The State Government has defended its latest funding changes to the TAFE sector, which could see fees for the popular hospitality courses at GippsTAFE skyrocket next year.
Higher Education and Skills Minister Peter Hall released updated vocational training subsidy rates for 2014 earlier this month, which the Australia Education union said would reduce government subsidies for hospitality courses from seven to one dollar per contact hour.
A spokesperson for Mr Hall said courses in “areas of low or zero fees” had their subsidies adjusted in response to changing training market demand on 15 November, to allow providers time to plan the programs they would offer under government subsidy next year.
The spokesperson said courses where providers had been “channelling and substituting students into with higher subsidies for their benefit rather than the best interest of students” were also targeted in the funding overhaul.
“We expect that every person (or employer) who undertakes vocational training will make a financial contribution towards their training,” the spokesperson said.
“That is why contributions expected of students will increase in areas of zero or low fees, and strong growth, such as hospitality.”
AEU deputy vice president Greg Barclay said the subsidy changes would shut down courses across the state and cause a massive drop off in student enrolments.
A veteran TAFE teacher said the subsidy cuts to hospitality would leave the entire industry to die.
“Victoria and Melbourne are the capital of the food providers and hospitality industry. Why would you not train staff for the state’s biggest industry?” the teacher, who wished to remain anonymous, said.
GippsTAFE chief executive Peter Whitley was approached for interview, however did not return a call before deadline.
Mr Hall’s spokesperson said 90 per cent of courses would remain funded at the same rate or have increased.
“Adjustments to subsidy levels will, in many cases, stop the training system rorting and taking advantage of high funding for their own benefits,” she said.
“By directing money into areas that need it more, there will be real changes to the quality, provision and job outcomes training students in Victoria will gain upon graduation.”
