Education Policy | Post Primary | Preschool | Primary | Tertiary | Search

 


Future projections for tertiary students released

6 December 2012

Future projections for tertiary students released

The future for the generation of young New Zealanders who enter tertiary education in the next five years has become clearer from several sets of official information released by the Government this week.

Incoming student presidents who are part of the NZ Union of Students’ Associations (NZUSA) have been considering likely trends in the tertiary education sector at a series of workshops this week with various experts. This has included reviewing some of the data contained in this week’s annual releases about student loans and allowances, as well as a mountain of 61 documents just released by the Government under the Official Information Act.

Key pointers to current trends are:

• Although there will be fewer students a greater proportion are being put in the position of taking out larger loans. The flow of people into tertiary education is expected to flat line, or reduce. This is in line with a demographic dip in the number of 18-22 year olds, but the policy expectation is also based on the assumption that slow improvements in the job market and lower returns from tertiary education will see more people choose paid work over vocational training and postgraduate study (which has otherwise been increasing).

• The proportion of women accessing student support is now decreasing for the first time in almost two decades (down from a highpoint of 59.6% in 2004 to 55% in 2011). The total number of women with student loans in 2010 topped 124,000 – 28% above the number of male borrowers.

• A reduction access to Student Allowances thus making study less affordable.

• A reduction in the number of mature students, part-time students and a significant fall in the participation in tertiary education by Māori and Pasifika students (slipping backwards by 6% and 5% respectively between 2010 and 2011).

Policy thinking revealed from reviewing segments of this year’s Budget advice included MSD official’s arguments against stripping allowance eligibility from postgraduate students due to the likelihood of negative impacts, and Treasury’s advice against increasing the loan repayment threshold because of its unknown impact on Effective Marginal Tax Rates. Other proposals that were mooted by officials, but rejected or put on hold, were:

• A proposal to have different loan repayment rates for higher earners

• Dropping the parent/household allowance threshold for accessing a full Student Allowance from parents/households earning $55,000 or less, to $41,000 or less, which would have immediately impacted on as many as 26,000 students

A drive towards putting students under ever-greater financial pressures was noted, as evident in the average exit debt of new graduates escalating to $22,060 – the highest level since the loan scheme began twenty years ago.

A concern was also raised that the employment projections behind 2012 Budget decisions seem optimistic given youth unemployment is at a historical high. Treasury projections were that levels at or above 10% unemployment for 20 to 24 year olds will continue for at least another year, and that unemployment 15-19 year olds will stay above 20% for the next 1-2 years.

ENDS

© Scoop Media

 
 
 
 
 
Culture Headlines | Health Headlines | Education Headlines

 

Cricket: Dramatic Win Puts Black Caps In Finals

In Parliament: When Parliament resumed at 2pm the House passed a motion on a voice vote admiring the performance of the New Zealand cricket team in last night’s World Cup semi-final and wishing them well for the final on the weekend. More>>

ALSO:

Moon Shot/Kills Switch: The X Factor Judges Removed

MediaWorks has today decided that Natalia Kills and Willie Moon are no longer suitable to judge The X Factor and have removed them from the show. MediaWorks CEO, Mark Weldon, said that last night on The X Factor both Kills and Moon made comments that were completely unacceptable. More>>

ALSO:

Tessa Nichol: Up Up & Away In The Wairarapa

It’s an overcast morning in the Wairarapa but the mood on the ground in Carterton’s Carrington Park is anything but grey. More than 20 hot air balloons are getting ready to take off into the cloudy sky to mark the start of this year’s Wairarapa Balloon Festival. More>>

Golden Shears: Scotsman Wins Golden Shears Open Final

A Scottish shearer who settled in New Zealand to farm in Taranaki has become the first shearer from overseas to win the Golden Shears Open Shearing Championship. More>>

ALSO:

Shipped On A Bottle: Young Change-Makers Take To The Sea On Plastic Bottle Kayaks

With the aim of harnessing innovative design to construct kayaks solely from recycled materials, the “waste positive” project Plastic Bottle Kayak brings adventure into Kiwi classrooms. The call is out now for classrooms to send in messages and artwork to be inserted into the bottles. More>>

TV3 Video: Auckland Arts Festival Kicks Off

The Auckland Arts Festival kicks off March 4, with artists from New Zealand and all over the world on show. More>>

ALSO:

Get More From Scoop

 
 

LATEST HEADLINES

 
 
 
 
Education
Search Scoop  
 
 
Powered by Vodafone
NZ independent news