The University of Technology Sydney (UTS) has announced significant cost-cutting measures, resulting in the loss of 134 staff positions and the elimination of over 1,000 subjects. The decision, revealed last night, aims to save the university $100 million as it grapples with financial constraints.
Located in the heart of Sydney and serving 51,000 students, UTS plans to discontinue its Schools of Education, International Studies, and Public Health. The number of faculties will be reduced from 24 to 15, with the Faculties of Business and Law merging into a new Faculty of Business and Law. This restructuring is part of a broader strategy to streamline operations and manage budgetary pressures.
Financial Pressures and Strategic Decisions
The announcement comes as UTS faces challenges in growing its primary revenue streams from domestic and international students. Vice-Chancellor Andrew Parfitt stated, “With policy constraints limiting both domestic and international student revenue growth, our main source of operating revenue, we have been faced with difficult choices to reduce our costs.”
Parfitt expressed regret over the job losses, acknowledging the anxiety and concern among staff. “I do not underestimate or take lightly the anxiety and concern staff may be experiencing and I deeply regret the need for job losses,” he added. The university anticipates saving around $80 million through these cuts, with an additional $20 million saved by limiting executive and senior staff remuneration.
Union Intervention and Staff Concerns
Meanwhile, the National Tertiary Education Union (NTEU) has criticized the process, citing a lack of transparency and consultation. Safework NSW intervened on behalf of the union, delaying the cuts due to concerns over the psychological impact on staff. NTEU UTS Branch President Dr. Sarah Attfield remarked, “Why call for consultation if staff won’t be listened to? The lack of transparency, the decisions made without consulting staff and students, and the shutting down of valid criticism have all led to staff losing faith in the leadership at UTS.”
Dr. Attfield emphasized the dedication of the affected staff, stating, “Staff who have dedicated their working lives to this institution are being treated as expendable.” Despite the criticism, UTS maintains that current students in the impacted courses will not be affected and that the changes will not take place until next year.
Support and Future Outlook
In response to the backlash, UTS has committed to providing extended support to staff during the transition. “Staff are being regularly updated and given opportunities to ask questions and offer suggestions or feedback,” the university stated. They are also offering support and training related to health and well-being, financial circumstances, and career development, with increased access to trained counselors.
Vice-Chancellor Parfitt recently defended the university’s actions at a Senate inquiry on governance in higher education. UTS previously explained to 9news.com.au, “This is not financially or operationally sustainable as continued losses erode our cash position and have the potential to compromise our ongoing operations. It’s important we address this to protect and invest in our teaching, research, and our students.”
The move represents a significant shift in the university’s structure and priorities, reflecting broader trends in higher education where financial sustainability often necessitates difficult choices. As UTS navigates these changes, the impact on staff, students, and the broader academic community will continue to unfold.
