Government keen on bondage, students not so sure

Tuesday, 24 February 2009, 9:16 am
Press Release: NZ Union of Students' Associations

Government keen on bondage, students not so sure

Student leaders are welcoming the government’s interest in supporting new graduates and their recognition of the significant issues with student loan debt, but are warning that without further expansion of the scheme the initiative will have narrow success.

“Today’s announcement shows the government have heard the calls of some industry and sector groups to address key workforce shortages, and that they understand the negative effect student loan debt is having on graduates career choices”, said Sophia Blair, Co-President of the New Zealand Union of Students’ Associations (NZUSA). “For those lucky few who qualify for this initiative, it will provide very welcome relief,” added Blair.

The policy announcement will see a voluntary bonding scheme introduced for medical, health and teaching professionals in hard to staff areas that provides student loan relief, or cash incentives, in an effort to fill workforce shortages and keep skilled graduates in New Zealand.

“However while we do acknowledge some merit in this policy, we are very concerned at the narrowness of the bonding scheme, and question why it is not universal in nature, given New Zealand has vast skill shortages across industries and professions and throughout the country”, said Blair. “A policy that rewarded all graduates for staying and utilising their skills and knowledge at home rather than going offshore would have huge benefits for the economy and would have shown genuine commitment from government to addressing what is now a national problem, and no longer an isolated few cases,” said Blair.

“Targeted bonding also runs the risk of always being behind the need and therefore never quite fixing one problem before another arises. Workforce shortages can take several years to establish and become clear, and attracting students into particular areas of study can also take many years to come to fruition with a pool of eligible graduates,” said Blair. “While we may see some improvement in the teaching and medical graduates staying in New Zealand with today’s announcement, and particularly in hard to staff areas, we’ll likely still see problems with areas such as science and engineering,” added Blair.

“All student loan borrowers are struggling under their debt, not just doctors and teachers. The government should be offering voluntary bonding to all graduates prepared to establish careers and families at home, not just a select lucky few,” said Blair. “However the real answer to keeping people in New Zealand and filling hard to staff jobs is not to saddle our young people up with high debt in the first place. With individual students and their families struggling in this tough economic climate, the time has never been more right for government to fully fund public tertiary education and invest in the future of its people and the country,” concluded Blair.

ENDS

© Scoop Media

NZUSA - New Zealand Union of Students' Associations

We stand for opportunity, for all.

NZUSA is the New Zealand Union of Students' Associations, the national body that represents New Zealand's students' associations and the interests of New Zealand's 400,000 students at universities, polytechnics and in trades training.

We conduct original research, advocate to Government and through the media, and support New Zealand's students' associations to be more effective on behalf of their members. We advocate alongside Te Mana Akonga – The National Māori Students' Association, and Tertiary Women New Zealand – The NZUSA Women's Caucus.

Since 1929, we've believed in a society rich in opportunity, where anyone from anywhere can become any thing. We support accessible, affordable quality public tertiary education.

Contact NZUSA - New Zealand Union of Students' Associations

• Website - www.students.org.nz
• Twitter - @studentsnz
• Email - president@students.org.nz
• Facebook
• Physical Address - Level 8 Education House, Wellington, 6011
• Postal Address - PO Box 101091 Wellington
• Phone - +64 27 868 4989