Simon Biggs tells the JCU community there will be a $25m plus “overspend in ongoing operating funds this year”

What’s the problem?: In a message late Friday the new VC warned that the university’s 2014 restructure was based on 25 000 EFT students by 2025. However JCU student numbers dropped from 16 000 EFTS in 2015 to 14 000 in ‘21, with “a further decline” this year.

And while COVID has not helped, the “underlying issues of scale are not a temporary pandemic induced feature.”

Changes in the student mix also add to the university’s financial problems with a shift from Commonwealth Supported Places and full fee internationals to lower-income partner programmes.

The result is that fixed costs are “an unsustainable proportion of discretionary income.”

Where the buck stops: Professor Biggs response is changes in top management, “consistent with the feedback from staff.”

He proposes abolishing the vacant provost position and ending the two academic division DVC posts, with those portfolios reporting to a new DVC Academy. The now vacant DVC R position will be filled and the DVC Students (Maree Dinan-Thompson) become DVC Education. Around 30 exec roles stay substantively the same.

What’s the point: While the restructure will produce “some savings” this is not the primary purpose. Rather that is, “to provide a more adaptable, nimble, agile and effective leadership framework appropriate to the size and scale of the university, with clear accountability.”

It also appears to indicate that Professor Biggs does not intend to cut his way out of trouble. Given contested course and staff cuts prior to the pandemic this would make a change, (CMM April 19, April 27,  July 9, 2018).

Question is whether a reshuffle will be enough to repair the university’s finances.