News & Views

15th December 2015

VET FEE-HELP Reforms approved

The Federal Government’s Higher Education Amendment (VET FEE-HELP Reform) Bill 2015 passed through the Senate last week with the support of the Opposition and minor parties.

The new rules, which come into effect from 1 January 2016 provide greater protections for students and seeks to increase the standards of the VET sector through the stamping out of unscrupulous marketing and enrolment practices by some providers. These amendments include:

  • providers must assess the student’s capacity to undertake the course for which they are enrolling;
  • stronger safeguards for under 18 year old students so that they cannot be signed up for a VET FEE-HELP loan without parental consent;
  • new entry requirements for registered training organisations seeking to become a VET FEE-HELP provider;
  • pausing payments to training providers for new enrolments until concerns about poor performance are addressed

NECA CEO, Mr Suresh Manickam has welcomed the new measures as “good news” that seeks to address industry concerns about VET provider performance.   

“The enabling of this legislation is good news for the VET sector.  These changes seek to lift provider performance standards and address a range of concerns that NECA has had for many years,” Mr Manickam said.

“For far too long, RTOs that have operated with integrity have been relegated to the sidelines as a result of rogue operators. The reputation of strongly performing providers should not be allowed to be dragged down by rogue operators – who only serve to feather their nest rather than add value and capacity to the students that they purport to serve. I strongly support stamping out the activities of providers who take advantage of prospective students.”

“Ahead of the introduction of a new model in 2017, NECA endorses reforms to strengthen the integrity of the wider VET sector,” said Mr Manickam.

-ENDS-

Media enquiries and interviews
Barry Jackson – National Marketing and Communications
E barry.jackson@neca.asn.au
D 02 9962 6904
M 0457 767 328

Notes for editors

  1. NECA is the peak industry body representing the interests of electrical and communications contractors Australia-wide.
  2. NECA is run by electrical contractors, for electrical contractors.
  3. We have 5,000 contracting companies as members – and they in turn employ over 50,000 people Australia-wide.
  4. NECA employs almost 350 people across its seven chapters (Queensland, New South Wales, ACT, Victoria, Tasmania, South Australia and Western Australia).
  5. The chapters provide NECA members with a range of services including: Industrial Relations, Health & Safety, Legal, Technical, Training, business-support services, product discounts and advocacy representation in Canberra with Government, Industry bodies and Training bodies.
  6. NECA wholly-owns its Legal firm, Group Training and the NECA Colleges (in WA) and EcoSmart Electricians – and has joint ventures with a superannuation company (NSW) and one of the national cabling registrars (ACRS).
  7. NECA also employ around 2,000 apprentice electricians and provides training to a further 2,000.
  8. For further information go to www.neca.asn.au.

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