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THE 'RAZOR GANG' DECISiONS, Granl Harman In this paper, I discuss the political-administrative A third consideration is that the Prime Minister's Centre for the Study of Higher Education, context in which the Government's decisions were leadership is by no means secure in the long term. THE GUIDELINES University 01 made, summarize the main decisions with regard to One possible partial explanation for the decisions is TO THE COMMISSIONS, education, and comment on the significance and that the Prime Minister needed to demonstrate in a possible consequences with regard to four topics: relatively dramatic fashion his ability and wiUingness AND COMMONWEALTH the future of Commonwealth involvement in educa­ to be a leader of action, and to take tough decisions. tion; funding for tertiary education; the introduction of Significantly the 'Razor Gang' decisions affect all EDUCATION POLICY tuition fees in universities and CAEs; and the rational­ portfolios, but in cases such as the Department of ization of single-purpose teacher education CAEs. Prime Minister and Cabinet the 'cuts' appear to be largely cosmetic. Political~Administrative Context Introduction has there been such a sudden and extensive planned In terms of the general political context with regard to Fourth, for various reasons education generally no In recent months the Commonwealth Government cut in government programs, and such a sweeping the two sets of decisions, four points should be kept longer commands the same degree of support that it has announced two sets of important and far­ elimination of government committees and agencies. in mind. In the first place, it is clear that the Govern­ appeared to enjoy during the late 1960s. With regard reaching decisions with regard to its future policies Moreover, with regard to the decisionson the Review ment and Prime Minister in particular have been to tertiary education, for example, both the media and on education. These decisions include sudden, of Commonwealth Functions, the Government is under considerable pressure to turn their words and business interest groups often assert that univer­ fundamental and, in some cases, quite unexpected using a blunt instrument to achieve its aims. At times it slogans into action. The Government's declared sities and CAEs have expanded their enrolments to changes in direction. They also appear to signal is necessary for governments to reduce public economic strategy is that inflation must be kept in an unnecessary extent, that public money has been possible shifts in future Commonwealth-State roles expenditure and to prune and rationalize with regard check by controlling the money supply and govern­ wasted, and that more emphasis needs to be given to and relations on education. First, on 30 April 1981 to government agencies and committees. But ideally ment spending, and that the public sector must be technical and further education. This climate of the Prime Minister announced to the Federal Parlia­ this needs to be done selectively and with great care cut-back in order to accelerate economic growth. opinion thus makes education as a policy area more ment his Government's decisions with regard to the - otherwise the efforts of many individuals and The Government has declared on numerous occa­ vulnerable than a number of competing areas. At the Review of Commonwealth Functions. This Review departments, and substantial public expenditure sions its commitment to small government - to a same time, it must be recognized that up to the was carried out immediately after the 1980 general over decades in particular areas will be wasted. In the reduced bureaucracy, to less interference in the present time education expenditure has not been cut elections by a committee of senior Ministers -the so past one can point to examples of selective cuts, business sector, and to less regulation of economic back to the extent that many educators anticipated. called 'Razor Gang' -chaired by the MinisterofCom­ based on careful review and substantial professional life generally. It is also committed under its policy of merce and Deputy Leader of the Parliamentary If we assume that my argument about pressures evaluation. But in this case, the Government has not 'New Federalism' to push back various governmental operating on the Prime Minister and Government is Uberal Party, Sir . The Government's produced evidence to demonstrate that this has functions tothestates. But, withrelativelyfewexcep­ decisions on the Review affect a wide range of valid, it must be admitted that the Government pro­ been done. tions, the has not been able to bably acted rationally from its viewpoint with regard to government policy areas (in fact, all portfolios) live up to its rhetoric. Comparatively few substantial its 'Razor Gang' strategy a dramatic, sharp and including education. Second, on 4 June 1981 the While the 'Razor Gang' decisions on education functions have been returned to the states, few Com­ largely unexpected blow, which would gain maximum Minister for Education made a detailed statement to caught educators largely unawares, the issuing of monwealth agencies have been terminated (a coverage in the media, impress supporting interests, the Parliament on Commonwealth education policy the guidelines to the commissions, and the contents number marked for abolition in election speeches and catch many of the affected agencies and their and announced the Government's decisions on of the guidelines and the Ministerial statement of 4 survived up to the 'Razor Gang' decisions), and very 2 supporting interests unaware. Clearly this strategy financial guidelines to the Tertiary Education Com­ June , were by no means totally unexpected. Since little substantial progress has been made in trimming mission and the Schools Commission for the calen­ 1976 the Fraser Government has followed the prac­ worked, at least in the short term; TVand radio news, the size of the Commonwealth public service, or the radio 'talk-back' sessions, and the press all gave the dar year 1982 and for the triennium 1982-84. tice of providing guidelines in about May of each year maze of government restrictions on business enter­ for the commissions to follow in making their detailed Prime Minister's announcement maximum coverage. It is no exaggeration to say that the Prime Minister's prise. Thus, in these circumstances, it is not surpris­ recommendations to the Government by the follow­ Further, while selective and careful pruning of func­ statement, with the supporting papers tabled in the ing that there have been and will continue to be ing July or August. This year educators awaited the tions is the sensible approach when a government House of Representatives, 1 constitutes a unique and pressures from supporting interests for the Prime guidelines particularly keenly, since it was antici­ needs to cut expenditure, it must be admitted too that disturbing move in politics and public administration in Minister to 'wield the axe'. Moreover, with the new pated they would provide details of funding and such an approach often runs into difficulty. Agencies , and one likely to have significant effects on international austerity mood of budget cuts and trim­ policies not only for the calendar year 1982, but for and their supporting interests, for example, get time many government policy areas including education. ming of government functions, in company of such the 1982-84 triennium. Moreover, while some deci­ to organize and lobby. Thus in coldly political terms it In the history of this country, there are no comparable other heads of government as and sions announced by the Minister on 4 June were is probably true that a simultaneous major pruning examples of such extensive, dramatic and sudden no doubt the Prime Minister will want unexpected, the substantial decisions on funding for across numerous policy areas is more likely to suc­ cut-backs in government functions, or of such to boast of his achievements in paring bureaucracy tertiary education were in line with statements made ceed than a process of dealing carefully with each thorough pruning of government agencies. This and public spending. by the Prime Minister on 30 April last. policy area and portfolio in sequence. But to say that applies to both federal and state levels of govern­ The second point is that the government faces con­ the Government may have behaved rationally in ment. Of course, over past years different govern­ For education, many of the Government's decisions siderable budgetary problems. It is committed to the terms of immediate self-interest, does not mean that ment agencies have been run-down or closed, and have come as a great disappointment to the educa­ notion of tax cuts, and if it is to keep to its declared the decisions made were in the public interest, or various programs have been eliminated or reduced. tion community. They are having and will continue to overall economic strategy government outlays must even necessarily in the long term interests of the cur­ In the depression of the 19308, for example, there have a demoralizing and unsettling effect in an area be kept in check. However, government expenditure rent administration. Moreover, the long-term effects was severe contraction of government functions to where idealism, vision and continuity are key ingredi­ has mushroomed, particularly in the areas of health may be different to the short-term impact; once the achieve economies; in education recruitment of new ents for effort and excellence. Potentially many deci­ and social security, while the opportunity to substan­ decisions are actually implemented and affect teachers almost stopped and a number of teachers' sions could have substantial impact in terms of na­ tially increase income has been lost through either individuals the public response on a number of key colleges were closed. Again, after the second world tional programs and functions, and also of activity at lack of will or inability to deal with large-scale tax issues may quickly change. war, the Menzies Government attempted to reduce state and institutions levels. With regard to the ter­ avoidance. Without the special petrol levy, the One matter that is not widely understood is that the the rate of expansion of government functions, while tiary sector, the Government's decisions appear like­ Government's financial difficulties would be very con­ the Fraser Government since 1976 has eliminated a ly to lead to some quite fundamental restructuring committee of Ministers chaired by Sir Phillip Lynch siderable. Moreover, revenue from this levy will was supported by a high-level secretariat drawn number of agencies and has used a strategy of staff across particular state CAE and university sectors decline sharply in the next few years. ceilings on public service numbers. But never before within a matter of months. mainly from the Department of Prime Minister and

28 29 Cabinet, and headed by a very senior officer of that eliminating mechanisms to achieve good manage­ Significant pressure too has come and will continue recommendations of the four commissions then department (with a Ph.D in economics). Over recent ment - research, inquiries, monitoring of programs to come from the various state established (Universities, Advanced Education, years the central departments in Canberra (Prime and the building up of detailed information bases. machines, and from state premiers. Consider, for ex­ TAFE, and Schools) and announced that the triennial Minister and Cabinet, Treasury, Finance, and the The strategy adopted by the 'Razor Gang' is clear­ ample, the many 'notables· who will lose their official system or funding would be temporarily abandoned Public Service Board) have become increasingly im­ their targets generally were numerous small advisory positions (even if unpaid ones) with the abolition of and that ·for the calendar year 1976 all institutions and portant and powerful. Under 's Prime bodies and agencies, and what the Government numerous advisory boards and committees. programs would be held approximately to their 1975 Ministership, the Department of the Prime Minister would regard as 'soft' areas (meaning areas where Presumably some of those who are well connected levels of funding. In 1976, in conjunction with re­ and Cabinet has become a particularly major force in cuts would not be likely to worry powerful supporting within Liberal Party state branches will use the party instating the triennial system, but on a 'rolling basis', the Commonwealth bureaucracy; since 1976 its staff interest groups, and in fact may well please such machine as a means of expressing annoyance and the Fraser Government began the practice of issuing has grown by 17 percent, and it now has sections or groups). The savings which will be achieved will be disappointment. But more important is the fact that a guidelines to the commissions. These guidelines units which mirror and monitor the activities carried relatively small- some $560m. p.a. at an optimistic number of state Liberal Party machines are in turmoil have specified the maximum funds available for out in every other portfolio. This tendency towards estimate out of a total current Federal budget outlay because of state leadership crises, and there are allocation, and have provided broad policy direc­ centralization in government bureaucracy is under­ of $36,000m., oramere 0.15 percent. Butwhatthe considerable tensions between state Liberal Party tives. In order to influence the content of the standable - the scope of government functions is in­ Prime Minister's announcement does is to give the branches and the Prime Minister. Further, the Prime guidelines, the two current commissions began the creasing and government is becoming more and Government a long list of achievements on its political Minister's mishandling of the May Prem·lers' Con­ policy some four years ago of produc·lng reports more complex, and thus there is an increased need score card. It will be able to point to dozens of boards, ference injected a new element of instability in making recommendations to the Government on the for co-ordination. A prime minister also needsalterna­ committees and agencies that have been terminated, federal-state relations. This instability has increased guidelines. Thus early in 1981 both commissions tive advice on submissions prepared by operating with the release of the recent report of the Com­ produced detailed reports; in the case of Tertiary departments (I use this term to include both depart­ and to numerous programs that have been com­ pletelyeliminated. monwealth Grants Commission and the mid-June Education Commission its report runs to five volumes ments and statutory bodies) and presented to Premiers' Conference. Thus, for a combination of and includes over 1000 pages of text. On this occa­ cabinet by their ministers. But this centralization This last point is important. In many senses the Prime reasons, some retreat from the 'Razor Gang' deci­ sion, however, the guidelines are much more detailed (which incidentally is by no means confined to Minister's speech of 30 April can be viewed more asa sions may be expected, but this will probably tend to and prescriptive. Among other things they constitute Canberra) can be dangerous, particularly if it is statement of political philosophy, ideology and action be more in areas other than education. Moreover, the a further erosion of the independence of the two associated with centralization of power in cabinet in addressed to the media and supporting interests retreat in many cases will more likely amount to im­ remaining Commonwealth education commissions. the hands of the prime minister and a few close throughout Australia, rather than a simple agenda for plementing the formal closure of a particular agency ministerial colleagues. Thus, the central departments bureaucratic changes. In part too, the speech should Summary of the Main Decisions with Regard or program, but at the same time saving some of its to Education such as Prime Minister and Cabinet can easily be seen as posturing for negotiations with the states functions or services, or to excluding a particular become the bodies whose recommendations are with regard to reimbursement of tax income and the In essence the main decisions on education with case (e.g. one engineering school of the three respect to the Review of Commonwealth Functions generally followed, rather than agencies which re-allocation of roles between federal and state specified for closure) from ageneral policy decision. merely co-ordinate and provide alternative advice to governments. By cutting its own expenditures and are as follows: that provided by the operating departments. In turn, eliminating programs and agencies, the Common­ Another unknown in any discussion of implement­ Schools Commission the operating departments (and often their ministers) wealth is in a stronger position to insist on budgetary ation of the 'Razor Gang' decisions relates to the fact - reduction of direct involvement in program become frozen out of key decision-making in areas constraint and economy at state level. that from the commencement of the current administration in the states and of information parliamentary session the Government no longer has which affect them, and for which they and their One question that is being raised frequently is collection. ministers have to accept responsibility for imple­ a majority in the Senate. Although - scaling down of state offices. whether the Government will actually implement its Democrats are committed to a genera! pollcy of not menting policies. It also means that the detailed announced policies resulting from the Review of - greater controls over funds for school building knowledge and expertise in operating departments is blocking supply, they may well decide to use their projects. Government Functions. In other words, will the deci­ power to reject bills providing for measures such as often not used as effectively as it might in decision­ sions stick? Prediction here is hazardous. Clearly the Curriculum Development Centre making. the introduction of tuition fees in tertiary education, Government cannot afford to go back on most deci­ even if proposed legislation takes the form of state - abolition unless states agree to contribute 50 In the case of the 'Razor Gang' exercise, it appears sions without loss of credibility, but there is reason to grants bills. Apart from this, fear of rejection of legisla­ per cent of operating costs. that most, perhaps all, the operating departments expect some retreat and variations; already there are tion in the Senate may well cause the Government to - in future only curriculum projects requested by were frozen out of the decision-making; in many signs of this. I assume that reconsider particularly controversial decisions which the Australian Education Council be under­ departments particular decisions apparently were (a) some Cabinet Ministers did not grasp the full require legislation to achieve implementation. taken. totaUy unexpected. The Government no doubt would consequences of all decisions for their own Research and International Education justify the decision-making mode on this occasion on With respect to the guidelines issued to the commis­ departments and portfolios, and will argue for - abolition of Education Research and Develop­ the grounds that agreement on major cuts may have sions, it is important to recognise, as already men­ exceptions to be made; ment Committee and termination of ;;;peciai been impossible to achieve if all ministers and their tioned, that the practice of providing guidelines to (b) Ministers outside Cabinet will be likely to fightto funding for research. departments were intimately involved. But this cen­ each of the commissions prior to preparation of their retain particular programs, agencies, or func­ - scaling down of 'in-house' and contracted tralizing tendency in the bureaucracy associated with detailed financial recommendations for common­ tions within their portfolios; research in Department of Education. a similar tendency in Cabinet gives reason for real wealth expenditure has been followed since 1976. (c) back-bench Government members will be - scaling down of participation in UNESCO and concern. In the education area, for example, it poses Prior to that date, the practice was for the com­ under strong pressure from angry constituents OECD. a threatto rational and consistent policy development missions to make assessments of the needs of insti­ (and in many cases Liberal back-benchers hold tutions and programs within their areas and to make Student Financial Assistance and to developing truly national approaches, in con­ their seats by narrow majorities); junction with the states, to particular problems. It also detailed triennial reports, which included recom­ - introduction of loans scheme to be adminis­ (d) pressure to save particular programs and agen­ mendations on both policy direction and financial tered by tertiary institutions. will lead to cynicism about the value of the numerous cies will come from State Governments and committees of enquiry on education set up by the expenditure. In the case of the two older commis­ - tightening of eligibWty criter"la for TEAS. particular State Ministers; and sions (the Universities Commission and Commission Commonwealth, and of the role of policy-research (e) at !east some pressure groups will mount cam­ Tertiary Tuition Fees and the development of extensive information bases on Advanced Education), up to 1975 their re­ paigns which will attract considerable media commendations had been generally accepted by the - introduction offees in universities and CAEs for for planning. Ironically a Government which prides attention, and possibly substantial community students undertaking second and higher itself on being a good manager seems bent on government with only occasional minor variations. support. Because of budgetary pressures, in August 1975 qualifications, except for recognized double the rejected the triennial degree and diploma combinations. - above to apply to new enrolments from 1982. 30 31 University and CAE Rationalization and Funding - elimination of the Education Research and Schools Commission across the whole education enterprise, from pre­ - Government guidelines to Tertiary Education Development Committee and the Curriculum - reduction of grants in real terms to government school education to tertiary and recurrent education. Commission wi!! apply 'maximum expenditure Development Centre (unless state support is sector to enable increased funding (especially Currently it provides over 40 per cent of total funds constraints'. provided for 50 per cent of the costs of the lat­ recurrent funds) for non-government schools. for all public education, while expenditure on educa­ - Government will promote rationalization. ter). - earmarking $27m. of recurrent block grants to tion accounts for about 9 per cent of total Common­ - funding for 30 teacher education CAEs will be - rationalization of teacher education CAEs, government schools systems in 1982 for tran­ wealth outlays. In the tertiary field, the Com­ at risk after 1981 unless amalgamations. closure of engineering schools at Deakin sitionprograms. Ofthis$27m., $9m. will beset monwealth has full responsibility for providing regular - provision of $5m. to help mOve resources from University, Bendigo CAE and Preston Institute aside for cash grants to governmentsecondary capital and recurrent funding for universities and teacher education to business and technology of Technology, and insistence of greater shar­ schools or committees at the rate of $10 per CAEs, even though almost aU of these institutions are courses within advanced education. ing of resources between the two universities pupil. state institutions, set up by state governments and - closure of schools of engineering at Bendigo in . earmarking in 1982 of 15 per cent (about legally the responsibility of a State Minister of Educa­ CAE, Preston Institute and . - rejection of Commonwealth funding for the $19m.) of government schools capital program tion and Government. - assessment of grants to triennium 1982-84 to establish a University in for equipment and facilities for transition educa­ The phenomenon of Commonwealth intervention in and the University of Western Australia in future the . tion in secondary schools. Australia education is particularly interesting, both will be based on 'greater sharing and collabora­ - reduction of Schools Commission's direct - reduct'lon of Schools Comm'lssion's direct in­ from historical and constitutional viewpoints. At tion'. involvement in program administration and volvement in program administration. federation education was regarded as one of the - no Commonwealth funds will be provided for information collection. Direction of additional resources to migrant functions of government left to state responsibility, University of Northern Territory in the 1982/84 education, to the country areas program, and Tertiary Education Funding and even now it is still believed by many to be strictly triennium. to special education programs in non­ - reduction of recurrent and capital funding in or primarily a state rather thanaCommonwealth mat­ government schools. ACT Education real terms for University and CAE sectors, but a ter. But because of various political and other - insistence the schools building projects sup­ - abolition of position of Commonwealth small increase in equipment grants to replace pressures, and because of the inability of the states Teaching Commissioner. outdated equipment. ported by Commonwealth funds not exceed to cope with the magnitude of educational problems specified standards. - restructuring of ACT Schools Authority. - agreement to fully support teacher education during the second world war and the post-warexpan­ - end of arrangement permitting states to seek courses in particular non-government teachers sion period, Commonwealth Governments pro­ The decisions announced in the ministerial statement transfers of amounts between general recur­ colleges which at present receive up to 50 per gressively became more and more involved in of 4 June and in the guidelines reaffirm, elaborate and rent and capital allocations. cent funding. (Funds for this purpose will come Australian education. Legally they were able to do extend decisions announced by the Prime Minister - for non-government schools, the Government from the total grants provided for universities this mainly under powers provided in section 96 of on 30 April. They also reflect the Government's will maintain the percentage link between its and CAEs). the constitution (which gives the Commonwealth deliberate decision to give priority to the areas of general recurrent grants and average govern­ - provision of increased recurrent funding for Parliament power to 'grant financial assistance to any technical and further education, vocational educa­ ment schools standard costs and compress TAFE. State on such terms and conditions as the Parliament tion, and transition education, and its sensitivity to the the existing six subsidy levels to three. - the TEC will report on progress with regard to thinks fit') and through the Social Services amend­ needs and pressures of the non-government school - provision of an additional $25m. over three CAE amalgamations by 30 June 1981. ment to section 51 of the constitution achieved in sector. The key decisions in summary are as follows: years (1981-83) to assist non-government - funding allocated includes provision for the 1946 (which gave the Parliament powers to make schools with the provision of new places. Genera! estabHshment of research centres of excel­ laws 'with respect to the provision of ... benefits to - elimination of Innovations program. - the Minister claimed that 'the overall financial lence in universities, development of com­ stUdents'). From a constitutional point of view, it is outcomes for Commonwealth programs admin­ munity language programs, and 350 additional Significance and Likely Consequences clear that the Commonwealth has very considerable istered by the education commissions is that basic nursing training places. This section discusses the significance of particular power indeed to influence Australian education. total spending will be maintained at the 1981 decisions and their likely consequences with regard Endorsement of or reaction to TEC recommend­ The Prime Minister's statement of 30 April last raised level in real terms with the cost of election in­ to four topics: the future of Commonwealth involve­ ations with regard to Tertiary Education disturbing questions in the minds of many educators. itiatives provided as an addition' and the total ment in education; funding for tertiary education; the - universities to be recognised as having a Did it signify a new direction in Commonwealth in· sums to be made available in 'out-turn prices' introduction of tuition fees; and rationalization of the volvement in education, after a period of almost forty will be $2,871.2m. representing 'an increase special institutional commitment to scholarship CAE sector. Concentration on these topics in no way years, under both Labor and non-Labor administra­ over 1981 of 1.5 percent in real terms'. and research and to training scholars and is meant to imply that other decisions or issues are research workers. less important. tions, in which the Commonwealth has been steadily - elimination of present practice of retrospective - special funds not be provided for research in expanding its influence and role? Did it imply that the supplementation for cost increases and in­ CAEs. (a) The Future of Commonwealth Involvement in current Government plans to retreat from its involve­ stead inclusion of prospective allowance to - The TEC's revised guidelines for masters Education ment in education and leave education to the states? take account of cost increases. The Fraser Government's recent decisions on degrees in CAEs be adopted (i.e. such pro­ The two sentences used by the Prime Minister to - inclusion of word 'Commonwealth' in the title of education raise broad questions about the likely grams to have an applied nature, be provided commence the section of his statement on education the Schools Commission and the Tertiary future role of the Commonwealth Government in only in deSignated CAEs, and not duplicate are of key importance. They read as follows: Education Commission. activities in other universities and colleges). Australian education, and about federal and state - greater emphasis to transition programs in both - The advanced education sector should main­ responsibilities for this policy area. As with Health, the Commonwealth believes secondary schools and TAFE (Up to $ 7 5 Am. tain its vocational objectives and not provide for that the States havea primary responsibility for Since the second world war, the Commonwealth's the administration and delivery of educational will be allocated for 1982). significant enrolments in liberal studies role in education has expanded dramatically. Until - Government has under review payment of services. Accordingly, it proposes to reduce courses. 1939 the Commonwealth Government played only a 3 unemployment benefits to 16 and 17 yearolds. significantly its involvement in this area. - redirection of effort in advanced education minor part in Australian education; its expenditure on Reaffirmation of 'Razor Gang' decisions from teacher education to the technologies and education was a mere fraction of total government One interpretation of these sentences is that, - introduction of tuition fees for second and busines studies and re-allocation of resources expenditure on education, and consisted of a few because the Commonwealth Government believes higher degree students. accordingly. speCialised programs, related mainly to universities education to be primarily a state responsibility, it thus - introduction of a loans scheme for tertiary - Government will examine TEC recommend­ and pre-school education. However, now the Com­ intends to significantly reduce its involvement in the students. ations with regard to superannuation. monwealth Government has major commitments education area. However, a different interpretation - TEC to report further on duplication with regard to external studies. 32 33 ting to push unpleasant decisions (such as details for recurrent funds in real terms for 1982 to the two can be drawn if the words 'primary responsibility for substantial recurrent grants to the state school rationalization) back to the states. This situation has higher education sectors vary, but current informed the administration and delivery of educational ser" systems (over which theCommonwealth to date has sometimes placed state co-ordinating authorities in a opinion is that a cut of at least 1.5 or 2 per cent is vices' are given emphasis. Thus the Prime Minister's achieved a minimum degree of real influence) would difficult and unenviable position, and increasingly in implied. statement can be understood to mean not neces­ pose considerable problems. It would mean, among functional terms they have come to look more !ike While there is some ambiguity concerning the actual sarily signalling substantial withdrawal of financial other things, that the Schools Commission would branch offices of the TEC rather than state agencies, support for education, but rather proposing with­ become primarily (even entirely) an agency to fund cuts in real terms, a number of other things with drawal from primary responsibility for administration non-government schools; it would also most likely The most sensible solution is to seek a more rational regard to funding are clear. First, the tota! sum pro­ and delivery of educational services. threaten a return to the old divisive debate on 'state­ allocation of roles and responsibllities among vided for universities and colleges already includes aid'. At the same time, it should be noted that the Commonwealth and state governments on education provision for funding the Government's 1980 elec­ The statement by the Minister for Education on 4 gradual shifting of resources from government to and to work to achieve a more co-operative, joint tion commitments (research centres of excellence, June would appear to support the second of the two non-government sectors may well eventually pro­ federal-state approach to educational needs and community language courses, and 350 additional interpretations. Two sections from his speech should voke state school interests to the point that they are problems. If, as a nation, we are committed to a baSic nursing places in CAEs), and for providing full be noted. Early in the speech he stated: able to revive, at least to some degree, the 'state-aid' federal political system in which government at both support for teacher education in certain non­ The states have the primary responsibility for dispute as a political issue of substance. levels wish a major involvement in education, we government teachers colleges which currently the administration and delivery of educational should strive to make federalism work to the benefit receive only up to 50 per cent of recurrent costs. services, particularly at schoollevel. The Com­ While reduction of Commonwealth financial support of education, not to its disadvantage. Second, when the number of students required to monwealth provides full funding for univer­ for particular education sectors and elimination of pay tuition fees at each institution is determined acor­ (b) Funding for Tertiary Education sities and colleges of advanced education and particular programs and functions will have unfor­ responding adjustment will be made to the levels of In his statement of 30 April the Prime Minister said supplementary funds for quality improvement. tunate effects, particularly after six years of recurrent grants. Third, the Government intends that that, in determining the guidelines for the two com­ for general development and for priority areas budgetary constraints, it should be admitted that the consolidation of institutions will result in real saving of missions, the Government would 'be applying max­ in schools and TAFE. The Commonwealth current federal-state financial arrangements with resources, and will fund institutions on that basis. believes it has a particular role in identifying regard to education are by no means entirely satisfac­ imum expenditure constraints to the programs in all and bringing resources to bear on educational sectors'. The guidelines certainly do this. However, With regard to the new scheme of supplementation, 4 tory. Rather in many respects they are inefficient and issues of national importance. dysfunctional, and are a direct source of some of the they provide for much greater constraint on universi­ the guidelines state that in adopting the new arrange­ His concluding words were: current problems now being faced in particular sec­ ty and advanced education sectors than they do for ment 'the government has taken a more rigorous The Commonwealth will maintain its overaff tors. Federal-state roles and responsibilities for schools and TAFE. Whereas the TEC sought approach towards cost adjustment which in the past commitment to education as a priority area of education are a complex and difficult matter. On the $1352.8m. in recurrent f.LJnds for universities and has provided additional funds automatically and has direct Commonwealth endeavour,5 one hand, state governments have made it clear that CAEs for 1982 (estimated at December 1980 price had a tendency to insulate educational institutions Thus, the most Ilkely overall 'Interpretat'lon of the two they do not wish to relinquish control of any sector of levels), the grant will be $1337.7m. (compared with from the effects of inflation and from the need to speeches and sets of decisions with regard toCom­ education (even higher education, where they no $1340.6m. in 1981). Alternatively expressed in contain excessive wage claims'. Whether, in fact, the monwealth involvement in education and federal­ longer pay the bill), and quite rightly they argue that it 1982 outturn prices the grant for 1982 will be current system has led to a measure of irrespon­ state roles is that the Fraser Government wishes to is desirable for each state government to adopt those $1558.4m. compared with the 1981 grant of sibility by tertiary institutions is a matter open to scale down its direct involvement in the delivery of policies on education to best meet local needs and $1566.5m. Detailed information is provided in Table debate, particularly when it is recognized that for education services, particularly in relation to schools, demands, On the other hand, toasubstantialdegree, 1. both academic staff and many categories of non­ and to push state governments to accept a greater a national approach to many aspects of education is Table 1 academic staff salary levels are set not by tertiary highly desirable. Education obviously isnot unrelated institutions but by national or state tribunals or wage­ share of responsibility in the area of education, par­ University and CAE Grants for 1981, and Recom­ ticularly with regard to state schools. to national policy with regard to labour market needs fixing commissions. The actual practice of prospec­ and supply, employment and re-training policies, and mendations and Guidelines for 1982 ($m,)' tive provision for cost increases may not necessarily This interpretation fits with past statements by Mr. to immigration policy. Many education research and Grants 1981 Recommendations Guidelines be a bad one, but whether it works to the advantage or Fraser and his Ministers, who have made it clear on policy problems are common across the nation and Councils TEC for 1982 disadvantage of tertiary institutions will depend large­ numerous occasions since 1976 that they believe not confined Simply to one state, while tertiary institu­ Recurrent 1340.6 1390.0 1352.8 1333.7 lyon how accurate and realistic the cost forecasting that the states should do much more in education. At tions to a substantial extent are producing profes­ Equipment 56.2 67.3 67.3 59.9 is, and how generous are the allowances made the same time, they have frequently asserted that the sionals and skilled manpower to meet national labour Capital 36.1 67.7 50.0 31.1 annually for antiCipated cost increases. Moreover, Government has no intention of withdrawing from market needs. In higher education, the problem is Total 1432.9 1525.0 1470.1 1424.7 because this system introduces greater uncertainty education. In view of the role of non-Laboradministra­ particularly difficult. While state governments have 'Estimated December 1980 quarter price levels for recurrent and into budgeting, proviSion is necessary for both tions over a long period under Menzies and his suc­ jealously sought to retain their legal rights with regard equipment grants. and estimated December 1980 price levels for institutions and their sub-units (i.e. schools, depart­ capital grants cessors in drawing the Commonwealth further into to the control of universities and CAEs, since 1974 ments) to be able to carry funds between years within education, it is hard to imagine that total withdrawal (when 'tota!' Commonwealth funding for higher The actual impact that these cuts will have on each triennia. would be an acceptable policy generally within the education began) State Ministers and administra­ non-Labor parties. Moreover, in the schools area the individual institutions will not be known for some Unlike previous years, the 1981 guidelines do not tions have often acted less than responsibly. months until the Government decides on precise specify enrolment targets or maximum numbers for Commonwealth is 'locked-in' because of its substan­ Generally they have sought simply to maximize state tial commitments to non-government schools. No grants to institutions, following consideration of university and CAE sectors, despite the fact that the financial advantage (sometimes even to the extent of Volume 2 of the TEe report due by 31 August. But TEC recommended precise figures (120,000 EFTS government, non-Labor or Labor, is likely to substan­ pushing courses from TAFE to CAEs, or from secon­ tially reduce or eliminate funding for non-government apart from this, the new arrangement to replace to 124,000 EFTS for colleges for each year, and dary education to TAFE) and to keep out of political retrospective supplementation to institutions for cost 139,000 WSU to 142,000 WSU for universities) schools; the electoral risks simply would be too trouble. Consequently many of the states have been great. The only possible way out would be if the increases due to salary rises with asystem of building which were at about 1 per cent below 1981 enrol­ slow to face up to problems of rationalization or pos­ in a prospective allowance to take account of cost ment levels. Until it is possible to estimate the effects states were prepared to accept this responsib'IHty, sible closures. Undoubtedly State Ministers in a but it is difficult to imagine a Commonwealth Govern­ increases has injected a major added element of un­ of tuition fees, and until there are decisions on TEAS number of cases have stalled on or rejected outright certainty since the total sums announced for 1982 allowances and the conditions of loans, it is not pos­ ment being able to provide sufficiently attractive in­ unpopular decisions recommended by state co­ centives to achieve this. Further, if the Common­ are said to already include the prospective allowance sible to predict in broad terms the likely levels of ordinating agencies. The reverse side of the coin is for cost adjustment. Estimates of the reduction in enrolments for sectors, let alone for institutions. wealth is thus 'locked-in' to continuing support for that the Commonwealth has tended to dominate in non-government schools, elimination of the very policy determination, while at the same time attemp- 35 34 For 1983 and 1984 the total recurrent allocation for Fees' is used in official documents, such fees will release, however, issued by the Minister for Educa­ univerSities and CAEs wi!! be at the same as for 1982 apply to students in universities and colleges of A number of the decisions with regard to tuition fees - $1558.4 expressed in 1982 outturn prices. advanced education only; presumably one intention tion on 2 July provided important details on a number announced by the Minister on 2 July are somewhat Under the new cost adjustment procedures, the is to provide a further incentive to shift enrolments of points. In summary this release announced: surprising. In the first place, the decision on fee levels grants will be adjusted on a prospective basis at the from higher education to technical and further educa­ (a) The annual tuition fees to apply from 1982 for marks a distinct change from previous approaches in commencement of each program year. tion. Third, inevitably the imposition of fees wi!! have students beginning full-time courses for second this country. The policy now is that for all courses, or higher degrees in Universities and colleges of whether in universities or CAEs, there will be a com­ Continuing budget constraint, at least until 1984, will an adverse effect on research and higher degree work. This is unfortunate, particularly as it comes advanced education will be $1000. mon fee for full-time students of $1000 p.a., place a further continuing strain on universities and after a period of five or six years when research fund­ (b) Fees will not apply to any students who had begun irrespective of whether the course is a bachelors colleges. It will pose difficulties for institutional ing generally has been seriously reduced and the a course prior to 1982. degree, a graduate diploma or a Ph.D., and irrespec­ management and lead to more intense competition attractiveness of the relatively small numbers of post­ (e) Fees for part-time students 'would be calculated tive of the field of study. The only exception will be within institutions for available resources. But in the graduate scholarships drastically eroded. It is a by individual tertiary institutions on a pro rata that maximum charges are provided for masters and longer term real concern must be about maintaining basis'. further blow to efforts to develop strong research Ph.D. courses only. Currently the fees charged to quality and high academic standards, and about departments and graduate programs. Yet at the same (d) The maximum total fees to be changed for overseas full-time students vary between both narrowing access to higher education. Moreover, time, in official policy statements the present Govern­ students completing a doctoral degree would be course fields and levels - $2500 p.a. for post­ after the past six years of budgetary constraint, there ment has emphasised the need for such develop­ $3000, while the maximum total fees for students graduate courses, $2000 p.8. for first degree must come a time when both the TEC and institutions completing a masters degree would be $2000. courses in medicine, dentistry and veterinary have to face up to the question of whether cuts ments. Indeed, the Guidelines endorse the view of the TEe (e) Students would not be required to pay fees if they science, an $1500 p.a. for other courses. 7 Similarly should continue to be shared more or less equally were fee levels charged by institutions up to 1973 varied 'across the board', or whether they should be selec­ that universities should be recognized as having a special institutional commitment to - enrolled for a first diploma at either under­ between levels of courses and fields, and also be­ tive. It is Significant to note that in the U. K. the Univer­ scholarship and research and to training graduate or post graduate leve!; tween sectors; CAE fees were substantially less than sity Grants Committee had adopted a selective scholars and research workers - the Govern­ - enrolled for a first degree; fees in universities, and within sectors there were strategy forthe 1980s. Under this strategy, ten of the ment's commitment to the establishment of - enrolled for an honours year, masters qualify- also minor variations between different institutions. In 45 universities will be largely protected from the full research centres of excellence in universities ing course or legal skills course; the case of the , for exam pie , rigour of cuts in public expenditure, while others will is evidence of its support. - enrolled in a combination course approved in 1973 the annual tuition fees charged (excluding bear a larger proportion of the burden; the least Fourth, imposition of fees will provide strong under the TEAS scheme where the combined general service fees) are shown in Table 2. This table favoured universities thus wi!! face budget reduc­ disincentives to particular professionals wishing to course was a first qualification; and also shows approximate cost levels at 1981 prices. It tions over the next three years of between 18 and 27 up-grade their qualifications or to acquire additional - upgrading an associate diploma or similar lower will be noted that fees varied at bachelors level be­ per cent.6 skills, or to new graduates wishing to take particular level qualification to a bachelor degree or tween the expensive and less expensive faculties, (c) Tuition Fees in Universities and Colleges of additional courses in order to acquire skills related to diploma in the same field. and that postgraduate fees were substantially less Advanced Education a particular specialized occupation. In a highly (f) Exemption from fees would apply to the following than undergraduate fees. cases: The key decisions announced by the Prime Minister technological society undergoing a period of rapid This means that relatively the new charges for on 30 April and by the Minister on 4 June concerning change, it might be thought that governments would - overseas students who had paid the Overseas graduate study are substantially greater than the the imposition of tuition fees in tertiary education provide every incentive possible to encourage re­ Students' charge and overseas students who charges which operated in 1973. At the same time, were as follows: training and up-dating, and professionals to develop had been exempted; fees for undergraduate study, especially in the new skills and fields of expertise. Fifth, because of - students holding Commonwealth Government expensive faculties, are less. - fees will be charged in universities and CAEs for the degree of course overlap between universities awards; students 'undertaking degrees and diplomas and colleges of advanced education, theirfuturesare students holding university, CAE, or state Table 2 subsequent to an initial tertiary qualification, closely related. For example, the effects of fees on government awards of at!east $3500 p.a.; and Tuition fees atthe University of Melbourne in 1973, except for recognized double degree and diploma universities may well have a direct impact on - full-time academic staff of tertiary institutions. and 1973 Fee Levels combinations'; Adjusted to 1981 Prices enrolments in college courses, or vice versa. Sixth, it These decisions indicate a further softening of recent - fees will apply to new enrolments from 1982; 1973 1981 isnot always appreCiated that theCommonwea!th has Commonwealth policy determinations on education. - the scale of fees to be charged will be announced considerable potential power to ensure that its policy p.a. p.a in the budget in August; According to the initial announcements, it appeared Bachelors degree courses in full-time $456 $1140 on tuition fees is enforced. According to the Prime likely that many students who will now be exempted Arts, Commerce, Law, part-time $228 $570 - postgraduate students receiving Commonwealth Minister's document, grants to universities and CAEs Music etc. single"subject $153 $359 Postgraduate Awards will be exempt; and would be liable to pay fees. Forexmaple, at face value will be calculated on the basis that fees will be the original statement that fees would be charged for - grants to universities and colleges will be offset to charged by the institutions. But apart from this, the Bachelors degree courses in full-time $528 $1320 take account of fee income. students 'undertaking degrees and diplomas subse­ Science, Medicine, part·time $264 $660 collection of fees by institutions could well be made a quent to an initial tertiary qualification, except for Dentistry etc single-subject $153 $359 A number of genera! points need to be made in condition of the grants to institutions in the relevant recognised double degree and diploma qualifica­ states grants legislation. Similarly by such means the Masters and PhD degree full·time $180 $450 discussing these policy decisions. First, a distinction tions' seemed clearly to mean that even students courses part-time $90 $225 needs to be made between the issue of whether or Government could coerce institutions to operate the upgrading in the same field from associate diploma or Second, the exemptions agreed to are quite signifi­ not it is desirable and equitable for tuition fees to be tertiary loans scheme . This, of course, presumes that diploma award to diploma or bachelor degree would charged in any higher education system, and the re­ the Government wi!! be able to secure passage of cant. For many university education schoo!s and be charged fees. Such upgrading is particularly com­ social science departments the exemption of fees for imposition of fees, especially in a time when the appropriate legislation through the Senate. mon in education; in fact, upgrading from two or three higher education system is undergoing one of its all 'full-time academic staff in tertiary institutions' will The Prime Minister's statement of 30 April, the year status to a B. Ed. degree providesasizeable pro­ have an important effect on part-time graduate enrol­ most difficult periods for many years. The removal of Minister's statement of 4 June and the guidelines all portion of total student load in education in many abenefitwhich has come to be regarded as a right will ments, particularly at Ph.D. level; in many such left vague and uncertain many aspects concerning CAEs. Similarly the phrase 'initial tertiary qualifica­ departments, the bulk of part-time enrolments forthe inevitably cause resentment and conflict, and higher the implementation of the tuition fees policy. For tion' could easily have been interpreted in such a way education institutions currently have enough prob­ Ph. D. degree are university and CAE staff. Similarly example, no rea! guidance was provided with respect as to mean that a student holding a TAFE certificate exempting students studying for 'a first diploma ... at lems to face without those that will follow from this to likely fee levels, orto how the key words 'initialter­ would be charged fees for any award course decision. Second, although the term 'Tertiary Tuition postgraduate level' is likely to lessen Significantly the tiary qualification' would be defined. A news media attempted in universities or CAEs. impact of tuition fees on graduate diploma enrol­ ments in CAEs. 36 37 Third, it is somewhat surprising that fee levels were However, in his speech the Prime Minister took a Having said all this, a key question to raise is whether strategies, however, could seriously damage most, if not specified for part-time study; rather the Minister softer line; he said that funding for the thirty teacher rationalization and consolidation are necessary. not all, programs, and make particular colleges no had said that fees for part-time students will 'be education colleges is at risk only if satisfactory Obviously on this issue there will be sharp dif­ longer viable as separate institutions. Moreover, calculated by individual tertiary institutions on a arrangements are not made by the States by the end ferences of opinion, but I consider there is strong there is along-term problem. In a 'steady-state' situa­ pro-rata basis'. This may well pose considerable of 1981, and this position was taken by the Minister in evidence for some degree of rationalization being tion enrolment demand is unlikely to be constant in all problems, since at both undergraduate and graduate his 4 June speech. Apart from this, there are ambi­ necessary nationally (but not necessarily in each fields over time; in some there will be steady decline, levels the actual load carried by individual part-time guities in all the documents concerning the terms state) if the following assumptions are accepted: while over the same period in others demand wi!! students as a proportion of the typical normal full-time 'multi-purpose' and 'multi-campus'; at last two of the (1) Further substantial reduction in teacher educa­ increase. What is required then, is a suitable student load can vary to a major extent. The Govern­ three Catholic teachers colleges on the closure list tion numbers is necessary because of demo­ mechanism to allow adjustments to take place over ment may well want to reduce grants to individual are already mUlti-campus institutions. 11 graphic trends, and since governments are not time, with minimum dislocation and the minimum institutions on the basis of the numbers part-time What is clear, however, is that the Commonwealth is willing to further decrease class size in schools, effect on staff employment. students who should be paying fees, using either the insisting on major rationalization and amalgamation, or to use spare capacity in CAEs to make a WSU method (for universities) or the EFTS method and that this must proceed at a much faster rate than deliberate attempt to markedly up-grade the (for CAEs) for calculating student load. Such a pro­ qualifications and skills of school teachers. Table 3 the Tertiary Education Commission had in mind. Enrolments in Victorian Colleges cedure could lead ineVitably to tensions and argu­ These decisions mark further moves towards greater (2) Forthe next few years (perhaps the next decade) ment, and also most likely to inequities between overall enrolments in higher education are un­ of Advanced Education Commonwealth domination of policy-making for (expressed in EFTS) students and between sectors. higher education, despite the fact that the Govern­ likely to increase substantially at all. Fourth, all the various exemptions granted will mean ment's declared policy is that the states 'have the (3) Tight budgetary constraint will continue to Variation that the actual cost savings will be much less than primary responsibility for the administration and operate, even after the 1982-84 triennium. 1975 1978 1980 1978 to 1980 Ballarat 1572 1542 1516 -26 originally anticipated. A press report in early MayS delivery of education services'. They also mark a Of course, each of these assumptions may well be Bendigo 1627 1716 1411 -305 suggested that a total saving of $28m. p.a. would be change in practice; to date the Commonwealth has challenged as to whether the prediction is realistic Caulfield 3072 3497 3676 +179 achieved in time, but on present indications the actual generally adopted the line that within advanced and the underlying policy desirable. Footscray 1572 1937 2098 +161 savings will be far less. This raises even more sharply education it is a state matter to decide on how Gippsland 915 1302 1522 +220 Take the case of , where clearly there is a lincoln 786 1430 1555 +125 whether the administrative costs involved warrant available resources will be spent within the context of problem if the above assumptions are accepted. Prahran 977 1225 1487 +262 implementation of the scheme. overall guidelines. But on this occasion theCommon­ Preston 1215 1719 1852 +133 Table 3 presents enrolment data for colleges of ad­ wealth has determined precisely which institutions RMIT 7573 7730 8145 +415 (d) Rationalization in Higher Education vanced education. Of the twenty-two colleges, only SCV Burwood 1447 -38 must amalgamate, and has named even particular 1562 1524 One of the major thrusts of both the Prime Minister's six had an EFTS in 1980 of more than 2000. Many SCV Coburg 1020 1211 1101 -110 engineering schools for closure or possible closure. statement with regard to education and the Minister's colleges are very small indeed,'and concentrate on a SCV Frankston 1056 1043 726 -317 On this point, it is significant to see that at least one SCV Hawthorn 1250 1248 1193 -55 statement relates to rationalization in higher educa­ single field or occupational area. The teachers State Minister of Education has been highly critical of Inst. of Catholic Ed. 1339 1156 -183 tion. According to the Prime Minister, 'the Govern­ colleges constitute the largest single group of small ICED 610 723 719 -4 the Commonwealth. In his press release of 5 May, the ment has been concerned at the proliferation of colleges, but they are by no means the only small Melbourne 3777 3793 3569 -224 Hon. A. J. Hunt, MLC, Victorian Minister of Educa­ Rusden 1875 2052 2009 -43 separate institutions and proposes immediate action colleges in the state. This raises the question of why tion, called the Prime Minister's statement with Toorak 1190 1295 1190 -95 to minimise this trend and to provide formore efficient teachers colleges alone are the current target of the regard to rationalization 'a unilateral, blunt, insen­ Swinburne 3307 3514 3663 +149 use of resources'.9 The plan thus is to consolidate Commonwealth Government for amalgamations, Pharmacy 375 346 377 +31 sitive and ill-considered announcement' and one thirty CAEs (nine of them in Victoria) for which particularly as the Prime Minister's statement refers College 01 the Arts 165 366 462 +96 'which disclosed no appreciation whatever of the 492 845 875 +30 teacher education is the main activity into larger insti­ to concern generally about the proliferation of small problems involved for staff, for students and for tutions (either into multi-purpose or multi-campus colleges. In Victoria, the two smallest colleges are 358734143541930 +495 institutions'. He also said: colleges, or by integration with neighbouring univer­ the College of the Arts and the Victorian College of It was an unnecessary announcement, for the Source: TEG reports and Victorian Post-Secondary Education sities), to close engineering schools at Bendigo CAE, Commission problems which it addressed had been Pharmacy. both of which have an EFTS of below 500. Preston Institute of Technology and Deakin Univer­ mutually resolved and the steps necessary to But apart of this point, many of the small colleges sity (and possibly at Caulfield Instituteof Technology achieve the results desired by the Common­ operate in facilities that are sub-standard, and jf they Three other pOints need to be made about rational­ too), and to attempt to divert some resources from wealth were already in course of discussion are to develop strong work at degree and post­ ization proposals. First, the time-scale demanded by teacher education to technology and business with the cof/eges concerned in a consultative graduate levels (and practically all colleges aspire to the Commonwealth Government could easily lead to studies. Unless the states make arrangements way. It was a misleading statement because it this) would require substantial investment in better hurried and poorly conceived plans; good planning satisfactorytotheCommonwealth by the end of 1981 gave the impression that wholesale closure of libraries and laboratories, and in staff with specialized needs adequate t'lme for information collection, con­ with respect to the thirty single-purpose teachers colleges was likely to result, or that their funds high-level skills. In addition, Deakin University's off­ sultation and wide canvassing of options. Second, in colleges, their future funding by theCommonwealth would be withdrawn. In doing so it fueled the campus programme provides a serious and growing attempting to respond to an immedlate problem, fires of uncertainty and was quite damaging to clearly is at risk. morale. 12 threat to the viability of a particular courses in a thought needs to be given to long-term as well as Close reading of the relevant paragraphs in the Prime number of smaller colleges. The Commonwealth short-term needs. Rationalization of teacher educa­ One further point deserving comment is an apparent requires that teacher education enrolments in Vic­ tion is an example of a short-term problem that could Minister's statement and comparison of these with contradiction on government policy with regard to the detail set out in the supporting papers reveals torian CAEs be reduced from 14,500 in 1981 to easily dominate future planning for higher education teacher education. At the same time as the Common­ 12.000 by 1984, and that resources be shifted to to an extent far beyond the emphasis this problem some ambiguities. For example, the supporting wealth Government is insisting on amalgamation of papers state bluntly that 'Commonwealth Funding for other fields. Yet the current organizational arrange­ requires. Third, to achieve reductions in teacher thirty teacher education CAEs (including three ments make the required adjustments within the education and rationalization will require additional thirty single purpose CAEs to cease as single pur­ Catholic institutions) on the grounds of concern pose inst'itutionsfromtheendof 1981',10 but also say: specified time almost impossible to achieve, unless short-term resources. It is disappointing that the about proliferation of separate institutions, it has particular teachers colleges are closed and their Commonwealth Government makes no mention of Consideration to be given to funding activities agreed to fully support teacher education courses in of single purpose CAEs where they have resources diverted to other institutions, or unless how staff redundancies will be handled; this issue is amalgamated with or into longer institutions to 'certain non-government teachers colleges' (no substantial cuts are made in all CAE teacher educa­ crucial. Fourth, pressure for a number of colleges to the satisfaction of the Commonwealth by the names or details given) which currently receive par­ tion programs with resources then being released for amalgamate with nearby universities pose special end of 1981. tial funding. Further, the TEC advised specifically courses elsewhere. The second of these two problems, particularly relating to the integration of against such funding.

38 39 CAE functions and academic staff, and to the univer­ notice. In the past tertiary institutions in this country s, A. E. Daniel sity research thrust. If integration of CAEs with near­ probably did not need such units, buttoday'senviron­ A CASE AGAINST THE by universities was to be the eventual government ment is distinctly different to that of the past. and the staff of the School of Sociology, RE-INTRODUCTION University of New South Wales strategy for places like Townsville, Armidale, FinaUy, there is one even more fundamental cause for Newcastle, Wollongong, and so on, the tragedy is concern. For much of this paper I have assumed that OF UNIVERSITY FEES that the process of integration was not begun years the Government's current moves mark an unfort" ago, during the period of rapid growth. In the western unate retreat in terms of sympathetic consideration Canadian provinces, government teachers colleges for education, a retreat dictated essentially by were reasonably successfully integrated into the The Federal Government has announced its intention demands on the students concerned. If fees are now political necessity, and that education is undergoing a added to the existing commitment, their deterrent universities in the 1960s, but this took place in a of re-introducing fees for second and higher degrees period of financial constraint demanded simply by effect could be considerable, especially as the prob­ period of rapid expansion and while the teachers col­ in Australian tertiary educational institutions. We Government economic policy. Some would argue, lems of inflation and unemployment have made post­ leges were still very small institutions (many offered believe this to be a short-sighted and socially however, that recent developments especially with graduate study less attractive than it was a decade only a one or two year course). Furthermore, gen­ destructive policy, whose financial value is in any regard to tertiary education should be seen within the ago. The prosperity of Australia for the remainder of erous funding provided opportunities for teachers case trivial. context of deliberate efforts by conservative the century will be closely linked with the welfare of college staff with inadequate formal qualifications to interests in our society to move resources from the In 1979, the Williams Report on education and primary industry, the development of natural take leave on salary to attempt higher degrees. But public to private sectors, to reduce the importance of employment restated the principle that university resources, and the ability of industry to adjust to rapid this is far from the difficult situation being forced on a all tertiary education that does not have a directvoca­ education should remain available to all persons of technological change. In the circumstances, to number of smaller universities and adjoining tiona! relevance (hence the emphasis on TAFE and appropriate abilityl. This Report was endorsed by the discourage graduates seeking advanced expertise colleges. within advanced education on business studies and Government when it appeared. The Government's in relevant areas is remarkably ill-considered. The Concluding Comments technologies), and to achieve substantial reductions proposed action will present a deterrent to persons history of the last 50 years demonstrates that losses For many educators, perhaps the greatest reason for in student enrolments in vocational programs training of proved academic competence. of this kind are not easily made up. Companies disappointment concerning the recent Common­ personnel essentialJy for public sector employment The Government does not intend to re-introduce engaged in resources development are reporting dif· wealth decisions with regard to education is that 'ad (e.g. teaching, social welfare etc.). The same line of fees for undergraduate students, who make up ficulty in recruiting speCialist engineers, and are hocism' has triumphed once again over rational and argument would also see the moves as a subtle attack approximately 85 per cent of the student population. actively recruiting overseas. J. P. Cox, in a paper consistent planning, and that short-term political con­ on the whole notion of a truly liberal education and the At the time that fees were abolished in 1973, they written for the Williams Committee, noted the siderations have dominated at the expense of long­ development of a highly educated, articulate, accounted for about 5 per cent of university income. likelihood of this shortfall, and the recent report of the term national interests. A basic need in modern humane and pluralistic democratic SOciety. Hence the re-introduction of fees will make a Tertiary Education Commission comments that the democracies is for governments to be able to difference of less than 1 per cent to university demand for professional engineers, especially those develop consistent, well-thoughtout, forward REFERENCES finances. Its damaging effects, however, will be far with advanced qualifications, exceeds the numbers policies for education, based on adequate informa­ 1. Ministerial Statement: Review of Commonwealth greater than this small percentage suggests. The produced by the universities. 4 tion and research, and on consultation, and for a high Functions, Publishing present proportion of graduate and second degree level co-ordination to be achieved in developing Services, Canberra, 1981. students is not simply the result of abolition of fees. In The loss of graduate students will have serious 2. Statement on Commonwealth Education Policy and effects on the level of research in the universities. these policies in conjunction with policy on economic Financial Guidelines to the Commonwealth Education 1.972, before abolition, graduate students already affairs, labour market needs, immigration policy, and accounted for 10 per cent of the university popula­ Figures produced by the TE.C. and by Project Commissions: Statement by the Minister for Educa­ SCORES show that 40 percentof university research social and cultural considerations. tion, The Han. Wal. Fife, 4 June 1981, Canberra, 1981. tion', since then, numbers have risen only slowly to is carried out by graduate students. A run-down in A somewhat similar reason for regret is that the 3. Ministerial Statement, p.21. the present 12 per cent. The Government may 4. Statement on Commonwealth Education Policy, p.2. perhaps calculate that if the current proportion falls research within the universities will ultimately mean a apparent problems have stimulated a short-term 5. Ibid., p.25. back to the 197 21evel, this is not a dramatic reduction decline in the quality of teaching and scholarship, par­ 'band-aid' approach, instead of asking whether other 6. The Times Higher Education Supplement, 3 July and wi!! make comparatively little difference to the ticularly in smaller and more vulnerable institutions options are feasible, and whether there are funda­ 1981. academic scene. We believe such a calculation to be removed from the larger centres of academic activity. mental long-term goals to which institutions and 7. These fees will rise from 1982 as follows: first degree mistaken. The re-introduction of fees is likely to have Such a run-down can only have a damaging effect on systems might aspire. For example, the issue of the in medicine, dentistry and veterinary science from a double effect, i.e. to induce currently enrolled the cultural development of Australia, in which the sectoral boundary between advanced education and $2,000 p.a. to $2, 200 p.a.; and other undergraduate students to abandon their postgraduate studies 2 and universities have a particular role to play, quite apart TAFE could well be questioned. At least for some courses from $1,500 p.a. to $1,700 p.a. The fee of also to deter potential graduate students from from their function in producing graduates with geographic regions (and even whole states) the $2,500 p.a. for postgraduate courses, however, will remain unchanged. enrolling. Thus, the proportion may well drop specialised occupational skills. But the problem does notion of multi-level, mUlti-campus regional colleges, 8. The Australian, 1 May 1981 Significantly below the 1972 level. not end there. An increasing proportion of graduate incorporating both CAE and TAFEfunctions, appears 9. Ministerial Statement, p.23. students are concerned not so much with research to make sense;13 such a strategy may well be 10. Ministerial Statement, supporting papers, p.13. In addition, the collection of fees will impose a signifi­ but with updating and extending their qualifications in preferable to the forced amalgamations of CAEs 11. Policy with regard to teacher education enrolments cant administrative burden on the universities, the a world where technological and socio-economic with universities in places such as Armidale and in Catholic teachers colleges funded as CAEs has cost of which will largely consume the amounts changes have effectively shortened the life of skills, Newcastle. provided a dilemma for governments. Because they collected. The establishment of such an organisation knowledge and information obtained through a first are small and because to date they have had few prob­ would, of course, create a ready-made structure for Another cause for concern is whether many tertiary blems in placing their graduates in Catholic schools, degree. The cost of doing so will, of course, be collecting fees from undergraduate students if the disproportionately high for those students who have institutions and state government agencies have the they have argued for exemption from enrolments Government should decide to extend its policy to this capacity to respond quickly to Commonwealth reductions. Other CAEs, however, have argued that returned to university at their own initiative without level. Government initiatives. For example, very few ter­ reductions should be shared equaUy. institutional or corporate backing. The community will tiary 'Institutions appear to have separate institutional 12. Ministerial Statement: The Future of Victorian The Williams Committee pointed out that the highest continue to made demands on the universities forthe planning and research units, attached to senior Colleges of Advanced Education, p.12. proportions of graduate students were in agriculture, provision of new skills and the updating of existing 13. For a discussion of such a plan and other possibilities 3 management, and able to monitor changes in both the engineering, education and the natural sciences. ones. It will also continue to demand the kind of see G.S. Harman et al (eds.) Academia Becalmed: detailed and rigorous evaluation of emerging social, external environment and internal trends, and pro­ Australian Tertiary Education in the Aftermath of Postgraduate research in agriculture, engineering duce first-rate draft planning documents at short Expansion, ANU Press, Canberra, 1980. and science is particularly exacting and makes heavy economic and political issues which institutions of

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