Andrew Giles (Scullin, Australian Labor Party, Minister for Skills and Training) Share this | Link to this | Hansard source

I move:

That this bill be now read a second time.

Today, I introduce the Free TAFE Bill 2024, to establish free TAFE as an enduring feature of the national vocational education and training system.

Over the next decade, nine out of 10 new jobs will require post-secondary qualifications.

And almost half will come through VET pathways.

This underlines our country's reliance on universities and the VET sector.

Our national prosperity relies on the success of both.

And in our first two years in office—we've worked hard to highlight this shared importance.

And we've worked to repair the damage done to the VET sector by the previous government.

The sector we inherited was neglected and fractured.

And it was accompanied by the biggest skills shortage in 50 years.

A high-quality, world-class VET system is vital to responding to the challenges and seizing the opportunities shaping Australia's society, economy and environment.

VET is an enabler of inclusion and economic equality giving people the skills they want and which we need to build Australia's future.

It's central to addressing workforce shortages.

That's why I'm introducing this bill—to ensure that the national VET system is accessible and responsive, to boost productivity and support Australians to get the skills they need to prosper in our economy.

The bill commits the Commonwealth to ongoing support to states and territories for free TAFE, with implementation arrangements to be agreed between the Commonwealth and the states.

It underpins our government's commitment to funding at least 100,000 free TAFE places a year from 2027 to remove barriers to study in priority areas across Australia.

The bill ensures that free TAFE places will be targeted to industries experiencing current and projected workforce shortfalls—priority areas to achieve national ambitions for a future made in Australia, the net zero transformation, construction and housing supply, the care and support economy, defence, digital and tech, manufacturing, and to restore our sovereign capability.

The bill reaffirms the Albanese government's commitment to put TAFE at the heart of the VET sector.

Because you can't have a strong VET sector without strong TAFEs.

TAFEs are valued and trusted public institutions, delivering training in the public interest and working to meet Australia's social and economic goals. TAFEs are governments' trusted partners, driving quality improvements across the sector, innovating teaching and learning practice, supporting students to succeed and assisting industries to develop skilled workforces.

The Albanese government is creating a national network of TAFE centres of excellence with states and territories to work in partnership with industry, public universities and local communities to be at the cutting edge of new and emerging skills. They will drive innovation to meet the needs of the economy and help to shape the jobs of the future.

Our public providers are a key pillar of a high-performing and world class VET system. As well as delivering training across the breadth of VET and across Australia—in cities, regional, rural and remote areas—TAFEs support social infrastructure, promote social equity and inclusion, build community cohesion and set out pathways for lifelong learning.

Free TAFE will support a prosperous and equitable Australia. It removes financial barriers to education and training. It delivers a coordinated national response to workforce shortages in industries and occupations of local and national priority.

Free TAFE will give Australians the confidence to take on study without the extra pressure that paying for courses can bring.

The bill locks in cost-of-living relief while supporting the pipeline of skilled workers needed to secure Australia's position in the global economy.

This builds on the success of the current fee-free TAFE program, that we have delivered in partnership with state and territory governments. In the first 18 months of fee-free TAFE there have been over 508,000 enrolments. This is providing a pipeline of workers to critical industries, with over 130,000 enrolments in the care sector, over 35,000 in early childhood education and care and almost 35,000 enrolments in construction.

Priority cohorts have particularly benefitted from the program. I am proud that over 170,000 young Australians have enrolled in fee-free TAFE, and over 124,000 job seekers. More than 60 per cent of the places are being taken up by women and one in three places are in regional Australia. It is helping Australians get the skills and education that will set them up for fulfilling careers.

The bill provides that free TAFE places will continue to be prioritised to groups who will most benefit from equitable access to education and training—cohorts such as First Nations people, women, youth, people out of work or receiving income support, unpaid carers and people with disability.

A Labor government will never consider free TAFE to be wasteful spending.

Free TAFE changes lives and shapes our future.

It is clear in every TAFE I visit.

At Lidcombe TAFE I spoke with Hamish who is studying a Certificate III in Disability Care. The course has been something Hamish has been thinking about doing for a while and the impact of fee-free TAFE has been "huge" especially with a young family.

Certificate III aged-care students at the same TAFE spoke about how their fee-free TAFE course is helping them "to better empathise and better understand the conditions [of aged care residents] so that [we] can better help them". They can't wait to "start taking care of people".

And Certificate III horticulture students at TAFE Chisholm in Cranbourne said they couldn't have done the course if it wasn't free. They reported that so far, "the course has been really good and we're learning a lot".

These TAFE students are getting the skills they want and which we need to build Australia's future.

TAFE Directors Australia, representing CEOs across our public VET providers have welcomed this bill saying:

"All TAFEs have welcomed the federal and state/territory governments' focus on equity and providing access to vocational education and training through fee-free TAFE. Enshrining this policy in legislation, alongside continuing examples of innovation to meet industry skills needs, such as TAFE centres of excellence, shows the holistic thinking that is now in place. These policies are ensuring both industry and individuals are central to the importance of skills development that is needed for success."

I now turn to the measures in the bill.

Firstly, this bill commits the Commonwealth to make a grant of financial assistance to states and territories for the delivery of free TAFE places, with states and territories required to enter into a free TAFE agreement with the Commonwealth which sets out the terms and conditions of financial assistance.

This ensures a genuine joined-up approach with states and territories, and that the implementation of free TAFE responds to our national priorities.

Secondly, the bill sets out key matters that are to be dealt with in a free TAFE agreement, including the number of free TAFE places, the areas of study, the groups prioritised for access, reporting requirements and financial arrangements.

This establishes minimum terms and conditions for a state or territory to receive Commonwealth support, while providing the flexibility to accommodate local conditions.

Thirdly, the bill will require the Skills and Workforce Ministerial Council to be consulted on any proposed changes to the act.

This recognises the critical role of states and territories and our joint commitment to genuinely collaborative and share stewardship of the national VET system.

The measures in the bill demonstrate the government's commitment to a high-quality and accessible VET that is responsive to local, national and global economic conditions.

Fee-free TAFE has been an outstanding success. It is changing the lives of hundreds of thousands of people across Australia by improving access to education and training, leading to greater economic participation and building social equity.

The bill will embed free TAFE as the cornerstone of our national VET system.

I commend the bill to the chamber.

Debate adjourned.