IPPN

Published: 20 March 2009

Source: independent.ie

By JOHN WALSHE

Thursday March 19 2009

Dental students would face massive debts of around €64,000 when they graduate from university, under a controversial plan for a 'graduate tax' proposed by Fine Gael yesterday.

The opposition party's plan for reforming the third-level education sector would mean graduate dentists repaying €1,333 a month for four years or €1,067 for five years. By contrast, arts graduates would end up paying much less -- €238 a month over four years or €190 over five years.

Launching its 'Third Way' reform document, Fine Gael ruled out a return to fees but instead proposed a new graduate PRSI contribution scheme.

Students would pay 30pc of the cost of their education when they graduated. When fully operational the scheme would raise €500m which would be ringfenced for higher education.

The party insisted that the average debt would be €12,000, but its education spokesperson Brian Hayes agreed that graduates from laboratory courses such as dentistry, veterinary and medicine would face much higher payments.

Discount

He argued these were well-paid professions but said the party might consider a 'cap' on the amount to be repaid. Fine Gael would also consider a discount scheme for courses that are designed to meet labour shortages or meet national goals.

He said that if graduates emigrated they would still face the debt when they returned. Alternatively, it might be possible to come to an agreement with a third country about the repayment of the debt. In its Green Paper Fine Gael also proposes:

* A new National Technical University to brand the entire Institute of Technology sector internationally.
* A new Department of Technology, Skills, Innovation and Higher Education.
* Abolition of college registration fees once the new Graduate Contribution system is in place.
* A review of the maintenance and student supports for students from poorer backgrounds.
* Dropping the aim of having 72pc of the age cohort in higher education by 2013 -- at present it's around 60pc.

Fine Gael said the target was neither affordable nor required if a proper further education and training system were put in place at a national level.

The Union of Students in Ireland gave a cautious welcome to the document. But its president Shane Kelly said USI was fundamentally opposed to the return of third-level fees, and could not support any strategy that sought their return.

The Irish Federation of University Teachers said the proposals would require further discussion and fine tuning. But it welcomed the fact that FG saw the huge barriers which could be caused by re-imposing fees of thousands of euro on students, said IFUT General Secretary Mike Jennings.

- JOHN WALSHE

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Published: 20 March 2009

Source: independent.ie

By Richard Layte, Selina McCoy and Philip J O'Connell

Friday March 20 2009

THE debate on third-level fees has emerged again. Much of the discussion so far has focussed on the impact of fees on the ability of low-income students to enter third-level education.

This is certainly an important issue, but it ignores several wider problems faced by students from lower-income backgrounds and the absence of policies to address these.

First, participation rates of academically-able students from low-income families would have risen much more in the 1990s were fees the only entry deterrent.

ESRI research shows that since children from lower-income families are much less likely than their middle-class counterparts to complete second-level education, many are simply not in a position to apply for college.

Furthermore, Irish and US research suggests investment in primary education can be more effective at getting poorer students into third-level education than eliminating fees.

Despite this, OECD data shows Irish government spending on primary and secondary education in Ireland continues to be relatively low.

Burden

Second, since fees represent a small part of the financial burden of college students, what really matters for poorer students is the value of means-tested maintenance grants.

However, the proportion of young people receiving these supports has decreased and their relative value has deteriorated over time.

This has affected participation levels in certain groups, such as students whose parents work in personal services, sales and clerical jobs. These groups are at the margin of income thresholds in relation to fee exemptions, suggesting that a tapering of fee payments rather than a single threshold could address this issue.

The relative value of grant payments has also deteriorated compared, for example, to social welfare unemployment assistance, so students are more likely to have to borrow to support themselves.

Debt is a concern to any prospective student and international research shows that working-class individuals are more averse to debt because of the greater uncertainties and risks that they face.

So even if low-income students are eligible for grants, the low level of support creates a serious disincentive to entering college.

Third, research shows that young people from working-class backgrounds are far more likely to drop out of college, partly because of financial constraints, partly through academic difficulties and partly because of the general difficulty and loneliness of the whole experience. To overcome this, policy needs to provide appropriate supports to help their transition into this new, and sometimes alien, environment.

In sum, if the objective is to increase participation by low-income students, college fees are a minor part of the story.

In this context, Minister Batt O'Keeffe's appointment of an expert group to develop a new national strategy on higher education represents an opportunity to plan the scale and shape of higher education over the next decade and beyond.

The review should be solidly based on the analysis of evidence relating to the current performance of the system, comparisons of Ireland's higher education system with those of other relevant countries, and how the system should seek to meet future challenges, taking on board the changes proposed in other countries.

The expert group can build on the OECD's Review of Higher Education in Ireland, published in 2004.

Among other recommendations, it suggested further investment in pre-school and primary education, improved guidance and counselling and financial incentives to encourage colleges to recruit and retain low-income students.

Given funding constraints, and recognising the large personal gains for beneficiaries of higher education, it also identified fees as one source of additional funds.

The fees debate needs to be set in this wider context.

Enrolments

A recent study published by 'Universities UK' showed that the introduction of variable top-up fees was followed by a 9pc increase in applicants for undergraduate places, a 4pc fall in UK-domiciled enrolments, and no significant change in the social class composition of the student intake in 2006/07.

While it is, perhaps, too early to judge the long-run impact of this change, the issue needs to be explored more fully.

What is the appropriate balance between fees and direct income from government, particularly when government finances are under severe pressure? In looking at the possible re-introduction of fees, we need to recognise that fees would not represent a serious barrier if an adequate grants system were developed with a fair and rigorous system of means testing.

Richard Layte and Philip O'Connell are Research Professors and Selina McCoy is a Senior Research Officer at the Economic and Social Research Institute (ESRI)

- Richard Layte, Selina McCoy and Philip J O'Connell

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Published: 20 March 2009

Source: independent.ie

By na Mulhall and John Walshe

Friday March 20 2009

MORE female than male students work part time in school, right up to their Leaving Cert.

At the height of the boom three years ago more than two thirds of females were working part time while in their final year, the latest School Leavers Survey reveals.

The report, which is published by the Economic and Social Research Institute today, found that the long part-time hours worked by students were having a seriously detrimental effect on their studies.

Based on those who left second-level education in the 2004-2005 academic year, the report shows more than half (53pc) of second-level students held down a part-time job during the school period.

Some 87.7pc of girls and 84.1pc of boys in their fifth year held part-time jobs while still in school.

One of the authors of the report, Dr Selina McCoy, said the situation had changed since the economic downturn, but a large percentage of second-level students were still working.

Michael McLoughlin of Youth Work Ireland said: "Part-time employment can be a positive experience in the sense of character building, getting into the habit of work, and taking home a pay cheque, but only if it is done within reason."

He said it was increasingly likely that more students were now working "out of complete necessity" to provide their families with financial support.

"Working for a couple of hours in the evening is perfectly fine, but if students are under pressure to support their families there is greater temptation for them to take on extra hours and this will interfere with their schoolwork," he said.

Dr Delma Byrne, Dr McCoy, and Dr Dorothy Watson wrote the report.

- na Mulhall and John Walshe

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Published: 20 March 2009

Source: Irish Independent

NEXT year will mark the end of free third-level education for tens of thousands of students, the Irish Independent can reveal.

Education Minister Batt O'Keeffe last night confirmed he would bring proposals to Cabinet within two weeks which would compel students to pay for their college education.

And students who hope to avoid the payment by enrolling this September will not escape, as they will have to pay from 2010.

The move will signal the end of the era of free college education which began with the abolition of tuition fees in the mid-1990s.

The plan is likely to create serious tensions within the Coalition and spark widespread demonstrations by students, who are vehemently opposed to fees, loans or a graduate tax.

Officials have presented Mr O'Keeffe with a series of options for the new student "contributions".

These range from the straightforward re-introduction of tuition fees to a scheme whereby graduates start paying for their study, in the form of a tax, once they reach a certain income threshold.

However, the Irish Independent has learned the working group favours a mixture of both these measures.

Students would be able to pay fees up-front at a discount or pay the cost, with interest, after they graduate and find work.

Students already in college this year will not be affected by the end of free fees. "I would view those students as having a contract with third-level institutes, and I wouldn't see those students being affected," the minister said last night.

Mr O'Keeffe first raised the spectre of a return to third-level fees last August.

Despite continuing opposition to any form of a return to college charges, Mr O'Keeffe last night argued there were many people in society who could well afford to pay fees or to make a contribution to their third-level education.

Substantial

"I feel it would be justified to ask those people who are earning quite substantial amounts of money to make a contribution and, in that way, I can do two things. I can, if it is appropriate, give further funding to the third-level sector itself, and certainly I can concentrate on a greater access programme in the disadvantaged areas, and hope we can increase significantly the participation rate at that level," he said.

However, the new student contribution is set to place the greatest burden on lower-middle income groups.

The Economic and Social Research Institute (ESRI) last night warned the worst affected would be the children of workers at, or just above, the income threshold for maintenance grants: bus drivers; waiters/waitresses; postal delivery staff; retail workers; lower ranks of civil servants; clerical workers and soldiers. The economic think-tank is investigating why so few students from this social group remain to take their Leaving Certificate and then go to college.

Dr Selina McCoy said that this non-manual group was particularly "debt adverse" and would be reluctant to take on huge debts by going to college.

Work done by ESRI researchers has shown increased participation by every other social group in college:

* Higher professionals such as doctors, lawyers, engineers -- increased to almost 100pc.
* Farmers -- up from 65pc to 89pc.
* Own-account workers, such as personnel managers and credit controllers -- up from 39pc to 65pc.
* Employers and managers, and lower professionals such as teachers, technicians -- remained around 65pc.
* Skilled manual workers such as bricklayers, plumbers, welders -- up from 32pc to 50pc.
* Semi-skilled and unskilled manual workers such as warehouse staff, caretakers, dry cleaners -- up from 22pc to 33pc.

But for the non-manual workers' category there was virtually no change, with participation rates moving from 24pc to only 27pc at a time of massive expansion in higher education.

Dr McCoy said the availability of maintenance grants was one factor affecting attendance at college. At present, to get a full maintenance grant of €3,420, the maximum income limit for a family of four children is €39,760 a year. For more than eight children, it is €47,430 a year.

The end of free third-level education will be bitterly opposed by Labour, which abolished fees in 1996, and students.

USI President Shane Kelly last night said: "We already have fees but we call them something else -- a registration charge, which is going up to €1,500 in September."

- John Walshe Education Editor

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