Management at Australian Catholic U says it needs to save $42m in staff costs by 2022 – but there’ still a $45m surplus
Vice Chancellor Greg Craven tells staff that though internationals account for a comparatively small 13 per cent of students, the decline in income from them, “will still have a substantial impact,” – accounting for over half the 2020-22 forecast of $125m lost revenue.
The university proposes reduced staff costs contributing 33 per cent of savings, compared to 42 per cent by reducing the surplus by $52m – however a $45m surplus over 2020-2022 remains.
Professor Craven also rules out voluntary redundancies – “because experience at other universities demonstrates (they) do not deliver the scale of salary savings required”, although he says “pre-retirement contracts” will be considered.
But he points to savings measures staff could agree to, that would reduce the number of positions that need to go; including leave purchases and reductions in weeks worked. The university estimates cancelling next year’s enterprise agreement salary increase would save 27 FTE positions. All changes to conditions would requires staff voting to vary ACU’s enterprise agreement.
The proposal Professor Craven announces is now out for consultation until November 13.
A final plan is expected to go to university Senate on December 3.