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Australia Colleges Education

Government Shuts Down Ghost Colleges Amid Vocational Education Crackdown

In a major crackdown on vocational education providers, approximately 300 so-called ghost colleges have been either shut down or handed warnings for failing to deliver education to international students despite issuing visas. The Australian Skills Quality Authority (ASQA) has cancelled the registration of around 150 Vocational Education and Training (VET) providers that failed to prove they offered any training over the past year.

Another 140 providers have been given notice to resume quality training by the end of the year or face closure. This crackdown impacts approximately one in every twelve of the country’s 3,800 registered training organizations. Over a third of the affected providers are based in New South Wales and another third in Queensland, with around 15 located in Western Australia.

One example includes a college that had not conducted any training or assessments since 2020 and failed to demonstrate to regulatory authorities that it would start doing so again. Other institutions have vowed to resume training within months despite a complete absence in 2023, leading the regulator to issue them a warning as well.

Ministerial Response

Minister for Immigration Andrew Giles emphasized that the Albanese Government is committed to eliminating fraud and loopholes within the VET sector, which have been problematic under previous administrations. “We’ve weeded out around 150 dormant operators, and 140 more have been given a yellow card,” Giles said during a press conference. “Under our government, there is no place for anyone who seeks to undermine the sector and exploit students.”

Broader Policy Measures

The action against these ghost colleges is part of broader reforms introduced earlier this year aimed at reducing temporary visa holders in Australia. The measures include tougher English language standards and a new “genuine student” test designed to ensure that international student visas are not abused as pathways to work rights and permanent residency.

The government’s twin reviews of migration and international education systems revealed that many individuals were using student visas as a back door for gaining working rights without being highly skilled.

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