By Wesa Chau*
Melbourne - It may be entirely coincidental that the Hales Institute, the latest private college to head into receivership, specialised in cooking and hairdressing training – the very coursesthe Federal Government removed from its priority list last month.
The Hales collapse, however, has placed another 1,000 thousand students in limbo and the Government needs to take care not to strangle Australia’s fourth largest foreign currency earner after coal, iron ore and gold.
According to published reports, the 17-years-old Hales Institute accumulated debts of $7 million while its student numbers were halved from the initial figure of 2,000.
This did not happen overnight but the Department of Immigration acted swiftly and announced Feb. 8 that 20,000 international students who have completed vocational courses cannot use these to support applications for permanent residency.
Colleges that have invested heavily in previously-approved courses face an uncertain future, as student numbers are sure to dry up.
This is happening because in trying to solve one problem – a perception that people with the “wrong” skills were being welcomed to Australia in place of the “right” people - the
Government has not released a list of “approved” courses which is in danger of destabilising a major industry.
Unlike author Douglas Adams, in his Hitchhikers’ Guide to the Galaxy, Immigration Minister Chris Evans couldn’t simply blast the world’s surplus hairdressers, management consultants and ‘telephone sanitizers’ into space as unwanted accessories.
But he did the next best thing: announcing a “general skills migration review” that relegated cookery, hairdressing
and other crafts off the demand list in favour of professions weighted towards the tertiary sector.
This may be great domestic politics, and we welcome a sensible review of a system that allowed fly-by-nighters to spring up in the past decade to take advantage of immigration laws designed to fill the nation’s skill gaps, from hospitality to mining.
There are rotten apples among private colleges that need to be removed from the barrel - like those that rort the visa system and charge students fees of $8,000 - $20,000 a year to do courses that cost Australian students only hundreds of dollars.
The Minister’s sledgehammer has not just fallen on these vultures, however, and the revamped system risks damage to long-established reputable colleges and places in jeopardy
more than 23,000 students currently studying vocational course around the country.
The private college sector is in shock and, with no grace period for implementation, the effect of the Government’s Feb. 8 action is being felt now. Students who pay to study in Australia and have a secondary aim to seek permanent residency after completing their courses, have been left directionless.
If the Government believes Australia requires fewer cooks and hairdressers the policy change makes sense but, if the intention is to fix the problems with international education, it is taking the wrong path and moving too quickly.
Has the Government thoroughly examined the effects on the international education sector, the economy, local businesses and other sectors that have close links with education such as tourism? Let’s examine the situation:
The unfortunate reality is that many private operators were targeting the market now being effectively shut down. There will be a ripple effect on the sector, with more private colleges likely to close in the near future.
Where does this leave the current students who have already paid for the courses wanting the education? Where is their safety net?
According to Australian Education International statistics, international education, contributed $17.2 billion in export income to the Australian economy in 2008-09.
Instability in the sector caused by perceived racial violence and immigration policy already have caused students to leave Australia. Those who were planning to come may now
decide to study in other countries.
The strong Australian dollar also means that other countries are more attractive to international students. Like all policy changes, there will be a time delay before the full effects will be felt locally.
With the likely drop in student numbers, businesses that serve a large number of international students, such as phone companies, ethnic grocery stores, some local
restaurants, education and migration agents will experience the side effect of the drop in businesses.
There is a strong connection with international education and tourism, because parents and friends of international students come for holidays and to attend their graduation at the end of their degree. If students go elsewhere to study, so will this tourism.
A major problem lies with dubious operators who fail to provide quality education to those international students who are here, damaging their work prospects and Australia’s
reputation as a quality education provider.
The final responsibility here lies with the Government. Why did it allow third- rate private colleges to pass quality audits? How can colleges continue to provide misleading photos on their websites indicating a friendly, relaxed environment with grassy areas for work and study, when they operate in a cramped office building with small classrooms and a wafer-thin syllabus?
Shonky providers would not exist if the Government didn’t issue them with a license. Instead of removing those providers and agents who have misled students into believing there is a short -cut to permanent residency, they punish the students.
If this is the path the Government insists on taking, it must also provide sufficient support for affected students, including the assurance that if providers close down, legitimate student living expenses will be reimbursed.
The announcement by Education Minister Gillard that an extra $5 million will be put into the Education Services for Overseas Students Assurance Fund shows the Government knows that policy change can be costly.
But if international students lose confidence in Australia’s ability to run a robust system, the cost to our economy will dwarf that.
*Wesa Chau is honorary president of the Australian Federation of International Student. A migrant from Hong Kong, she founded the organisation in 2002 It now services to more than 8,000 students a year. Wesa is currently employed at ADEC - Advocacy, Disability, Ethnicity, Community as Direct Services Manager, and Assistant Secretary for Ethnic Communities Council of Victoria.Wesa is a strong advocate for international students, multiculturalism, young people, women, and people with disabilities. She works in partnership with stakeholders to reduce discrimination against marginalised communities within the Australian community. Wesa Chau is finalist of Victorian Young Australian of the Year 2010, receipient of Melbourne Awards (Youth) 2005 and Victoria's Award for excellence in Multicultural Affairs 2006.
http://www.internationalstudents.org.au/
