Coalition Senators' additional comments

1.1The Coalition wholeheartedly supports measures that improve the efficient operation of government, reducing costs to taxpayers and easing the burden of bureaucracy. The purpose of the bill is to better support data collection and other related measures being implemented as part of the VET Data Streamlining (VDS) reforms. In principle, Coalition Senators support the purpose of the bill.

1.2The bill seeks to amend the National Vocational Education and Training Regulator Act 2011 (the Act) to 'ensure that the information being collected from students and training providers, and the data systems being built to facilitate the transfer of that data into the national [VET] data set, are flexible and responsive to the needs of governments and other users of VET data'.[1] Coalition Senators support this guiding purpose of the proposed amendments.

1.3Coalition Senators note while consultations have been held with the National Centre for Vocational Education Research (NCVER), the Skills Senior Officials' Network, the state and territory ministers responsible for skills, and VET regulators, other key stakeholders such as the Independent Tertiary Education Council Australia (ITECA) and other members of the independent skills training sector were not consulted.

1.4These key stakeholders still hold valid concerns which this bill does not address. Coalition Senators urge the Government to heed these concerns to ensure a well-intentioned proposal does not backfire and result in the overburdening of the skills and training sector with additional red tape.

1.5It has been noted in the Explanatory Memorandum that the bill has no financial impact on the Commonwealth or National Vocational Education and Training Regulator Registered Training Organisation (NVR RTOs).[2] This is contradictory to ITECA's submission to the committee, which states key elements of the proposed VDS program will result in a 'costly upgrade of [Student Management Systems]' for some RTOs.[3]

1.6Coalition Senators are dismayed by the confusion and uncertainty for RTOs this bill will cause, including concerns around how frequently RTOs will be required to submit data under the program, adding a financial burden on RTOs that cannot be properly accounted for.[4]

1.7Data analysis is a powerful tool when used properly to evaluate and monitor progress and identify areas of improvement. Coalition Senators hold serious reservations on the too-narrow focus on training outcomes, which does not capture the full impact of training on students, to evaluate the performance of independent RTOs, which have individual missions, operate in different contexts, and have separate student outcomes.

1.8The Coalition emphatically maintains that the privacy of individuals and organisations is of the utmost importance. It is extremely concerning that limitations on data access, disclosure, and use are being scrapped in this proposal.

Recommendations

1.9Adequate consultation would result in better outcomes not just for the sector, but for Australia's future as a whole. In principle, the Coalition wholly supports amendments that cut red tape and reduce the bureaucratic burden on the skills and training sector.

•Coalition Senators urge the Albanese Labor Government to conduct a thorough impact assessment to identify and mitigate potential unintended consequences of this bill.

•Coalition Senators urge the Albanese Labor Government to carefully consider the financial impacts of this bill, which until now have not been properly calculated due to the uncertainty these amendments cause for RTOs.

•Coalition Senators call on the Albanese Labor Government to properly evaluate the privacy concerns around access and disclosure of information that this bill will force through changes in reporting requirements.

Footnotes

[1]National Vocational Education and Training Regulator (Data Streamlining) Amendment Bill 2023, Explanatory Memorandum, p. 3.

[2]National Vocational Education and Training Regulator (Data Streamlining) Amendment Bill 2023, Explanatory Memorandum, p. 5.

[3]Independent Tertiary Education Council Australia, Submission 3, p. 6.

[4]Independent Tertiary Education Council Australia, Submission 3, p. 7.