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Legislative Council - Fifty-Fifth Parliament, First Session (55-1)
2025-10-30 Daily Xml
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Bills

TAFE SA Bill

Second Reading

Adjourned debate on second reading.

(Continued from 16 October 2025.)

The Hon. B.R. HOOD (17:01): In place of the shadow minister for education, training and skills and the second best Hood in the parliament, the Hon. Dennis Hood—of course my sister being the first—I rise to speak on this bill on behalf of the Liberal opposition and to indicate our broad support for the proposed legislation.

TAFE SA is South Australia's largest vocational education and training provider, seeking to deliver job-focused training across a range of industries, from entry-level certificates through to bachelor degrees, at numerous locations across our state. It endeavours to focus on practical, hands-on skills and experience in an effort to ensure students are offered flexible study options, both in person and online.

Despite the significant role of TAFE SA in skilling South Australians, it would be remiss of us to neglect to acknowledge what has transpired in TAFE's recent history. Between the years of 2013 and 2018 there was a huge drop in campuses, with closures in areas including Millicent, Naracoorte, Bordertown, Kangaroo Island, Cleve, Clare, Kimba, Waikerie, Renmark, Gawler and Morphettville. In 2018 the Auditor-General revealed that almost 600 TAFE staff received targeted voluntary separation packages in this period. Commencements of trainees and apprentices decreased from 36,000 to a staggering 15,000.

Members would remember the TAFE SA accreditation crisis that occurred just before the Liberals took office in March 2018, a crisis which considerably tarnished the training provider's reputation. The Australian Skills Quality Authority had audited TAFE in the year prior and had issued a notice of intention to remove or suspend 16 qualifications: 2,500 students were identified as having problems with their courses, and every single course TAFE SA offered was subject to a quality review. It appeared that adhering to budget requirements, as opposed to committing to quality, was the focus of the TAFE board at the time.

Our colleague in the other place the Hon. John Gardner MP, when debating this bill, recalled that when he was appointed to the relevant ministerial portfolio following the 2018 election he was stunned to discover that a total of $97 million in budget cuts to TAFE SA was projected by the previous Labor government. The Marshall Liberal government, by contrast, injected more than $350 million into TAFE SA over the course of its four budgets, which left the organisation in a sustainable position by 2022. It is indeed an achievement of the former Liberal government that it is proud of.

In 2023, following the Liberal government's accomplishments in re-establishing confidence in TAFE, the current state government commissioned the Roadmap for the Future of TAFE SA which sought to engage with industry, unions, government and TAFE staff and students, to determine long-term changes required to enable training providers to deliver the skills needed for South Australia.

The TAFE SA Bill 2025 responds to a recommendation from Associate Professor Jeannie Rea on the road map's report that the TAFE SA Act 2012 be reformed to articulate the repositioning of TAFE in relation to its functions, its governance and management structure. The state government's intent with the introduction of this bill is to provide for TAFE SA to deliver high-quality, responsive and, importantly, industry-relevant education and training that responds to the current and future needs of employers, which is now more important than ever given the critical skills shortages we have in this state.

Indeed, according to Skills SA, our state is confronted with persistent skills shortages with no less than 351 occupations currently experiencing deficits, up from just 149 in 2021, with 60 per cent of recruiting employers reporting recruiting difficulties. South Australia has the lowest proportion of a working age population with a non-school qualification in the nation, the lowest percentage of young people fully engaged in employment or study, and a completion rate of VET qualifications at only 48.8 per cent. There is clearly a need for the state government to address these challenges.

This bill enables TAFE SA to transition from a public corporation to a statutory authority without compromising corporate governance performance and accountability standards currently applied to TAFE SA through the general provisions of the Public Corporations Act 1993. The bill defines TAFE SA's objectives and functions as a private provider and, unlike the current act, broad application of the Public Corporations Act and the commercial principles therein, will ensure that TAFE SA functions in the public interest first and foremost.

The bill changes the attributes for TAFE SA board membership to include members who collectively have expertise, abilities and experience required for the performance of TAFE SA's functions. The board is to consist of not less than six and up to 10 members nominated by the minister and appointed by the government. I acknowledge that there are some amendments that have come on which the Hon. Dennis Hood will, of course, look at, but one of them was to ensure that we have a board member from a rural or regional location, and that certainly warms my heart.

The opposition notes that there is no requirement for a regional representative to be appointed to the board. I am reading Dennis's speech and that is why I am ad-libbing here. Given that the bill stipulates that one of TAFE SA's functions is to provide access to training and education to persons in metropolitan, non-metropolitan, regional and remote areas, it would be great to see that there is an amendment to do that.

The bill also formalises the authority of the TAFE SA board to establish committees or subcommittees to advise and assist TAFE SA in relation to its functions. The bill requires TAFE SA to prepare a business plan and compels the minister to provide a statement of priority to TAFE SA, which will replace the current ministerial charter and performance statement requirements under the Public Corporations Act 1993. The minister must consult with the Treasurer and TAFE SA in the development of a statement of priority and TAFE SA must address the requirements contained within the statement of priority in preparing its business plan.

Notably, a new power is included in the bill to authorise TAFE SA to issue barring notices in relation to specified conduct, with a breach of such an order resulting in a penalty that is enforceable. We understand that this provision endeavours to protect staff and students of TAFE SA on all of its campuses from unwanted conduct by others. Again, I advise members present that the Hon. Dennis Hood will introduce an amendment to enable individuals subject to a barring order to appeal to the minister, not unlike that which was eventually included in the Education and Children's Services (Barring Notices and Other Protections) Amendment Bill 2024.

The bill increases the maximum fine for a breach of a by-law from $1,250 to $2,500. TAFE SA's rule-making powers are further expanded to include setting standards in relation to student admission and selection, staff behavioural conduct and staff or student academic standards. The requirement for Governor confirmation of a proposed TAFE SA rule or by-law is removed from the current act by this bill. Proposed rules and by-laws will, however, continue to require agreement of the TAFE SA board and, in addition to ministerial approval, by-laws will continue to be tabled in parliament and are subject to disallowance.

The opposition has consulted with peak bodies and stakeholders on this provision and there is no indication of any serious concerns with the proposed legislative changes. It has, however, been suggested that questions be raised pertaining to the definition of technical and further education, the functions of TAFE SA and the ministerial directions contained within the bill. The opposition will do so accordingly during the committee stage.

Finally, I wish to add that the Hon. Dennis Hood will be introducing an amendment to mandate a three-year review of the legislation, should the bill be enacted. The opposition considers this to be a prudent and appropriate measure. Further reform with respect to TAFE SA is certainly a worthy and necessary objective to assist in addressing South Australia's skills shortages, and the opposition looks forward to working with the state government to this end. I commend the bill to the council.

The Hon. R.A. SIMMS (17:10): Sounds like this might be one of those moments where we are all in agreement in the parliament. The Christmas spirit is coming here to North Terrace. That is good to see. I also rise to indicate my support for this bill. TAFE SA plays a vital role in providing South Australians with access to tertiary education, a pathway to a career change or a specialist course in a field of study that they are passionate about. It is critical that TAFE has a governance framework, as well as the funding required, for it to be a high-quality provider of vocational education for its students.

I am pleased to see this bill, which responds to the recommendation of Associate Professor Jeannie Rea in her report on the 2023 Roadmap for the Future of TAFE SA. It refocuses the existing act to clarify that the public provider that delivers high-quality vocational outcomes to the people of our state is TAFE. It is good to see this reflected in the new objects added to the bill that explain that TAFE SA is responsible for the delivery of high-quality, responsive and industry-relevant education and training, equitable access to education and training for all eligible South Australians and a commitment to public interest and educational excellence.

It is also good to see that the functions of TAFE have been updated to include the requirements that TAFE will provide appropriate student support services and be responsive to the diverse needs of students. It will focus on the impact and success of its services on students, staff and the communities that TAFE SA serves. It will engage with Aboriginal and Torres Strait Islander peoples to provide education and training appropriate to meet their needs and to those of their communities, and it will provide inclusive and culturally-safe services on all TAFE SA campuses.

I further welcome that this bill changes the attributes of the TAFE SA board membership. The new board will include members who collectively have expertise, abilities and experience required for the effective performance of these functions, including direct industry experience or direct experience in the education, training or employment sectors, and knowledge or expertise in the education and training of persons who have experienced disadvantage in accessing education, training and work, or those who are from non-metropolitan, regional and remote areas.

I indicate that I will be moving amendments to the bill that will ensure that the TAFE SA board includes a person nominated by the minister after consultation with SA Unions and a person nominated by the minister after consultation with the Australian Education Union and the Public Service Association. These amendments will ensure that workers who have direct experience on the ground will have a direct voice in TAFE SA's strategic decision-making, and not just act as participants in indirect consultation. The Greens will always support accessible public education for all South Australians.

Might I say, campaigning against the corporatisation of TAFE has been a long-term campaign for the Greens. I really welcome the government taking this up. In particular, I acknowledge the leadership of the minister, the Hon. Blair Boyer, and his office in taking up this reform and moving on this during this term of parliament. I think this is a really worthwhile endeavour and something that I hope sets TAFE on a new course. The Greens are very pleased to support it and I hope my amendments will be supported in the committee stage. I note the amendments from the opposition. I will certainly consider those and a form a view by the time we get to the third reading stage of the bill. With that, I conclude my remarks.

The Hon. C. BONAROS (17:14): I rise to echo the very favourable contributions of the honourable members who have spoken already on this piece of legislation and in so doing commend the minister for his genuine desire, I think, to reform the functions of TAFE SA, not only in line with best practice but, perhaps even more importantly, with public expectations.

This is a good bill, and when we have a good bill brought to this place it deserves acknowledgement. I think that the minister in this instance has delivered a piece of legislation that we can back and support, on the basis that he has done his homework and he has presented something that we know actually seeks to achieve those best practice and public expectation ends.

We know, as has just been referred to, that the bill responds to the recommendations of Associate Professor Jeannie Rea in the report for the 2023 Roadmap for the Future of TAFE SA and that the previous legislation, the 2012 legislation, was in dire need of reform in order to not only reposition TAFE SA but ensure that its functions, its governance and its management structure are suited to today's climate.

As I said, I genuinely do think the minister has put his all into producing a model—subject to a few amendments here and there—that we can all overwhelmingly say is a good bill. Part of that is reflecting on the fact that since 2012 there have obviously been lots of changes in this education market space. The legislation that was passed then simply is not fit for purpose today, and it is being addressed by this bill.

I will take this opportunity to thank the minister and indeed, more particularly, to thank TAFE SA for their commitment to learning in all aspects. I was very pleased to have the privilege of attending the announcement that was made by TAFE SA in tackling the issue of period poverty in South Australia. I attended that with the Minister for Education and the Minister for Women during Menstrual Hygiene Day, and it was an exciting day. It fell during Menstrual Hygiene Day on 28 May and resulted in a day of acknowledging various activities that are undertaken across the state to ensure that we do our level best to eradicate period poverty in the absence, I will say—because I will always maintain this—of a statewide approach.

I have to acknowledge the good work of the people at TAFE in launching their Equity for All period initiative on that day and ensuring that they now provide free menstrual hygiene products on all of their campuses. I commend the government for committing $300,000 a year towards that end for the installation in TAFEs of dispensing machines providing free pads and tampons across all their campuses and across the entire state.

That is a good initiative, and I am very grateful to the minister for pushing that sort of initiative and for his ability to think, I suppose, outside the square of anything we are considering in here. It is not something that needed to be canvassed in legislation, but I think his commitment to that issue is another example of his commitment to ensuring that TAFE SA, as I said, is operating at its best and that we are doing everything we can to remove barriers to learning and to address disadvantage across our TAFE SA students.

These are things to be celebrated. This piece of legislation is a worthy piece of legislation in terms of the support that we are providing for it, and I look forward to seeing its passage through this parliament. I know that it has not been an easy job for the minister, given that we have had to tackle not only the issue of TAFE but RTOs operating across this state, and it has, from the federal level down, become a bit of a basket case in terms of the education that is provided.

I know that this is something that the minister remains committed to addressing and remains committed to ensuring is in line with today's public expectations, today's market and today's standards. I do not know if I can take this moment to say any more good words about Mr Boyer—I think I have done my bit for the day—but I am extremely pleased to support this piece of legislation.

The Hon. J.S. LEE (17:20): I rise today to also speak in support of the TAFE SA Bill 2025, which seeks to re-establish TAFE as a statutory authority and implement key recommendations from the 2023 Roadmap for the Future of TAFE SA. This bill marks a positive step in strengthening TAFE SA's core mission as a public provider of vocational education and training, particularly for regional and disadvantaged communities, including those from culturally and linguistically diverse backgrounds.

TAFE SA has long been a cornerstone of South Australia's education and workforce development landscape. It is often the only provider in regional and remote areas and its presence is deeply valued by communities who rely on it not just for skills training but for opportunity and connection. The bill's emphasis on public interest, regional equity, and education excellence is both timely and necessary.

To fully appreciate the significance of this reform, it is helpful to consider the path that has led us here. The corporatisation of TAFE SA in 2012, while well intentioned, did not deliver the financial outcomes anticipated. For more than a decade, the model struggled to reconcile commercial imperatives with the broader public mission of vocational education. The framework often placed commercial principles ahead of public purpose—something this bill seeks to correct.

A key structural issue under the previous framework was the legal obligation of the board to act in the best interests of the corporation, which at times has diverged from the best interests of the South Australian community. By repositioning TAFE SA as a statutory authority rather than its current structure as a statutory corporation, this legislation removes that tension and enables the board to focus on prioritising community need, regional access and educational excellence as set out in the objects of this bill.

I note that the minister will now have more power to outline the government's priorities and TAFE SA will be required to implement a business plan and statement of priority mechanism. This will replace the current Ministerial Charter and Performance Statements required under the Public Corporations Act 1993. This legislation also enables the institution to better align its offerings with workforce needs, particularly in thin markets and regional areas where private providers are often absent. This is especially critical in the context of South Australia's ongoing skills shortages. From aged care and construction to hospitality and emerging industries, employers are calling for a more agile, contemporary and responsive training system.

The inclusion of a statement of priority mechanism and the creation of a TAFE fund for low enrolment courses are practical steps towards ensuring that training is available where it is most needed, not just where it is most profitable.

I will carefully consider all amendments during the committee stage. I look forward to examining these matters in detail to ensure the final legislation is both robust and reflective of the diverse community it is designed to serve. I am encouraged by the purpose of the bill to continue TAFE SA under a new legislative framework that will strengthen its governance, align its operations with government priorities and ensure it delivers high-quality, accessible and, most critically, industry-relevant education and training across South Australia.

I emphasise the importance of industry-relevant training because we need a skills workforce that can contribute to our different industries and our economy across South Australia. We want to see all individuals have the opportunity to have fulfilling jobs and do their work and contribute fully to society.

This bill will help reposition TAFE SA as the cornerstone of a vocational education system that is responsive, inclusive and in line with the needs of all South Australians. I also want to compliment the government and the minister, as well as all TAFE personnel and their team, for their work on this particular bill. With those remarks, I commend the bill.

The Hon. T.A. FRANKS (17:25): It is with great pleasure I rise to support the TAFE SA Bill 2025 and I will restrain myself from saying—no, I will not. I will say I was right: it was wrong to corporatise TAFE. I am proud that I voted against it when it was done. I am proud that I had a private member's bill to decorporatise TAFE and I am really pleased to see that the government is getting on and actually decorporatising TAFE.

We should never have corporatised it in the first place. We knew when it was happening and I put on the record my concerns that it would actually lose the role that public training should have always held in this state. At the time, it was the flavour of the year for the Gillard government and I think the then minister has even now gone on public record admitting it was folly. At the time, I think people were well meaning and it has taken quite a while to correct the error of those ways.

I commend the bill. I support the amendments that have been circulated not just by the government but by the opposition. I think they are constructive, as well as the Greens' amendments. I do believe the staff and their union should have a voice in what is our public training provider. I also believe that the regions should have a voice to ensure we do not forget to include them in the decision-making. The regional role of TAFE is incredibly important to consider.

I note that previously there have been some culture wars around who should or should not be involved in those bodies, such as the board, and indeed performance reviews within TAFE. I hope the days of those culture wars are gone and that people can understand that it is best to have as many of those voices at the table as possible when we make decisions about public training in this state. With that, I say bring on the committee debate and let's pass this bill.

The Hon. T.T. NGO (17:27): This bill is about securing the future of vocational education and training in South Australia. It repeals and replaces the outdated TAFE SA Act 2012 and responds directly to the key recommendation from Associate Professor Jeannie Rea's 2023 Roadmap for the Future of TAFE SA. This road map report was developed via extensive consultation with industry, unions, TAFE SA staff, students, regional communities and other stakeholders.

Some of the key recommendations in the road map include reforming the legislative and governance basis of TAFE SA, embedding a strong industry partnership model, prioritising regional and inclusive delivery, and strengthening the institution's culture and workforce.

The bill positions South Australia's TAFE for a decade of transformation, recognising global trends such as digitalisation, climate transition, equity inclusion and South Australia's changing workforce. With a focus on the future, programs will be designed for emerging skills, flexibility, lifelong learning, innovation in teaching and technology, and being adaptable to changing labour markets.

With the introduction of the TAFE SA Bill 2025, we are setting a clear vision to modernise the legislative foundation of TAFE SA to reflect its renewed purpose in the public interest. Under this new legislation, TAFE SA will transition from a statutory corporation to a statutory authority. This change provides a modern governance framework that clearly defines the responsibilities of the TAFE SA board and its chief executive, ensuring strong leadership, accountability and alignment with the government's strategic priorities.

The minister retains the power to issue directions and to approve the appointments of the chief executive. The board remains the key body for strategic oversights. A new ministerial statement of priorities developed in consultation with the Treasurer will guide TAFE SA's annual business plan. The minister and the Treasurer's representatives will continue to have access to board meetings and papers, and the annual report will be tabled in parliament for full transparency. The bill also introduces new objectives and functions that reflect the contemporary values of the vocational education and training sectors, similar in spirit to the South Australian Skills Act 2008 and the Adelaide University Act 2023.

For the first time, the law will clearly articulate that TAFE SA exists to serve the public interest and enshrines in legislation a focus on excellence, not just efficiency; equity of access for students, regardless of their location or background; and offering support services to ensure all learners have the opportunity to succeed. The TAFE SA Bill 2025 ensures operations align with the strategic priorities of the state, not simply by a ministerial direction but as a core part of its purpose.

This bill clearly proposes that TAFE SA must continue to deliver in the public interest, support regional development, strengthen industry partnership and provide all South Australians with the skills and confidence to thrive in a changing economy. With that, this is a reform with both vision and accountability. TAFE SA must remain as the backbone of our training system, a place of opportunity, excellence and public value. This bill will ensure it stays that way and I hope all honourable members give it their support.

The Hon. E.S. BOURKE (Minister for Infrastructure and Transport, Minister for Autism) (17:32): I thank honourable members for their contribution today. I think it is nice to end the day with everyone agreeing on the importance of this bill. I would also like to congratulate the Minister for Education, Blair Boyer, and his team for the work they have put into this, and also in briefing members in this chamber. I look forward to the committee stage, which will be occurring at the next sitting and, once again, thank all members who participated in this debate.

Bill read a second time.

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