However, should the goal of doubling primary export returns by 2025 succeed, the total number working in the sector will swell from 350,000 in 2012 to 403,000 in 2025. Taratahi ticks all the right boxes by providing vocational training for young people and, significantly, the Tertiary Education Commission has made primary sector training a focus for 2019-20.
The model for primary sector vocational training is broken, evident by three institutions being bailed out last year. Taratahi has legacy issues but a central plank supplying those required workers has now been killed off without a back-up plan. It also has challenges from reduced student numbers and debt but, equally, it is struggling from a funding model that does not acknowledge primary sector training is more expensive than other vocational training.
It is still unclear why Taratahi’s proposed rescue package of land sales, cost cutting, restructuring, a debt holiday and a $6 million cash injection was rejected, leading to speculation that being a private training entity – albeit not for profit – Taratahi did not fit the Government’s preferred education model. Taratahi has some independence with its own governance and act of Parliament.
The Government is in the process of significantly restructuring the sector and there is a view the Education Ministry wants the same control over Taratahi that it has over other vocational training institutions.
Understandably, a business liquidation must follow a legal process but the Government had some wriggle room. It is fixing a flawed funding model and Taratahi has committed to make changes so the Government could have propped up the training provider and put it on notice.
The 750 current and potential students, 250 staff and an industry crying out for workers deserve more than to be told five days before Christmas the business is going in to liquidation.
Neal Wallace
