Explanatory Memorandum
(Circulated by authority of the Minister for Education and Youth, the Hon Alan Tudge MP)Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
The Higher Education Support Amendment (Extending the Student Loan Fee Exemption) Bill 2021 (the Bill) is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview of the Bill
The Higher Education Support Amendment (Extending the Student Loan Fee Exemption) Bill 2021 amends the Higher Education Support Act 2003 (HESA) to implement the 2021-22 Federal Budget measure to extend the FEE-HELP loan fee exemption by a further six months, to 31 December 2021.
HESA is the main piece of legislation governing Commonwealth funding of higher education in Australia. HESA facilitates the provision of Commonwealth financial support to higher education providers through Government subsidies, and provides loans to higher education students to cover their tuition and other fees.
Schedule 1 of the Bill amends section 137-10 of HESA to:
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- extend the FEE-HELP loan fee exemption measure currently in place for units of study with a census date between 1 April 2020 and 30 June 2021 by a further six months, to 31 December 2021. The Australian Government originally introduced a temporary exemption from the FEE-HELP loan fee for units with a census date between 1 April 2020 and 30 September 2020, which was later extended by a further nine months, to 30 June 2021;
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- apply a 20 per cent FEE-HELP loan fee for units with a census date on or after 1 January 2022.
This measure provides domestic higher education undergraduate students seeking FEE-HELP loans with an exemption from the requirement to pay the 20 per cent loan fee for units of study with census dates between 1 April 2020 and 31 December 2021, thereby reducing the financial burden on these students. This will provide an incentive for those students who have been financially affected by COVID-19 to continue or commence study in 2021, in turn supporting higher education providers to continue to deliver the high quality education which will be essential to Australia's economic recovery from the COVID-19 pandemic.
Analysis of human rights implications
The Bill engages the following human rights:
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- the right to work - Article 6 of the International Covenant on Economic, Social and Cultural Rights (ICESCR); and
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- the right to education - Article 13 of the ICESCR.
ICESCR Article 6 - Right to work
Article 6(1) of the ICESCR recognises the right to work, which includes the right of everyone to the opportunity to gain their living by work which they freely choose or accept. Article 6(2) provides that the steps to be taken by State Parties to the ICESCR to achieve the full realisation of this right include providing technical and vocational education programs to facilitate access to employment.
The right to work is engaged by virtue of the objective of the Bill, which is to ensure loans to students are provided for higher education that meets workplace needs and improves employment outcomes.
The Bill promotes the right to work through temporarily removing loan fees for domestic higher education undergraduate students accessing FEE-HELP loans by reducing the financial burden on students accessing higher education through the HELP scheme. This enables students to continue their higher education studies that will lead to improved employment outcomes. It also supports workers eligible for FEE-HELP who are displaced by the COVID-19 crisis, by reducing their financial burden in accessing Commonwealth assistance for higher education studies to upskill or retrain, and in turn, improve their opportunities to work.
This Bill is compatible with the right to work.
ICESCR Article 13 - Right to education
The Bill engages the right to education under Article 13 of the ICESCR, which recognises the important personal, societal, economic and intellectual benefits of education. Article 13(2)(c) provides that 'higher education shall be made equally accessible to all, on the basis of capacity, by every appropriate means, and in particular by the progressive introduction of free education'.
The Bill promotes the right to education by temporarily removing loan fees for domestic higher education undergraduate students accessing FEE-HELP loans. This reduces the financial burden on undergraduate students accessing FEE-HELP, in turn ensuring that students continue to have the highest level of choice and control over their education options.
The Bill is compatible with the right to education.
Conclusion
The Bill is compatible with human rights because it advances the protection of human rights in the delivery of higher education in Australia.