Sean Edwards (SA, Liberal Party) Share this | Link to this | Hansard source

My question is to the Assistant Minister for Education and Training, Senator Birmingham. Will the minister update the Senate on how the government is delivering choice and flexibility for the vocational education and training students in our home state of South Australia?

Simon Birmingham (SA, Liberal Party, Assistant Minister for Education and Training) Share this | Link to this | Hansard source

I thank Senator Edwards for his question. Under the national partnership on skills reform, the Commonwealth government is providing all states and territories with $1.8 billion through the life of that partnership to support students and employers access effective choice in their training provider and the course they undertake. Under that agreement, which I acknowledge was signed by the previous government under the leadership of Ms Gillard, states and territories have committed to a range of measures, including that students and employers have more choice through more equal availability of funding to support training places regardless of whether that registered training organisation is a public or private provider. In South Australia, in particular, the state government will receive some $126.9 million over the life of the agreement, including a total of $65 million over the remaining two years to run—2015-16 and 2016-17.

It is a key tenet of this agreement that it delivers choice to students and employers. Independent research backs up that choice is important. The National Centre for Vocational Education Research demonstrates that when students are given the choice of where they access their training and the course they undertake training in enrolments go up, student employment goes up and student satisfaction and employer satisfaction go up. It is a very important principle. I am pleased to acknowledge that the South Australian government seems to agree, but I am baffled that they are backsliding on that choice. At the time it was agreed, 74 per cent of VET funding in South Australia was contestable. But last month they announced a new policy which will now see more than 90 per cent of new places over the next year guaranteed to the TAFE sector, shutting out and shutting down choice for students and employers and many of the training providers they are meant to be supporting.

Sean Edwards (SA, Liberal Party) Share this | Link to this | Hansard source

Will the minister further advise the Senate how a new skills and employment policy announced by the Labor government in South Australia will negatively impact such students as well as employers and vocational education and training sectors, particularly in regional areas?

Simon Birmingham (SA, Liberal Party, Assistant Minister for Education and Training) Share this | Link to this | Hansard source

The chorus of criticism for this new WorkReady policy from the South Australian government has been widespread. I will highlight some of those critics to demonstrate that is not just our government and me as a minister but a wide range of key stakeholders who have concerns. The South Australian Council of Social Service and the Mental Health Coalition of South Australia has said that:

… will destroy investments in high quality training infrastructure that Registered Training Organisations (RTOs) linked to community based organisations have built up over the last decade.

The organisation Regional Skills Training has said that it will be enormously detrimental for young people in SA. The Master Builders Association of South Australia has said that the new policy could lead to construction skill shortages and higher costs for homebuyers. The Restaurant and Catering Industry Association has said that:

…this decision overturns many years of competition in the training market at a time that our industry can't afford to have less skilled labour supply.

This is a devastating decision that the state government really needs to reconsider.

Sean Edwards (SA, Liberal Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. Will the minister advise the Senate what the Commonwealth is doing to protect students and employer training choice in South Australia?

Simon Birmingham (SA, Liberal Party, Assistant Minister for Education and Training) Share this | Link to this | Hansard source

On 29 May, I did what the state government has not done; that is, sat down and listened to all of these critics of their new policy in South Australia. I heard from those on this diverse spectrum, ranging right from the South Australian Council of Social Service all the way through to Business SA, who are intense critics of the new policy because it destroys choice for students and choice for employers.

I want to see both the letter and the spirit of the agreement that the state Labor government voluntarily entered into with the previous federal Labor government upheld. I am urging the state government to provide the necessary data and information to demonstrate that they are in compliance with that agreement. More importantly, I urge them to listen to the critics, listen to SACOSS, listen to Business SA and listen to the training providers; to reconsider their policy; and to give real choice that does help to lift quality outcomes, lift employer and student satisfaction and lift employment outcomes from training. (Time expired)