Reforms In The Australian Educations Sector Essay


How to the Reforms in the Australian Education Sector?



Notably, most economies in the world recognize education as the backbone of a skilled labor market thus the various investments into the education sector by most governments in the world. According to Hare and Uren in their 2017 publication, any reforms in the education sector will affect the performance of other sectors of the economy. Through their article the Budget to lift fees for University students, scrap funding costs, Julie Hare and David Uren explore the consequences of this government reforms in the education sector on the Australian students. Significantly, these reforms have adversely affected the students

Inevitably, the reduction of government funding towards higher education In Australia has prompted payment of high tuition fees through its new funding formula. Notably, the education fees for students has increased by 25 % (Hare and Uren, 2017) Further, there’s an increase in university costs to be covered by Australian students. Moreover, The new formula advocated for prompt repayments of higher learning loans through low salary repayment thresholds. Also, students are to be charged loan fees at the onset of their studies which can be burdensome for some students hence its undesirability.

Predominantly, the Australian government has attributed its reforms to the future guarantee of high paying jobs to graduates of higher education in the Australian labor market. As per this rationale, higher learning is regarded as an investment to which returns will be huge salaries (Jeffrey, 2017) However, some observers view this standpoint as incorrect. According to the Australian Bureau of Statistics, recently graduated university students are unemployed (Hare and Uren, 2017) Further, the number of degree premiums has also decreased. However, there are positive returns by the private sector despite being associated with higher education in Australia have significantly reduced in the recent past thus the assertion that the rise in higher education fees hasn’t really declined over the years due to high tuition fees for higher learning institutions in Australia.

Notably, the number of students expected to enroll for higher learning is likely to reduce following the tuition fee pay hikes in higher education institutions as per the law of demand (Yaxley, 2015) Usually, price increase triggers a decrease in demand for any product or service.Even though the demand for higher learning is inelastic, student enrollment in higher learning institutions is likely to decline eventually over periods of time. Further, an increase in higher learning tuition fees in the year 2012 in England triggered a 15000 decline in student enrollment in universities(Vasager,2012)Thus, an increase in student tuition fees in higher education will reduce the demand for higher education among Australian students.

Economically, government reducing its funding for the Australian education sector has, in turn, reduced its expenditure thus relieving overall taxpayers of this burden.However,the high tuition fees burden is shifted to consumers of higher education in Australia.Significantly,there will be a huge decline in pre-graduates enrollment figures due to the high tuition fees which is considered unaffordable for most of the student intending to take up higher learning courses in the Australian education sector. Change is inevitable hence the Australian government ought to carefully analyze the implications of its financial budget cuts on education performance.

Primarily, tuition fees hikes will negatively affect Australian students because of the already expensive tuition fees. Subsequently, decreased government support coupled with increases in tuition fees and tight repayment schedules for higher education inevitably demoralizes student performance and negatively affects student concentration and performance (Farrell and Hurst, 2014) Consequently, decreased funding from the government is an indication of loss of interest in education investment to some observers. Usually, adequate government funding of public resources is regarding as interest and emphasis on the part of the Australian government.

Noteworthy, there will be an increase in the number of educated people which in turn translates to an educated future labor force equipped with the requisite skills for the job market thereby promoting work efficiency and productivity. Notably, the implementation of the proposed reforms will go a long way in boosting the morale and education performance of Australian students. The move by the government to regulate the funding of university tuition fees through cuts isn’t sufficient to reform the education industry in Australia instead it should increase its education budget (Farrell and Hurst, 2014).The increase in funding will afford education for many.

Significantly, this move will make tuition fees affordable thereby promoting quality and equity among all Australian students due to easy accessibility and affordability of learning institutions. Further, there will be an increase in education demand(Pash,2014)Consequently, the numbers of graduate students will increase. Moreover, this will mean an educated future labor market for the Australian market. Notably, education is the basis of an educated labor force thus the need for quality and affordable education for all Australian students. Equity ought to be observed in all learning institutions.

Further, increase in tuition fees may negatively affect choice of courses in Australian schools by the students (Shift learning) Inevitably, education is an important sector of the economies for many developed countries thus the need for government and private stakeholders interest and involvement thus the efforts to increase education tuition fees in Australia is bound to affect the quality of education in Australia. The Australia government has purposed to implement tuition cuts and to increase fees for university and tertiary education in Australia. Subsequently, the demand for education will decline because of the tuition fee hikes and may trigger large student drop outs(‘Education, ’n.d.)Dropping out of school due to inability to pay high tuition fees.

Thus there is need to reduce the high tuition fees to enable more students to enroll for higher learning. An educated taskforce is likely to acquire the requisite skills for the requisite job market thereby reducing redundancies and inefficiency at the workplace. Following school drop outs and tuition pay hikes, the education sector in Australia is likely to suffer thus the need to boost funding in Australia University and tertiary institutions. Notably, government expenditure should be geared towards knowledge acquisition in Australian education institution for equity among all Australian students.


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Hare, J, and Uren, D.(2017).Budget to lift lives for University students, scrap funding cuts. The Weekend Australia.[Online]Available at: [Accessed 11 May 2017]

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Jeffrey, C. (2017). Why Australia and India Should Collaborate on Higher Education [Online] The Wire. Available at: [Accessed 11 May. 2017]

Pash, C. (2017). The Cost Of Getting A University Degree In Australia Is About To Change: Here's What You Need To Know. Business Insider. [Online]. Available at: [Accessed 28 Apr. 2017]

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