Vice-Chancellor Ian Jacobs said a voluntary redundancy program for academic and non-university staff would begin immediately. It would become mandatory “if necessary” to ensure that the reductions will be in effect until October. The Vice-Chancellor stated that, unlike other universities, he had not asked employees to forego recent pay increases for enterprise agreements. He said that merging the faculties of art, design and construction into a single department would save more money and allow you to rent a space or rent to the municipality or the company. Revenues have fallen by $400 million this year and an additional $370 million has been forecast for 2021. The job cuts represent a 7.5% reduction in the workforce and were only achieved after “exhausting all other options,” including the $115 million in reserves. “Unfortunately, there will still be a gap in the expected financial deficit – after a significant reduction in our non-person spending and the use of our cash reserves – that will lead us to reduce our workforce. In exchange, QUT would apply a moratorium on forced redundancies until June next year. “Some of these steps are inedible and painful, especially when they have an impact on jobs and our people,” said UNW Vice-Chancellor Ian Jacobs. The job cuts and restructuring package is the “absolute minimum” to keep the university viable next year. “We decided not to go to the union. We have a good relationship with the union.
But I don`t bury myself. “This is a step that I deeply regret, but that I cannot avoid. In 2019, 38.7% of university students were international and many had been taken abroad when COVID-19 struck in early 2020. Management took a 20 per cent pay cut at the beginning of the year, and 1,000 employees volunteered to lower their salaries, but that was not enough. On Tuesday, the Queensland University of Technology revealed it was struggling to reverse a $100 million deficit. Vice-Chancellor Margaret Sheil said she would ask employees to defer a 2% pay increase and forgo 18 months off. A larger than expected number of international students had decided to study online and pay fees at home, and the demand from national students was “very high”. This saved the IEW from a “disaster.” The University of New South Wales will lay off 493 employees, reduce management by 25 per cent and reduce the number of its faculties from eight to six because it faces a drop in revenue of about three-quarters of a billion dollars. Professor Jacobs said his financial team had warned him that UNW would cut $600 million this year. In recent weeks, employees at the University of Melbourne, Wollongong University and Southern Cross University have voted against raising wages to save jobs. “We need to move quickly. The situation is so uncertain.
We now have to make budget cuts,” said Professor Jacobs.