with such information or
advice.
New paragraphs 27(1)(d), (e) and (f) are
inserted in the Principal Act by item 24 of Schedule
1 which accord the Australian Research Council the
functions of
- preparing reports for the Minister under section 30 (see item
32 below);
- publishing , or arranging for publication of reports, papers
and periodicals on matters dealt with by the Australian Research
Council in performing its functions; and
- collecting, assessing and disseminating information on matters
dealt with by the Australian Research Council in performing its
functions and promoting and assisting in the collection, assessment
and dissemination of such information.
Note: Proposed paragraphs 27(1)(d), (e) and (f) are akin
to paragraphs 7(1)(c), (d) and (e) of the Principal Act which
impose similar functions on NBEET. Paragraphs 7(1)(c), (d) and (e)
are being repealed by item 7 of Schedule 1 of this Bill.
Item 26 of Schedule 1 inserts a new
subsection 27(4) in the Principal Act which lists specific
matters which may be referred to the Australian Research Council by
the Minister. Matters which may be referred to the Australian
Research Council include:
- the support to be given to fundamental research and research
that will contribute directly to the economic or social development
of Australia;
- measures aimed at improving interaction among the higher
education sector, the private research sector, the government
research sector and the industrial sector;
- the identification of areas in which research should be carried
out as a matter of priority;
- the identification of areas of research that will contribute
directly to the economic or social development of Australia;
and
- policies relating to the grant of scholarships, fellowships and
other research grants under schemes administered by the
Minister.
Item 27 of Schedule 1 of the Bill
repeals section 27A of the Principal Act.
Currently, section 27A of the Principal Act lists the functions of
the Australian Language and Literacy Council.
A new section 28 is substituted in the
Principal Act by item 28 of Schedule 1 of the
Bill. Proposed section 28 provides that where the Higher Education
Council and the Australian Research Council are both required to
provide information or advice to the Minister on a matter referred
to it by the Minister, they may co-operate in providing that
information or advice.
Note: Currently, section 28 of the Principal Act provides
that where two or more Councils are required to provide information
to NBEET on a matter that has been referred to it by the Minister
or NBEET, they may co-operate in providing that information or
advice.
Item 31 of Schedule 1 of the Bill inserts a
new subsection 29(3A) in the Principal Act which
requires the Minister to table in Parliament any directions or
guidelines given by him/her to the Higher Education Council and
Australian Research Council.
Note: Currently, section 29 of the Principal Act accords
NBEET power to give Councils directions or furnish guidelines with
respect to the performance of their functions. This power is being
transferred to the Minister by item 29 of Schedule 1 of this
Bill.
A new section 30, dealing with Higher Education
Council and Australian Research Council reports, is substituted in
the Principal Act by item 32 of Schedule 1 of the
Bill. Proposed subsection 30(1) requires the Higher Education
Council and Australian Research Council to prepare and give the
Minister, each financial year, a report on their operations. A
report must include matters referred to a Council by the Minister
and matters in relation to which they gave information and advice
to the Minister on its own motion [proposed subsection 30(2)]. A
Council must also provide such reports on the performance of their
functions as the Minister requires and such other reports as the
Council thinks fit [proposed subsection 30(3)]. Proposed subsection
30(4) requires Councils to provide the Minister, where directed by
the Minister, with reports on matters referred to them by the
Minister. The Minister must table a copy of each Council report in
the Parliament [proposed subsection 30(5)].
Note: Currently, section 30 of the Principal Act requires
NBEET, where a Council gives it advice, to provide the Minister
with a copy of the advice, or if NBEET considers it appropriate, a
summary of the advice, together with comments in respect of the
advice. The Minister is required to table a copy of each advice or
summary in the Parliament.
Item 34 of Schedule 1 substitutes a new
subsection 32(3) in the Principal Act which accords the
Minister power to appoint an Australian public servant to be a
member of a Council where he/she believes it would be to a
Council's advantage.
Note: Section 32 of the Principal Act deals with the
membership of a Council. Currently, subsection 32(3) provides that
where NBEET believes it would be to the advantage of a Council to
have as a member an Australian public servant, it may request the
Minister to appoint such a person. The Minister is accorded power
to appoint such a person, or any person who from time to time holds
a particular office, or performs particular duties, in the
Australian Public Service.
Item 36 of Schedule 1 substitutes a new
section 36 in the Principal Act which accords the Minister
power to establish committees to assist either or both the Higher
Education Council or the Australian Research Council in carrying
out their functions in relation to such matters as the Minister
approves. The Minister is also accorded the power to dissolve a
committee at any time.
Note: Currently, section 36 of the Principal Act provides
that the Minister may, where requested to by NBEET, establish a
committee to assist: NBEET; such Councils as are requested; or
NBEET and such Councils as requested; in carrying out its functions
or their functions in relation to such matters as the Minister
approves. The Minister may at any time, of his/her own accord or at
the request of NBEET, dissolve a committee.
A new subsection 37(1) is substituted in the
Principal Act by item 37 of Schedule 1 of the Bill
which accords Councils power to appoint, subject to Ministerial
approval, committee members.
Note: Currently, subsection 37(1) accords NBEET power,
subject to Ministerial approval, to appoint committee members.
A new section 38, dealing with the functions of
committees, is substituted in the Principal Act by Item 40
of Schedule 1 of the Bill. Proposed section 38 provides
that the functions of a committee set up to assist either or both
Council with any matter is to make such inquiries and give such
reports on that matter as the Council/s require. Proposed section
38 also accords the Minister power, after consulting with the
Chairperson/s of a Council/s, to specify other functions of a
committee.
Note: Currently, section 38 provides that the functions
of a committee set up to assist one or more Council in connection
with any matter are to make such inquiries and give such reports on
that matter
Item 44 of Schedule 1 of the Bill inserts a
new subsection 55(4) in the Principal which
provides the Minister with power to resolve any conflict between
any policies determined, and any directions given to the Director
by the Councils under subsection 55(3).
Note: Currently, section 55 of the Principal Act provides
for the appointment of a Director who has responsibility for
providing administrative services to assist NBEET and the Council
perform their functions. The Director is an Australian Public
Service employee appointed by the Secretary of the Department of
Employment, Education Training after consulting with the
Chairperson of NBEET. Subsection 55(3) provides that the Director,
in discharging his/her duties, must act in accordance with any
policies determined, and directions given, by NBEET. References to
NBEET in section 55 are being replaced by references to a Council/s
by this Bill.
Dr. K. Jackson Ph. 06 277 2416
Ian Ireland Ph. 06 277 2438
31 July 1996
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ISSN 1323-9032
© Commonwealth of Australia 1996
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1996.
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Last updated: 5 August 1996
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