NSW Teachers Federation (NSWTF) TAFE organiser Kathy Nicholson has spoken out against the state government’s Smart and Skilled reforms that could see HECS-style study loans introduced for TAFE New England (TNE) students studying in 2015.
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NSWTF announced last week that TNE had already lost 30 teaching positions as a result of job cuts and Ms Nicholson said the regional training organisation could expect to lose more jobs before Christmas.
“TAFE are having to get out of some courses because they can’t afford to deliver them based on what the NSW government will fund them at,” she said.
“The NSW Baird government de-funded all fine arts programs in 2012, resulting in us losing every fine arts teacher out of TAFE in New England.”
Ms Nicholson said the rollout of Smart and Skilled reforms were closely aligned with the previous Victorian government’s training institution reforms and boded ill for TNE.
“It’s not good news for TAFE,” she said.
“In Victoria exactly this model led to TAFE now only having 27 per cent of market share and ultimately changed the government in Victoria.”
Under the proposed Smart and Skilled reforms, from 2015 course fees will be calculated for the sought after qualification as a whole. Government subsidies will be available for eligible students and VET FEE-HELP loans available for applicants seeking Diploma or Advanced Diploma qualifications.
Ms Nicholson said the introduction of study loans was bad news for students.
“These loans are really problematic because, first of all, what other loan has a 20 per cent administrative fee?” she said.
Under the FEE-HELP loan structure, students will prospectively begin repaying the loan at tax time, with provision for consumer price indexation, once they begin earning above the compulsory repayment threshold. A 20 per cent loan fee will apply for full fee-paying students.
Fee exemptions for government subsidised qualifications will be available for Aboriginal and Torres Strait Islander students and students with a disability, while low income students will be able to access fee concessions.
The move to include Commonwealth VET FEE-HELP loans for students seeking higher qualifications has attracted some criticism from government opposition and NSWTF.
“We are anticipating almost an inability to be able to provide education for those in our community who are the most marginalised,” Ms Nicholson said.
Member for Northern Tablelands Adam Marshall said the reformed government subsidies and the FEE-HELP study loan system was designed to assist disadvantaged students access tertiary qualifications.
“It operates similar to the old HECs system at university for students who qualify, and there are a number of eligibility criteria, but largely it is about helping disadvantaged students or students who may not have completed their schooling or certainly haven’t previously had a tertiary qualification,” he said.
Mr Marshall said student with previous Certificate level qualifications will still be able to access government subsidies in 2015, but reforms will mean support will be more targeted toward unqualified students and those in financial hardship.
“The assistance is there for people who either have no tertiary qualifications, from a low socio-economic background, or are of Aboriginal or Torres Strait Islander descent,” he said.
“So yes there still can be assistance provided for a number of courses, but it does get increasingly difficult as you get more and more qualified because the idea of the assistance is that it is there for people who can’t afford it (study) or don’t have a qualification.”