Bid to halve $50k arts degrees not ‘job-ready’
Students could expect lower quality education if the “failed” university fee scheme is scrapped without an increase in funding, a parliamentary inquiry has heard.
The Job Ready Graduates program was introduced in 2021 by the previous coalition government led by Scott Morrison and aimed to guide students into in-demand careers by increasing fees for arts degrees by more than $50,000 while cutting science and maths courses.
But the reforms failed to meaningfully change course choices and resulted in a reduction in Commonwealth funding, while leaving students facing significantly higher debts.
While the plan has been criticized by the university sector and the Greens, a bill has been tabled in the Senate to reverse the changes and reduce the cost of arts degrees to under $25,000.
But Universities Australia chief executive Luke Sheehy said there would be an investigation into the bill on Tuesday, saying the proposed legislation without increased university funding would make the situation worse.
Universities already receive $1 billion less a year for teaching as a result of the plan, and the bill, as it is currently drafted, would reduce funding by a further $1.3 billion a year, Universities Australia said in a submission to the inquiry.
“This will deepen rather than correct the structural funding gap created by (Job Ready Graduates), further straining university finances as many institutions are straining to do so,” Universities Australia warned.
“In fact, while the bill provides relief for students, it will also reduce the quality and availability of the support that students rely on for their education.
“Students may pay less, but the underlying funding problem remains.”
The National Association for Higher Education, which represents university employees, welcomed the move to repeal the plan but similarly warned that the bill alone would further reduce per-student funding, which could lead to further staff cuts.
Education Minister Jason Clare has made it clear that the Job Ready Graduates program has failed.
The Universities Agreement adopted in early 2024 proposed a major overhaul of the programme, but the government has not yet announced a new funding model.
It looks to the newly formed Australian Higher Education Commission to make recommendations on a new funding structure that better reflects the true costs of teaching and learning at university.
“There’s a lot to do,” Mr Clare said.
“It’s like eating an elephant. You have to take it one bite at a time.”
