Senate Employment, Workplace Relations, Small Business and Education Legislation Committee

ESTIMATES REPORT

JUNE 1999

© Commonwealth of Australia 1999

ISSN 1441 9882

 

MEMBERS OF THE COMMITTEE

Chair:
Senator John Tierney (New South Wales)

Members:
Senator Kim Carr (Deputy Chair) (Victoria)
Senator Jacinta Collins (Victoria)
Senator Jeannie Ferris* (South Australia)
Senator Natasha Stott Despoja* (South Australia)
Senator Karen Synon* (Victoria)

Substitute Members:
Senator Jeannie Ferris – Senator Ross Lightfoot (Western Australia)
Senator Karen Synon - Senator Abetz (Tasmania) - 7-9 June;
Senator Coonan (New South Wales) - 10 June

For Workplace Relations & Small Business matters
Senator Winston Crane* (Western Australia) to substitute for Senator Karen Synon
Senator the Hon David Brownhill* ( New South Wales) to substitute for Senator Crane on 7 & 8 June
Senator Andrew Murray* (Western Australia) to substitute for Senator Stott Despoja

Participating Members:
Senator Eric Abetz (Tasmania)
Senator Lyn Allison (Victoria)
Senator Ronald Boswell (Queensland)
Senator Bob Brown (Tasmania)
Senator David Brownhill (New South Wales)
Senator George Campbell (New South Wales)
Senator Mal Colston (Queensland)
Senator Trish Crossin (Northern Territory)
Senator Rosemary Crowley (South Australia)
Senator the Hon John Faulkner (New South Wales)
Senator Brian Harradine (Tasmania)
Senator Steve Hutchins (New South Wales)
Senator Kate Lundy (Australian Capital Territory)
Senator Sue Mackay (Tasmania)
Senator Dee Margetts (Western Australia)
Senator Kerry O'Brien (Tasmania)
Senator Chris Schacht (South Australia)
Senator John Watson (Tasmania)

Secretariat
Secretary: Mr John Carter
Research Officer: Mrs Jan Willis

 

REPORT TO THE SENATE

1.1 The Employment, Workplace Relations, Small Business and Education Legislation Committee presents its report to the Senate.

INTRODUCTION

1.2 On 11 May 1999 the Senate referred to the Committee the particulars of proposed expenditure for 19992000 in relation to the Employment, Workplace Relations and Small Business and the Education, Training and Youth Affairs portfolios.

1.3 Senator the Hon John Herron and Senator the Hon Richard Alston were the Ministers representing the Minister for Employment, Workplace Relations and Small Business. The Committee heard evidence from Senators Alston and Herron, the department and related agencies on the proposed estimates for the Employment Workplace Relations and Small Business portfolio. The following agencies appeared before the Committee: Australian Industrial Registry, National Occupational Health and Safety Commission, and the Office of the Employment Advocate.

1.4 The Committee heard evidence from Senator the Hon Chris Ellison, the Minister representing the Minister for Education, Training and Youth Affairs. It also heard from officers of the department and agencies on the proposed estimates for the Employment, Education, Training and Youth Affairs portfolio including the Australian National Training Authority (ANTA).

1.5 The Committee took into account the Portfolio Budget Statements 1999-2000 provided by the departments and also their Annual Reports for 1997-98.

1.6 Review of the proposed budget expenditure for the portfolios was carried out over four days.

1.7 Senators present at the hearing held on Monday 7 June 1999 were Senator Tierney (Chair), Senators Abetz, Allison, Carr, Lightfoot, O'Brien, and Schacht.

1.8 Senators present at the hearing held on Tuesday 8 June 1999 were Senator Tierney (Chair), Senators Abetz, Calvert, Carr, Crossin, Hutchins, Lightfoot, Margetts, and O'Brien.

1.9 Senators present at the hearing held on Wednesday 9 June 1999 were Senator Tierney (Chair), Senators Abetz, Carr, Crossin, Hutchins, Lightfoot, Lundy, McGauran.

1.10 Senators present at the hearing held on Thursday 10 June 1999 were Senator Tierney (Chair), Senators Boswell, Carr, Coonan and Lightfoot.

1.11 Written Questions on Notice were received from Senators Stott Despoja, Lundy, Boswell, Crossin, Collins and Carr.

1.12 The Committee tables for the information of the Senate copies of transcripts of evidence of Committee proceedings of Monday 7 to Thursday 10 June 1999 and a table of contents to the transcripts. The answers taken on notice at the Committee's hearings will be tabled in the Senate under separate cover in numbered volumes entitled Additional information relating to the examination of proposed expenditure for 1999-2000. Lengthy documents provided as part of answers and unsuitable for inclusion in the Additional Information volumes that are furnished as part of the answers will be listed in the Additional Information Volumes. They will be tabled separately and available on request.

MATTERS OF INTEREST

1.13 The introduction of accrual accounting and the subsequent re-structuring of programs within the two departments caused a degree of confusion and difficulty for some senators in finding relevant information within the Portfolio Budget Statements and knowing the appropriate place to ask certain questions. Opposition senators expressed some dissatisfaction with the clarity and detail of the PBS layout and the absence of forward estimates for each outcome.

1.14 Attention is drawn, in particular, to the absence of a line item for ten million dollars provided for capital works for non-government schools in the DETYA Portfolio Budget Statements. Opposition members expressed concern that no documents were readily available to identify this expenditure.

1.15 The Committee also raises the issue of determining what are new budget measures where there is a Government decision to continue an existing program. It notes the tabled letter from DOFA explaining the rationale for this determination.

1.16 The following is an indicative, but not exhaustive, list of issues that received relatively lengthy consideration during the estimates hearings. Full details are provided in the Hansard transcript of proceedings.

Employment, Workplace Relations and Small Business Portfolio

• Resources used in departmental preparations for accrual accounting
• Internal performance indicators
• Attendance at conferences by OEA staff
• Workplace reform secret ballots

Australian Industrial Registry

• Right of entry for union officials

National Occupational Health and Safety Commission

• Funding for targeted programs through organisations

Office of the Employment Advocate

• Building industry matters
• Coercion and certified agreement making
• Section 170NC complaint against OEA
• Pattern bargaining
• Admissibility of taped evidence
• Research on freedom of association by Wallis Consulting Group

Output group 2.1 Workplace relations framework

• Advice to ILO with regard to the Workplace Relations Act 1996

Output group 2.2 Workplace relations services

• Meat industry dispute in Pakenham in Victoria
• Staff grouping of Workplace Reform Group
• Waterfront dispute litigation costs and details

Outcome 3 – Small BusinessOffice of Small Business

• Small business research
• GST Business Start-up Package, introduction and compliance costs
• Claims of 50% reduction in red tape for small businesses

Outcome 1 - EmploymentEmployment National Ltd

• Breakdown of funding
• Selection process for staff transferring from CES
• Eligibility criteria for government subsidy and potential for fraud

Outcome 1 – Employment

• Proposed GST arrangements for Job Network members
• Evaluation of and job seeker satisfaction with Job Network members
• Feedback phone line
• Members and expenditure of Area Consultative Committees
• Formal evaluation of the RAP program
• Extension of Work for the Dole to 25-35 year olds
• Evaluation of Work for the Dole
• Compulsory requirement of Work for the Dole
• Work for the Dole placements in childcare centres
• Jobstart
• Return to work measures
• Funding for indigenous employment

Education, Training and Youth Affairs Portfolio

General Questions

• Departmental key performance indicators
• Cost of move to accrual accounting
• ANAO scoping study within DETYA
• Fraud control policy
• General policy on representation of ministers at project openings
• Impact of budget cut
• Consultancies
• Victorian parliamentary report itemising discrepancies in states grants

Outcome 1 – School systems Output group 1.1 – Infrastructure for the schools system

• Policy on ministerial representations
• Capital grants
• Concern that significant budget measures were not included in the PBS
• Recurrent funding for State governments
• Proportionate share of indigenous education between government and non-government sectors
• New schools and approved extension of existing schools
• New funding mechanism for non-government schools

Output group 1.2 – Assistance for School Students with Special Needs

• National education performance monitoring task force
• Impact of EBA and reasons for increased buffer
• Funding for literacy and numeracy skills
• Indigenous Education Strategic Initiatives Program
• On costs of Northern Territory Government
• Major changes to Abstudy including income testing, away from base study allowances, and living allowances to attend block release programs
• Aboriginal Tutorial Assistance Scheme
• Cultural awareness and training for Centrelink staff in dealing with indigenous people

Output group 1.3 Quality of teaching and learning

• Drugs in schools policy
• VET in schools program; the status of schools as registered training organisations

Outcome 2 – Post school education and training providers Output group 2.1 – Infrastructure funding for the post compulsory education system

• ANTA including funding issues, TAFE funding, IAD, ATSIVET capital expenditure arrangements, Commonwealth Grant's Commission report on TAFE, tightened eligibility criteria for re-skilling, user choice review, survey of employer satisfaction, Registered Training Organisations and requirements of the Australian Registration Framework
• Evaluation of user choice
• Ministerial press releases
• Split of funding between programs within VET system
• KPMG report on the cost and resourcing of New Apprenticeships
• Alleged fraudulent abuse of subsidies for traineeships and New Apprenticeships, including recognition of prior learning and existing worker policy
• Fee-for-service payments to New Apprenticeship Centres
• Correspondence from the Director-General of Education Queensland

Output 2.4 – Young people and Community Activities

• National Youth Week
• Youth round table
• Green Corps
• Young offender pilot program

Outcome 4 – Higher Education Division Outputs Output group 3.3 Internationalisation of Australian education

• Accreditation and registration issues for higher education institutes
• Collapse of Business Institute of Victoria, possible breaches of ESOS Act and Vanuatu incident
• University of Asia
• Departmental contacts with Greenwich University
• Role of the International Education Division of DETYA
• Importance of Australia's international reputation for education export services
• Abolition of equity merit scholarships program
• Attrition rates in universities
• Possible over-enrolments in some institutions
• Relocation of veterinary sciences faculty of University of Queensland to Gatton

Output Group 2.1 – Infrastructure Funding for Post-Compulsory Education System

• Entry cut-off scores for fee paying students
• Request by AVCC for withdrawal of departmental request for universities to participate in a postgraduate research experience questionnaire
• ACCC action in regard to Australian Institute TAI claiming connection with the University of Ballarat
• Status of the University of Asia
• Departmental inquiry into the status and accreditation of Greenwich University

QUESTIONS ON NOTICE AND SUPPLEMENTARY HEARINGS

1.17 The Standing Orders require the Committee, after considering the proposed expenditure and agreeing on its report to the Senate, to fix a date for the submission of any written answers or additional information and for the commencement of supplementary hearings. The Committee has decided that written answers and additional information should be submitted by Tuesday 27 July 1999. The Committee notes that dates for its supplementary hearings have not been determined at the time of tabling of this report.

ACKNOWLEDGMENTS

1.18 The Committee is grateful for the assistance given by Senator the Hon Christopher Ellison, Senator the Hon Richard Alston, Senator the Hon John Herron and for the assistance given by officers of the departments and agencies concerned.

Senator John Tierney
Chair
June 1999

 

HANSARD
TABLE OF CONTENTS

HANSARD INDEX

Employment, Workplace Relations and Small Business Portfolio

Monday 7 June 1999

Agencies/Output Group page

General questions 3
Australian Industrial Registry 20
National Occupational Health and Safety 22
Office of the Employment Advocate 24
Workplace relations framework 41
Workplace relations services 42
Office of Small Business 52

Employment, Workplace Relations and Small Business Portfolio

Tuesday 8 June 1999

Agency/ Output group page

Employment National 67
Regional Assistance Program 87

Education, Training and Youth Affairs Portfolio

Tuesday 8 June 1999

Agency/ Output group page

General Questions 108
Infrastructure funding for the schools system 128
Assistance for school students with special needs 161
Quality of teaching and learning 177

Education, Training and Youth Affairs Portfolio

Wednesday 9 June 1999

Agency/ Output group page

Enhance the quality of teaching and learning 182
Infrastructure funding for the post compulsory education system 190
Opportunities for the active engagement of young people with community activities 262

Education, Training and Youth Affairs Portfolio

Thursday 10 June 1999

Agency/ Output group page

Higher Education
Internationalisation of Australian education 291
Infrastructure funding for post school education 320