From MIL OSI

Less than one third of students who enrolled in fee-free TAFE since 2023 have completed courses. Is this a problem?

Source: The Conversation (Au and NZ)

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Fee-free TAFE has been promoted as one of the Albanese government’s key education policies to train more nurses and builders. But new course completion figures released last week have sparked debate among industry leaders about whether the policy is working.

New data suggests enrolments have slowed, and many students who started a fee-free course have not yet completed it.

Of the 814,000 student enrolments in fee-free TAFE courses since 2023, 258,000 have completed courses as of the latest March quarter.

It comes after the national body for vocational education and training reported a decline in government-funded vocational education enrolments last year, including across TAFE providers.

But the conclusion the fee-free policy has “failed” is probably too simple.

How does fee-free TAFE work again?

Free TAFE allows eligible students to study selected vocational education and training courses without paying tuition fees. Victoria introduced the policy in 2019, and in 2023, the federal government expanded the initiative nationally. The federal government spent A$1.5 billion to fund more than 500,000 free TAFE and vocational education and training places between 2023-2026.

The federal government argues fee-free TAFE can increase the supply of skilled workers in construction, health care, disability support and early childhood education.

In a report tabled in May, the Victorian Auditor-General’s Office found, in Victoria, between 2018-2023

Since its introduction, free TAFE courses have seen increased commencements while commencements in other courses have decreased over the same time. There has been a high take-up of free TAFE for eligible students.

The report noted that this shows students may have been incentivised to choose free TAFE courses over other paid ones.

What’s happening with completion rates?

To better understand the figures, it’s good to know how completion rates are measured.

While there isn’t a nationally mandated duration for TAFE courses, a full-time qualification can usually take anywhere between six months to two years.

Completion rates for free TAFE courses are also typically measured in four-year blocks, meaning data is still partial.

The Department of Employment and Workplace Relations noted

Numbers are expected to rise as more students finish their courses, especially those studying part-time or in longer courses.

Changing student demographics

There might be other factors at play as well, such as changes in enrolment demographics.

National Centre for Vocational Education Research data shows there has been an increase in younger students, First Nations learners, people with disability, and job seekers enrolling in fee-free TAFE across Australia since January 2023.

The latest stats for the March quarter show fee-free TAFE enrolments by people with disability have increased nationally to 50,810, up 17,980 from the previous year. During the same period, the number of job seekers enrolled in fee-free TAFE rose to 200,160, increasing by 39,405.

Research shows some of these groups, such as those who are unemployed or with a disability, can have extra learning needs. These can include low literacy, English as an additional language, attention-deficit/hyperactivity disorder, mental health challenges, trauma backgrounds or interrupted schooling. These students can absolutely succeed, but often need more support to stay engaged and complete their studies.

This places greater demands on training providers. Increasingly, they are supporting students with a broad range of learning and wellbeing needs.

If student support services and teaching resources do not grow alongside enrolments, completion rates may suffer.

Research also suggests factors such as health or financial troubles, changes in work circumstances, or a mismatch between a student’s ability and course requirements can also impact completion.

The value of ‘free’

Free courses could potentially see some students enrol without fully researching the course, career or commitment – given they are not incurring a debt if they make the wrong decision.

It is also worth asking whether the language of “free” sends the wrong message.

In higher education, scholarships are often seen as prestigious. Some scholarships, like those offered to teachers, are accompanied by obligations to work in education systems after completion for an agreed upon time.

In vocational education, “free” could sound like “less valuable”.

Given the long-standing challenge of achieving equal status between vocational and university education, the way we describe these opportunities may matter more than we think.

That does not mean free TAFE is the problem. It means removing fees removes one barrier, but many others remain.

Too soon to tell

We still need more research and evidence before we know if fee-free TAFE is working or not. The national policy has only been operating for a few years, and major education reforms rarely produce immediate results.

The important question is no longer whether people can afford to enrol. It is whether Australia’s TAFE system has the resources needed to help a more diverse student population succeed. Free TAFE has improved access. The next challenge is ensuring that access leads to completion, qualifications and meaningful employment.

The Conversation

Shaun Rawolle has received funding from the Australian Research Council, the former Department of Industry, Innovation, Science, Research and Tertiary Education, and the Department of Education and Training Victoria.

Garry Argent does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

Original source: https://analysis1.mil-osi.com/2026/07/29/less-than-one-third-of-students-who-enrolled-in-fee-free-tafe-since-2023-have-completed-courses-is-this-a-problem/