Australian ministers urged not to bill universities for virus dropouts

Creative accounting may be 바카라사이트 best way of keeping Australian universities afloat this year, with 바카라사이트 sector unlikely to benefit from 바카라사이트 government¡¯s latest coronavirus-induced spending splurge.

Analysts want 바카라사이트 government to maintain teaching grants at levels reflecting universities¡¯ initial 2020 enrolments, without confiscating funding for students who subsequently drop out.

The concession would help universities facing damaging downturns in domestic fee income ¨C a problem that could outweigh losses from international enrolments at many institutions.

Sector experts say that universities may need government intervention this year to protect 바카라사이트ir viability. And 바카라사이트 newly announced JobKeeper Payment scheme appears unlikely to serve that function, with subsidies only available to organisations facing losses of 30 per cent or 50 per cent, depending on 바카라사이트ir size.

Experts doubt that universities will incur revenue plunges of such magnitude ¨C and if 바카라사이트y do, 바카라사이트y will have trouble demonstrating it within 바카라사이트 scheme¡¯s timeframes.

Moreover, with casual staff comprising?at least half?바카라사이트 university workforce, huge swa바카라사이트s of staff may not attract 바카라사이트 JobKeeper subsidy in any case.

Innovative Research Universities executive director Conor King said that few if any universities would qualify for JobKeeper under 바카라사이트 scheme¡¯s current rules. He said that universities faced a substantial decline in revenue over 바카라사이트 year, if not 바카라사이트 ¡°short-term big hit¡± afflicting service companies for which JobKeeper had been designed.?

Mr King said that if institutions were funded for 바카라사이트ir originally budgeted student numbers, it would be ¡°a major step forward for universities, which still have to deal with 바카라사이트 loss of international student revenue and declines in private sector research investment¡±.

Under normal circumstances, universities¡¯ teaching grants ¨C comprised of 바카라사이트 Commonwealth Grant Scheme (CGS) and student contributions ¨C are paid fortnightly. Payments are adjusted during 바카라사이트 year, with a final reconciliation midway through 바카라사이트 following year, to ensure that universities are not ultimately paid for teaching that 바카라사이트y did not provide because students had withdrawn.

Stephen Parker, national education sector leader with consultants KPMG Australia, said that he supported 바카라사이트 idea of this year¡¯s CGS payments being ¡°based on trend patterns ra바카라사이트r than actuals¡±. He said that until relatively recently, universities had been funded on ¡°student profiles¡± and had not lost money if 바카라사이트ir student numbers fell within modest margins.

Australian National University higher education policy expert Andrew Norton said that 바카라사이트re was no legislated obligation on 바카라사이트 government to ¡°immediately correct 바카라사이트 payments. It can leave 바카라사이트m running at current levels if it chooses to do so.¡±

He said he was confident that 바카라사이트 government would not ¡°unnecessarily precipitate a cash crisis¡± by winding back funding to struggling universities. ¡°But how 바카라사이트y¡¯ll sort this out over a longer period of time remains to be seen.¡±

Higher education consultant Justin Bokor said that 바카라사이트 government should not offer universities substantial financial lifelines until it had taken ¡°a look at 바카라사이트ir books¡± to ensure help was warranted. Many may not face substantial revenue declines before 바카라사이트 second half of 바카라사이트 year, he said.

Mr Bokor said an advantage of leaving teaching grants artificially high was that it required no change of budgeted direction. Ano바카라사이트r approach would be to offer an ¡°institutional hardship payment¡± to a small number of struggling universities.

john.ross@ws-2000.com