Standing Committee on Employment, Education 
        and Workplace Relations 
      
      This document has been scanned from the original printed submission. 
        It may contain some errors
		
      
Submission 96
      Submission of the Australian Education Union to the House of Representatives 
        Committee on Employment, Education and Training and Youth Affairs Inquiry 
        into the role of TAFE Institutes in Australia and the overlap with Universities
       February 1998
      Sharon Burrow
        Federal President
      Rex Hewett
        Federal TAFE Secretary
      Australian Education Union 
        Ground Floor 120 Clarendon Street Southbank 3006 9
        PO Box 1158 South Melbourne 3205
      Telephone: 61 3 9254 1800
        Facsimile: 61 3 9254 1805
      SUBMISSION TO THE HOUSE OF REPRESENTATIVES COMMITTEE ON
      EMPLOYMENT EDUCATION TRAINING AND YOUTH AFFAIRS INQUIRY INTO
      THE ROLE OF TAFE INSTITUTES IN AUSTRALIA AND THE OVERLAP WITH
      UNIVERSITIES.
      'we should be immensely proud of our TAFE system (as) it is the best, 
        most flourishing TAFE system in the world'.
       Learning For Life, 1997
      
        1. Introduction
        The Australian Education Union (AEU) represents 
          teaching and education related staff employed in TAFE Institutes/Colleges 
          in all States and Territories in Australia. The AEU also represents 
          teachers and related staff in public schools participating in TAFE/VET 
          programs in the senior years of secondary schooling. The AEU is Australias 
          largest union exclusively organised in the public education and training 
          sector and is concerned to ensure that its members are full participants 
          in decisions about the future role and structure of the education industry.
        This submission represents AEU views on broad public 
          policy issues as well as matters that are the subject of particular 
          relevance to union members in the TAFE sector. While the AEU does not 
          claim to speak on behalf of TAFE students the key issues addressed in 
          this submission are directly related to membership and union concerns 
          for students interests.
        It is a significant failure of governments that the voice of TAFE 
          students to this inquiry is limited by the lack of government funding 
          for the development of representative TAFE student organisations.
        The major unions in the post compulsory education 
          sector, including the National Tertiary Education Union (NTEU) are committed 
          to the maintenance and strengthening of the public system of TAFE and 
          to the retention by government of responsibility for planning, funding 
          and accountability provisions for all TAFE institutions.
        2. TAFE: A System of Institutes or an institution of Systems
        Fundamental to the access of existing and future students to quality 
          vocational education and training is the continued commitment of government 
          to fund a consistent, flexible and diverse TAFE system which delivers 
          portable national qualifications.
        Historically TAFE Institutes (and their predecessor 
          organisations) have been funded and regulated by State and Territory 
          Governments with the Commonwealth Government a relative late comer to 
          the funding of vocational education and training. After a landmark report 
          (Kangan Report 1976) the Commonwealth provided significant capital grants 
          to upgrade the TAFE system including expansion of the TAFE network of 
          Colleges through almost $4,000 million in capital grants over the last 
          20 years. To a lesser extent the Commonwealth funded some targeted recurrent 
          programs.
        Up until the early 1990's there was almost no all government agreement 
          to a nationally consistent system of qualifications and its constituent 
          components. Nor was there a commitment to a nationally consistent training 
          provider registration/recognition system.
        The agreement to establish the Australian National 
          Training Authority (ANTA) in 1992 was the first cooperative all government 
          commitment to develop a national system of vocational education and 
          training out of 8 separate State and Territory TAFE systems. It represented 
          the first step in the development of a system of TAFE institutes/colleges 
          that formed the major part of a national strategy for the VET system. 
          A system of TAFE institutes rather than a institution of TAFE systems.
        Under the ANTA agreement development of a National 
          Strategy for Vocational Education and Training involved a commitment 
          by all governments to the development of an integrated but flexible 
          system of portable qualifications based on industry and occupational 
          competency standards delivered by quality registered public training 
          providers articulating with, but independent of, other post compulsory 
          education institutions.
        The AEU supports the development of a system of 
          publicly funded but integrated TAFE Institutes capable of delivering 
          quality VET programs to all its constituent groups taking account of 
          differences including ethnicity, physical location, access requirements, 
          mode of delivery, student demography and operational structures best 
          suited to the particular environment of the sector.
        Consistent with these developments the AEU supports 
          nationally consistent arrangements for TAFE Institute staff and opposes 
          downward benchmarking. In particular the AEU opposes the deliberate 
          distortion in statistics used by ANTA when benchmarking other states 
          against Victoria because Victorian TAFE staff have not received a salary 
          increase for 7 years while their colleagues in other states now received 
          up to 20% more for similar work.
        3. TAFE Clients
        The system of vocational education and training (VET) consists of 
          private and public provision with TAFE delivering 92% of government 
          funded vocational education programs.
        The bulk of the 1.35 million students enrolling 
          in VET programs each year in Australia are conducted by 84 TAFE Institutes 
          but includes a growing number of private providers and Adult and Community 
          Education colleges (see 1996 NCVER Vocational Education and Training 
          Statistics).
        TAFE Institutes provide programs to a diverse range 
          of students from industry and the community, for disadvantaged groups 
          and as part of a public service which benefits the unemployed, those 
          in employment and those seeking to enhance their existing skills and 
          qualifications through life.
        By any social, economic, income, age, gender, ethnicity 
          or geographic measure the TAFE student population more closely resembles 
          a cross section of Australia's multicultural society than any other 
          sector of education and provides access to training opportunities for 
          all disadvantaged groups.
        As an indication of the breadth of the TAFE students 
          population they include the unemployed or those not in the labour force 
          (22%), pensioners (5%), disabled people (3.1%), Aboriginals (2%), people 
          born outside Australia (16%), foreign language speakers (10%), those 
          undertaking courses in rural or remote areas and the 325,000 students 
          undertaking basic employment skills courses (see 1996 NCVER Vocational 
          Education and Training Statistics).
        As clients of TAFE Institutes students seem to be 
          generally satisfied with the education they receive from their local 
          TAFE Institute. Evidence from surveys of client groups show strong support 
          for the work of TAFE teachers and a high overall level of client satisfaction 
          with TAFE provision. The Australian Bureau of Statistics (ABS) found 
          that 80% of TAFE graduates achieved their main aim in undertaking their 
          course and 78% indicated that the TAFE course was relevant to their 
          job (ABS, 1995:2-1 0).
        A National Employer Satisfaction Survey conducted 
          in 1996 by AGB McNair found that 75% of employers thought that the skills 
          acquired were relevant to the needs of their Organisation. Almost 73% 
          said that the training was cost effective and two-thirds thought that 
          training resulted in productivity gains for their Organisation (AGB 
          McNair, 1996: 5-27).
        4. Access and Equity
        TAFE has provided access to further education for people who for 
          a number of reasons have not had access to university or who have low 
          skills as a result of interrupted or incomplete schooling.
        For example, an increasing number of women returning to the workforce 
          time away from it find completion of a TAFE course the initial step 
          in gaining employment or in changing their employment status.
        TAFE has been crucial to Aboriginal and Torres Strait 
          Islander (ATSI) communities and individuals by providing access to further 
          education and training. In 1996, Ms Linda Burney, former Chair of the 
          Aboriginal and Torres Strait Islander Peoples' Training Advisory Council 
          stressed the importance of TAFE for Aboriginal and Torres Strait Islander 
          people:
        "If there was ever an activity which illustrates 
          the need to bring access and equity to indigenous people, then the present 
          National Inquiry into the removal of Aboriginal Children (being held 
          in Sydney) does this. Many of these children were forcibly removed or 
          taken away on the pretext of training. In 1909 NSW used the term indentured 
          labour and young girls were used as domestic servants and never saw 
          any wages. Some training!
        Indigenous people carry this legacy. I'm a very strong supporter 
          of TAFE. It has provided real opportunities in NSW to gain training. 
          Aboriginal people are well represented in TAFE across Australia.
        I think there is a real danger in the current political climate 
          that indigenous people will be left behind It is interesting to note 
          that 50% of Aborigines are under the age of 20. They will need skills, 
          training and access ".
        People with disabilities, long term unemployed people, people in 
          custody, retrenched workers undertaking retraining and people in remote 
          and rural communities have also gained opportunities through undertaking 
          education and training in TAFE .
        Experience has shown us that access and equity into 
          vocational education and training is best achieved through public provision. 
          Expertise in delivery of vocational education and training to disadvantaged 
          groups is a feature in TAFE Institutes. There is little evidence that 
          private training providers have any expertise, any interest or feel 
          any responsibility for disadvantaged groups seeking training.
        Barnett and Wilson in 'Separate Responsibilities, A Comparative, 
          Equity - Focused Study of Commercial and Community Providers' (1995) 
          found:
          
        
'At present, access and equity programs are the responsibility of 
          public sector agencies and agencies (such as community organisations) 
          which are funded by them. The degree to which private sector training 
          providers regard access and equity issues as central or peripheral to 
          their operations, and the degree of accountability which they feel for 
          the pursuit of access and equity issues, is not known.
        Given the need to provide training on a for-profit 
          basis, it is unlikely that commercial providers will actively pursue 
          access and equity goals, especially when their pursuit constitutes a 
          cost to their operation and their need to function in a competitive 
          manner. "
        Barnett and Wilson, in comparing equity-focused provisions made 
          by commercial and community providers with TAFE providers, also found 
          that:
        "While there is a considerable variation from 
          one TAFE system to another, and from one TAFE college to another in 
          terms of provisions made for equity, the TAFE training sector and the 
          private training sector are clearly distinguished by the level of responsibility 
          assigned to each for access and equity issues. The TAFE sector is guided 
          by a range of policies designed to address inequities".
        Research which has been undertaken on the factors 
          which affect peoples' participation in further education and training 
          has shown that there are a number of "barriers" to participation 
          including lack of employment status, location, lack of income support, 
          lack of previous experience in education and training, and limited access 
          to support such as child care facilities.
        In "Some Can, Some Can't", Kate Barnett (I 994) found 
          that the combined effect of these factors can be disastrous:
          
        
"Barriers to participation in TAFE can be singular 
          in their impact on individual students, but the force of this is usually 
          driven by their interaction with other inhibiting factors. People of 
          non-English-speaking backgrounds will face a host of linguistic and 
          cultural barriers to their participation in TAFE, but these factors 
          are increasingly powerful if they interact with other barriers -for 
          example, living in an isolated rural area. People with disabilities 
          are likely to face a number of access difficulties in undertaking studies 
          at TAFE and these are compounded by a lack of special support facilities 
          or inflexible course structure. "
        Their are more than 1,132 TAFE campuses around Australia creating 
          the opportunity for access to training for remote and rural people on 
          a scale not available elsewhere in the post compulsory education sector.
        5. Industry and Workforce Training
        A major focus of recent developments in the changing 
          role of TAFE Institutes is the relationship to industry and workforce 
          training. The move towards greater emphasis on workplace delivery rather 
          than simulation has demanded a different relationship with industry. 
          Industry representatives are determining the fundamental elements of 
          the training system. However individual firms and businesses rely on 
          the flexibility of TAFE Institutes to develop customised curriculum 
          to suit their training needs consistent with national standards.
        Some of these clients are able to pay for training 
          and others not. Over the last 8 years the restructured national TAFE 
          system has successfully adapted to commercialism and competitive practices, 
          met the diverse training needs of industry and enterprises and participated 
          successfully in delivering vocational education and training in international 
          markets, particularly in the Asia Pacific region;
        The costs of vocational education are a significant factor in its 
          availability particularly when considering access issues. TAFE Institutes 
          are well equipped because of their unique connections with industry 
          to deal with these range of needs.
        It is worth noting that recently released results 
          of the national survey Employer training expenditure survey Australia 
          shows a significant decline in structured training since 1993 (NCVER: 
          1997). This is the period during which the Training Levy legislation 
          requirements were suspended.
        Average expenditure per employee fell by 3% between 
          1993 and 1996. The average number of hours of structured training to 
          each employee fell by some I 1%. The most disturbing feature of the 
          figures is that fewer than 18% of all employers provided structured 
          training to their employees in 1996, a fall of some 20% from 1993.
        Industry relies on publicly funded TAFE Institutes to undertake 
          a significant if not all of the training for small to medium firms. 
          An adequately funded TAFE has the potential to 'skill the nation'.
        This requires governments at all levels to developing a national 
          plan for TAFE as part of post secondary public education provision, 
          a plan that satisfies the needs of all TAFE clients while ensuring the 
          continued development of TAFE Institutes vast human and physical resources.
        6. A National Plan for TAFE
        The network of 84 TAFE Institutes operate as a system 
          of publicly owned enterprises whose responsibility is to deliver vocational 
          education and training programs and services that satisfy industry and 
          community client expectations and contribute to the social and economic 
          development of Australia.
        Governments have an obligation to fund infrastructure, equipment 
          and staff for a system of public TAFE Institutes because:
          
        
          - the opportunities to achieve economies of scale are not possible 
            with smaller training providers and there are sometimes high capital 
            costs associated with some courses;
- there is an ongoing need to provide and deliver training which 
            is uneconomical to provide on a privately funded basis in order to 
            contribute to the national skills pool;
- there is a need to ensure stability in the provision of training 
            given the cyclical nature of industry commitment to training and the 
            changing nature of the demand for skills and occupations in the labour 
            market;
- assessment of workers skills is a core industrial relations issue 
            and TAFE is seen as an independent/objective trainer and assessor;
- customers of the VET system need high quality system information 
            about trainingoptions;
- partnerships and TAFE/industry collaboration provide better vocational 
            education outcomes for students than 'dead end' training options in 
            a deregulated market;
        The essential elements of a healthy national TAFE system are: 
        
          - an independent relationship from both schools and higher education 
            institutions while maintaining close links through credit transfer 
            and articulation arrangements
- a nationally coherent system of TAFE Institutes informed by all 
            stakeholders including government, industry and community clients, 
            teachers and general staff
- single source of government funding based on triennial grants
- quality student demand driven system
- a regulated qualifications system underpinned by national curriculum 
            that meets the vocational education and training needs of governments, 
            industry, individuals and the broader community in flexible and student 
            centred ways.
      
      
In carrying out its role the government should ensure 
        curriculum and career choices for post compulsory education students. 
        These choices should be based on a commitment that academic and vocational 
        education are integrated through coherent sequences of programs so that 
        students achieve both academic and occupational competencies. Leaving 
        curriculum decisions solely in the hands of industry may lead to vocational 
        preparation for narrow, task specific skills with little in the way of 
        broad based, general and specific skills for a life of career or occupational 
        changes.
      Institutional relationships providing these curriculum and educational 
        choices vary between educational sectors, geographic regions and the nature 
        of the industry or occupations these institutions seek to serve.
      7. The Post Compulsory Education Sector
      The post compulsory education sector is diverse and 
        consists of Schools (mainly senior secondary schools), Technical and Further 
        Education (TAFE), Higher Education, Adult Migrant Education Service (AMES), 
        Adult and Community Education (ACE) and about 3,000 small private training 
        providers. Many AMES programs are delivered through TAFE Institutes.
      Over the last few years the intersectoral relationships have been 
        enhanced because of the growth and diversity of occupational skill needs 
        of an increasingly more mobile workforce both domestically and internationally.
      At the sectoral interface factors such as the adoption 
        of a national system of qualifications (AQF) with overlapping qualifications 
        offered by schools, TAFE and universities and the tendering/contracting 
        out of public funds in the VET sector have blurred previously clearly 
        defined barriers.
      Most TAFE and Higher Education institutions have articulated pathways 
        and credit transfer arrangements although these are not nationally consistent 
        (see ANTA response to Learning For Life, 1997).
      Improvements in articulation of qualification between TAFE and universities 
        and vice versa should not be mistaken for the significant differences 
        in:
       7.1 funding arrangements
        7.2 student fees
        7.3 demography and student access
        7.4 employment outcomes of students
        7.5 teaching and delivery methods
        7.6 nature of the relationship to industry and community
        
      
      
The following comments reflect some differences identified by the 
        AEU between the TAFE and Higher Education systems.
      7.1 Funding
      The primary public funding for TAFE comes from the 
        states although in recent years the Commonwealth has increased its commitment 
        to 30 % of total public funding of TAFE while the Commonwealth provides 
        all public funding for the universities. The table below shows total income 
        to both sectors.
       
        
           
            | Source | Higher Ed. | % | VET | % | 
          
            |  | 
          
            | Government Contribution | 4,411,780 | 58.5 | 2,777,736 | 81.6 | 
          
            | Fee for Service |  | 308,210 | 9.1 | 
          
            | Student Fees and Charges880,403 | 11.8 | 145,587 | 4.2 | 
          
            | HECS | 902,046 | 12.0 | 
 
          
            | Ancillary Trading and | 
          
            | other Donations and Bequests | 85,304 | 1.1 | 172,657 | 5.1 | 
            | Investment Income | 305,042 | 4.0 | 
          
          
            | Other Income | 951,146 | 12.6 | 
          
            |  | 
          
            | Total | 7,535,721 | 100.0 | 3,404,190 | 100.0 | 
        
        Source: DEETYA, Selected Higher Education Financial Statistics 1995; 
          ACVETS, Collection of National Financial Data on Vocational Education 
          and Training.
      
       
      The TAFE/VET sector depends more on public funding 
        than universities as the table for expenditure in 1995 indicates. This 
        is mainly due to the effect of HECS and other student fees and charges 
        (24%) and 'other' income consisting mainly of fee for service and consultancy 
        work in universities.
      If the external source of funding is deducted from 
        the total cost in each sector a TAFE place cost would be roughly equivalent 
        or in some cases more than a university place. As the West Review comments 
        public funding 'per full-time equivalent student for TAFE is, on average, 
        greater in absolute terms than that provided for higher education'.
      However this simplistic comparison does not take into 
        consideration the differences in the capacity of TAFE students to pay 
        fees, the relatively high cost of equipment and associated costs of a 
        widespread system of TAFE Institutes, the types of programs and nature 
        of delivery of these programs and the capacity to raise external funds.
      These differences between TAFE and universities in levels of non public 
        external funding should not diminish the commitment of government to the 
        TAFE system and highlights the need for adequate public funding levels 
        for TAFE Institutes.
      However policy makers in Victoria are pursuing a radical 
        restructuring of the post compulsory sector despite community opposition 
        to the restructuring. A 'seamless' system of post compulsory education 
        can be achieved without resort to the wholesale structural changes such 
        as occurred when Colleges of Advanced Education (CAE) and universities 
        amalgamated.
      The higher level of public funding per student place 
        for TAFE compared with universities may be behind the actions of the Victorian 
        Government in forcing certain TAFE Institute/University amalgamations. 
        The relative higher public TAFE funds could be used to fund higher education 
        courses at the expense of entry level vocational courses or courses at 
        sub degree level.
      Forced structural reforms whose main objective is economic efficiency 
        as is being proposed in Victoria will fail. There must be genuine agreement 
        of all parties involved including the staff and users of the system for 
        successful reform.
      Overseas experience seems to suggest that amalgamations of this type 
        eventually result in loss of lower level course offering and an increase 
        in higher level offerings to the detrement of people seeking entry level 
        vocational skills.
      7.2 Student Fees
      Because of the lower socioeconomic background and 
        level of qualifications of TAFE students their capacity to pay fees is 
        limited. The AEU is opposed to fees of any type however the suggestion 
        in 1997 by the then Minister for Employment, Education, Training and Youth 
        Affairs, Senator Amanda Vanstone, that a HECS type fee would be better 
        for TAFE students than the current level of up front charges is now condemned 
        by course of events.
      The HECS fee was introduced as a loans/deferred payments 
        scheme yet recent changes have distorted the original principle of HECS 
        so as to force many students in financial hoc for years longer than they 
        expected and require them to pay back fees at a lower income level than 
        originally specified.
      While the average TAFE fee constitutes about 10% of 
        the course cost, in universities HECS is around 40% of the cost of a course 
        but can be up to 80% of the cost depending on the type of course. The 
        HECS is likely to reduce access if introduced in TAFE and would be a barrier 
        to a seamless post-compulsory education sector.
      7.3 Demography of Students
      As has previously been stated the TAFE student population 
        is a diverse by background and location (I 996 NCVER TAFE Student Statistic). 
        Significantly many regional and remote campuses within TAFE Institutes 
        are the only form of post compulsory education facility accessible to 
        local communities.
      They represent an educational first point of call 
        for young people and a second chance education opportunity for adults 
        displaced in the workforce. Compared to the higher education sector the 
        incomes of these people are relatively lower and they are more likely 
        to be subject to precarious patterns of employment.
      But accessibility is only one measure of the TAFE 
        student group. Nearly equal percentages of university and TAFE students 
        are in full time employment however a larger number of TAFE students are 
        in casual or part time employment than university students. These students 
        require longer periods of access to TAFE teaching and learning facilities.
      The ANTA Board submission to the West Review Discussion Paper outlines 
        the differences in
      TAFE and university student characteristics including:
      
        - 70%of university students are admitted on the basis of year 12 
          results whereas 50% of TAFE students had not completed year 12
- 59%of university students are enrolled in full-time studies whereas 
          only 10% of TAFE students attend full-time
- More than 80% of university graduates are employed in professional 
          or para-professional occupations while 70% of TAFE graduates are employed 
          in operative or trade occupations.
      
Clearly the nature of the TAFE student population require a different 
        approach to meeting their needs.
      7.4 Employment Outcomes
      Because there is a more direct link between industry, 
        the workplace and the learning institution TAFE has achieved high levels 
        of employment outcomes for first time entrants to the workforce but it 
        has also provided employment outcomes for people displaced or skills mismatched 
        through industry restructuring or adjustment.
      Almost 75% of TAFE graduates are employed in the private sector while 
        in the university sector there is almost a 50/50 split of private and 
        public employment.
      In summary TAFE employment outcomes for TAFE graduates are in the 
        private sector employed as tradespersons, in clerical, sales and personal 
        and community worker occupations. The two sectors meet the needs of a 
        differing student population.
      If there is to be a commitment by governments to an entitlement to 
        post compulsory education then there also has to be guarantee of access 
        to a place in TAFE or a University.
      AEU policy seeks a commitment from government that all school leavers 
        unable to gain entry to a job or a university place be guaranteed a one 
        year full-time TAFE place.
      7.5 Teaching and Delivery
      The essential differences between university and TAFE 
        teaching is the more hands on approach of TAFE programs. University teachers 
        usually use a lecture theatre technique and tutorials with limited hands 
        on interaction. Both techniques have a role in educating the workforce 
        and the community.
      Recent developments in relation to competency based 
        training and the delivery of training in workplace settings based on industry 
        and occupational standards requires a different approach.
      The introduction of greater choice of training provider 
        by users and the increased competition for training funds has put new 
        demands on TAFE teachers and related staff. They now have to deliver what 
        the training consumer want at a time and in the way customised to met 
        that firm or persons needs in the most flexible way possible. Workplace 
        and flexible modes of delivery require a fundamentally different approach 
        and relationship to classroom teaching.
      There is now a clear delineation in the respective roles and responsibility 
        of TAFE teachers and university teachers.
      Universities engage in teaching and research while 
        TAFE Institutes have been almost exclusively involved in teaching. Teaching 
        and research are to a large extent interdependent in universities whereas 
        in TAFE research may be a byproduct and is usually related to a curriculum 
        need or an industry or workplace specific demand.
      Fundamental research has never been a requirement (nor have funds 
        been specifically allocated) in TAFE. Funds have been mainly focussed 
        on maintaining current teaching competence.
      Staff promotion in TAFE is not reliant on research 
        whereas teaching qualifications are critical to quality continuous teaching 
        performance and for career advancement. Ironically universities do not 
        require a teaching qualification but should have undertaken research and 
        published to gain promotion.
      7.6 The Relationship to Industry
      One of the major distinguishing features of the TAFE 
        system has been its strong partnership with industry and professional 
        associations in the development of vocational education and training. 
        The adoption of training reforms that centre on a competency based training 
        approach has been underpinned by the close involvement of industry in 
        setting standards for competent performance in the workplace. At the macro 
        level the development of industry policy and consequent labour market 
        reforms are a central consideration for TAFE Institutes in their relationship 
        with industry.
      While national standards have underpinned the CBT 
        system, curriculum customisation to suit individual needs of firms requires 
        even closer liaison with industry. This is in continuous development and 
        means that TAFE has to deal with a different set of industry relationships 
        to those of most universities.
      8. TAFE and the Future of Post-Compulsory Education
      In terms of student numbers, the TAFE/VET sector was twice the size 
        of the higher education sector in 1995, ie 1.35 million students in TAFE/VET 
        and 604,177 in Universities. The bulk of TAFE/VET students are enrolled 
        in shorter courses and attend on a part-time basis.
      The equivalent full-time students (EFTS) in VET in 
        1995 was 485,922 and in higher education was 467,748. Much lower costs 
        per students in VET mean that the VET sector is roughly half the size 
        of the higher education sector in terms of gross expenditure. The average 
        cost for a full-time student in higher education was $13,800 and in VET 
        $7,500.
      The movement of TAFE students to higher education 
        has increased substantially in recent years, as has the proportion of 
        TAFE graduates receiving credit for higher education entry. For example, 
        8,386 TAFE Diploma graduates entered universities in 1995 (whereas 3,153 
        entered in 1990) and 8.2 per cent of higher education students had a TAFE 
        award as their highest prior qualification in 1996 compared to 1.6 per 
        cent in 1992.
      A seamless qualifications articulation system seems 
        to be evolving within a limited structural change environment but because 
        of the multiple sources of involvement in terms of policy and operational 
        control over the TAFE/VET sector, confusion over respective roles of government 
        and post compulsory education institutions permeates the sector.
      Reflecting a lack of clear focus for TAFE the states 
        of NSW and SA recently restructured their TAFE systems to combine with 
        school education under one Department of Education. This is in stark contrast 
        to the Victorian Government decision to amalgamate some TAFE Institutes 
        with universities and all other states where TAFE is operates as a discreet 
        part of the VET sector.
      However the most fundamental changes for future relations within the 
        post compulsory education sector will be the extent to which governments 
        commit to deregulatory and competitive market policies.
      For example the restrictions imposed on TAFE provision 
        by the diversion in 1998 of up to $500 million of public funds to private 
        providers through so-called 'user choice' mechanism could severely hamper 
        the capacity of TAFE Institutes to find supplementary funds for community 
        service obligations provision and could lead to unnecessary duplication 
        of training facilities if public TAFE Institutes remain idle while private 
        training facilities are being built or rented.
      Competitive practices in TAFE have resulted in a gross distortion 
        in staffing arrangements so that now almost 50% of student contact hours 
        are delivered by short term contract or hourly paid teachers.
      All TAFE Institutes are now subject to competition from within the 
        private VET sector as well as from universities.
      While universities remain self accrediting bodies they maintain a 
        distinct advantage over other similar educational institutions. The Australian 
        Qualification Framework (AQF) provides the basis for sectoral integrity 
        but with unequal accreditation powers between the two sectors.
      The recent debate over including Associate Degrees in the Framework 
        highlighted this anomalous situation.
      The AEU believes that developments in the post compulsory education 
        sector should be planned and not left up to market forces. All stakeholders 
        should be consulted and the Commonwealth Government, as the major funding 
        source for the post compulsory education sector, is well placed to initiate 
        the development of an overall plan. -
      The planning process should ensure that government resources are not 
        duplication and that the discrete roles of the two sectors are maintained 
        and enhanced.
      The maintenance of a strong TAFE sector is critical to the needs of 
        the VET sector because TAFE provides over 90% of vocational education 
        program delivery and will continue to be a valuable public resource as 
        the ANTA response to the West Review indicated:
      
        - of all clients of VET, 70 per cent are enrolled in TAFE Institutes;
- of all module enrolments in vocational programs, 95 per cent are 
          in TAFE;
- eighty four TAFE institutes operate in 1,132 locations nationally;
- the replacement value of TAFE capital assets is estimated at over 
          $6 billion;
- in 1995, there were 26,200 (full-time equivalent) teaching staff 
          and 18,600 non-teaching staff across TAFE; and
- over 90 per cent of TAFE graduates did not have to move to attend 
          their course even though 39 per cent of graduates were located outside 
          a capital city.
Furthermore, the recent reforms to vocational education and training 
        would not have been possible without TAFE's ability to respond to new 
        policy influences.
      TAFE institutes are not only central to the operation of VET, they 
        represent a substantial, geographically spread, national asset. Its strengths 
        include:
      
        - a well recognised brand name;
- qualified teachers with experience in industry;
- establish capital stock; and
- the capacity to ensure stability in the provision of vocational 
          education and training against shifts in private purchase of training.
It is essential that this network of TAFE providers be maintained 
        and supported in a seamless system and that it continues to provide a 
        diverse range of VET products'.
      9. AEU Policy Issues
      The AEU believes in a diverse post compulsory education 
        system as currently structured. There is room for structural changes to 
        accommodate changing student, industry and community demands. Such changes 
        should be within an overall plan for the sector including a government 
        guarantees to ensure the survival and growth of healthy and effective 
        discrete TAFE and Higher Education systems.
      This should include development of-
      
        - a national system of funding for TAFE Institutes with guarantees 
          for core and
- growth funding on a triennial basis;
- a national plan for TAFE and Higher Education; national professional 
          standards for all TAFE staff, exemption from National Competition Policy;
- a guarantee that all school leavers unable to obtain a job on a 
          university place be entitled to one year full time place in TAFE;
The AEU would be willing to address this submission in Committee hearings 
        and has
      encouraged its Branches to make verbal submissions, in their own right.
      
        
      
Back to top