Tertiary Education Minister Penny Simmonds made the announcement yesterday.
It leaves the country’s 16 polytechnics in limbo, more than a year after Ms Simmonds first ordered the break-up of mega polytechnic Te Pukenga and signalled a desire to move towards separate regional entities.
Ms Simmonds said yesterday the government had agreed to amend the Education and Training Act to disestablish Te Pūkenga and allow institutes of technology and polytechnics (ITPs) to be established as autonomous entities.
These may be standalone or as part of a federation.
Ms Simmonds told RNZ yesterday although 16 polytechnics went into Te Pūkenga, there would be fewer once the mega-institute was disestablished.
Obvious candidates for mergers were those institutes that had previously had shared governing councils, such as Unitec and Manukau Institute of Technology in Auckland, and Weltec and Whitireia in Wellington, Hutt Valley and Porirua.
She said latest forecasts indicated 10 of the former polytechnics could be standalone from 2026 and the rest would be in a federation overseen by the Open Polytechnic.
In a surprise move, the sale of polytechnics will be on the table when the national institute of technology Te Pūkenga is disestablished.
She told RNZ the legislation to do that would include the possibility of sale, but the government was not likely to use that option.
"The redesigned system will better meet the needs of learners, industry and the economy.
"It includes re-establishing regional polytechnics that are financially sustainable.
"Decisions on which polytechnics will be established, and in which form, will be taken in the first half of next year. These decisions will consider the needs of local communities, learners and industry."
Ms Simmonds had hinted at this model earlier this year.
During the past year, several polytechnics, including Otago Polytechnic, have been restructuring in order to operate more viably financially.
Otago Polytechnic executive director Dr Megan Potiki said yesterday’s announcement was "broad in scope".
"Despite the ongoing changes, learners are being reassured they should continue to enrol and study for qualifications and employers are encouraged to continue to keep taking and supporting apprentices and trainees."
Tertiary Education Union general secretary Daniel Benson-Guiu decried the timing and nature of the announcement.
The minister’s announcement had come when staff in Te Pūkenga were already on leave, as the employer’s closedown period began on December 18, Mr Benson-Guiu said.
"As a former leader in the sector — Ms Simmonds is the former chief executive of the Southern Institute of Technology — she should know that staff are on a well-earned break, especially after the year they have just had.
"Your annual leave should be saved for rest and relaxation. The minister’s announcement has come when you are finally heading away for a well-earned break."
Throughout tertiary education, 2024 was a year that had been marked by uncertainty, a lack of vision and broken promises to fix a broken sector, Mr Benson-Guiu said.
"Decisions by leaders in Te Pūkenga to close over a hundred courses to be delivered in 2025 represent a sector that is turning away students to focus on a financial sustainability that is only required because of government austerity.
"While staff in the sector have worked tirelessly through 2024, Te Pūkenga is turning its back on iwi, industry and communities."
"Our members are tired of the political football."
