Chronology of Reports and Key Events
Vocational education & training

 

Year	Fed/State govt	Publication	Concept
1974	ALP	TAFE in Australia: Report on needs in technical and further education (Kangan Report) Chair: Myer Kangan Australian Committee on Technical and Further Education (ACOTAFE)	Report establishes the modern TAFE system as we know it today. It focused on meeting industry-employer needs in a changing economy as well as community and individual student needs.
1987	ALP	Skills for Australia John Dawkins (Minister for Employment, Education & Training 1987-1991) Clyde Holding (Minister Employment Services And Youth Affairs (1987)	Introduced the concepts: - Market for training - Competency-based training
1989	ALP	Higher Education Contribution Scheme (HECS), an income contingent student loan scheme introduced. Succeeded in 2005 by the Higher Education Loan Program (HELP)
1990	ALP	Training Costs of Award Restructuring (Deveson Review) Ivan Deveson	TAFE commercialisation Open training market Market barrier concept Private providers encouraged
1991	ALP	Economic Rationalism in Canberra Michael Pusey	Critical of the commercialisation and marketisation of the Commonwealth public sector
1992	ALP	Australian National Training Authority (ANTA) established to develop and promote a national vocational education and training (VET) system.
1993	ALP	National Competition Policy (Hilmer Report) Fred Hilmer, Chair National Competition Policy Review	Contestability concept throughout Microeconomic reform National consistency for competition regulation Competitive neutrality (business activities of state organisations) Public benefit test Third party access
1994	ALP	Successful Reform Vince FitzGerald Allen Consulting Group ANTA	Competency-Based Training Demand-side training market focus User Buys system User choice National skill pool
1994	ALP	Establishing an Effective Australian Training Market Allen Consulting Group	Contested markets Decrease central control Competitive tendering of training funds created contested funding market contested
1995	ALP	GATS: General Agreement on Trade in Services World Trade Organization (WTO)	Sets up framework for all subsequent trade & investment agreements based on international contestable markets concept, breaking down barriers to: labour mobility foreign direct investment (FDI) services goods
1998	Lib-Nat	TAFE Directors Australia established as the regulator for the sector
1999	Lib-Nat	National Evaluation of User Choice: Report to ANTA KPMG	Concluded that overall User Choice was positive Students did not engage with User Choice as much as employers
1999	Lib-Nat	Submission to the Senate Employment, Workplace Relations Small Business and Education Committee ANTA Board	Inquiry into the quality of vocational education and training in Australia User choice. The concept of ‘choice’ in the education context was criticised by former MLA Dr John Kaye who regarded the concept of choice as being predicated on the existence of a market. Today there is a market, but as the public sector contracts within that market, the choice of course offerings have also contracted.
2001	Lib-Nat	User Choice: Experience Since 1998 Chris Selby Smith Fran Ferrier	Enterprises wanted choice of training provider Contestability aided User Choice
2005	Lib-Nat	Review of National Competition Policy Reforms Productivity Commission	Anti-competitive conduct provisions in Trade Practices Act apply to government businesses and unincorporated enterprises Structural reforms: -separate out contestable elements from govt monopolies OR create separate businesses from contestable elements - third-party access to natural monopolies in essential services - competitive neutrality - corporatised governance structures in government enterprises - retail contestability in utilities like electricity - contestability concept throughout
2005	Lib-Nat	Trading Places: The Impact and Outcome of Market Reform in VET Damon Anderson	Market reform has not improved quality in TAFE Cream skimming Adverse consequences for the public interest Contestability
2005	Lib-Nat	Higher Education Loan Program (HELP) established replacing HECS
2006	Lib-Nat	Residential Property Trust launched. The managing entity of this Trust is Fortuna Funds Management Pty Ltd. Former Labor Minister John Dawkins is a director on the board.	Ascalon Capital Managers, part of St George bought into the group in 2005. In 2009 Westpac buys out Ascalon. In August 2016 Ascalon (a hedge fund) announced it would acquire equity in “Seyon Asset Management Ltd a Pan-Asian multi-strategy hedge fund based in Hong Kong.” http://www.bt.com.au/about-bt/media-centre/media-releases/archives/2016/westpac-subsidiary-ascalon-seeds-hong-kong-based-seyon-asset-management.html
2006	Lib-Nat	TVET Australia Pty Ltd established. This was a ministerial company owned by the Commonwealth, State and Territory Ministers of Vocational and Technical Education established. It was wound up in 2011 by Chairman John Dawkins. Its basic role was to provide support to ‘stakeholders’ in the VET sector including private providers. Patrick McKendry Chairman 2006-2009
2006	Lib-Nat	Careers Australia Pty Ltd registered with ASIC Managing Director: Patrick McKendry
2006	Lib-Nat	TAFE Futures: An Inquiry into the Future of Technical and Further Education in Australia Peter Kell Australian Education Union	Report sounds warnings about the future of TAFE on the current policy trajectory - poor resource levels - fees and charges risk access opportunities - students and employers satisfied with TAFE - ‘second chance’ education provision at risk
2006	Lib-Nat NSW ALP	The Complete Package: The Value of TAFE NSW Allen Consulting Group	Macroeconomic modelling: “assess TAFE NSW’s value by identifying the loss to the entire NSW economy if TAFE NSW funding withdrawn.” :- - private providers take up some “fee for service training provided by TAFE NSW” - “total student fees would increase by 50%” - “reduction in the number of people with particular recognised formal skills” - “decline in average wages around 1%” - “a less skilled workforce will reduce productivity, which in turn will result in a significant decline in the output of a number of industries”
2007	Lib-Nat	VET FEE-HELP established. Higher Education Loan Program (HELP) for students doing diploma or graduate certificate vocational education courses
2007	Lib-Nat	Skilling Australia’s Workforce 2005–08 Mid-Term Review Boston Consulting Group	Contestability Recommends national competitive market
2007	Lib-Nat	Forecasting Future Demands Sue Richardson Yan Tan NCVER	Claims you can’t plan using forecasting techniques, instead the labour market should be used to match skills with demand. Vocational skills
2007	Lib-Nat	Consortium - Supporting Vocational Education and Training Providers in Building Capability for the Future Roger Harris (ed) Berwyn Clayton Clive Chappell	Providers need to build networks and partnerships Over regulation a problem
2008	ALP	Learning for Jobs: OECD Reviews of Vocational Education and Training Kathrin Hoeckel et al OECD	Contestable market for training Labour market needs Skills needs Focus - competence rather than course duration Work-based learning Signalling job skills to employers Competence-based models Internationalisation
2009	ALP	Competition in the Training Market Tom Karmel (eds) Francesca Beddie Susan Dawe	“‘Competition’ and ‘contestability’ are now part of the vocational education and training (VET) lexicon”
2010	ALP	Mid-term Review National Part Agreement, Productivity Places Program Allen Consulting Group	Contestability
2010	ALP	Building Capability in Vocational Education and Training Providers: The TAFE Cut Hugh Guthrie Berwyn Clayton	Contestability
2010	ALP	The Future of VET F. Beddie (ed) P Curtin (ed)	Contestability
2011	ALP	Competitive tendering and contestable funding in VET Allen Consulting Group	Contestability
2011	ALP	Vocational Education and Training Workforce Productivity Commission	-market forces allocation of VET services, -principles, user pays and user choice increasingly -greater managerial independence for public providers to respond. opening up of the VET sector had not been a complete success … concerns about quality assurance, monitoring and enforcement (especially in the international student sector). P 40
2011	ALP	COAG Reform Agenda: Report on Progress COAG Reform Council
2011	ALP	Report on Competitive Tendering in VET Bob Walker Betty Walker NSW Teachers Federation	Quasi-competition “(the illusion of) 'competition'” Lack of evaluation data Competitive neutrality distorts TAFE costings Cream skimming Public interest objectives not met Loss of quality from competitive tendering
2012	ALP	Valuing Skills: Why Vocational Training Matters Chris Stone Centre for Policy Development (CPD)	Contestability forcing up costs for TAFE TAFE has significant social benefit Deregulation has not resulted in skill shortages being met Role of TAFE as “full service provider” being undermined
2012	ALP	HELP student loans scheme extended to VET sector (VET FEE-HELP)
2013	ALP NSW Lib-Nat	Pricing VET under Smart and Skilled (NSW only)	Contestability Deregulate student fees in 2018
2013	ALP	Seamless National Economy: Final report on performance COAG Reform Council
2013	ALP	Contestable Funding in the VET Sector Ahmed Hamdhan The Greens	Adverse impact on TAFE fulfilling its role as public provider and provisioning areas of skills shortages Critical of: Contestability & User Choice
2013	ALP	Future Focus: Workforce Development Strategy Philip Bullock, Chair	Lift barriers Networks
2014	Lib-Nat	Employment and Skills Strategies in Australia: OECD Reviews on Local Job Creation
2014	Lib-Nat	Doubtful Debt Andrew Norton Grattan Institute	Student bad debt re HELP scheme $13 bill by 2017 Recommends: asset contingent HELP repayment for estates over $100,000, meaning that estates have to pay back a student’s loan upon their death. This could open up a private loans market as there is now collateral to secure the loans. Report does not mention sub-prime student loans (loans to people unlikely to complete courses).
2014	Lib-Nat	Case Study of Reform in the Federation Ivan FitzGerald & Peter Noonan	Beware of changes to the Australian Constitution
2014	Lib-Nat	The Implications of Economic and Financial Trends and Globalisation for the Demand and Supply for Skills David Gruen	Globalisation Workforce participation rates correlate to education levels
2015	Lib-Nat NSW Lib-Nat	NSW Auditor-General’s Report. Performance Audit: Vocational Education and Training Reform	Audit of VET Smart and Skilled framework - Tick of approval - Need more contestability and student choice
2015	Lib-Nat	Australia’s Skills Reform Journey: The Case for VET Reform and Progress To-Date ACIL Allen Australian Council for Private Education and Training	Contestability successful. Income contingent loans (HELP) successful. HELP scheme a solution to ‘ineffective capital markets’ - caused by the absence of saleable collateral for private lenders and high collection costs. Recommends ending death debt write-off on loans & introducing asset contingent HELP repayment scheme for estates over $100,000. Debtor estates could become the collateral needed for the private loans market to take off. In 2014 Norton (Grattan Institute) recommends same.
2015	Lib-Nat	The Capture of Public Wealth by the for-profit VET Sector: Report Prepared for the Australian Education Union Serena Yu Damian Oliver Workplace Research Centre, University of Sydney Business School	Report critical of the cost to taxpayers of government funding to the for-profit VET sector and the failure of demand driven contestable funding to deliver reform objectives. - skills shortages not matched by course - disadvantaged students not catered - students vulnerable to uncapped course fees - profit providers are complex and hard to regulate
2015	Lib-Nat	Competition Policy Review (Harper Review) Ian Harper, Chair	“government should not be a substitute for the private sector where … contestability can be realised” Increase in contestability requires TAFE to ‘compete on a more neutral basis’ Harper sees competitive neutrality in place were competition policy ‘has yet to reach’ Recommends: govt compliance statement
2015	Lib-Nat	Building a Sustainable Funding Model for Higher Education in Australia Peter Noonan	No mention of contestable funding Market issues: -competitive neutrality -3rd party access to public infrastructure -deal with near monopoly supply issues (medicine, vet science, dentistry)
2015	Lib-Nat	‘Vocation collapses, 150 people lose jobs, 10,000 students in limbo’ SMH 30 November 2015	Vocation Ltd enters voluntary administration Subsidiary companies Bawm and Aspin closed by regulator following quality breaches Former Labor Minister John Dawkins was the chairman of Vocation, an ASX listed company, when it was established.
2015	Lib-Nat	‘Vocational education crisis: AIPE college paid $1 million a graduate’ SMH 9 December 2015	Australian Institute of Professional Education signing up students to government student loans who have few prospects of completing courses. In October 2016 ASIC accuse them of rorting student loans.
2015	Lib-Nat	‘Acquire Learning misled vulnerable students, says ACCC’ SMH 17 December 2015	Sub-prime student loans
2015	Lib-Nat	Australia signs the Trans-Pacific Partnership Agreement (TPP)	The TPP changes everything. Vocational education is no longer a domestic market – it is a Asia-Pacific regional market enabling, investors, providers, teachers, administrative staff and students to move freely within the region.
2016	Lib-Nat	VET Funding in Australia Peter Noonan	No mention of contestable funding Calls for national qualifications benchmark price Extend VET FEE-HELP to all nationally funded VET qualifications TAFE funding allowable under the competitive neutrality doctrine
2016	Lib-Nat	“Australia’s training system is in crisis, but there’s a way out” The Australian. 17 February 2016,	Article by Innes Willox CEO of the Australian Industry Group (AIG)
2016	Lib-Nat	‘College collapses creates chaos for students’ The Age 11 February 2016	Aspire College of Education, The Design Works College of Design and the Australian Indigenous College and the National Training & Development and RTO Services Group placed in voluntary administration. These businesses are run by Global Intellectual Holdings also in administration.
2016	Lib-Nat	‘Education Provider Ashley Services crashes to $67m loss’ SMH 24 February 2016	Ashley Services is an ASX listed company Former Labor Minister, Simon Crean director on Ashley’s board. Class action against company
2016	Lib-Nat	‘Collapsed training college owners had long-term plan to escape sector, paid themselves $20m’ ABC 7:30 Report 14 March 2016	Company set up to scam taxpayers through ‘study now pay later’ student loans scheme
2016	Lib-Nat	‘Fitlink training college collapses leaving thousands of fitness students stranded’ ABC News 31 March 2016	Companies Fitlink Australia and Traincorp Operations placed into liquidation. The director, property developer Tim Boman is also CEO of
2016	Lib-Nat NSW Lib-Nat	The NSW Vocational Education and Training Market and TAFE NSW's Competitive Position Within It Boston Consulting Group	The report claims that TAFE will find it difficult to compete in a contestable education market due to its high fixed costs, that is cost of land & buildings. This is the economic argument for the sell-off of TAFE’s assets (land and buildings). If these assets are sold it will transform the nation’s education estate, currently owned by all Australians into assets and collateral which can be traded on global financial markets. It will also have extreme impacts on the already overheated property market.
2016	Lib-Nat	‘NSW minister promotes TAFE report involving company raided by Federal Police’ SMH 20 April 2016	Australian Careers Network praised in Boston 2015 report, under investigation by police for fraud as company folds.
2016	Lib-Nat	Federal government - Proposals Paper: Improving bankruptcy and insolvency laws National Innovation & Science Agenda (Treasury, Canberra)	This paper recommends: -reducing bankruptcy period from 3 years to 1 year These changes will enable directors of failed training colleges to re-establish after only 12 months.
2016	Lib-Nat	‘Careers Australia to pay back $44 million’ SMH 16 May 2016	Careers Australia Pty Ltd promoted sub-prime student loans. Its former head, Patrick McKendry was/is on numerous government boards influencing VET policy: Chairman of the National Quality Council (2006-9); Member, Skills and Training Taskforce, Qld (2012); Member International Education and Training Advisory Council, Qld (2014); Deputy Chair, Vocational Education and Training (VET) Advisory Board (2014-2015).
2016	Lib-Nat	‘Private College’s VET FEE-HELP loan scandal hit: $160 million and counting Financial Review, 21 May 2016	ACCC orders Careers Australia to repay millions. Careers Australia owned by equity investor White Cloud Capital, London based with funds registered in the tax havens, Mauritius and Luxembourg. CEO & partner in White Cloud, Nicholas Watkins, and other company officers, Jonas Martin-Löf, Raoul Bocchi, Carlo Zuccharo, all worked for investment bank Lehman Brothers UK before it collapsed in 2008.
2016	Lib-Nat	‘$30m Indian bank transfer linked to vocational college scandal’ The Australian, 2 June 2016	ACCC investigates Unique College assets frozen following international funds transfer
2016	Lib-Nat	‘Liquidators investigate collapse of CTM Training Solutions’ ABC News Online 6 June 2016	National training company Queensland Govt claims overpayments made
2016	Lib-Nat	‘Ex-minister Dawkins misled Vocation group investors’ The Australian 29 September 2016	John Dawkins, former Labor Minister and chair of Vocational Ltd accused by ASIC of misleading investors.
2016	Lib-Nat	‘Vocational loans scheme scrapped, loans to be capped under major Turnbull government shake-up’ SMH 5 October 2016	This basically means there will be a cap on how much shonky training colleges can rort from the Australian taxpayer. New scheme called VET Student Loans
2016	Lib-Nat	‘Australian Institute of Professional Education collapses amid allegations of student loan rorts’ AFR Weekend 7 October 2016	ASIC has accused AIPE of student loan rorts. AIPE has received over $200 million in government funding since 2013.
2016	Lib-Nat	“Coalition says price gap between private vocational trainers and Tafes ‘staggering’” The Guardian 24 October 2016	Private colleges charging up to 10 times more than TAFE for courses.