Will fee-free TAFE fix the skills gap? Experts aren’t so sure

Build-it
By Build-it
5 Min Read

While the idea of making TAFE courses free sounds like a win for tackling tradie shortages, some in the building and construction industry aren’t convinced it’s the right move—or at least not yet.

The construction industry is at a breaking point. With demand for housing and infrastructure projects skyrocketing, there just aren’t enough skilled workers to keep up. 

The government’s solution? Make TAFE courses free to attract more apprentices and trainees.

But industry heavyweights, like Master Builders Australia (MBA), are raising red flags. Denita Wawn, CEO of MBA, didn’t mince words about the risks.

“Free TAFE initiatives unfairly distort the market towards TAFE-delivered courses over industry-led providers,” she said. “We have not seen the free TAFE policy bring more people into building and construction apprenticeships; rather, it has simply reshuffled the deck.”

In other words, instead of bringing in fresh faces to the industry, the policy might just be moving people around without actually solving the skills shortage.

The Housing Industry Association (HIA) shares similar concerns, with Geordan Murray, HIA’s Executive Director of Future Workforce, worried about the speed at which this bill is being pushed through.

“We absolutely support making vocational education more accessible, but rushing this legislation risks turning a good idea into an ineffective policy,” Murray said.

Calls for fairness and transparency

The big issue here isn’t just about making education free—it’s about fairness. MBA and HIA want the government to play fair with private and industry-led training providers. Right now, the Free TAFE Bill focuses only on public TAFEs, leaving other training organizations out in the cold.

“The proposed bill is anti-competitive and creates a market distortion,” Wawn said, calling for changes to include not-for-profit and private training organizations.

Murray added that the current fee-free scheme hasn’t exactly been a game-changer. “During the time that the Fee-Free TAFE scheme has been operating, the number of apprentices and trainees in the construction industry has declined,” he said.

Another big concern? Transparency—or the lack of it. Industry leaders want real-time data to show whether the policy is actually working. Without that, it’s hard to know what’s effective and what needs to change.

Is 100,000 free TAFE spots enough?

The government’s headline goal is creating 100,000 fee-free TAFE places. Sounds impressive, right? Well, not everyone thinks it’s enough to make a dent in the labour crisis.

“This number might sound impressive, but in the context of our skills crisis, it is just not enough,” Murray said. “We need to think bigger. The demand for skilled workers in construction and other industries is overwhelming.”

And let’s not forget: course fees aren’t the only hurdle. Travel costs, tools, and equipment are also holding people back from pursuing a trade. If we’re serious about solving the skills shortage, these barriers need to be addressed too.

The bottom line: We need smarter solutions

The construction industry is at a crossroads. Everyone agrees something needs to be done, but a rushed policy with limited focus could do more harm than good. 

Wawn summed it up perfectly: “Our industry is at a critical juncture. We need bold, well-thought-out, holistic solutions.”

With a federal election on the horizon, industry leaders are urging all political parties to focus on practical, evidence-based policies. After all, Australia’s housing crisis depends on getting this right.

“This federal election, we are looking at all parties for practical and evidence-based solutions to labor shortages in the industry, which is crucial to addressing the housing crisis,” Wawn said.

Whether the Free TAFE Bill can rise to the occasion remains to be seen, but one thing’s for sure: Australia’s tradie shortage isn’t going away anytime soon.

Share This Article