AIthough Mike Joy's job at Victoria University of Wellington has been salvaged, financial strife at several universities means hundreds of staff are likely to lose their jobs this year. At the time of writing, about 230 staff were proposed to be shed at Victoria, potentially hundreds at Otago, up to 245 at Massey and a handful at Waikato. Auckland University of Technology may trim a small number of roles.
The root cause was outlined by the vice chancellors of Victoria and Otago in a pleading open letter to the government in June that stated per-student funding has been dropping in real terms for years and in the past decade "has fallen 20% in real terms".
The government responded with $128 million in additional funding to subsidise tertiary tuition fees in 2024 and 2025, on top of a $181 million funding boost in the May Budget to meet forecast demand until the end of 2025. But it won't be enough for the most badly ailing institutions. It has also announced a review into how higher education is funded.
The universities' main income source is bums on seats. The slow burn of shrinking real-term funding was ignited this year by a drop in student enrolments nationally. However, some universities, particularly Canterbury, have increased student numbers and are financially sound. But any university's increased share means a smaller slice of the pie elsewhere.
This story is from the August 5-11 2023 edition of New Zealand Listener.
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This story is from the August 5-11 2023 edition of New Zealand Listener.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
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