| Who applies?
ITPs, PTEs, Wānanga
|| Fund focus:
Learning focus, Foundation skills, Vocational skills, Learner focus, Domestic students, Youth
Limited to certain providers
|| Agreed through?
Investment Plan (on Plan)
TEC’s fees-free Youth Guarantee funding is part of a wider range of government-funded foundation learning initiatives, which are also collectively known as Youth Guarantee – including Vocational Pathways, Secondary-Tertiary Programmes (including Trades Academies), and Service Academies. More information on the wider Youth Guarantee programmes is available on the Ministry of Education website or at www.youthguarantee.net.nz.
TEC’s fees-free Youth Guarantee funding is about creating opportunities for 16 and 17 year olds who are not currently engaged in education to re-engage with education in a tertiary rather than school based setting.
For learners funded through fees-free Youth Guarantee, completion of foundation education provides an essential pathway to further education. Achieving level 2 qualifications should be the starting point for the learner, with tertiary education organisations encouraging and supporting Youth Guarantee learners to progress to higher levels of education.
Fees-free Youth Guarantee funding contributes to the Government’s overarching goal of youth achieving NCEA level 2.
Fees-free Youth Guarantee funding also seeks to improve transitions between school, tertiary education and work; increase overall achievement for Māori, Pasifika, and learners with special education needs; and reduce the overall number of young people not in employment, education or training (NEETs).
For further information on TEC-funded foundation learning programmes go to:
The Youth Guarantee funding mechanism outlines the general form and essential components of how funding is to be administered and provides the mandate for TEC to allocate that funding. This is determined by the Minister under section 159L of the Education Act 1989 and is considered in accordance with government policy, the Tertiary Education Strategy and in response to performance.
Any TEO that receives funding for Youth Guarantee provision must abide by a number of rules and conditions.
Summary of key differences between Youth Guarantee in 2012 and 2013
| ||2012 (transitional year) ||2013|
|Unit of funding ||A ‘ learner place’ described in the funding |
mechanism as 1200 hours of learning.
|An Equivalent Full-Time Student (EFTS) (as it was in 2010 and 2011) described in the funding mechanism as 1200 hours of learning and is equivalent to 120 credits.|
|Eligibility ||16 or 17 years at the time of commencing their study, |
or 15 years with an early exemption from school.
|Now also includes teen parent beneficiaries, aged between 16 and 18|
at the time of commencing their study.
|Limit on prior achievement || ||Learners who already hold a qualification at level 1 or 2 on the NZQF must not comprise more than 10% of enrolments at that level.|
There are no prior achievement restrictions for learners studying a level 3 Youth Guarantee
|Exceptional travel funding ||Available by application in May and at the final report due 31 January 2013. ||Bulk-funded through a separate allocation process in early 2013, and informed by 2012 actuals.|
|Reporting ||All TEOs must report through the ERS, and those who reported through |
SDR in 2011 had to continue to in 2012.
|All TEOs must report through SDR only.|
|Cap on level three provision ||This was set at 1500 ‘places’. ||The cap is now set at 2000 full-time EFTS|
|Programme approval and accreditation ||Programmes offered through Youth Guarantee must be linked to |
level 1-3 qualifications registered on the New Zealand Qualifications Framework (NZQF)
|All Youth Guarantee TEOs are required to offer programmes registered on the NZQF. Therefore, all TEOs need to have: |
the necessary consent to assess (if the delivery is NCEA only, using one or more of the Vocational Pathways), programme approval and/or accreditation from NZQA; and
and the necessary qualification and course approvals from TEC.
|Recoveries ||Funding based on a ‘place’, with recoveries informed by the published rules and definitions – Youth Guarantee 2012 - Measuring youth guarantee from SDR and ERS (PDF, 3.7 Mb) (42 pages). ||Funding calculated on an EFTS basis and funding will be recovered for delivery below 100%, with recoveries undertaken on the same basis as the current SAC funding rules.|
Summary of Youth Guarantee for 2012
For a summary of TEC requirements for fees-free Youth Guarantee delivery in 2012, please view the following document.
TEC Requirements for fees-free Youth Guarantee 2012 (PDF, 312 Kb)