Millions in taxpayer dollars spent on training staff at McDonalds and other corporations

The NSW government has given tens of millions in taxpayer dollars to help train staff at private corporations including global giant McDonalds.

A freedom of information request by the NSW Greens reveals the state government has awarded Mcdonald's Australia $1,809,485 in funding for vocational education and training.

The NSW government has awarded Mcdonald's Australia $1,809,485.67 in funding for vocational education.
The NSW government has awarded Mcdonald's Australia $1,809,485.67 in funding for vocational education. Photo: Glenn Hunt

Other private providers to receive state government funding for the 2015-16 financial year include Vision Training Institute ($4.68 million), Wise Education Group ($4.48 million). Government departments including Primary Industries has also obtained $2.59 million and NSW Health, $1.029 million.

Government funding for vocational training is contestable, meaning the public provider TAFE has to compete with private providers for government funding. NSW embraced the funding model after it was introduced in Victoria.

NSW Skills Minister John Barilaro.
NSW Skills Minister John Barilaro. Photo: Louise Kennerley

 A spokesman for the Minister for Skills, John Barilaro said the NSW government funds traineeships and under its Smart and Skilled program which allows students to choose their preferred training provider.

"More than 80 per cent of these courses are undertaken through TAFE NSW," he said.

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"McDonald's, as a long established non-TAFE provider with its own training company, conducts training specific to its jobs.

"The program has proven to be extremely successful with trainee student numbers on the rise - and to reinforce this point, the NSW Trainee of the Year 2015, Bethany Spoor, was a McDonald's employee and was trained at the McDonald's training company."

NSW Teachers Federation president Maurie Mulheron.
NSW Teachers Federation president Maurie Mulheron. Photo: Robert Peet

Other states also make similar payments. In Victoria, for example, casino company Crown receives a government subsidy to train its staff including crupiers.

But NSW Teachers Federation president Maurie Mulheron said it was time to put a cap on the amount of public money being handed to for-profit companies so that it could be reinvested in the public provider, TAFE.

"At the same time it is cutting funding to TAFE, the state government is providing substantial subsidies to big corporations like McDonalds," Mr Mulheron said.

"This is the first time we have heard of the NSW government providing significant sums of public money to very large global corporations at the same it is cutting funding from TAFE.

"We have seen courses shut and and over 3000 teachers an support staff lose their jobs."

Labor spokeswoman for skills and training Prue Car said if the government could afford to provide money to McDonalds to train its employees "surely they can afford to stop sacking our TAFE teachers, cutting courses and threatening the sale of TAFE colleges".

"It tells you something about this government that while they are handing over more than $1 million to McDonalds they are presiding over the destruction of TAFE NSW," Ms Carr said.

Private Provider payments for contestable vocational education and training in the 2015/16 financial year:

Vision Training Institute Pty Ltd: $4,680,901.44

Wise Education Group Limited: $4,488,566.77

Benchmark Resources Pty Ltd: $3,149,824.14

ASH Pty Ltd: $3,141,455.59

United World College Pty Ltd: $3,063,138.15

Reach for Training Pty Ltd: $3,050,883.26

Tactical Training Group Pty Ltd: $2,736,018.92

NSW Dept of Primary Industries: $2,596,405.23

Australian College of Commerce: $2,425,203.79

Training Specialists (Australia): $1,991,110.47

Train Australia Pty Ltd: $1,903,039.18

Mcdonald's Australia Ltd: $1,809,485.67

Verto Ltd: $1,701,285.84

Australian Retailers Association: $1,622,800.61

Novaskil I: $1,606,382.27

Applied Training Solutions Pty Ltd: $1,555,209.26

TSA The Training Company: $1,531,804.64

Acacia Group Ltd: $1,495,635.61

Enterprise & Training Company Ltd: $1,469,517.27

Masters in Building Training P/L: $1,398,161.54

Learning Sphere Training Solutions: $1,340,497.03

Hume Learning Institute Pty Ltd: $1,275,917.73

Response Consulting Australia: $1,263,049.14

Illawarra Area Child Care Ltd: $1,214,463.32

Macquarie Employment Training: $1,110,941.36

The Quality Training Company Pty: $1,079,123.78

NSW Health: $1,029,974.01

Source: NSW Government figures obtained by NSW Greens through freedom of information

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