Meeting the challenge of the contestable TAFE system

Changes to the vocational and further education system introduced in July have increased the risk and opportunities for providers such as VU and the University is responding swiftly to meet the challenge.

In summary, the Victorian Government has:

  • Overhauled the fee system so that most students who are eligible to enrol and who are under 20 will have access to government funding, but many students over 20 with a previous higher qualification will pay more
  • Introduced demand-driven funding, which has allowed private providers to offer more courses, providing greater competition, and allowing some low-fee providers to gain a greater market share
  • Increased the number of places offered via work-based programs
  • Allowed providers to increase the number of places in courses with substantial unmet demand

The impact of these changes is still being felt, but Deputy Vice-Chancellor and Director of TAFE Dr Anne Jones said that VU was well positioned for the contestable environment and had introduced a range of strategic initiatives based around a solid plan. 

VU’s market share of courses at diploma level and above had increased from 10.5 per cent in 2008 to 15.9 per cent in second semester 2009.  VU is planning to work more closely with industry to provide tailored training solutions and additional delivery, particularly in those areas of unmet demand.      

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