WA Think Tank

Will You Have a Job When the Mining Bubble Bursts?

Monday, 18 August 2008

After I finished high-school, there was never really any debate as to what I would do next. I would not take a year off to go traveling- I was much too afraid that if I didn't go straight from one institution to the next, I would never go back.
 
From an early age, I knew that I wanted to be involved in the media- and for me, the only logical way to do this was to go to uni. I was brought up with the belief that to get a good job, I had to have a degree. For me, 'higher education' was not really a choice- it was a necessity.
 
Today, with a $20,000 (and rising) university debt to my name, I now wonder if I should have perhaps considered my options more carefully before I put myself through the stress of TEE. Although I do not regret my choice, would I have been better off going to TAFE, or joining the onslaught of 'sandgropers' now reaping the rewards of our commodities boom?
 
With another $96m worth of mining and resource projects still planned for WA, it comes as no surprise that many Perth students are being lured to the mines by offers of on-site training and impressive salaries, instead of furthering their education through traditional forums.
 
Earlier this year, Education Minister Julie Gillard, confirmed that the number of university places rejected by year 12 graduates was at its highest since 2005. And with the average miner's weekly wage now $1,939 (up 10% on last year), I can see why.
 
At Edith Cowan University, a degree costs between $5000 to $8500 a year, depending on area of specialty. When you account for extras fees (service and amenities, $50; access card, $25; admin fee, $50; parking, $65; books, upwards of $150), furthering your education doesn't come cheap.
 
Compared to uni, studying at TAFE is cheap. The maximum cost for a one-year TAFE diploma is $1,100 ($550 for concession-card holders). There is an enrollment fee of $50 and it can cost anywhere between $25-250 for resources (books, internet, equipment).
 
On average, WA universities claim an 80% employment success rate. In the 2007 Graduate Careers Australia Survey, 84.5% of Bachelor degree graduates gained full-time employment within 4 months of finishing their course. In comparison, the employment success rate of TAFE graduates is upwards of 75%.
 
However, a report released this year by the OECD found that many university graduates were furthering their studies at TAFE because they did not have the practical skills required to enter the workplace.
 
Although not at TAFE, this is precisely what I have done. When I graduated from journalism at ECU, my professor advised me to study politics or to specialise in broadcasting at WAAPA. Even though my degree (as with many others at ECU) had been largely based on developing practical skills, I was told that furthering my studies would significantly increase my job prospects.
 
Whilst 2007 saw over 900,000 Australian high-school graduates enroll in university (up 5.5% on 2006), it is obvious that universities in particular cannot compete with the temptations offered by the commodities boom.
 
Although it is estimated that another 42,000 workers are needed by 2015 to cope with the demands of the mining industry, I can't help but wonder what these people will do when the boom begins to fizzle. Will those who are now choosing to study be better off in the long run?

Share This Article