Advertisements

Record Vic TAFE losses

The Age     |      16 April 2015

………………………………………………………………………………………………………

Victoria’s TAFE sector has racked up huge financial losses, with one metropolitan institute losing more than $13 million.

…………………………………………………………………………………………………….……

 decline (1)

Annual reports tabled in State Parliament show only two institutes generated a positive operating result for 2014. The combined operating deficit was expected to hit $52.5 million in 2014, from a combined $8.9m deficit in 2013, the state government reported.

Holmesglen reported the biggest loss at $13.7m on income of $150m, followed by Box Hill with a $12.8m loss on income of $102m.  GoTAFE recorded a loss of $10.9m on income of $61.2m, while Bendigo Kangan suffered a $10.4m loss on income of $87.2m.

SuniTAFE lost $7.7m on income of $24m, while South West TAFE lost $3.6m on $25.4m. William Angliss Institute lost $1m on income of $56m, and Gordon lost $292,000 on income of $79.6m.

However, Chisholm Institute recorded an operating result of just over $30 million and Wodonga TAFE’s operating result was a surplus of $1.3 million.

Two institutes, Federation Training and Melbourne Polytechnic, have yet to table their annual reports.  Melbourne Polytechnic (formerly NMIT) last year recorded a loss of over $30 mill.

Training and skills minister Steve Herbert said the market share of Victoria’s TAFEs had “plummeted” to 25% of the total training market.

He accused the previous government of “ripping” out funding from TAFEs and leaving the system in turmoil. Herbert said he would not allow the TAFEs to collapse.

I can guarantee that we’re not going to let any TAFE, particularly the regional TAFEs that are doing it pretty tough, go under. Absolutely not.

The Opposition spokeswoman for training, skills and apprenticeships Steph Ryan said the results were the legacy of Labor, which “forced TAFEs to compete with private providers”, which ignores the Bailleau/Napthine governments ripping $300 million out of TAFE in 2012 and introducing a form of “competitive neutrality”.

The Andrews government has set up a TAFE ”rescue fund” with $320 million in funding and has commissioned former Holmesglen chief Bruce McKenzie to review the TAFE sector, including funding.   McKenzie is due to provide an interim report shortly.

See
Melb. Polytech set to post loss as Vic TAFEs take $52m hit
Advertisements

Enter your email address to follow this blog and receive notifications of new posts by email.

%d bloggers like this: