Embed Size (px)
Citation preview
VET regulators – provider market
Regulators’ market share of RTOs as at 31 December 2014
VET regulators – Victorian providers
Regulatory responsibility as at 1 July 2011 – 31 December 2014
42
1 July 2011
1 July 2014
1 July 2013
1 July 2012
31 Dec2014
ASQA’s regulatory activity update
• Between 1 July 2011 and 31 December 2014 ASQA received 24,159 applications.
o 83% were for change of scope
o 10% were for renewal of registration
• As at 31 December 2014 ASQA had completed 23,575 (96.7%) of these applications.
• Between 1 July 2011 and 31 December 2014 ASQA received 6,495 applications from
Victorian providers
o 88% were for change of scope
o 7% were for renewal of registration
• As at 31 December 2014 ASQA had completed 6,332 (97.4%) of these applications
ASQA’s regulatory activity 1 July 2011 – 31 December 2014
ASQA’s regulatory activity update
• ASQA has refused 669 applications
o 142 initial applications, 134 renewal applications and 393 change of scope applications
• ASQA has cancelled the registration of 83 providers, suspended all or part of the
registration of 129 and issued 351 notices of intention to cancel/suspend a provider’s
registration.
• 6.1% of applications from existing providers to re-register have been refused and more
than 15% of applications from organisations seeking to establish a new provider have also
been refused.
ASQA’s regulatory activity 1 July 2011 – 31 December 2014
ASQA’s regulatory activity update – Victorian providers
1 July 2011 – 31 December 2014
• ASQA has refused 196 applications
o 27 initial applications, 49 renewal applications and 120 change of scope
applications
• ASQA has cancelled the registration of 21 providers, suspended all or part of the
registration of 18 and issued 85 notices of intention to cancel/suspend a provider’s
registration.
• 11.9% of applications from existing providers to re-register have been refused and
16.8% of applications from organisations seeking to establish a new provider have
also been refused.
ASQA’s regulatory activity update
SNR 15 Quality training and assessmentSNR 16 Training and student information
meeting student needsSNR 17 RTO is responsive to clients and
stakeholders
Compliance at initial audit
Compliance following rectification
SNR 18 GovernanceSNR 19 Cooperative with regulatorSNR 20 Compliance with legislationSNR 21 Insurance
SNR 22 Financial managementSNR 23 Proper certificationSNR 24 Accurate and ethical marketingSNR 25 Transition from superseded courses
Compliance with standards by existing RTOsAudits of existing RTOs July 2014 1 – December 2014 31
SNR 15 Quality training and assessmentSNR 16 Training and student information
meeting student needsSNR 17 RTO is responsive to clients and
stakeholders
Compliance at initial audit
Compliance following rectification
SNR 18 GovernanceSNR 19 Cooperative with regulatorSNR 20 Compliance with legislationSNR 21 Insurance
SNR 22 Financial managementSNR 23 Proper certificationSNR 24 Accurate and ethical marketingSNR 25 Transition from superseded courses
Compliance with standards by existing Victorian RTOsAudits of existing Victorian RTOs July 2014 1 – December 2014 31
Compliance at initial audit
Compliance following rectification
SNR 15.1 Continuous improvement of training and assessmentSNR 15.2 Training meets requirements of training packageSNR 15.3 Required staff, facilities, equipment and materials
SNR 15.4 Qualified and competent trainers and assessorsSNR 15.5 Assessment done properly
Compliance with standards by existing RTOsAudits of existing RTOs 1 July 2014 – 31 December 2014
Compliance at initial audit
Compliance following rectification
SNR 15.1 Continuous improvement of training and assessmentSNR 15.2 Training meets requirements of training packageSNR 15.3 Required staff, facilities, equipment and materials
SNR 15.4 Qualified and competent trainers and assessorsSNR 15.5 Assessment done properly
Compliance with standards by existing Victorian RTOsAudits of existing Victorian RTOs 1 July 2014 – 31 December 2014
Conclusions from three and a half years of national regulation
• many RTOs offer courses that are too short to properly deliver and assess
competency
• most RTOs struggle with assessment
• 71.9% of RTOs that have been audited have at least some non-compliance at the
initial audit
• however, most RTOs (85.1%) are able to achieve full compliance after 20 day
rectification
o 66.2% of Victorian RTOs that have been audited have at least some non-
compliance at the initial audit
o however, most Victorian RTOs (82.5%) are able to achieve full compliance after
20 day rectification
The case for regulatory reform
• Modern risk-based regulation is all about “better identifying risks and developing strategies
to better address those risks” (Malcolm Sparrow)
• ASQA conducted 4387 audits (to 31 December 2014)
o 85% of audits are applications based leading to:
Ø 142 refusals of initial applications to set up an RTO
Ø 134 refusal of RTO renewal applications
Ø 393 refusals of change of scope applications
o 15% of audits are compliance/post-initial audits leading to 212 RTOs having
cancellations/suspensions of registration
VET regulatory reform
Reforms will focus ASQA’s regulatory scrutiny on providers who do not provide quality
training while allowing those providers who offer high quality training and assessment to
undertake these activities without unnecessary regulatory burden.
The reforms seek to:
• lower regulatory burden and cost on high quality, fully compliant RTOs through an
earned autonomy strategy
• provide more support to RTOs who are trying to comply but have some difficulties in
fully meeting the standards through education and information
• apply even more rigorous regulation of seriously non-compliant, poor quality providers
• further implement a modern risk-based regulatory approach moving the VET
regulatory trigger from the submission of an application by an RTO to better
identifying and managing risk.
VET regulatory reform – external delegations
• Stage 1
o 555 invites in October 2014
v including 64 to Victorian RTOs
o 120 delegations issued to date
v including 11 Victorian delegates (as at 28 February 2015)
• Stage 2 – 1 July 2015
o RTOs not yet renewed by ASQA can seek delegation (with audit of Standard 1)
o 1210 potential RTOs
• Stage 3 – 1 July 2016
o previously found non-compliant at audit but rectified
o can seek to have delegation (with audit of Standard 1)
o 450 potential RTOs
Complaints
Complaints are becoming a core piece of market information to inform risk -based regulation
• approx 1400 complaints per year
• 4133 in total to 31 Dec 2014
• 46% came from students
• crucial to risk-based regulation
VET FEE-HELP review
• an example of risk-based regulation
• 110 VET FEE-HELP complaints received to 31 Dec 2014
• providers with more than one complaint being investigated (18 RTOs)
• five RTOs benchmark sample
Standards for Registered Training Organisations 2015
The new Standards can be grouped as follows:
• training and assessment
• obligations to learners and clients, and
• governance
• eight standards
• provide a greater level of detail
• applicable to both applicants and existing RTOs
Main differences
• more detail about assessment
• verification/validation process
• obligations around third-party arrangements including brokers and VET FEE-HELP
o require RTOs to provide details to learners about the repayment of any debt
incurred under the VET FEE-HELP scheme arising from the provision of services
to the learner
• greater disclosure to students
• clearer and more detailed requirements around marketing
• certificate on compliance
• new requirements about trainers and assessors
• will give ASQA the ability to tackle other problem areas such as unscrupulous
providers offering very short courses
Standards for Registered Training Organisations 2015
New legislation
• introduced into the House of Representatives on 25 February 2015
• makes a number of amendments to the National Vocational Education and Training
Regulator Act 2011 (the Act)
• amendments seek to support VET reform, give ASQA the capacity to respond rapidly to
emerging issues and facilitate more effective and efficient regulation
• members of parliament have largely supported the measures in the Amendment Bill
• it passed through the House of Representatives and was introduced into the Senate on 5
March
• the Bill passed through the Senate on 16 March 2015
The National Vocational Education and Training Regulator Amendment Bill 2015 (Amendment Bill)
The Amendment Bill
• seven years for reregistration
• brokers have to declare what RTOs they’re recruiting students for
• new power to make a quality standard
• other minor changes
Key measures
Going forward
