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National
Andrew Brown

Unis could help end skills shortage: Scott

Mark Scott says the funding model for Australian universities needs to be improved. (Dean Lewins/AAP PHOTOS) (AAP)

A stronger government focus on higher education would help solve the skills shortage crisis, University of Sydney Vice-Chancellor Mark Scott says.

In an address to the National Press Club on Wednesday, Professor Scott said the funding model for universities needs to be improved.

Ahead of the government's jobs and skills summit, which begins on Thursday, the vice-chancellor said it was critical for there to be an increase in national investment in research to drive future jobs.

"Great changes in Australia's economy and labour market have already taken place. More than half of the new jobs created over the last 30 years can only be held by people with a post-school qualification," Prof Scott said.

"I'd like those at tomorrow's jobs and skills summit to consider not just the immediate challenges, for which migration will surely be one answer, but those challenges Australia will contend with a decade from now."

The speech also highlighted the university's vision for the next decade.

Among some of the goals outlined was to enable more than 1000 more students from low socio-economic backgrounds and disadvantaged schools to study at the university, along with a greater emphasis on student-focused education.

Prof Scott said while the universities sector has been under funding pressure in recent years, student outcomes were still key.

While the federal government provided as much as 90 per cent of funding to universities during the 1980s, Commonwealth funding now makes up less than 30 per cent of the sector's income.

The majority of income comes from domestic and international student fees, along with grant schemes and philanthropic donors.

Prof Scott said current funding arrangements for higher education was a "complicated ecosystem".

"International students in particular have played a vital role in providing not just key researchers at a graduate level, but also together, providing the funding income that underpins much of the national research effort," he said.

"Funding pressure is no excuse for not fulfilling the promise that a university education should present to today's students."

The federal government has promised to review university funding as part of a new accord with the sector.

Prof Scott said a strengthening of universities would allow for sectors to meet future challenges.

It is expected nine in every 10 new jobs created in the next five years will require a form of post-school qualification.

"Universities help create new jobs. We know the government recognises this, as the presence of med-tech and critical technologies in the National Reconstruction Fund attests," Prof Scott said.

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