Government should separate scholarships from YA

The Senate last night voted down Labor's Youth Allowance legislation, which would have retrospectively impacted upon thousands of Australian students currently in their gap year and crushed the higher education dreams of thousands of rural and regional students into the future, according to Shadow Education Minister Christopher Pyne.

"Tonight the Liberal and National Parties, together with Senator Fielding, have taken a stand for principle, and for the opportunity for rural and regional Australian students to be able to attend University," said Mr Pyne.

But although this is a reprieve for these thousands of students, who will no longer have their access to youth allowance ripped away from them, it is terribly disappointing that the Government's stubborn refusal to accept suitable amendments to their legislation has led to this Bill failing.

This Bill contained a number of worthwhile measures that the Coalition would be happy to support - however we will not allow the Government to increase funding to one group of students only by ripping away the higher education dreams of country students.

The Labor Government has also placed the scholarships of thousands in jeopardy by abolishing the old Commonwealth Scholarship system in a previous Bill, with their replacements in this Bill - despite warnings from the Coalition and Family First at the time that to abolish the Scholarships without concurrently legislating their replacements was pure folly.

The Education Minister's mismanagement of this matter is staggering.

First, refusing to heed the warnings of the Coalition that abolishing Commonwealth Scholarships without an acceptable alternative in place means that there will be no scholarships next year. This is entirely the Government's fault as they alone control the legislative program.

Second, the Minister chose to negotiate only with the cross benches, never seeking to include myself as Opposition Education Spokesperson in negotiations, rather choosing to play politics.

We have made it clear that the Coalition will hold firm on our two primary concerns with this Bill:

1. The Coalition cannot support legislation that cuts out the 'gap year' pathway to Independent Youth Allowance for students who must leave home to attend University, unless a realistic alternative provision is put in place.
2. The Coalition cannot on principle support legislation that is retrospective in its effect. We note that the Government has moved towards addressing this issue with their new amendments, but we still cannot support their legislation while they are seeking to change the goal posts on any students who made a good faith decision to take a year off in order to earn Independent Youth Allowance based on the advice of Centrelink officials and their schools' careers advisers.

Last night the Government moved amendments that would have done nothing in the long term for rural and regional students, and which would have removed some - but not all - of the retrospectivity in the legislation. The Government's amendments did not address the Coalitions concerns as they were fully aware they wouldn't.

The Coalition has told the Government that if they bring back a new bill to reintroduce scholarships for 2010, then we will give precedence to that Bill. And if the Government wishes to reintroduce their legislation, including the amendments supported by the Senate last week, then we could also support that before the Senate rises at the end of the week.

"The Government has learnt tonight that the cost of their putting petty politics above good policy is that everyone loses. The Coalition will not be blackmailed into supporting retrospective legislation, or legislation that unfairly disadvantages rural and regional Australian students."

November 25, 2009

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Adam Howard

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