University watchdog wins wider powers in regulatory shake-up
The tertiary education watchdog will gain unprecedented powers to crack down on wage theft and student safety breaches at Australian universities.
Beefed-up powers to punish universities will be granted to the Tertiary Education Quality and Standards Agency, as the Albanese government cracks down on wage theft, student safety and failures of governance.
Federal Education Minister Jason Clare said university governance was “not up to scratch’’ and the government regulator needed sharper teeth. He said TEQSA had the choice of using “a sledgehammer or a feather and not much in-between’’.
“There is a good argument that TEQSA needs better tools to be able to step in and act when it’s justified in the public interest,’’ Mr Clare said on Tuesday.
He said TEQSA could only look at the compliance of individual universities, and needed to be able to target systemic issues such as wage theft and student safety.
TEQSA already has the power to cancel the registration of a university, impose conditions of accreditation, and publish statements of expectation. But if it wants to fine a university for breaching regulations, it must apply for a court order.
Mr Clare will issue a consultation paper next month that is likely to recommend TEQSA be given powers to issue its own fines.
TEQSA chief executive Mary Russell said the sector university sector had grown larger, more interconnected and more exposed to risks since the regulator was established 14 years ago.
“Governance failures, risks to student safety and wellbeing, questions of financial viability, and the impact of new technologies on student outcomes point to the need for a legislative framework that better supports TEQSA’s ability to respond quickly and proportionately to emerging, systemic and acute risks,’’ she said.
The National Tertiary Education Union said the “reform cannot wait’’.
“Words are important, but action is urgent,’’ NTEU president Dr Alison Barnes said.
“University staff and students have lived for too long under opaque and unaccountable governance structures.
“Minister Clare’s recognition that TEQSA needs sharper teeth is a promising sign the days of vice-chancellors operating without real scrutiny are numbered.’’
Universities Australia chief executive Luke Sheehy welcomed the government’s consultation, but added: “What’s important is that regulatory change brings real improvements and doesn’t add to the growing thicket of regulation weighing down universities.”
The Council of Australian Postgraduate Associations said TEQSA should be given the power to independently audit the governing bodies of universities.
Mr Clare also announced yet another advisory group – a new Tertiary System Advisory Council – to make it easier for students to switch between universities and vocational training providers, such as TAFE.
The council will be chaired by Jobs and Skills Commissioner Barney Glover, a former vice-chancellor of the University of Western Sydney and a champion of combining academic learning with practical training.
Professor Glover will report to the new Australian Tertiary Education Commission, which has started work even though legislation has not yet been passed by federal parliament to establish it as a permanent fixture.
Mr Clare said Australia needed to “crack the code for credit transfer’’ to make it easier for students to move between courses or universities without having to start their studies from scratch, or repeat courses they have already paid for and completed.
He said universities and TAFE must also grant more Recognition of Prior Learning, to make it “quicker and cheaper’’ for existing workers to gain skills and formal qualifications. “We are not going to fix the skills shortages … unless we break down the artificial barriers between higher education, and vocational education and training,’’ he said.
“We have already started work, but there is a lot more to do.’’
Acting Skills and Training Minister Amanda Rishworth said nine out of 10 jobs would require some form of tertiary education by 2050, “whether that is from higher education, vocational education and training, or a mix of both’’.
“Building a better and more connected tertiary education system will ensure Australians have the right skills for the jobs of today and for the future,’’ she said.
Professor Glover said a more integrated tertiary education system would boost productivity and equip Australia’s workforce for the challenges of a rapidly changing economy, in the era of AI.
“It will also address barriers that prevent students from (low) equity backgrounds from accessing and succeeding in tertiary education,’’ he said.
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