Further and higher education markets’ cushions: portability of policy and potential to pay

Abstract

This article explores the coincidence of global, supranational and local demands on a small EU member state. Pressures to open up an internal and external market in further and higher education (F&HE) derive from outside the local education state, most notably from the ‘knowledge’ economy’s competition imperative, from the obligations of EU membership regarding employment and Research and Development and from local demands for labour market growth. Normatively employing neoliberal market discourses, lead actors provide a number of cushions for the market, which include not only disinvestment and commodification, but also (ir)regulation, through the delays in establishing a regulatory framework, leading to a specific spatio‐temporal fix. Using the metaphor of a ‘two‐goal cushion’, this article asks whether the cushions themselves may not lead to the jeopardy of F&HE goals, especially regarding access, quality and increased Research Development Training and Innovation (RDTi)? Here, the portability of competitive market F&HE policies from the supranational to the local, and from the local ICT training industry to the tertiary education sector, provide evidence not only of ‘cushions’, but also of how F&HE ‘market’ policy is traded between discursive sites and scales.

Keywords:

• higher education market
• knowledge economy
• scale
• collibration
• spatio‐temporal fix
• EU governance

Acknowledgements

I would like to thank my friend and colleague Professor Peter Mayo for extensive comments, as well as references to historical and contemporary sources for F&HE data. When asked to suggest a ‘catchy’ term for ‘unwarranted advantage’, he suggested the ‘two‐goal cushion’ metaphor, which is applied here. This paper is a reworking of my section of the paper Peter and I (Darmanin and Mayo 2008) presented jointly at the ISSE conference in London in 2008. I am also grateful to the anonymous referees whose insightful comments and suggestions provided the opportunity for revision. The usual disclaimers apply.

Notes

1. Professor Peter Mayo provided the term. Rob Smith (2005) has used the ‘yellow card’ metaphor in his discussion of quality and the FE quasi‐market, citing the ‘masculinising’ strategies of quality audit managers as one reason why this would apply.

2. The 2009 Strategic Educational Pathways Scholarships, co‐financed by the European Social Fund and Malta, 2007–2013, http://www.education.gov.mt/steps.htm

3. Situated in middle of the Mediterranean Sea, Malta has a total area of 316 km² and a population of 410,290 persons (NSO, 2008a).

4. National Strategic Reference Framework: Malta, 2007–2013, Draft document for consultation, March 2006, Ministry of Finance, Malta.

5. As primary jobs, not additional secondary jobs.

6. Malta Labour Party. 2001. The Maltese economy: Present state and prospects. Marsa, Malta: Union Press.

7. With an average trade‐to‐GDP (average of the ratios of imports and exports of goods and services to GDP) ratio of 80% in recent years (from World Bank Development Indicators).

8. Speech by Minister of Industry, Investment and Information Technology, Dr Austin Gatt, (reported The Times, 22 November 2006, p.16) to the IT Students’ Association, where he stated that in about ‘five years’ time, the IT sector would be bigger than the tourism industry itself’.

9. Amongst the lowest in Europe.

10. Available at: www.euractiv.com/en/education/member-states-trailing-lisbon

11. Available at: www.gov.mt/newsletterarticle.asp?a=546&1=2

12. 20–24 years of age (EC 2006, 165).

13. To date there are no reliable statistics regarding Further and Higher Education, that would include students in private Tuition Centres and (foreign) Universities operating in Malta.

14. Information provided by Registrar’s Office, University of Malta, 28 October, 2008.

15. Currently there has been no official aggregated data available beyond 2006, nor is it clear whether these include data from private institutions (NSO 2008a).

16. Including Matriculation (second‐chance) certificate courses at MCAST (NSO, 2008a).

17. I am grateful to Professor Peter Mayo for sharing data he acquired with me.

18. Ministry of Foreign Affairs, Malta, 2001. Malta: National Programme for the Adoption of the Acquis.

19. Media Release, May 2003, Employment and Training Corporation, JAP In‐Depth Review.

20. For 2008, it was projected that e50 million of European Regional Development Fund (ERDF) and e56 million of European Social Fund (ESF) funds would co‐finance Ministry of Education, Youth and Employment projects (Ministry of Finance 2007b, 55).

21. The NSRF and companion Operational Programmes I and II (falling under EU Cohesion Policy) are crucial mechanisms through which EU ESF, ERDF and other funds may be accessed.

22. Malta has been allocated substantial Structural Funds 2004–2006 as well as funds from other Community initiatives such as €21,966,289 from the Cohesion initiative and €46,697,639 from ERDF, but has not utilised them fully. In the case of the two initiatives cited here, only 3.20% and 29.4% of the allocation has been utilised (PQ Hon Leo Brincat to the Prime Minister, reported in The Times, 24 May, 2007). EU funds are an important part of the local economy. However, where the total amount of Malta’s contribution to the EU from accession in 2004 to date (The Times, 4 October 2008, reporting on a PQ by MP Silvio Parnis) was €224.2 million, over the same period Malta received just over €349 million from the EU. Between 2000 and 2004, Malta received €362 million.

23. Heads of Agreement were signed between the Government and Tecom Investments in March 2006, following which the Government sold its 60% stake in the public communications company Maltacom plc in a deal worth €220 million (The Times, 18 May, 2006), this in preparation of a further contract including land and other leases to Tecom for the establishment of SmartCity@Malta, an IT village. Both the Labour Opposition and the business sector criticized aspects of the deals. The Editor of the Malta Independent on Sunday (26 February 2006, p. 5) wrote that deal has been ‘greeted with anything but rapture’, adding that Tecom would benefit from 100% exemption from personal income tax for 50 years; 100% exemption from corporate taxes for 50 years; 100% foreign ownership; and 100% repatriation of profits. No longer on target, the project is at a standstill (October 2009).

24. In interview, the Minister of MIT&I, Dr Austin Gatt cited these oft‐repeated these figures (MaltaToday, 26 February, 2006, p. 16).

25. Protocol on financial and technical cooperation between the European Community and Malta. http://eur-lex.europa.eu/LexUriServ.do?uri=CELEX:21

26. As Minister for Justice and Local Government, he was also instrumental in the framework for e‐Government through the White Paper on the Vison and Strategy for the Attainment of E‐Government (www.cimu.gov.mt) and the setting up of the precursor to NISAC, the eMalta Commission (2001–2003) (www.gov.mt/egovernment). He has since been Minister for IT and Investment (2003) and Industry, Investment and IT (2004–2008) and is now Minister for Infrastructure, Transport and Communications (MITC).

27. From data on Tuition and Commercial Centres licensed under the Education Act 2006, provided by the Quality Assurance Department, Department of Quality and Standards in Education. http://www.education.gov.mt/edu/schools/commercial_schools_list.htm

28. Members include representatives from political parties, the Trade Unions, Maltacom and Melita Cable, Go Mobile, Vodafone, various authorities and associations.

29. Ministry for Information Technology and Investment, Draft National ICT Strategic Plan. www.miti.gov.mt/docs/National%20Strategy%20v2.pdf

30. For example in 2006 (The Sunday Times, 7 May 2006) MCAST was missing lecturing staff in Computer Systems and Architecture, Software Development, Computer Networks and Object Oriented Techniques.

31. An article ‘MCAST ICT Institute’s role in economic development’ by the Director of the Institute, Mr Juan Borg Manduca (The Sunday Times, 30 July 2006, p. 32).

32. Speaking at a press conference, following a public outcry at the lack of provision at MCAST (The Times, 10 October 2006, p. 14).

33. Key Training Services, STC Training, Computer Domain and St Martin’s Institute of IT.

34. ‘Government to offer subsidies for ICT training’ (The Times, 23 September 2005, p. 15).

35. The Sunday Times, 10th August 2008.

36. MaltaToday, 27th September 2008. http://www.evaristbartolo.com/pages/..%5Carticles%5CMalta_Today_27th_September_2008_ICT_MCAST_Evarist_Bartolo%5BC%

37. MCAST press release, 15th October 2008. http://www.mcast.edu.mt/news_pressreleases_item.asp?ID+193

38. Since the 2008 elections, Minister of Information, Transport and Communication.

39. maltastar.com, 1 October 2008, ‘MLP demands investigation on ICT contracts at MCAST. http://www.maltastar.com.pages.msrv/msv2ArtDetailPrint.asp?an=24401; ‘Call for inquiry into selection of ICT firms’ (The Times 30 September 2008).

40. A list may be found at http://www.education.gov.mt/edu/schools/commercial_schools_list.htm

41. These five bidders are Key Services, Swatar Training Centre (STC), Computer Domain, Future Focus and St Martin’s, where St Martin’s is local operator for the University of London and STC London Metropolitan University. (MaltaToday, 2 November, 2008, p. 21).

42. Reported in The Sunday Times, 23 November, 2008. The Hon E. Bartolo referred to the conclusion of the investigation and to the ‘disgraceful behaviour of the adjudication board’, which changed their original marks, shredded their first report and recommended that all bidders be awarded the contract without checking for false declarations on the part of the IT companies (The Malta Independent on Sunday, 23 November 2008).

43. Subsidiary Legislation 123.87, Deductions and Tax Credits (General and Specific Qualifications). http://support.maltentrprise.net/doc/tax/PCB/LN335of2005.pdf and the companion Subsidiary Legislation 123.82, Deducations and Tax Credits (Research and Development) Rules.

44. Department of Information, press release no. 0971, 28 June 2006. http://www/doi.gov.mt/en/press_releases/2006/06/pr0971.asp

45. The Bank of Valletta Personal Loan myPotential (http://www.bov.com.asp?p=12863&1=1&text=1) ‘lending product’.

46. Department of Information, press release no. 0971. http://www.gov.mt/en/press_releases/2006/06/pr0971.asp

47. The Sunday Times, 3 June 2007, p. 52 – a half‐page spread (one of many) entitled my Potential – investing in your achievement.

48. Minister Gatt, now of Infrastructure, Transport, Communications (MITC).

49. Department of Information, press release no. 0721 ‘Aktar korsijiet that l‐iskema my Potential’ [‘More courses under the myPotential Scheme’].

50. Legal Notice 347 of 2005. Details may be found at the MQC home page: http://.mqc.gov.mt/page.aspx?id=2

51. Articulated during the MQC Conference, ‘Towards a National Learning Area for Vocational Qualifications’, 24 October 2007.

52. Reported in The Times, 9 March 2008, ‘Private Training Provision in Malta’, http://www.timesofmalta.com/articles/view/20080309/business/private

53. Reported in MaltaToday, 28 September 2008, p. 5, ‘MCAST examiners assign bogus results’.

54. An amendment to the Education Act, Cap.327.

55. The Chair of MIM, Mr R. Buttigieg, speaking at a Conference on ‘A borderless Europe – opportunities and threats to our higher education system’, organized by the Chevening Alumni Association of Malta and the British Council Malta, 11 April 2008, reported on http://www.independent.com.mt/news2.asp?artid=68246

56. Mr Jacques Sciberras, CEO, NCHE at a conference organized by the Chevening Alumni Association of Malta in association with the British Council Malta, 11 April 2008, Old University, Valletta. The author attended this seminar. Comments are from her notes as well as press reports.

57. ‘Skills for the Future’, The Dolmen Hotel, Malta, 19 September 2008. The author attended. Comments are from her notes and from papers found at http://www.nche.org.mt

58. Speaking at the conference ‘A borderless Europe‐opportunities and threats for our higher education system’, organized by the Chevening Alumni Association of Malta in association with the British Council Malta, 11 April 2008, Old University, Valletta. Author attended this seminar. Comments are from her notes.

59. Chaired by economist/lecturer Dr Gordon Cordina (reported in MaltaToday, 15 August 2004, http://www.maltatoday.com.mt/2004/08/15t11.html

60. Details may be found on http://www.education.gov.mt/youth/ysss.htm

61. Press Handout, 27 June 2006, MEYEPR 117/06, http://www.education.gov.mt/ministry/doc_pr_pdf6/PR11706.pdf.

62. Regulations available on http://www.education.gov.mt/mgss.htm

63. In the Regulations of the 2008 Malta Government Scholarship –Undergraduate Courses, p. 1 (http://www.education.gov.mtmgss_ug.htm)

64. KullHadd, 30 November 2008, p. 1.

65. Fr Peter Serracino Inglott in his piece ‘Trumpet blast’, The Sunday Times, 19 April, 2009, p. 13.