Labor Accused of Sidestepping University Fee Reform Pledge
Advocates have expressed profound disappointment at Labor's refusal to support Greens amendments designed to grant the newly established tertiary education watchdog authority to review university fees. This decision has sparked accusations that the federal government is evading its commitment to reform the contentious Morrison-era university fees scheme.
Greens Amendments Rejected Amid Watchdog Legislation Passage
On Monday, legislation to create the independent Australian Tertiary Education Commission (Atec) successfully passed the Senate, incorporating several amendments aimed at enhancing its resourcing and research focus. However, the government firmly rejected a Greens amendment that would have compelled Atec to prepare detailed reports and advise the education minister on student fees for each subject, including addressing the Job-Ready Graduates (JRG) package.
The JRG scheme, introduced in 2021, dramatically increased costs for arts degrees to over $50,000 while slashing fees for science and mathematics degrees by up to 59%. Education Minister Jason Clare has consistently deferred JRG reforms to Atec, stating at the AFR higher education summit in August that the commission would undertake the "heavy lifting to design a system where the funding follows the student and reflects the actual cost of the degree."
Critical Gap in Watchdog's Remit Highlights Government Hesitation
Luke Sheehy, head of Universities Australia, noted that while providers have "always supported" Atec, the omission of fee scrutiny represents a disappointing missing piece. "It leaves a critical gap in the Atec's remit and sends a clear signal that the government is not yet prepared to fix the Job-Ready Graduates package," Sheehy asserted. He emphasized that JRG is punishing students with exorbitant degree costs and extracting nearly a billion dollars annually from universities.
The passed legislation permits Atec to advise on Commonwealth funding to universities but does not mandate consideration of student contributions or explicitly mention JRG. Sheehy warned that without addressing student contributions, "we risk entrenching the very funding challenges the sector is trying to solve."
Scheme Fails to Boost Equity as Enrolments Decline
Experts and the government acknowledge that JRG, intended to incentivize enrollment in Stem courses, has instead deterred students from lower socioeconomic backgrounds from attending university. Data analysis by Innovative Research Universities reveals a 10% drop in new enrolments from low socioeconomic students between 2020 and 2024.
Professor George Williams, chair of IRU and vice-chancellor of Western Sydney University, expressed disappointment that JRG reform was excluded from Atec's responsibilities, urging it to become an "urgent priority" for the government.
Government Defends Gradual Approach to Reform
Minister Clare defended the government's stance, highlighting that he has been clear about JRG's failures, as outlined in the Universities Accord, which called for "urgent remediation" earlier this year. "We've bitten off a big chunk of [the accord's] recommendations already – 31 of 47 in full or in part," Clare stated. He described the reform process as akin to eating an elephant, requiring one bite at a time, with current efforts focused on making degrees quicker and cheaper through recognition of Tafe qualifications.
Greens Condemn Continued Delay on Fee Hikes
Greens higher education spokesperson Mehreen Faruqi criticized Labor for opposing the JRG bill in opposition yet failing to overturn it after four years in power. "To establish the Atec without any reference to Job-Ready Graduates and repealing fee hikes is again kicking the can down the road, while students and young people suffer under the weight of massive fees and crushing debt," Faruqi declared, underscoring the ongoing impact of the policy on students.
