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representatives vote 2016-10-19#5
Edited by
mackay staff
on
2016-10-29 19:33:50
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Title
Bills — Vet Student Loans Bill 2016, Vet Student Loans (Consequential Amendments and Transitional Provisions) Bill 2016, Vet Student Loans (Charges) Bill 2016; Second Reading- Vet Student Loans Bill 2016 and two others - Second Reading
Description
<p class="speaker">Susan Lamb</p><p>Without doubt, reform of the sector is essential. Labor understands this and this is why the government has essentially copied Labor's policies. If only it had acted so much sooner, billions could have been invested in apprenticeships and TAFEs, instead of being wasted on dodgy private providers. If this government had acted sooner, thousands of students would not have paid tens of thousands of dollars for a meaningless qualification. Many private providers have acted unconscionably in pursuing greater profits without regard to the massive debts incurred by each student.</p><p>Evocca College is just one example of a private institution that has demonstrated appalling behaviour and a complete lack of responsibility towards its students. Figures obtained in 2015 through an ABC report showed the college had a graduation rate of just 10 per cent despite claiming more than $290 million in government funding via the VET FEE-HELP student loan scheme. Even more concerning are the allegations that came to light after the report was aired. More than 20 former employees reported that the college enrolled students ill-equipped for diploma level courses without enough support, that it enrolled students who did not pass the required literacy test and that it backdated tutor qualification forms to pass federal government audits. Former staff claimed the college actively sought to hamper students who wanted to leave the college and cease adding to their government training debt. Now while I do not seek to traverse the appalling behaviour of many providers, the behaviour of Evocca College is symptomatic of the government's inaction and cuts to funding. In essence, they sat on their hands while dodgy private providers ran rampant and students were ripped off, and left them saddled with massive debts. The fact remains that, just like the rest of this government's policies, its response to problems in the VET sector has been shambolic and lacking leadership. In fact, it has had five ministers covering this portfolio in three years.</p>- The majority voted against an [amendment](http://www.openaustralia.org.au/debate/?id=2016-10-18.8.3) to the motion "*That this bill be now read a [second time](http://www.peo.gov.au/learning/fact-sheets/making-a-law.html)*", which means it was rejected.
- This motion was to condemn the Government's handling of the [VET](https://en.wikipedia.org/wiki/Vocational_education) FEE-HELP scheme.
- ### Some more context
- This motion was introduced during a debate about three bills. Together, the bills [replace the VET FEE-HELP loan scheme](http://www.abc.net.au/triplej/programs/hack/crackdown-on-private-college-loans/7902640). These changes include:
- * limiting student loans to eligible students for approved courses;
- * introducing stronger eligibility requirements;
- * banning providers from using brokers or agents to interact or engage with students in relation to the loans; and
- * introducing civil penalties, infringement notices, enforceable undertakings and injunctions.
- Read more on the [Department of Education & Training](https://www.education.gov.au/vet-fee-help-reforms) website.
- ### Motion text
- > *That all the words after “That” be omitted with a view to substituting the following words:*
- > *“whilst not declining to give the bill a second reading, the House condemns the Government’s failure to properly administer the VET FEE-HELP scheme, leaving taxpayers and students to deal with the consequences of their mismanagement.”*
<p>There is nothing in this bill to restore the $2.75 billion the Liberals have ripped out TAFE, skills and apprenticeships. There is nothing to protect TAFE, nothing to boost apprenticeships. The government has failed to consult properly on these changes. Labor supports them in-principle but looks forward to the Senate inquiry into the bills and will work with stakeholders to identify any issues through that process. As I mentioned previously, Labor proposed a comprehensive suite of VET reforms at the last election. Labor did this because we know there are issues and we had a plan to address these problems.</p><p>They say imitation is the strongest form of flattery so, on face value, Labor might be a little flattered that the Turnbull government has copied our package. I will not go through every amendment but particular important features of our response to problems in the VET sector include: the capping student loans to stop rip-offs—copied; cracking down on brokers—copied; linking publically funded courses to industry need and skills shortages—copied; requiring providers to re-apply under new standards so only high quality providers could access the loan system—tick, copied; linking funding to student progress and completion—copied; and of course, a VET loans ombudsman—guess what, copied. Yet again, this is another case of Labor leading the debate while the minister sat on his hands for two years with rorts going on under his nose. I find this lack of imagination and indeed, leadership, extremely disturbing because it was the Liberals who were falling over themselves to criticise Labor's policy proposals and today they are trying to take credit for them.</p><p>When Labor announced a policy of capping student loans, Scott Morrison said it would 'pull the rug out from under the private education industry'. Then Minister Scott Ryan called it a 'classist policy' and a 'thought bubble' that 'will lead to up-front fees for VET students'. Scott Ryan also called it 'impulsive, ill thought through, ill-considered' and a 'sound bite'.    Simon Birmingham said it was an 'ill-considered flat pack'. Before the election, Simon Birmingham said a price cap 'would simply, in effect, establish a government sanctioned price'. He said: 'When you set a price cap, everybody simply shifts to the price cap.' Guess what? He is now proposing three different price caps—$5,000, $10,000 and $15,000—and this is deeply concerning.</p><p>The current national partnership, put in by Labor, expires in the middle of next year. Over $500 million a year in Commonwealth support for TAFE and skills is on the line. And the minister does not even seem to know whether a new agreement is needed to keep supporting TAFE. Labor has been absolutely clear—we back public TAFE. That is why we took a TAFE funding agreement to the last election. TAFE is where people like my constituents in Longman get the technical and semi-professional skills they need for growing industries, the skills that are being demanded by industry and the skills Australia needs to be competitive with other countries. TAFE is the backbone of our apprenticeship system. Generations of Australians know just how important TAFE is for our economy. They know the first-class skills and opportunities that going to TAFE can provide.</p><p>But the Liberals just don't get it. At a state and federal level, the Liberals have an ideological problem with TAFE. Apprentice numbers are in freefall under the Liberals. They are down 30 per cent since they came to government—that is 130,000 fewer under the Liberals. They have copied Labor's VET FEE-HELP reforms, and if they would join us in backing TAFE they would copy our TAFE policies too.</p><p>We welcome the government's commitment, made in the second reading speech on this bill, that they will establish a VET loans ombudsman. Labor moved in the Senate almost a year ago to establish such an ombudsman. We look forward to seeing how the government plans to make good on their commitment, because it is not yet in the bills before the House. It is absolutely crucial that the ombudsman has the resources and the powers it needs to seek redress for students and to protect their interests.</p><p>Labor has concerns also about the implementation of these changes. These are concerns that are shared by the sector. We will be keeping up the pressure on the government to make sure students are treated fairly in the transition process; hold dodgy providers to account where they have ripped off students, and get loans refunded; make sure the government gets right the assessment of providers and the approved courses list; and improve governance, accountability and transparency in the sector. We understand the urgency of these bills; it is an urgency the government has brought on itself.</p><p>We hope the Senate inquiry into the bill will give stakeholders a chance to examine these issues properly, because the government did not consult properly with students or the sector on the details of these changes. It should not have come to this, of course, but now, after a billion-dollar blow-out, the government seems to have woken up to itself.</p><p>VET, TAFE and apprenticeships are crucial to jobs and our economy. We genuinely hope that the government has turned a corner and that from here on it will do what is best for students and for employers. We on this side of the House genuinely hope it works to get right the implementation of these changes.</p> <p class="speaker">Gai Brodtmann</p><p>Last year Michael Douglas, the esteemed actor, 70 years old, made a comment about the fact that there were too many Australian actors taking key roles in American movies. The comment was made in response to an article that appeared in <i>The Atlantic</i> entitled 'The decline of the American actor'. The article asked why so many good roles have been going to actors from Australia, England and Canada. <i>The Daily Telegraph</i> said:</p><p class="italic">Of the top five TV series set to air on NBC this year—</p><p>that is last year—</p><p class="italic">three are headlined by Aussie actors, while no fewer than 15 different series — across both commercial and cable networks — also star actors from Down Under.</p><p>They talked about Melissa George, Damon Herriman, Matt Passmore, Clare Bowen, Luke Mitchell, Dichen Lachman, Caitlin Stasey and Adelaide Kane. They talked about a whole range of others in addition to the ones we already know, such as Cate Blanchett, Hugh Jackman, Nicole Kidman, Geoffrey Rush, Chris Hemsworth, Mel Gibson and Anthony LaPaglia. So many Australian actors are making their name overseas and taking roles from American actors, as lamented by Michael Douglas.</p><p>These actors have been dubbed the Gumleaf Mafia, because they are taking all of these key roles that have traditionally gone to American actors. Why is that happening? Why are these plumb roles going to Australian actors rather than to American actors? A number of reasons have been cited, particularly about the men, but one of the key reasons that were cited by both Michael Douglas and the <i>Daily Telegraph</i> article is that most of the Australian actors are trained. They have honed their art. Although in Los Angeles there are lots of models who think that they can jump into acting roles just because they are good looking, Australian actors get roles because they have been trained. They have been trained through NIDA, the National Institute of Dramatic Art; through WAAPA, the Western Australian Academy of Performing Arts; and through the performing arts school in Victoria.</p><p>They have also been trained through a number of vocational education institutions right throughout this country. One of those institutions is the Canberra Academy of Dramatic Art, with whom I met this morning. It was a very interesting meeting, hearing about the impact that the government's views on VET are having on this fantastic institution that has been going for years and years and about the impact that the government's changes, including the delisting of the performing arts courses, could have on the future careers of a number of Canberrans.</p><p>Before going into the discussion I had today with the CADA people and some of its students, I will mention the impact that the creative industries have not just on the Australian economy but also on the Canberra economy. The figures I have for the Canberra economy are quite outdated—they are from 2012-13—and have been boosted by a number of events that have taken place as a result of the significant investment and effort by ScreenACT in recent years. I will quote from a document that was sent to me by CADA. It mentions the fact that creative industries contribute $90 billion per year to the Australian economy and that 5.3 per cent of Australia's workforce work in the creative industries. It is one of the fastest growing sectors in the Australian economy. Here in Canberra, for 2012-13:</p><p class="italic">… the direct output of the arts and the cultural sector in the ACT was estimated to be $974 million, of which arts was responsible for $361 million.</p><p>As I said, these figures are really outdated, because there has been so much activity here in the ACT in recent years. We have had <i>The Code</i>. There have now been two series of <i>The Code </i>that have been filmed here in the ACT. Another miniseries—and one of my colleagues is now smiling at me!—that has been filmed here in Canberra—</p> <p class="speaker">Jim Chalmers</p><p>A very good one.</p> <p class='motion-notice motion-notice-truncated'>Long debate text truncated.</p>
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