Job cuts to gut Newcastle Uni

May 11, 2005
Issue 

Ben Reid, Newcastle

On May 3, staff and students at the University of Newcastle learned of a management plan to slash some 450 jobs (over 20% of staff). The announcement has left staff angry that they will be responsible for paying for the management's budget failures. Many are wondering about the future viability of the university, which may be the first big casualty of the federal Coalition government's slash-and-burn higher education policies.

The announcement at a special consultative forum called by new vice-chancellor Nick Saunders ended months of speculation over sackings after it was revealed the university had recorded a deficit of almost $28 million in 2004.

An "independent" review of administration and academic programs recommended scores of cutbacks, yet few expected the scale of the job losses. Saunders' expressed goal is to have salaries comprise 45% to 50% of operating expenses (in keeping with the national average for universities) as opposed the current level of 60%. While some 300 people have already expressed interest in voluntary redundancies, this is well short of the total projected figure.

One lecturer commented, "The size of cuts has left everyone devastated. Nobody knows who will be targeted for the biggest job losses. There is an atmosphere of everyone trying to protect their own turf and hope someone else feels the brunt of cuts."

Already some 80 courses and many programs have been cut, mostly from the humanities and social sciences.

The crisis is strongly linked to government policy. The Coalition has refused to allow any increase in public funding for universities. The only "relief" was last year's optional 25% increase in HECS. The aim has been to force universities to seek private funding through linking research and teaching to the needs of big business.

This has particularly impacted on regional university campuses. An absurd 50-50 private and public funding "benchmark" was established for all campuses, regardless of their age and location. While wealthier campuses with strong alumni survived, regional campuses declined.

Newcastle University tried to delay the crunch through a comical "restructuring of the university" three years ago into five faculties. This simply destroyed established working relations and bloated the administrative apparatus. New work regimes were established that pitted high research producing (i.e. externally funded) staff and disciplines against the so-called "non-performers".

National Tertiary Education Union branch president Wayne Reynolds — known for voting in favour of last year's HECS increase on the university council — has in the past used the spectre of the university's debt levels to head off calls for better pay and conditions for rank-and-file members.

The union leadership even endorsed a workload model system that has already led to 50% to 100% increases in teaching loads in many areas. The union is still considering whether to challenge the scale of the latest cuts at the Australian Industrial Relations Commission.

A Newcastle University Student Association speak-out against so-called "voluntary student unionism" on May 4 turned into a well-attended protest over the cuts. Without a more definite response from the NTEU leadership, however, a potential student campaign has yet to fully take off.

Many staff are calling for action. A sustained campaign both against the Howard government and the administration is needed. Staff and students should be occupying the campus and descending en masse to Canberra to pressure the Howard government and education minister Brendan Nelson to increase funding. Support in the broader Hunter community — which will feel a strong economic impact from the loss of over 400 jobs — must also be harnessed.

A meting of NTEU members this week will discuss a response, and a protest rally is being planned for May 18.

From 91×ÔÅÄÂÛ̳ Weekly, May 11, 2005.
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