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Direct Subsidy Scheme

An alternative to a voucher system

By Sandy Wong

Sandy Wong

Prof. Tsang Wing Kwong

In the coming academic year, three government-subsidized schools will become Direct Subsidy Scheme schools through which the government aims to introduce the idea of diversified education and to enhance the standard of local schools.

Schools under the Direct Subsidy Scheme are free to decide their own school fees, curriculum and student admission policies.

They will get more operating funds by charging higher school fees. They can therefore introduce additional and higher quality facilities.

Greater freedom is one of the reasons why some schools choose to join the Scheme. Good Hope School, Secondary Section, is an example.

Dominic Lee, assistant principal of Good Hope School, said they changed their mode of operation due to the higher degree of flexibility and independence.

Mr. Lee said they can control the standards of students under the Direct Subsidy Scheme since they can set their own student admission criteria.

According to Mr. Lee, their school will offer small-group teaching for major subjects under the Direct Subsidy Scheme.

He said the language standard of students can be greatly improved because they will get more time to practice.

Students can also benefit from a better learning environment.

For example, Good Hope School plans to introduce more web-based learning by using more information technology facilities.

According to Mr. Lee, teachers will also benefit with a lighter workload as a result of a lower teacher-student ratio.

On the other hand, the scheme is also good for parents.

Petunia Gnanadorai, a teacher at Good Hope School, said, "Their children will be happier and more confident. Moreover, the school system will be more transparent to them without a rigid curriculum."

However, Direct Subsidy Scheme Schools also face various difficulties.

Said Mr. Lee: "Some families may not be able to afford the higher school fees and thus will not consider our school as a choice."

He said that teachers also have to spend more time explaining the new policy to parents since parents are still not very familiar to it.

On the other hand, teachers also have their worries.

Said Mrs. Gnanadorai: "There are worries of wage cuts or becoming redundant.

"We also are afraid that parents may dictate the terms."

Prof. Tsang Wing Kwong of the Department of Educational Administration and Policy at The Chinese University of Hong Kong pointed out other adverse effects of the scheme.

"First, inequality will occur in school admission process because students who enter Direct Subsidy Scheme Schools need to pay more school fees.

"There will also be unfairness in the educational process. This means that students from Direct Subsidy Scheme Schools will enjoy more facilities and a better learning environment."

In addition, diversified education cannot be achieved through the scheme as wished by the government.

"Students from Direct Subsidy Scheme Schools will still have to take public examinations. I cannot see how they can receive diversified education under the scheme."

Chik Pun Shing, education and information technology co-coordinator of the Hong Kong Profession Teachers' Union, pointed out another problem.

Said Mr. Chik: "The Scheme encourages schools to compete against each other since they will accept more students in return for more subsidies.

"This will make the vicious competition worse among local schools."

Prof. Tsang also pointed out the main difference between the Direct Subsidy Scheme in Hong Kong and the voucher system in the U.S.

Said he: "The Direct Subsidy Scheme is like an universal voucher.

"However, the voucher system in the U.S. is non- add-on in nature.

"As you can see in Hong Kong, students have to pay additional school fees if they want to study in Direct Subsidy Scheme Schools, and the amount of add-on is substantially large."

Prof. Tsang also said that when there was over-subscription for school places, schools in the U.S. use a method of random selection.

However, this does not apply in Hong Kong. Instead, schools try to select the "better students" by setting admission tests, a process which is called selective voucher.

According to Prof. Tsang, it is important for the Direct Subsidy Scheme Schools to set a clear goal to make their adoption of the scheme meaningful.

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Sandy Wong

Prof. Tsang Wing Kwong
In the coming academic year, three government-subsidized schools will become Direct Subsidy Scheme schools through which the government aims to introduce the idea of diversified education and to enhance the standard of local schools. Schools under the Direct Subsidy Scheme are free to decide their own school fees, curriculum and student admission policies. They will get more operating funds by charging higher school fees. They can therefore introduce additional and higher quality facilities. Greater freedom is one of the reasons why some schools choose to join the Scheme. Good Hope School, Secondary Section, is an example. Dominic Lee, assistant principal of Good Hope School, said they changed their mode of operation due to the higher degree of flexibility and independence. Mr. Lee said they can control the standards of students under the Direct Subsidy Scheme since they can set their own student admission criteria. According to Mr. Lee, their school will offer small-group teaching for major subjects under the Direct Subsidy Scheme. He said the language standard of students can be greatly improved because they will get more time to practice. Students can also benefit from a better learning environment. For example, Good Hope School plans to introduce more web-based learning by using more information technology facilities. According to Mr. Lee, teachers will also benefit with a lighter workload as a result of a lower teacher-student ratio. On the other hand, the scheme is also good for parents. Petunia Gnanadorai, a teacher at Good Hope School, said, "Their children will be happier and more confident. Moreover, the school system will be more transparent to them without a rigid curriculum." However, Direct Subsidy Scheme Schools also face various difficulties. Said Mr. Lee: "Some families may not be able to afford the higher school fees and thus will not consider our school as a choice." He said that teachers also have to spend more time explaining the new policy to parents since parents are still not very familiar to it. On the other hand, teachers also have their worries. Said Mrs. Gnanadorai: "There are worries of wage cuts or becoming redundant. "We also are afraid that parents may dictate the terms." Prof. Tsang Wing Kwong of the Department of Educational Administration and Policy at The Chinese University of Hong Kong pointed out other adverse effects of the scheme. "First, inequality will occur in school admission process because students who enter Direct Subsidy Scheme Schools need to pay more school fees. "There will also be unfairness in the educational process. This means that students from Direct Subsidy Scheme Schools will enjoy more facilities and a better learning environment." In addition, diversified education cannot be achieved through the scheme as wished by the government. "Students from Direct Subsidy Scheme Schools will still have to take public examinations. I cannot see how they can receive diversified education under the scheme." Chik Pun Shing, education and information technology co-coordinator of the Hong Kong Profession Teachers' Union, pointed out another problem. Said Mr. Chik: "The Scheme encourages schools to compete against each other since they will accept more students in return for more subsidies. "This will make the vicious competition worse among local schools." Prof. Tsang also pointed out the main difference between the Direct Subsidy Scheme in Hong Kong and the voucher system in the U.S. Said he: "The Direct Subsidy Scheme is like an universal voucher. "However, the voucher system in the U.S. is non- add-on in nature. "As you can see in Hong Kong, students have to pay additional school fees if they want to study in Direct Subsidy Scheme Schools, and the amount of add-on is substantially large." Prof. Tsang also said that when there was over-subscription for school places, schools in the U.S. use a method of random selection. However, this does not apply in Hong Kong. Instead, schools try to select the "better students" by setting admission tests, a process which is called selective voucher. According to Prof. Tsang, it is important for the Direct Subsidy Scheme Schools to set a clear goal to make their adoption of the scheme meaningful.