Education groups see opportunity from sector shakeup, student visa changes

The private education sector says it sees opportunity from a shakeup in the sector, following the Government’s support of a report recommending graduates be granted two-year working visas and the lowering of financial requirements for foreigners seeking to study in Australia.

Marcus Sellen, founder and CEO of the privately held SELMAR Institute of Education, told SmartCompany this morning the report was “impressive and student focused.”

“I think the report is quite positive for the whole education industry,” Sellen says.

“It’s focusing on students coming to Australia to truly focus on studying in Australia, and it’s promoting Australia as a destination of choice for study.”

“It’s also improving the process for students, which has been a massive burden, and the financial requirements for students, which makes it easier for us to promote.”

While the report has been criticised for focusing on universities at the expense of other forms of education, Sellen expects business opportunities to flow through.

Claire Field, child executive officer of industry body the Council of Private Education and Training, agrees there will be flow-on benefits.

Field draws attention to the Government’s plans to introduce a new risk-assessment framework by 2013 that will enable “high quality private institutions to access the same ‘streamlined’ arrangements that the universities will have access to”, meaning all countries irrespective of their home country will be treated as if they were coming from an Assessment Level (AL) 1 country.

“This will deliver substantial benefits for high quality private tertiary providers and the government has agreed that not only will they work with the sector to get the risk criteria right, they will also allow the highest quality private providers to move to the new streamlined arrangements from mid next year when the criteria are agreed,” Field says.

“This is a substantial shift in government thinking and a major step forward for the reputation and viability of high quality private institutions.”

Australia’s education sector, one of the largest earners in the economy, has been battered by the high Australian dollar, negative publicity from violence against Indian students and concerns over the quality of some teaching during period of high growth, and competition from North America and Europe.

Under proposals recommended by former New South Wales politician Michael Knight, students from so-called high-risk companies such as China will no longer need to show they have more than $75,000 in a bank account to support themselves, and will now need to simply declare they have sufficient means for their time here.

The report also recommends that students who obtain a bachelor’s degree be entitled to work in any job for two years after graduating, although stricter rules will apply to qualify for skilled migration.

Immigration Minister Chris Bowen says the Government will propose to treat “all student visa applications for participating universities under a new steamlined system”, regardless of the origin of the visa applicant.

Universities Australia also welcomed the report, saying the proposed changes to visa requirements for enrolled students “will help maintain an internationally competitive international education sector that confirms Australia as an attractive higher education destination over the long-term.”

“The extension of graduate work visas beyond 18 months and the streamlining of visa processing arrangements together realise the Government’s intent to put quality education at the forefront of the visa system,” Universities Australia said.

“We also fully support the recommendation for a more fine-tuned approach to current visa threshold requirements, in particular the financial pre-requisites for visa applicants that take account of cultural and regional differences”.

University of NSW vice-chancellor Fred Hilmer told The Australian he expects the reforms will provide a “moderate lift” in 2012, and a “significant” one the year after.